Welcome to Part Two of our three-part series on the Inflation Reduction Act (IRA), where we’ll share resources for homeowners and renters, and information on how the IRA can help New Yorkers save money (and the climate)!
Residential housing accounts for 20% of all greenhouse gas emissions. The Inflation Reduction Act tackles the issue of home energy reduction with two new rebate programs. Rebates provide an upfront discount that’s credited or returned to a customer at the point-of-sale. Currently, there are $4.3 billion in rebates for New Yorkers to reduce their home’s energy waste while saving money on their home improvements.
There are two rebate programs managed by the federal Department of Energy (DOE) to assist households in the purchase of energy-efficient upgrades. The Home-Owner Energy Savings (HOMES) Rebate and the High-Efficiency Electric Home Rebate Act (HEEHRA) will receive funding from the Department of Energy and Environment (DOEE) to manage both programs and will oversee the distribution of the rebates. Both the amount received and the availability of the rebate will depend on your household income.
These rebates are currently not available but you can complete this Inflation Reduction Act (IRA) Rebates Interest Form to receive updates from DOEE about when the rebates will become available. While you can't take advantage of these programs yet, you can consider how you might use them once they roll out.
Home-Owner Energy Savings (HOMES) Rebate
What is it? HOMES provides rebates for eligible home weatherization and electrification improvements. Individuals can install upgrades like heat pumps, insulation, and electrical panel upgrades to reduce the overall energy consumption in their home.
Am I Eligible? Individuals in single-family and multifamily residential buildings, newly constructed homes, and rental properties are eligible.
Rebate Amounts: The amount is capped at 50% of project costs for households above 80% of the area median income. For households below 80% the area median income, the rebate amount is capped at 80% of the cost.
Qualified Equipment Installations:
- Air & duct sealing
- Insulation
- Materials to improve ventilation
- Other energy-saving technologies
For more information on the HOMES rebate program, please visit DOE’s Home Efficiency Rebates page.
High-Efficiency Electric Home Rebate Act (HEEHRA)
What is it? HEEHRA allows homeowners in under-resourced communities to lower their energy costs and greenhouse gas emissions with $4.275 billion in investments. The focus is specifically on low and moderate income households to help them afford energy-efficiency upgrades.
Am I Eligible? The program is available to households below 150% of an area's median income.
Rebate Amounts:
- Households below 80% of an area’s median income may receive rebates that cover 100% of the total project cost.
- Households between 80 to 150% of an area’s median income may receive rebates for 50% of the total project cost.
Qualified Electrification Projects:
- Insulation, air sealing, and ventilation
- Electric heat pump for clothes dryer, space heating and cooling, water heaters
- Electric panel and wiring upgrades
- Electric stove, cooktop, range, or ovens
- Wiring & electrical panel upgrades
For more information on the HEEHRA program, please visit DOE’s Home Electrification and Appliance Rebates page.
Need more information on both rebate programs? Visit the DOE website detailing the HOMES rebate and HEEHRA rebate!
Read Part One of our series, Tax Credits Under the IRA, and Part 3, NYSERDA Energy Efficiency Programs.
By Deputy Public Advocate of Infrastructure & Environmental Justice Kashif Hussain, Community Organizer for Infrastructure & Environmental Justice Sasha St. Juste, Infrastructure & Environmental Justice Summer Intern Ava Sklar.