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Midstream HVAC and Water Heating Program

The Puget Sound Energy (PSE) Midstream HVAC and Water Heating program is designed to promote the benefits of energy-efficient HVAC and water heating systems. Distributors can pass through a discount if the unit being purchased meets the criteria below.

Rebates are available for:

End-use customers* can expect the equipment rebate from their contractor. Ask your contractor or distributor about receiving a discount on your new high-efficiency electric heat pump, gas storage water heater, or space heat boiler. Find a contractor here.

Reference Tables 1-3, below, for qualifying products. Equipment incentives are passed down to end-use customers* through participating distributors.

*End-use customers are PSE electric customers who purchase qualifying equipment from a participating distributor or contractor.


Heat Pumps

Table 1: SEER2/HSPF2 rated commercial and residential air-cooled heat pumps (<5.4 tons)

Limit 1 unit per residential retrofit project. Limit 2 per residential new construction project.

EQUIPMENT / PROJECT TYPE TIER SEER2 HSPF2 Rebate
Air-source heat pumps
Mini-/multi-split, split, or packaged
Retrofit or new construction
3 16 9.5 $650 Total rebate ($ per unit)
$260 Distributor/ Contractor
$390 End-Use Customer
Air-source heat pumps
Mini-/multi-split, split, or packaged
Retrofit or new construction
2 15.2 8.5 $450 Total rebate ($ per unit)
$180 Distributor/ Contractor
$270 End-Use Customer
Air-source heat pumps
Mini-/multi-split, split, or packaged
Retrofit only
1 15.2 8.1 $350 Total rebate ($ per unit)
$140 Distributor/ Contractor
$210 End-Use Customer
  • What is SEER(2)? HSPF(2)?

    Seasonal Energy Efficiency Ratio (SEER/SEER2) is most commonly used to measure the efficiency of a central air conditioner. The higher the SEER, the more efficient the system. SEER measures how efficiently a cooling system will operate over an entire season. In technical terms, SEER is a measure of the total cooling of a central air conditioner or heat pump (in Btu) during the normal cooling season as compared to the total electric energy input (in watt-hours) consumed during the same period. This measure of efficiency is specific to the temperate climate in the middle of the U.S. Recently testing procedures have been refined to introduce the SEER2 rating.

    Heat Seasonal Performance Factor (HSPF/HSPF2) is the most commonly used measure of a heat pumps heating efficiency. The higher the HSPF, the more efficient the heat pump. In technical terms, HSPF represents the total heating output of a heat pump (including supplementary electric heat) during the normal heating season (in Btu) as compared to the total electricity consumed (in watt-hours) during the same period. Recently testing procedures have been refined to introduce the HSPF2 rating.

    Source: www.energystar.gov

  • Ductless heat pump facts

    A ductless heat pump is a highly energy-efficient heating and cooling system that runs without the energy losses associated with the ductwork of a central forced-air system. As it doesn't require ducts to carry conditioned air, it is the preferred system for additions to your home, newer homes that only require a small space conditioning system or areas of your home that you wish to condition in zones.

    Other benefits include:

    • Ductless heat pumps use between 25 and 50 percent less energy to heat your home
    • An ultra-quiet fan evenly circulates air, eliminating hot and cold spots
    • Installation in your home is inexpensive, simple and quick, which makes for little or no disruption
    • Ductless systems come standard with air conditioning, so you can get rid of window units
  • Air-source heat pump facts

    airsourceheatpump

    An air-source heat pump is a high-efficiency heating and cooling system that can deliver between one-and-a-half and three times more heat energy to a home than the electrical energy it uses.

    A less efficient panel of electric coils kicks in to provide additional indoor heating when outdoor temperatures fall below 40 degrees Fahrenheit, so it's generally not a preferred system for regions with sub-freezing winter temperatures.

Water heaters

Commercial and Residential Water Heaters
Table 2: Residential DHW Water Heaters
EQUIPMENT / PROJECT TYPE SIZE CATEGORY Minimum UEF Rebate
Condensing or non-condensing storage gas water heaters
Residential
Retrofit
≥ 20 gallons
and
≤ 55 gallons
Uniform Energy Factor ≥ 0.67 $135 Total rebate ($ per unit)
$54 Distributor/ Contractor 
$81 End-Use Customer
Residential Space Heating Boilers
Table 3: Residential HHW Boilers
EQUIPMENT / PROJECT TYPE SIZE CATEGORY Afue Rebate
Condensing gas boiler*
Residential
Retrofit
≤ 300,000 Mbtuh ≥ 95% $450 Total rebate ($ per unit)
$180 Distributor/ Contractor 
$270 End-Use Customer

*Limit 1 condensing gas boiler per residence. Please reach out to the Program Implementer with any questions.

alert

TIP: The installation of a heat pump or air conditioner can sometimes cause a fluctuation in the power supply when your equipment starts. This may result in a visible flicker of the lighting in your home or your neighbors' homes.

To ensure that your heat pump installation does not have a negative effect on power quality, it's important to discuss this issue with your contractor. For additional assistance, call a PSE Customer Construction Services specialist at 1-888-321-7779.

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Join our Midstream Program

Are you a distributor or contractor? Learn more about PSE’s Midstream program. Contact Us at psemidstreamteam@icf.com

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FIND A CONTRACTOR

Request a PSE Recommended Energy Professional (REP) to complete your energy efficient improvement upgrade.