Energy Efficiency Rebates
In 2023, the U.S. Department of Energy released its program guidance for the Homeowners Managing Efficiency Rebates (HOMES) and Home Electrification and Appliance Rebates (HEAR) programs, which together allocate over $208 million to North Carolina to provide energy efficiency rebates.
In March 2024, DEQ applied for the planning grant funds for the home energy rebates programs. DEQ is using these funds to complete the applications and the state rebate program design.
In Summer 2024, DEQ completed the applications and required program design blueprint for the implementation funds. DEQ continues to work to implement the NC Home Energy Rebate Program.
1: Are home energy rebates from the IRA currently available?
No. DEQ is working to design and implement a program that makes rebates accessible to North Carolina residents. In July 2024, North Carolina submitted the applications for the U.S. Department of Energy’s Home Energy Rebates (HER) and Home Electrification and Appliance Rebates (HEAR) programs. In August 2024, the state submitted additional program design blueprints to DOE and is awaiting feedback.
2: When will I be able to access home energy rebates?
The timeline is tentative and subject to change, but DEQ anticipates launching the program in early 2025.
3: Will home energy rebates be available retroactively?
DEQ must establish programs that ensure compliance with the law, and a decision on retroactivity cannot be made until staff have finished reviewing the U.S Department of Energy guidance and established the North Carolina Home Energy Rebate Program. Projects completed before programs are in place may not comply with the guidelines established later on, and rebates administered at point of sale would be difficult to implement months after the purchase was made. For all of these reasons, residents are encouraged to wait until the North Carolina Home Energy Rebate Program has been established and review the program requirements before making purchases to ensure the best chance of qualifying for the rebates.
4: What factors determine how much money a household can get for home energy rebates?
The money available for home energy rebates varies depending on factors including:
- Per-household rebate limits established by the law and program administrators
- What technology or technologies are being installed in the home,
- Whether or not the project has estimated energy savings, and how those energy savings are calculated,
- The household’s area median income, and
- The total project cost.
Area Median Income is determined by the Federal Department of Housing and Urban Development each year. You can use the HUD portal to view AMI by county and number of family members.
More information will be provided once North Carolina Home Energy Rebate Program has been implemented.
5. Are there any IRA benefits that I can access now?
Tax credits are available through the IRS for certain qualifying home energy efficiency improvements, including insulation, heating equipment and others. Visit the IRS online at https://www.irs.gov/inflation-reduction-act-of-2022 and consult your tax professional for more information.
6. Where can I learn more about Inflation Reduction Act Home Rebates?
Visit the U.S. Department of Energy's FAQ page at https://www.energy.gov/scep/slsc/home-energy-rebate-programs to keep up to date on developments at the Federal level, and for more detailed information.