HVAC Instant Rebates Program

Make the switch to high‑efficiency HVAC.

PSE&G HVAC Instant Rebates Program could help you save up to 20% on your home’s heating and cooling costs.^*

Ideal indoor temperatures. On‑the‑spot savings.

Upgrading to ENERGY STAR^® certified HVAC equipment can significantly reduce your energy use, keep your home comfortable, and make your energy expenses more manageable.

When you participate in the PSE&G HVAC Instant Rebates Program, you can save thousands of dollars on eligible equipment—and you may qualify for up to $25,000 in interest-free, on-bill repayment to help pay for your project. If you choose to include electrification measures through our Building Decarbonization offering, you may also be eligible for an additional $50,000 in interest-free, on-bill repayment.

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From equipment selection to installation and a rebate, a participating contractor can make it simple.

To get started, select a participating contractor. They will confirm your eligibility, explain PSE&G’s on-bill repayment option, and let you know if you qualify for additional incentives.

After reviewing your options, your contractor will install your high-efficiency HVAC equipment, note your instant rebate on your invoice, and ask you to sign a customer acknowledgment form upon completion.

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Find a Participating Contractor

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If you have questions about PSE&G HVAC Instant Rebates Program or about finding a participating contractor, contact us at 1-855-846-2895.

Eligible measures and incentives.

Click any of the titles below to view a table of specific HVAC and water heater equipment, as well as the rebates you can claim when you purchase.

SEER2-Rated Electric Appliances

Efficient Gas Appliances

Residential Building Decarbonization

Did you know?

The PSE&G residential HVAC Instant Rebates Program covers more than just your furnace or A/C condenser. You can also get rebates on the purchase and installation of efficient water heaters, or even a smart thermostat. Ask your contractor for details.

Here, you can find responses to PSE&G customers' commonly asked questions about building decarbonization. Click the "plus" icon next to any question to read more.

Building decarbonization is the process of reducing or eliminating greenhouse gas emissions (gases that trap heat in the atmosphere and are primarily generated from burning fossil fuels such as oil, coal, and natural gas) from a building. This includes the operational emissions from heating, cooling, and lighting, as well as from powering appliances.

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Unlike conventional systems that burn fossil fuels (including oil, coal, and natural gas) to generate heat, electric heat pumps draw heat from the environment, then move the heat indoors to warm your home—or outdoors to cool it.

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Heat pumps:

Can deliver up to three times more heat energy to a home than the electrical energy it consumes^*
Provide both heating and cooling
Make almost no noise when operating
Have air filtration and dehumidification features
Use no combustion, which means better indoor air quality due to the absence of direct emissions such as nitrogen oxides, carbon dioxide, or carbon monoxide^*

^* energystar.gov

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Yes. Today’s heat pumps are designed to perform well in cold climates and can keep your home warm even on the coldest winter days.

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A participating HVAC Instant Rebates Program contractor or Whole Home Energy Solutions contractor can help you choose the best system based on your home’s size, layout, and heating and cooling needs.

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When a heat pump is in use, standard electric rates apply. However, savings can be realized due to a heat pump’s ability to deliver up to three times more heat energy to a home than the electrical energy it consumes.^*

^* energystar.gov

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To qualify, you must:

Be a current PSE&G residential electric customer or be a current Butler Electric customer who receives PSE&G residential gas service
Live in a single-family home or in an attached home (properties with one to four units)
Own the home where installation(s) will take place

New construction homes and commercial properties are not eligible.

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You should work with a participating PSE&G HVAC Instant Rebates Program contractor or Whole Home Energy Solutions contractor who is authorized to work on building decarbonization projects. If your contractor is not yet approved, they can apply via our Trade Ally Portal or contact us at 1-855-846-2895 if they have questions.

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Our on-bill repayment option gives you the flexibility and convenience of being able to pay for home energy efficiency upgrades over a period of time, interest-free. With this option, your monthly PSE&G energy bill will contain repayment installments of equal amounts.

All qualified PSE&G residential customers or Butler Electric customers who receive PSE&G residential gas service are eligible for:

An on-bill repayment allowance up to $25,000 for an HVAC Instant Rebates project.

All qualified PSE&G residential electric customers or Butler Electric customers who receive PSE&G residential gas service are eligible for:

An on-bill repayment allowance up to $50,000 for a standalone building decarbonization project. Customers are eligible to allocate up to $2,000 of this allowance for electrical upgrades. Income‑qualified customers are not subject to this restriction.
An on-bill repayment allowance up to a total of $75,000 for an HVAC Instant Rebates project; up to $50,000 of this total can be allocated only toward costs associated with building decarbonization measures (e.g., air-source heat pumps, ground source heat pumps, or heat pump water heaters).

