Did you know that Arizona homeowners could save big when upgrading to a new heat pump system? With advanced energy-efficient technology and potential incentives, replacing your old system isn’t just about comfort—it’s about making a smart financial move. Whether you’re looking to reduce monthly utility bills or take advantage of available rebates, upgrading your heat pump could be the game-changer your home needs. Let’s explore a new rebate/savings opportunity that the Government is now offering to Arizona Homeowners and learn how you can keep your home cool and your wallet happy.

What is Efficiency Arizona?

Efficiency Arizona is an innovative program funded through the Inflation Reduction Act, signed by President Biden on August 16, 2022. Designed to improve energy efficiency and curb climate change, Efficiency Arizona provides household incentives for clean energy upgrades and energy-efficient technologies. The program is made possible through initiatives like the Home Efficiency Rebates Program (HOMES) and the Home Electrification and Appliance Rebates Program (HEAR).

The program is being spearheaded by the Governor’s Office of Resiliency in Arizona, in collaboration with a third-party implementer, community-based organizations, industry stakeholders, and utilities. Together, these entities aim to empower Arizonans to reduce energy consumption and enhance home resiliency.

The rollout of Efficiency Arizona will take place in several phases, each offering unique ways for households to benefit. Let’s take a closer look at the details below.

A Phased Approach to Energy Efficiency

Phase I – Air-Conditioning Replacement Program

Launch Date: August 29, 2024

The first phase of Efficiency Arizona focuses on helping Arizonans replace outdated or inefficient air conditioning units. This program specifically targets individuals and families facing financial hardship, ensuring that these households have access to much-needed cooling solutions in the Arizona heat.

However, eligibility for this phase and its rebates is determined by household income and other factors. Additionally, homes already equipped with heat pumps are not eligible for heat pump rebates.

Phase II – Home Retrofit Program

Launch Date: Q1 2025

The second phase aims to expand energy efficiency opportunities for homeowners across the state. Through this home retrofit program, residents can qualify for performance-based rebates for various energy-saving improvements. From insulation upgrades to high-efficiency HVAC systems, this phase is designed to maximize energy savings, thus lowering household utility bills.

Phase III – Multifamily Pilot Program

Launch Date: Late 2025 (estimated)

The third phase will launch an exciting pilot initiative targeting multifamily residences such as apartments, condominiums, duplex homes. This program seeks to address the unique energy needs of multi-unit buildings and their collective energy use.

Efficiency Arizona’s Key Programs

The HEAR Program

The Home Electrification and Appliance Rebates (HEAR) program focuses on assisting low-income and underserved households in upgrading to electric appliances. This initiative provides rebates for buying and installing qualifying equipment, with households eligible to receive up to $14,000 in total rebate dollars.

However, eligibility hinges on household income and is aligned with U.S. Department of Housing and Urban Development (HUD) guidelines. The program is based on Income Qualification and uses Area Median Income (AMI) as a benchmark, and households earning above 150% of AMI are not eligible to participate.

Rebates May Cover Upgrades Such As:

• Electric heat pumps
• Energy-efficient appliances
• Electrical panel upgrades and wiring

The HOMES Program

The Home Owner Managing Energy Savings (HOMES) program offers performance-based rebates for households undertaking comprehensive energy efficiency retrofits. The rebate amount is determined by the level of energy savings achieved—making the program highly customized to each home’s energy needs.

The HOMES program expects to be operational in Q1 2025 and will examine individual homes and multifamily residences to devise tailored energy-saving solutions. This initiative reflects a thorough, performance-driven approach to help homeowners address energy needs systematically.

Income verification is a critical eligibility factor, and while some households may qualify for specific incentives based on income, others may need alternative paths to qualify.

A Look at the AMI Specifications for Maricopa and Pinal Counties

 80% AMI – if under income, you can get up to $8,000

Maricopa/Pinal Counties

1 person – $57,600

2 person – $65,800

3 person $74,050

4 person – $82,250

5 person – $88,850

6 person – $95,450

7 person $102,000

8 person – $108,600100% AMI – if under income, you can get up to $4,000

Maricopa/Pinal Counties

1 person – $72,000

2 person – $82,250

3 person – $92,563

4 person – $102,813

5 person – $111,063

6 person – $119,313

7 person – $127,500

8 person – $135,750

What Does Efficiency Arizona Mean for Residents?

Efficiency Arizona offers several benefits for Arizona households:

• Energy Savings: Reducing energy bills while enhancing indoor
• Environmental Impact: Contributing to Arizona’s clean energy goals and reducing greenhouse gas emissions.
• Improved Home Resiliency: More durable and efficient homes, capable of withstanding Arizona’s unique climate challenges.
• Community Access: Targeted support for underserved areas ensures that low-income residents have access to necessary upgrades.

When Will Efficiency Arizona Be Available?

Efficiency Arizona’s rollout is phased, starting with air-conditioning replacements in August 2024. Following this, more comprehensive initiatives like home retrofits and multifamily programs will launch in early 2025.

While not every household will qualify for certain rebates and programs, Efficiency Arizona is designed to maximize the impact for those who need it most.

Stay Updated About Efficiency Arizona

Be the first to know about new phases and programs by signing up for updates on Efficiency Arizona’s website https://efficiencyarizona.com/

If you’re interested in learning more about these upcoming savings, you can also give our office a call to learn more about how it might benefit your household. When you are ready to replace your heat pump, TSC Air has you covered!

We’ll visit your home for a free estimate and, when you’re ready, our expert team will professionally install your new heat pump system.

Experience hassle-free service and reliable, efficient heating and cooling tailored to your needs with TSC Air!

Contact us today 480-460-1487 to schedule your free estimate and to learn more about how you can save on your next heat pump.