If you receive residential electric service from LADWP and your air conditioner or furnace is approaching replacement age, 2026 may be a good time to compare a high-efficiency heat pump.
The Los Angeles Department of Water and Power increased its residential heat pump HVAC rebates for qualifying equipment purchased and installed on or after November 1, 2025.
Depending on the equipment type, capacity and efficiency ratings, qualifying systems can receive rebates ranging from $1,000 to $2,500 per ton.
For a qualifying four-ton whole-home ductless heat pump at LADWP's highest efficiency tier, that can mean a rebate of up to $10,000.
How Much Is the LADWP Heat Pump Rebate in 2026?
LADWP calculates the heat pump HVAC rebate primarily by system type, rated capacity and SEER2/HSPF2 efficiency.
There are two main rebate schedules.
Central Ducted Heat Pump Rebates
Central ducted, split and packaged heat-pump systems can qualify for approximately $1,000 to $1,250 per ton.
| System Size | Potential Rebate Range |
|---|---|
| 2 Tons | $2,000 to $2,500 |
| 3 Tons | $3,000 to $3,750 |
| 4 Tons | $4,000 to $5,000 |
| 5 Tons | $5,000 to $6,250 |
Whole-Home Ductless Heat Pump Rebates
Qualifying ductless mini-split and multi-split systems can receive approximately $1,500 to $2,500 per ton.
LADWP states that qualifying mini-split and multi-split systems must serve the entire home.
| System Size | Potential Rebate Range |
|---|---|
| 2 Tons | $3,000 to $5,000 |
| 3 Tons | $4,500 to $7,500 |
| 4 Tons | $6,000 to $10,000 |
| 5 Tons | $7,500 to $12,500 |
These totals are examples based on LADWP's current per-ton schedule. The actual rebate depends on the AHRI-rated capacity and efficiency of the system that is installed.
Why does LADWP say “up to $2,500 per ton”? The highest rebate is reserved for qualifying ductless equipment meeting LADWP's top SEER2 and HSPF2 efficiency tier. Simply installing a heat pump does not automatically qualify a project for the maximum amount.
How LADWP Determines the Rebate Amount
LADWP uses two HVAC efficiency ratings when assigning the rebate tier.
SEER2
SEER2 measures seasonal cooling efficiency. A higher rating generally means the system can provide the required cooling while using less electricity.
HSPF2
HSPF2 measures seasonal heating performance for a heat pump. Higher-rated systems can qualify for higher LADWP rebate tiers when the other program requirements are also met.
For central ducted systems, the current LADWP schedule starts at $1,000 per ton for qualifying equipment around 15.2 SEER2 and 7.7 HSPF2 and rises to $1,250 per ton at the top listed tier.
For qualifying ductless systems, the schedule begins at $1,500 per ton and rises to $2,500 per ton for equipment meeting the highest listed efficiency level.
One Heat Pump Can Provide Heating and Cooling
A heat pump differs from the traditional Los Angeles HVAC setup of a gas furnace paired with a separate air conditioner.
Instead of creating heat through combustion, a heat pump transfers heat.
During warm weather, it moves heat out of the home and operates much like an air conditioner. During cooler weather, the process reverses and moves available heat into the home.
This allows one electric system to handle both heating and cooling.
NationPro USA's HVAC services page covers central HVAC, mini-splits and heat-pump system options in more detail.
Who Can Qualify for the LADWP Heat Pump Rebate?
LADWP's Consumer Rebate Program has several basic requirements homeowners should review before buying equipment.
- There must be an active LADWP residential electric meter at the installation address.
- The heat-pump equipment must meet LADWP's current efficiency requirements.
- The installed indoor and outdoor components must form a qualifying AHRI-matched system.
- The homeowner must provide a paid itemized invoice containing the required equipment information.
- An AHRI Certificate of Product Rating must be supplied.
- A final approved Building and Safety permit is required.
- For mini-split or multi-split equipment, the system must serve the entire home.
- New construction and Accessory Dwelling Units are not eligible under this rebate category.
- Packaged Terminal Heat Pump systems are not eligible.
How Long Do You Have to Apply?
LADWP states that the Consumer Rebate Program application should be completed after the qualifying equipment has been purchased and installed.
Applications must generally be submitted within 12 months of the purchase date.
LADWP may also inspect the installation before issuing the rebate.
Program funding is limited, and LADWP states that rebates are not guaranteed. Homeowners should therefore confirm the current program rules before purchasing equipment.
Why the AHRI Certificate Matters
One of the easiest rebate requirements to overlook is the AHRI system match.
A heat-pump system contains multiple components. For central and split systems, the outdoor condenser and indoor equipment must be matched in a combination that has been tested and rated.
LADWP requires documentation showing the AHRI-certified reference number and matching system components.
This is why homeowners should confirm rebate eligibility for the exact equipment combination before installation rather than relying only on the efficiency rating printed on an individual outdoor unit.
Why Los Angeles Homes Can Be Well Suited to Heat Pumps
Heat pumps can work well in Los Angeles because the region generally has milder winter temperatures than many colder areas of the country.
Modern systems can provide efficient heating while also replacing an aging central air conditioner.