Repayment terms

Project Cost	All Customers	Income-Qualified Customers
$10,000 or less	84 months	84 months
$10,001 or more	84 months	84 months or 120 months

Frequently asked questions

Here, you can find responses to PSE&G customers' commonly asked questions about on-bill repayment. Click the "plus" icon next to any question to read more.

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We offer on-bill repayment to customers participating in our HVAC Instant Rebates Program and Whole Home Energy Solutions. For each of these programs, the participating contractor you select can help you determine which specific equipment and installation costs are eligible for on-bill repayment.

Whole Home Energy Solutions

All qualified PSE&G residential customers are eligible for:

An on-bill repayment allowance up to $25,000 for a Whole Home Energy Solutions project.

All qualified PSE&G residential electric customers are eligible for:

An on-bill repayment allowance up to $50,000 for a standalone building decarbonization project.
An on-bill repayment allowance up to a total of $75,000 for a Whole Home Energy Solutions project; up to $50,000 of this total can be allocated only toward costs associated with building decarbonization measures.

HVAC Instant Rebates

All qualified PSE&G residential customers or Butler Electric customers who receive PSE&G residential gas service are eligible for:

An on-bill repayment allowance up to $25,000 for an HVAC Instant Rebates project.

All qualified PSE&G residential electric customers or Butler Electric customers who receive PSE&G residential gas service are eligible for:

An on-bill repayment allowance up to $50,000 for a standalone building decarbonization project. Customers are eligible to allocate up to $2,000 of this allowance for electrical upgrades. Income‑qualified customers are not subject to this restriction.
An on-bill repayment allowance up to a total of $75,000 for an HVAC Instant Rebates project; up to $50,000 of this total can be allocated only toward costs associated with building decarbonization measures (e.g., air-source heat pumps, ground source heat pumps, or heat pump water heaters).

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First, you should discuss on-bill repayment with your participating contractor, who will apply for it on your behalf prior to starting your project. To qualify, you must have 12 months of continuous, on-time payment history with PSE&G.

If you’ve not yet been a PSE&G customer for 12 months, you still may be eligible for on-bill repayment. Ask your previous gas or electric utility to provide you with a letter of credit (for service within the past 24 months) confirming that your account had 12 months of continuous, on-time payment.

Once we approve you for on-bill repayment, we’ll notify your participating contractor, and they can enroll you.

All payment agreements are between PSE&G and the eligible customer. Please note that the PSE&G account holder at the property where the work is performed must be the customer who signs the agreement.

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PSE&G will notify your contractor that you’ve been approved or denied, and they will inform you.

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No. We don’t perform credit checks or contact any credit bureaus for additional information in order to gauge your eligibility for on-bill repayment.

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Yes. If we initially deny you for on-bill repayment, you may reapply after 60 days.

If you believe you have a valid reason to be reconsidered before then, we have an appeal process to review your application.

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All on-bill repayment options are interest-free (0%). On-bill repayment terms pertaining to specific PSE&G programs are as follows:

Whole Home Energy Solutions

Whole Home Energy Solutions offers an on-bill repayment term of 84 months (seven years) for project costs totaling $10,000 or less, or a term of 120 months (10 years) for project costs totaling between $10,001 and $75,000. Income-qualified customers are eligible for a repayment term of 120 months regardless of project costs.

Whole Home Energy Solutions Repayment Terms

Project Cost	All Customers	Income-Qualified Customers
$10,000 or less	84 months	120 months
$10,001 or more	120 months	120 months

HVAC Instant Rebates

The on-bill repayment terms for customers participating in our HVAC Instant Rebates Program are based on project costs and household income level. Income-qualified customers are eligible for a repayment term of 120 months on project costs greater than $10,000.

HVAC Instant Rebates Repayment Terms

Project Cost	All Customers	Income-Qualified Customers
$10,000 or less	84 months	84 months
$10,001 or more	84 months	84 months or 120 months

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Eligibility for this incentive is restricted to customers in one of the following groups:

Customers who reside in a low- or moderate-income census tract area. You can identify the census tract you live in on the FFIEC.gov website.
Customers who currently participate in one of the following safety net programs:
- General Assistance (GA)
- Lifeline
- Low Income Home Energy Assistance Program (LIHEAP)
- New Jersey SHARES (NJ SHARES)
- Payment Assistance for Gas and Electric (PAGE)
- Pharmaceutical Assistance to the Aged and Disabled (PAAD)
- Section 8 Housing Assistance
- Supplemental Nutrition Assistance Program (SNAP)
- Supplemental Security Income (SSI)
- Temporary Assistance for Needy Families (TANF)
- Universal Service Fund (USF)
Total gross household income before taxes is less than or equal to 400% of the Federal Poverty Guidelines.
Your primary residence must be located within a Low Income, Low Income and Limited English, Low Income and Minority, or Low Income, Minority, and Limited English Overburdened Community (OBC) designation. Visit ep.nj.gov to verify if you live in an OBC.

