Alterations
The Energy-Smart Homes program promotes adoption of advanced energy measures and the transition to all-electric construction. The whole building electrification program aligns with California’s 2022 code and state efficiency decarbonization goals and trajectories, and provides property owners incentives for single family, duplex, townhome, ADU, or multifamily low-rise electrification alterations.
Alterations
The Energy-Smart Homes program promotes adoption of advanced energy measures and the transition to all-electric construction. The whole building electrification program aligns with California’s 2022 code and state efficiency decarbonization goals and trajectories, and provides property owners incentives for single family, duplex, townhome, ADU, or multifamily low-rise electrification alterations.
Whole Building Electrification alterations to existing single family and multifamily low-rise projects require a change in technology that includes conversion of all gas appliances and equipment to electric systems (replacing fossil fuel combustion equipment with heat pumps), including:
Heat pump space heating
Heat pump water heating
(In-unit or central heat pump water heater)
Electric or induction cooking
Electric or heat pump clothes dryers (bonus incentives available for heat pump clothes dryers)
Whole Building Electrification Alterations Incentives
| Single Family Whole Building Electrification Alterations Incentives | 2023 | 2024 | 2025 | |
|---|---|---|---|---|
| Single Family Whole Building Electrification Alterations Each single family property type must remove all gas and install heat pump space heating, heat pump water heating, electric or induction cooking, and an electric dryer |
$5,550 | $4,250 | $3,750 | |
| HP Dryer Bonus | $400 | $250 | $250 | |
| Infrastructure Upgrade Bonus | $1,000 | $1,000 | $1,000 |
Whole Building Electrification Alteration Eligibility Requirements
To be eligible for Whole Building Electrification Alteration incentives, existing property owners must:
- Complete whole building electrification alterations on an existing single family dwelling unit or multifamily low-rise building including:
- Heat pump space heating (Ductless mini-split heat pumps or residential central heat pumps SEER 15 or greater, HSPS 8.7 or greater)
- Heat pump water heating (multifamily low-rise can opt for in-unit or central system heat pump water heating)
- Electric or Induction cooking
- Electric clothes dryer (Bonus incentives are available for heat pump clothes dryers) NOTE: Heat pump clothes dryers do not require installation by a licensed contractor
- Infrastructure upgrade (Not required, but bonus incentives are available)
- Be located in the PG&E®, or SCE®, or SDG&E® electric service territory and pay the Public Purpose Program Charge
- Cap all gas lines to the building(s) applying for whole building electrification alteration incentives
- Have work completed by a licensed contractor
- Meet minimum alteration criteria and equipment specifications
- Complete and sign an online program participation agreement, including agreeing to program Terms and Conditions
- Agree to not receive financial incentives for the same measures or scope of work from other CPUC resource-funded programs
- Adhere to all applicable federal, state, and local laws and codes
Multifamily Low-Rise/ADU Whole Building Electrification Alterations Incentives
| Multifamily Low-Rise/ADU Whole Building Alterations Incentives (per unit) | 2023 | 2024 | 2025 | |
|---|---|---|---|---|
| Multifamily Low-Rise/ADU Whole Building Electrification Alterations Each participating building/ADU must remove all gas and each dwelling unit in that building must install heat pump space heating, heat pump water heating, electric or induction cooking, and an electric dryer |
$3,550 | $2,200 | $2,000 | |
| HP Dryer Bonus | $400 | $250 | $250 | |
| Infrastructure Upgrade Bonus (per unit served) | $600 | $600 | $600 |
Whole Building Electrification Alteration Eligibility Requirements
To be eligible for Whole Building Electrification Alteration incentives, existing property owners must:
- Complete whole building electrification alterations on an existing single family dwelling unit or multifamily low-rise building including:
- Heat pump space heating (Ductless mini-split heat pumps or residential central heat pumps SEER 15 or greater, HSPS 8.7 or greater)
- Heat pump water heating (multifamily low-rise can opt for in-unit or central system heat pump water heating)
- Electric or Induction cooking
- Electric clothes dryer (Bonus incentives are available for heat pump clothes dryers) NOTE: Heat pump clothes dryers do not require installation by a licensed contractor
- Infrastructure upgrade (Not required, but bonus incentives are available)
- Be located in the PG&E®, or SCE®, or SDG&E® electric service territory and pay the Public Purpose Program Charge
- Cap all gas lines to the building(s) applying for whole building electrification alteration incentives
- Have work completed by a licensed contractor
- Meet minimum alteration criteria and equipment specifications
- Complete and sign an online program participation agreement, including agreeing to program Terms and Conditions
- Agree to not receive financial incentives for the same measures or scope of work from other CPUC resource-funded programs
- Adhere to all applicable federal, state, and local laws and codes
Multifamily Low-Rise Central Heat Pump Water Heater Targeted Measures
To further advance the market towards clean energy technology and decarbonization, Energy-Smart Homes is offering incentives to defray advance technology design cost and implementation in new and existing multifamily low-rise buildings.
| Central Heat Pump Water Heater Target Measures for Multifamily Low-Rise Buildings | Incentive |
|---|---|
| Central System Design (per project/developer) Full MEP design and documentation |
$20,000 |
| Central System Installation (per installed unit) | $1,500 |
Program funds are limited. Incentives are available on a first-come, first-served basis until funds are no longer available.
Connect with us today to learn more about how to secure Central Heat Pump Water Heater design and installation incentives for your multifamily low-rise property! Connect Now
