How much is the LADWP heat pump rebate?

The LADWP heat pump rebate pays up to $2,500 per ton of capacity. A typical 3-ton residential system qualifies for up to $7,500. Additional federal tax credits under the Inflation Reduction Act can cover up to 30% of installation cost.

Do I have to be an LADWP customer to qualify?

Yes — you must be an active LADWP electric customer at the installation address. If you are served by SCE or another utility, different rebate programs may apply. Call us and we will check your eligibility.

What equipment qualifies for the LADWP rebate?

Qualifying air-source heat pumps must meet minimum efficiency ratings, typically SEER2 15.2 or higher and HSPF2 7.5 or higher. We only specify qualifying equipment and verify eligibility before any purchase.

Do you handle the LADWP rebate application paperwork?

Yes — we submit all rebate documentation to LADWP on your behalf as part of the installation service. This includes equipment specifications, installation photos, and permit records. Rebates are typically issued within 6-10 weeks of installation.

LADWP Heat Pump Rebate — Save Up to $2,500 Per Ton | Upright HVAC

Los Angeles homeowners served by LADWP can save up to $2,500 per ton on qualifying heat pump installations through the LADWP Consumer Rebate Program. Upright Construction & HVAC is a licensed C20 contractor (Lic #1124046) that installs high-efficiency heat pumps and manages the rebate paperwork for you. Call (818) 219-2684 for a free quote.

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✦ Up to $2,500 per ton rebate✦ Stack with federal IRA tax credits✦ Licensed C20 contractor✦ We handle the paperwork

What Is the LADWP Heat Pump Rebate?

The LADWP Consumer Rebate Program offers up to $2,500 per ton for qualifying central heat pump HVAC systems installed by a licensed contractor. The rebate applies to central, split, mini-split, and multi-split heat pump systems based on SEER2 and HSPF2 efficiency ratings. Installations completed after November 1, 2025, are eligible, and applications must be submitted within 12 months of installation.

How Much Can You Save?

Savings scale with the size of your heat pump system. Here is how the rebate breaks down for typical home sizes:

System size	LADWP rebate
2-ton	Up to $5,000
3-ton	Up to $7,500
4-ton	Up to $10,000
5-ton	Up to $12,500

These amounts can be combined with the federal Inflation Reduction Act tax credit of up to $2,000 for combined total savings of $3,000 to $15,000 or more. Additional manufacturer promotions and financing may also be available.

Eligibility Requirements

To qualify for the LADWP heat pump rebate, you must:

Be an active LADWP electric customer with a residential meter
Install a qualifying heat pump system with eligible SEER2/HSPF2 ratings
Use a licensed C20 HVAC contractor for the installation
Submit the rebate application within 12 months of installation
Provide required documentation, including invoices, AHRI certificates, and permit records

Federal IRA 25C Tax Credit for Heat Pumps

The federal Inflation Reduction Act (IRA) Section 25C energy efficiency tax credit covers qualifying heat pump installations through 2032. Homeowners can claim 30% of eligible costs, up to $2,000 per year, for high-efficiency heat pump HVAC systems. Unlike utility rebates, the 25C credit is claimed on your federal tax return — it does not reduce the upfront installation price, but it significantly lowers your net cost.

To qualify, the equipment must meet IRS efficiency requirements (typically ENERGY STAR certified heat pumps with qualifying SEER2 and HSPF2 ratings). The installation must be in your primary residence. Upright installs qualifying equipment and provides the documentation your tax preparer needs, including invoices, AHRI certificates, and manufacturer spec sheets.

SoCalGas Rebates for Heating and HVAC

While LADWP serves electric customers in the city of Los Angeles, many Valley and basin homeowners also have SoCalGas service for heating. SoCalGas offers rebates through its Energy Efficiency Programs for qualifying high-efficiency furnaces, smart thermostats, and in some cases heat pump water heaters. If you are replacing a gas furnace alongside a heat pump conversion, ask Upright about SoCalGas incentives that may apply to your project.

SoCalGas rebate amounts and eligible equipment change periodically. Common categories include high-efficiency gas furnaces (up to $200–$500), smart thermostat rebates, and weatherization incentives. Upright reviews available programs during your consultation and includes eligible rebates in your written quote.

How to Stack HVAC Rebates in Los Angeles

One of the biggest advantages of upgrading to a heat pump in 2026 is the ability to combine multiple incentives. Here is how stacking typically works for LA homeowners:

LADWP utility rebate. Up to $2,500 per ton for qualifying heat pump HVAC systems. Paid directly to you after installation and approval.
Federal 25C tax credit. Up to $2,000 per year (30% of eligible costs) claimed on your federal tax return.
SoCalGas rebate. May apply if you are replacing gas heating equipment or installing qualifying thermostats.
Manufacturer promotions. Seasonal rebates from Carrier, Lennox, Daikin, and other brands — often $200–$1,500.
Financing incentives. Low-interest or deferred-payment plans that reduce monthly carrying costs.

Example: A 3-ton heat pump installation with a $10,000 project cost could qualify for up to $7,500 from LADWP, plus $2,000 from the federal tax credit, plus a manufacturer rebate — bringing the effective cost below $1,000 in some cases. Upright calculates your estimated net cost before you commit.