For a homeowner facing replacement of both an older furnace and AC system, a heat pump can turn two heating-and-cooling functions into one electric HVAC system.
What About the Former Federal $2,000 Heat Pump Tax Credit?
Homeowners researching heat pumps may still find older articles referring to a federal tax credit of up to $2,000.
That credit should not be treated as available for a new 2026 installation.
The federal Energy Efficient Home Improvement Credit under Section 25C ended for property placed in service after December 31, 2025.
NationPro USA has more information about this change in heat-pump demand after the federal tax credit ended .
The LADWP rebate is a separate local utility program and remains available subject to LADWP's rules, program changes and funding.
Could Other Local Heat Pump Rebates Be Available?
Other Southern California programs periodically provide heat-pump incentives, but availability can change quickly as program funds are reserved or exhausted.
Homeowners should verify the current status of any separate program before assuming it can be combined with an LADWP rebate.
The safest approach is to calculate the project using only incentives for which the home, equipment and installation have been confirmed as eligible.
Heat Pumps Can Also Work With Solar
Because a heat pump uses electricity rather than natural gas for space heating, some California homeowners look at HVAC replacement alongside rooftop solar.
Solar can produce electricity that helps serve household loads, including an electric heat pump, subject to the home's production, consumption and utility rate plan.
NationPro USA discusses this pairing in heat pumps and solar for California homeowners .
A homeowner considering both upgrades should account for the heat pump's expected electricity use when sizing a future solar system.
What Should You Check Before Replacing Your HVAC System?
1. Current System Age
If your furnace or air conditioner is approaching the end of its service life, compare replacement options before a breakdown forces a rushed decision.
2. Correct System Size
Bigger is not automatically better.
Equipment should be sized for the home's heating and cooling load. Oversizing can affect comfort, cycling and operating performance.
3. Exact AHRI Match
Confirm that the equipment combination has a qualifying AHRI certificate and meets the LADWP rebate tier you expect.
4. Rebate Amount Before Signing
Ask for the estimated LADWP rebate amount based on the actual system capacity and efficiency, not simply a generic “up to” figure.
5. Permit and Documentation
Make sure the project includes the required permitting and that invoices clearly identify the installed equipment.
6. Total Project Cost
Compare the complete installed price after the expected rebate rather than choosing equipment only because it qualifies for a higher incentive tier.
A $10,000 Rebate Requires the Right System
The headline number deserves some context.
A $10,000 LADWP rebate would correspond to a qualifying four-ton whole-home ductless system earning the maximum $2,500-per-ton rebate.
A four-ton central ducted system does not receive the same amount. Under the current ducted schedule, a four-ton system would generally qualify for approximately $4,000 to $5,000, depending on efficiency.
This distinction makes equipment selection and documentation especially relevant when comparing quotes.
NationPro USA Can Help You Compare Heat Pump Options
NationPro USA helps homeowners compare modern heating and cooling systems based on their current HVAC equipment, home size, comfort requirements and location.
Before installation, the goal should be to understand:
- which heat-pump configuration fits the home
- what efficiency rating the equipment provides
- which LADWP rebate tier may apply
- what documentation will be required
- what the estimated project cost looks like after the rebate
This gives homeowners a clearer basis for comparing an HVAC replacement instead of choosing equipment based only on the advertised rebate.
LADWP Heat Pump Rebate FAQs
How much is the LADWP heat pump rebate in 2026?
LADWP currently provides qualifying heat-pump HVAC rebates ranging from $1,000 to $1,250 per ton for central ducted systems and $1,500 to $2,500 per ton for qualifying whole-home ductless mini-split or multi-split systems.
Can an LADWP homeowner really receive a $10,000 heat pump rebate?
A qualifying four-ton whole-home ductless heat-pump system meeting LADWP's highest listed efficiency tier could receive $2,500 per ton, which equals $10,000. Actual eligibility depends on the installed system and current program rules.
What efficiency ratings are required?
LADWP's minimum listed heat-pump requirements begin around 15.2 SEER2 with the applicable HSPF2 minimum. Higher SEER2 and HSPF2 ratings can qualify systems for higher per-ton rebate levels.
Does a mini-split qualify for the LADWP rebate?
Qualifying mini-split and multi-split systems can receive the ductless heat-pump rebate, but LADWP states that these systems must serve the entire home.
Do I need an AHRI certificate?
Yes. LADWP requires an AHRI Certificate of Product Rating showing the matching system components and certified reference number for qualifying heat-pump HVAC applications.
Is a permit required?
Yes. LADWP requires a final approved Building and Safety permit as part of the heat-pump HVAC rebate documentation.
Can I still claim the federal $2,000 heat pump tax credit in 2026?
Not for property placed in service after December 31, 2025. The federal Section 25C Energy Efficient Home Improvement Credit ended for later installations.
Are LADWP heat pump rebates guaranteed?
No. LADWP states that funding is limited, applications are subject to program requirements and rebates are not guaranteed. Homeowners should verify current eligibility before purchasing equipment.
See How Much Your Heat Pump Upgrade Could Cost
NationPro USA can review your current HVAC system, home size and available LADWP rebate options so you can compare qualifying heat pump systems before moving forward.
Get My Free Heat Pump Savings Estimate