Active Programs

Three Ways to Save

You may qualify for one or more of the programs below. Eligibility depends on the unit, your utility, and the install date.

Heat Pump Water Heaters

PSEG Long Island Heat Pump Water Heater Rebate

Up to $1,000

Per qualifying unit

Switch from an electric tank to a heat pump water heater and PSEG-LI rebates can cover a chunk of the unit. Energy Star certified models qualify.

Heat pump water heaters only
Energy Star certified models
Installed by approved contractor (we are)

Gas Tank & Tankless

National Grid High-Efficiency Rebate

Up to $500

Per qualifying unit

High-efficiency gas water heaters and tankless systems can qualify for a National Grid rebate when you're on the National Grid gas network.

Energy Factor / UEF must meet minimum
Active National Grid gas account
We're a Value Plus Installer

Federal Tax Credit

IRS Form 5695

Federal Heat Pump Water Heater Tax Credit

30% / $2,000

Of the install cost (cap)

Under the Inflation Reduction Act, qualifying heat pump water heaters earn a 30% federal tax credit, capped at $2,000 per tax year. Claim it on your return.

Heat pump water heaters only
Annual cap shared with some other improvements
Talk to your tax preparer

About Long Island Water Heater Rebates

How Long Island Water Heater Rebates Actually Work

Long Island water heater rebates fall into three buckets: utility-funded incentives from PSEG Long Island and National Grid, the federal heat pump tax credit (Inflation Reduction Act), and the periodic NYC + Long Island Upgrade & Save efficiency program. The biggest savings come from heat pump water heaters, which qualify for both PSEG rebates and the 30% federal credit. High-efficiency gas tanks and tankless water heaters with the right UEF rating can also pick up National Grid incentives.

To qualify, the unit usually needs to meet specific energy factor (UEF) or Energy Star thresholds, and the installation needs to be performed by a participating contractor (we are). Some programs require pre-approval before install, others reimburse after install. We sort through which rebates apply to your specific water heater install, file the paperwork on your behalf, and confirm the current dollar amounts at quote time, since these programs change.

What qualifies: heat pump water heaters with Energy Star certification, high-efficiency gas tank units meeting UEF thresholds, and tankless water heaters with the right energy factor rating. Standard 6-year tank gas water heaters in 40, 50, 75, or 80 gallon sizes generally do not qualify on their own. Hybrid heat pump units typically qualify for both the PSEG-LI rebate and the federal 30% tax credit, often saving thousands when stacked.

Rebate Eligibility Notes

Which Water Heater Models Qualify for Long Island Rebates

Rebate eligibility depends on the water heater specs. Most rebates require an Energy Star certified hybrid heat pump water heater or a condensing tankless unit with a strong UEF (uniform energy factor) rating. Hot water heater models with 40, 50, 75, or 80 gallon storage tanks can qualify if they hit the right efficiency thresholds. Older standard atmospheric gas tank water heaters with chimney venting or flue connections typically do not qualify; power vent and high-efficiency models often do.

Beyond the unit itself, the install needs to meet local plumbing code, include a properly sized expansion tank if required, a T&P (temperature and pressure) valve, and a manufacturer-registered warranty in your name. We pull permits on every Long Island rebate install and confirm the BTU rating, recovery rate, and Energy Star or UEF spec before we file the rebate paperwork. Standard tank anode rod, sediment trap on gas connections, and code-compliant venting are all included.

Stack Your Savings

How We Help You Get Every Dollar

You should not have to chase down rebate forms. We do that for you.

📋

We Pick the Right Unit

We match the model to the programs you qualify for, so you're not buying a unit and finding out later it does not earn the rebate.

📝

We File the Paperwork

PSEG and National Grid forms get filled out and submitted from our office. You sign once, we handle the rest.

📨

You Get the Check

Rebates are mailed directly to you by the utility. Federal tax credit goes on your return. Either way, the savings are yours.

Heads Up

Programs Change. Quotes Don't Lie.

The dollar amounts and eligibility above reflect what was active when this page was last updated. Programs are revised periodically. When you call, we'll confirm the current rebates and put real numbers on your quote so you know exactly what you save.

Call for Current Rebate Pricing