California headline: Up to $8,000 HEEHRA plus $500-$3,000 utility rebate plus local programs. Combined typical: $5,000-$12,000.
Active programs
California HEEHRA (TECH Clean California branding)
California administers federal HEEHRA funds through TECH Clean California.1
| Income tier | Heat pump HVAC | Cap |
|---|---|---|
| ≤80% AMI | 100% covered | $8,000 |
| 80-150% AMI | 50% covered | $4,000 |
| Above 150% AMI | Not eligible | - |
Approved equipment must be on the TECH Clean California qualified product list.
Utility rebates
| Utility | Heat pump rebate range |
|---|---|
| PG&E | $1,000-$3,000 |
| SCE (Southern California Edison) | $500-$2,500 |
| SDG&E | $500-$2,000 |
| LADWP | $500-$1,500 |
| SMUD (Sacramento) | $1,000-$3,000 |
Amounts depend on equipment efficiency and whether you’re replacing fossil fuel.
Local programs
Some cities and counties layer additional rebates on top. Berkeley, San Francisco, San Jose, and Marin County have local incentive programs through 2026.
Income limits
80% AMI for a 4-person Bay Area household runs approximately $135,000-$155,000 (high cost of living adjusts AMI upward). Lower in Central Valley and Inland Empire.
Look up specific income limits at the TECH Clean California portal.
How to apply
- Use TECH Clean California’s qualified contractor finder.
- Pre-apply for HEEHRA (income-tiered program requires pre-approval).
- Install with the approved contractor.
- Utility rebates submitted post-install (often handled by contractor).
Realistic example
San Jose home replacing 18-year-old gas furnace with cold-climate heat pump:
- Equipment + install: $16,000
- HEEHRA at 80-150% AMI: $4,000
- PG&E utility rebate: $2,000
- Local Bay Area program: $500
- Net cost: $9,500
What to do next
Use the TECH Clean California portal to find contractors and pre-apply for HEEHRA.
For broader context, see the 2026 heat pump rebate guide.
- HEEHRA $4,000-$8,000 + utility $500-$3,000 + local programs.
- TECH Clean California is the primary state portal.
- Major utilities (PG&E, SCE, SDG&E, LADWP, SMUD) all participate.
- Strongest local layering in Bay Area and LA.