Replacing a heating system is one of the larger financial decisions a Westchester homeowner makes, and the sticker price on a heat pump installation can cause real hesitation before you’ve even asked your first question. What most homeowners don’t realize going in is that Con Edison’s Clean Heat Program can take a substantial amount off that number before the project closes. No rebate check to wait for, no paperwork to file yourself. We work directly with Con Edison and New York’s Clean Heat Program, so we’ve seen what the process actually looks like from the contractor side and can walk you through it before you commit to anything.
The rebate structure has more layers than most people expect, and a few of those layers are worth knowing about before you schedule a consultation. The right equipment, the right contractor enrollment status, and the right utility account can mean the difference between a modest discount and a meaningful one.
What Con Edison’s Clean Heat Program Actually Pays
The Clean Heat Program offers two separate paths depending on how far you want to go with electrification. Which one fits your situation changes the numbers significantly.
Option 1: Full Replacement
Option 1 covers projects where a heat pump takes over as the primary heating system. Single-family homeowners can receive up to $8,000 in incentives, and that figure rises to $10,000 for homes in NYSERDA-designated Disadvantaged Community zones. These are geographic areas identified by the state as facing environmental and economic burdens. Apartment installations qualify for up to $4,000, or $5,000 in Disadvantaged Community zones.
Option 2: Add a Heat Pump Without Replacing Your Existing System
Option 2 doesn’t get enough attention. If you’re not ready to fully electrify, you can add a heat pump alongside your existing boiler or furnace with integrated controls that manage both systems, and still qualify for a $2,500 incentive for single-family homes or $1,000 for apartments. It’s a lower-commitment entry point that lets you test a heat pump in your home while keeping a backup system in place.
One cap applies across both options: incentives are limited to 70% of total project cost, or 85% in Disadvantaged Communities. If your project is on the smaller side, the actual incentive may be lower than the headline maximum.
Heat Pump Water Heaters: A Separate $1,300 Opportunity
Con Edison’s current rebate for an ENERGY STAR-certified heat pump water heater (which heats water using the same refrigerant-based technology as a space-heating heat pump rather than electric resistance coils) is $1,300 for units up to 120-gallon capacity. The deadline for equipment purchase is December 31, 2026. Most posts covering this topic still cite the old $1,000 figure, so it’s worth flagging if you’ve already been researching.
The rebate is available through participating Lowe’s and Home Depot locations in the Con Edison service area, or through a contractor purchasing equipment from a participating distributor. Homeowners can verify eligibility before purchasing at VerifyConEdRebates.com.
What makes the water heater rebate worth highlighting on its own is that it doesn’t require a full HVAC project to access. You can pursue it alongside a space-heating heat pump installation or independently as a first step toward electrifying your home. For homeowners who aren’t ready to touch their heating system yet, this is a concrete way to start capturing incentives now.
How the Money Comes Off Your Invoice
The Con Edison Clean Heat incentive isn’t a mail-in rebate. Con Edison pays the participating contractor directly, and the contractor deducts the incentive amount from your final invoice. You pay the net cost at closing. No waiting period, no forms to submit on your own.
Your most important job in this process is confirming that the contractor you’re working with is actually a Con Edison Participating Contractor before signing anything. Con Edison maintains a searchable list of enrolled contractors at coned-findacontractor.icfsightline.com. A contractor who isn’t enrolled can’t process the incentive on your behalf, which means you’d either lose access to the rebate or have to pursue a more complicated reimbursement path on your own.
One timing detail worth noting for anyone planning a fall installation: Con Edison updates Clean Heat Program funding availability on a biweekly basis. Confirming current funding status before scheduling is a practical step, not a formality.
Stacking the Con Edison Rebate with Other Incentives
For installations completed in 2025, the federal Energy Efficient Home Improvement Credit (IRS 25C) provided 30% of qualifying heat pump installation costs up to $2,000 and could be applied to the same project as a Con Edison Clean Heat incentive. That credit expired on December 31, 2025 under the One Big Beautiful Bill Act and isn’t available for new installations. If you completed a qualifying installation in 2025, consult a tax advisor about claiming the credit on your 2025 return.
For 2026 installations, the Con Edison Clean Heat rebate remains your primary incentive path, applied directly to your invoice at the time of installation. It is not a tax-time calculation. Federal IRA-funded rebate programs such as HEAR (Home Electrification and Appliance Rebates) may also be available to income-qualifying households depending on program rollout in New York. We always recommend confirming current eligibility and any income-related considerations with a tax advisor before building a savings estimate around any incentive program.
Which Westchester Homeowners Qualify
Eligibility for Con Edison Clean Heat incentives starts with an active Con Edison electric account. Con Edison serves most communities in Westchester County, including Yonkers, White Plains, and New Rochelle. That said, NYSEG covers portions of the county outside Con Edison’s territory, so homeowners should confirm which utility serves their address before assuming eligibility. Sustainable Westchester’s EnergySmart Homes program is another resource that connects residents with installer partners working across Con Edison and NYSERDA incentive programs.
Several property types qualify for residential incentives under different tiers:
- Single-family homes qualify for the highest incentive tiers under both Option 1 and Option 2
- Two-to-four family buildings are eligible under residential program rules
- Individual condo or co-op apartment owners in buildings with five or more units can qualify as individual residential applicants
Homes that previously received a partial heat pump incentive aren’t necessarily locked out of future incentives. If you installed a heat pump before but kept your fossil fuel system running, you may qualify for additional incentives of up to $4,000 for single-family homes or $1,500 for apartments when that remaining system is removed or disabled.
Getting the Most Out of the Rebate Process
We’re a Con Edison Participating Contractor and work directly with New York’s Clean Heat Program. If you’re weighing a heat pump upgrade before fall and want to know exactly what your home qualifies for, reach out to Zen Air Heating and Cooling at (914) 293-5618 for a free estimate.