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Yes, you may enroll in on-bill repayment multiple times across different projects or programs. However, the maximum amount of credit per account is $75,000.

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Yes, you may enroll with each of your PSE&G accounts. Please note that you will be subject to a maximum outstanding balance of $75,000 per account.

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If your account is closed for any reason, the unpaid balance is due and payable to PSE&G within 30 days.

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If you are enrolled in on-bill repayment, you can either pay the outstanding balance in equal monthly installments over the term of the agreement or pay one lump sum for the full remaining balance at any time.

Please note that once you are enrolled in an installment plan, we cannot accept surplus payments toward the principal of your on-bill repayment balance.

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If you have any billing-related questions pertaining to on-bill repayment, please call 1-800-708-9480 to speak to a PSE&G customer service representative.

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PSE&G residential customers with low to moderate incomes could be eligible for an additional incentive of $300 per eligible measure when they participate in the HVAC Instant Rebates Program.

You may qualify if:

Your household income is at or below 400% of the Federal Poverty Levels.^†Use the drop-down menu below to select the number of people in your household and to view the maximum qualifying income levels.

Number of people in your home *

Your primary residence must be located within a low- or moderate-income census tract, and you must be willing to self-certify that you meet the income qualifications. Visit FFIEC.gov to verify

You participate in at least one of the following "safety net" programs:
- General Assistance (GA)
- Lifeline
- Low Income Home Energy Assistance Program (LIHEAP)
- New Jersey SHARES (NJ SHARES)
- Payment Assistance for Gas and Electric (PAGE)
- Pharmaceutical Assistance to the Aged and Disabled (PAAD)
- Section 8 Housing Assistance
- Supplemental Nutrition Assistance Program (SNAP)
- Supplemental Security Income (SSI)
- Temporary Assistance to Needy Families (TANF)
- Universal Service Fund (USF)

Here, you can find responses to PSE&G customers' commonly asked questions about the HVAC Instant Rebates Program. Click the "plus" icon next to any question to read more.

To qualify, you must be a current residential PSE&G customer with a valid account number. You also must be the owner of the house where the installation is to be performed.

Please note that new construction homes and commercial properties aren’t eligible.

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When you purchase this equipment from a participating contractor, applicable rebates are credited to your invoice, which lowers your total project cost.

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Yes. You can locate a participating contractor on our website.

If you don’t wish to work with a participating contractor, you may still be eligible for savings on certain equipment through our Appliance Rebates Program.

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Our experienced participating contractors can guide you through the entire equipment selection and upgrade process. They also can handle all necessary permits required by law, complete your installation, and provide you with an instant rebate on your invoice once the project is finished.

All PSE&G participating contractors are licensed in the state of New Jersey and have provided references, qualifications, and evidence of insurance.

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Invite your contractor to apply to the program on our Trade Ally Portal. They can contact us at 1-855-846-2895 if they have any questions.

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PSE&G does not inspect installations to verify quality or safety. However, we do conduct random inspections to confirm that qualifying equipment was installed. If you’re selected for an inspection, we’ll call you to schedule an appointment.

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You can only claim a single rebate for qualifying equipment for your home’s primary heating or cooling system. However, you can claim additional rebates for a qualifying water heater, as well as for a smart thermostat (if one isn’t already present in your home).

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In most cases, your furnace or air handler must be high efficiency in order to qualify for a rebate. Our HVAC Instant Rebate Program requires that your entire heating and cooling system meets the minimum SEER and EER efficiency ratings as specified by the Air-Conditioning, Heating, and Refrigeration Institute (AHRI), so you should confirm with your contractor whether your complete system is eligible.

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No. Rebates through the HVAC Instant Rebate Program can only be credited as a deduction on your project invoice.

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^* energystar.gov

^† You may be required to visually verify or self-certify your income. Income verification includes documentation of all sources of income for every person counted as living within the household. Documentation may include tax filings, benefit statements, or other verifiable records. PSE&G reserves the right to verify income if deemed necessary.

This program is subject to change, including termination, without prior notice.

Contractors: Visit the PSE&G Trade Ally Portal.

Learn more about how to become one of our trusted professional HVAC Trade Allies. If you’re already a participating contractor, simply log in to access resources such as marketing materials, program documents, and training. Contact us at 1-855-846-2895 if you have questions.