HVAC Rebate Eligibility Checklist

Use this checklist to see if you likely qualify for LA HVAC rebates and tax credits:

☐ Active LADWP residential electric account (for LADWP rebate)
☐ SoCalGas account (for gas-related rebates, if applicable)
☐ Primary residence (required for federal 25C tax credit)
☐ Heat pump meets minimum SEER2/HSPF2 efficiency ratings
☐ Installation by licensed C20 HVAC contractor
☐ Building permit pulled and final inspection passed
☐ AHRI certificate matches installed equipment
☐ Rebate application submitted within 12 months of installation
☐ Invoices and proof of payment available
☐ No prior rebate claimed for the same equipment at this address

Not sure if you qualify? Call Upright at (818) 219-2684 for a free eligibility review. We verify your utility accounts, recommend qualifying equipment, and handle the paperwork.

Why Install a Heat Pump in Los Angeles?

Heat pumps provide both heating and cooling in one efficient system. In Los Angeles, where winters are mild and summers are hot, a heat pump can replace both your old air conditioner and gas furnace. Heat pumps use electricity to move heat rather than burning fuel, which makes them cleaner and often less expensive to operate than traditional gas heating. Because the climate is ideal for heat pumps, LA homeowners can see strong year-round efficiency.

Types of Heat Pump Systems

Upright installs several types of heat pump systems, depending on your home and goals:

Central ducted heat pumps replace a traditional furnace and AC and use existing ductwork.
Ductless mini-splits are ideal for homes without ducts, room additions, garages, and ADUs.
Multi-zone mini-splits allow you to control temperatures in different rooms independently.
Cold-climate heat pumps provide efficient heating even on the coldest Valley nights.

The Rebate Process With Upright

Free consultation. We evaluate your home, ductwork, and electrical panel to recommend the right heat pump.
Written quote. We provide a detailed quote that includes equipment, installation, permits, and estimated rebates.
Installation. Our licensed technicians install the system, pull permits, and commission the equipment.
Rebate paperwork. We gather invoices, AHRI certificates, and permit documents and submit them to LADWP.
Rebate payment. LADWP typically processes applications within 4–6 weeks and sends the rebate directly to you.

Why Choose Upright for Your Heat Pump Installation?

Upright Construction & HVAC is a licensed C20 contractor (Lic #1124046) with more than 15 years of experience serving Los Angeles and the San Fernando Valley. We are veteran-owned, family-operated, and committed to honest recommendations and quality work. We handle the entire rebate process, so you do not have to navigate LADWP paperwork alone. Our offices in Van Nuys, Sherman Oaks, and Woodland Hills allow us to respond quickly and serve the entire Valley.

Heat Pump Financing Options

Even with rebates and tax credits, a heat pump installation is a significant investment. Upright offers flexible financing options to make the project affordable. Combined with lower monthly utility bills, many homeowners find that a heat pump pays for itself over time. We provide a written quote with all costs and available incentives included so there are no surprises.

What Happens After the Rebate Is Approved

Once LADWP approves your application, the rebate payment is sent directly to you. The rebate does not reduce the installation cost upfront, but it is a significant refund after installation. We can help you time your project and financing to account for the rebate payment schedule. Upright keeps copies of all documentation for your records.

Heat Pump Maintenance Requirements

Heat pumps require maintenance twice a year because they both heat and cool. Regular maintenance keeps efficiency high, extends equipment life, and protects your warranty. Upright offers maintenance plans that include tune-ups, priority scheduling, and repair discounts for heat pump systems.

Heat Pump Installation Timeline

Most heat pump installations are completed in one to two days. Before installation, we perform a Manual-J load calculation and inspect your ductwork and electrical panel. We pull permits, install the equipment, test the system, and walk you through operation and maintenance. We also register the warranty and provide documentation for your rebate application.

Frequently Asked Questions

How long does the LADWP rebate last?

The rebate is available while program funds last. Contact Upright today to confirm current funding and lock in your savings.

Can I combine the LADWP rebate with federal tax credits?

Yes. The LADWP rebate can be stacked with the federal IRA tax credit of up to $2,000. Combined savings can range from $3,000 to $15,000 or more.

How long does rebate processing take?

LADWP typically processes applications within 4 to 6 weeks. Upright handles all documentation and submission on your behalf.

Do I need to replace both my AC and furnace?

A heat pump can replace both your air conditioner and furnace in one system. Some homeowners keep a gas furnace as backup in a hybrid system, but most LA homes can be served well by a heat pump alone.

Who qualifies for the LADWP heat pump rebate?

Active LADWP residential electric customers who install a qualifying heat pump through a licensed contractor are eligible. Contact Upright to verify your eligibility.

Can I get SoCalGas and LADWP rebates on the same project?

In many cases, yes. LADWP rebates apply to electric heat pump equipment while SoCalGas rebates may cover gas furnace replacements or smart thermostats on the same project. Upright helps identify all eligible programs.

What is the federal 25C tax credit for heat pumps?

The IRA Section 25C credit covers 30% of qualifying heat pump costs, up to $2,000 per year. It is claimed on your federal tax return and can be combined with LADWP utility rebates.

Get Your Free Heat Pump Quote Today

Call (818) 219-2684 or book online for a free heat pump consultation. Upright will help you choose the right system, maximize your LADWP rebate, and handle the paperwork from start to finish.

Ready for honest HVAC help?

Call (818) 219-2684 for same-day service from Van Nuys, Sherman Oaks, or Woodland Hills.