Updated January 26, 2021
Homeowners in Havertown, PA — and across the Delaware Valley — have three great ways to save on new energy-efficient heating and cooling this year. And, we here at John Cipollone can help you make the most of these opportunities!
If you’re considering an upgrade for your home heating or central air, early 2021 is a great time to make that investment. Right now, you can combine three great no-strings-attached offers:
- PECO Home Rebates
- EAP HVAC Rebate Program
- Federal Tax Credits
While two of these are year-round, one will see its terms and rates change this summer. And, the third is for a limited time only.
Peco Home Rebates Rates For 2021
Thanks to the PECO Home Rebates programs, you can get cash back on new, energy-efficient heating and air conditioning systems that meet specific requirements.
The rebates range from a few hundred to a thousand dollars or more on air source heat pumps, air conditioners, and fuel-switching from electric primary heat to natural gas.
And, it’s money that, technically, is yours already.
Check your PECO bill, and you’ll see a relatively small “EEPC” charge. That stands for “Energy Efficiency Program Charge,” and this money goes into a large, state-wide pot for rebates and similar incentives.
The idea is to offset the incremental cost of converting to high-efficiency appliances and products, a spokesperson for PECO explained.
For instance, you can get $350 back for a heat pump water heater and $1,000 for switching from electric to a high-efficiency natural gas furnace.
You can also get a $25 rebate just for regular service and maintenance on your central air conditioner or air source heat pump.
The amount of money you can get on a rebate has remained the same for a few years. You can get the exact rates on this flier.
But, be sure to check the back here in June. That’s when new rebates will go into effect.
A Popular Program
More people in the Delaware Valley take advantage of the program each year — particularly during 2020.
The number of HVAC-related rebates increased by about 10 percent in 2018 and again in 2019. Last year, they went up by around 15 percent.
“With people working from home and kids going to school virtually, everyone’s using more energy,” PECO noted.
“People have looked for things to do, from simple ways to reduce energy up to renovating their homes.”
And, the savings don’t stop there.
Electrical Association Of Philadelphia HVAC Rebate Program 2021
The Electrical Association of Philadelphia, or EAP, offers a Residential HVAC Rebate Program. You can get instant discounts on heat pumps, ductless mini splits, and central air units when you work with a qualified contractor.
The rebates include:
$500 to $1,000 for central air systems
$600 to $1,200 for heat pump systems
$150 per outdoor unit for a single-zone mini split
$100 per head for a multi-zone mini split
You can find the exact specifications here. The big advantage is that you don’t have to wait for a rebate check to arrive in the mail.
Instead, you’ll see the deduction on your bill before you pay the contractor.
However, this isn’t a year-round offer. For now, the window is open from February 15 to April 23 to sign up. Work must then be completed by May 7. Then, there’ll be another round in the fall.
It’s worth noting that you can’t combine this offer with a rebate from a manufacturer. But, you can pair this with the PECO’s Home Rebates program.
Both groups have different specifications. The EAP measures efficiency ratings while PECO bases its offer on a unit’s tonnage.
But, plenty of units overlap, so you can take advantage of both. We can help you find one that qualifies for both.
“Not only does the purchase a qualifying system save you money, you’ll also use less energy, reducing your monthly energy bill,” said EAP Program Manager Matt Deibert.
Federal Tax Credits
Congress voted to authorize up to $500 in tax credits to homeowners who purchase and install an energy-efficient heater, central air, mini split, or boiler in early 2020. The Non-business Energy Property Tax Credits was a temporary benefit initially, but now it’s been extended for three more years.
Generally speaking, the offer applies to any Energy Star-certified equipment. You can browse those requirements here.
You’ll then file IRS Form 5695 with your taxes (read up more about that here). It works like any other tax credit: If you owe, say, $2,000 in taxes at the end of the year, and you get a $500 credit, then you only owe $1,500.
Or, if you get a $500 credit but only owe $300 in taxes, you get a $200 refund after you file.
According to Chris Czarnecki, the long-term benefit is to promote greater energy efficiency by encouraging homeowners to install appliances that use fewer resources.
“It benefits the consumers, and overall makes us less dependent on foreign energy sources,” he explained.
Czarnecki is a government relations manager for the Air Conditioner Contractors of America, or ACCA. It’s the group that spearheaded and championed the credits.
Part of the effort includes ensuring those new appliances and systems are installed correctly. When they’re not, Czarnecki points out their efficiency can decrease by up to 40 percent.
To help combat this, the ACCA is working to ensure anyone applying for the credit had a certified technician install their new heating and cooling system the right way. And, the group hopes to make the credit a permanent part of the tax code.
“There’s momentum behind them with the new administration,” said Czarnecki. “They’re focused on climate issues, and we think that’ll give this a boost.”
When you’re ready to start planning our new HVAC system, call us here at John Cipollone.
We’ll help you pick out the best equipment for your Havertown, PA home. And, we’ll make sure you pay as little as possible for it.