North Carolina headline: Up to $9,000 in combined heat pump rebates for income-qualified NC homeowners (under 150% AMI) by stacking Energy Saver NC ($8,000) plus Duke Energy ($500-$1,000). For homeowners above 150% AMI, the rebate stack is Duke Energy only ($500-$1,000). Federal 25C credit for heat pumps expired for installs after December 31, 2025.
Active programs
Energy Saver NC (state HEEHRA)
Energy Saver NC is the state-administered Inflation Reduction Act rebate program, run by the NC Department of Environmental Quality.1 The program is live statewide as of mid-2026, with no waitlist.
| Equipment | HEAR rebate (income-tier dependent) |
|---|---|
| ENERGY STAR Most Efficient ducted heat pump | Up to $8,000 (under 80% AMI) |
| Same equipment, 80-150% AMI | Up to $4,000 (50% of cost) |
| Cold-climate ductless mini-split | Up to $8,000 (whole-home swap) |
| Heat pump water heater | Up to $1,750 |
| Whole-home HOMES rebate (income-eligible) | Up to $16,000 |
Eligibility: ENERGY STAR Most Efficient or NEEP cold-climate listed equipment, refrigerant with global warming potential 700 or lower (R-454B or R-32 per the EPA Technology Transition Rule, effective January 1, 2026).7
Duke Energy (Carolinas + Progress)
Duke Energy operates two NC subsidiaries (Duke Energy Carolinas covering the western half, Duke Energy Progress covering the eastern half). Both run the same rebate structure.2
| Equipment | Duke rebate |
|---|---|
| Air-source heat pump (15 SEER2 or higher) | $500 to $1,000 |
| Heat pump water heater (50+ gallon, ENERGY STAR) | $500 to $800 |
| Whole-home weatherization (Smart $aver program) | Bundled |
Eligibility: residential customer (Duke Energy Carolinas or Progress account), licensed NC contractor enrolled as a Duke Trade Ally, equipment on AHRI directory.
No income test. Stackable with Energy Saver NC.
Dominion Energy NC (limited program)
Dominion Energy serves a small portion of northeastern NC (Outer Banks, Elizabeth City, parts of Currituck and Camden counties). The rebate program is more limited than Duke’s.4
| Equipment | Dominion NC rebate |
|---|---|
| Air-source heat pump | Not offered |
| Heat pump water heater (40-59 gallon, ENERGY STAR) | $250 |
| Heat pump water heater (60+ gallon, ENERGY STAR) | $400 |
For air-source heat pumps in Dominion territory, only Energy Saver NC applies (subject to income eligibility).
Income limits (2026)
Energy Saver NC uses HUD Area Median Income (AMI) at the county level.8
Approximate 80% AMI thresholds for a family of 4:
| County / region | 80% AMI (family of 4) |
|---|---|
| Wake County (Raleigh) | ~$77,000 |
| Mecklenburg County (Charlotte) | ~$74,000 |
| Durham County | ~$76,000 |
| Buncombe County (Asheville) | ~$56,000 |
| Cumberland County (Fayetteville) | ~$50,000 |
| Rural NC counties | ~$48,000 to $52,000 |
The 150% AMI threshold is roughly 1.875× these numbers. Households above 150% AMI are not eligible for Energy Saver NC HEEHRA but can still claim Duke Energy rebates without an income test.
For senior households on Social Security only, AMI eligibility is usually clean: median Social Security retirement benefit is about $1,900/month per person, putting most retired couples well below 80% AMI in any NC county.
Federal layer (2026)
The federal 25C Energy Efficient Home Improvement Credit, which paid up to $2,000 for heat pump installs in prior years, expired for installs after December 31, 2025.5
What remains in 2026:
- 25D Residential Clean Energy Credit: 30% of solar installation cost through 2034. Applies if pairing the heat pump install with solar.6
- 25C credit on insulation, electrical panel upgrades, audits: still active for these specific categories at smaller dollar caps. Heat pumps are excluded.
For a fuller breakdown of the federal landscape, see 25C expired 2026.
Senior-specific stack scenarios
Scenario A: Charlotte household, retired couple, 78% AMI
- Energy Saver NC HEAR (under 80% AMI): $8,000
- Duke Energy Carolinas heat pump rebate: $1,000
- Total stack: $9,000
For a typical $14,000-$18,000 install (3-ton ducted heat pump, basic install), out-of-pocket lands at $5,000-$9,000.
Scenario B: Raleigh household, household income $90,000 (about 117% AMI)
- Energy Saver NC HEAR (80-150% AMI tier, 50% rebate): up to $4,000
- Duke Energy Progress heat pump rebate: $1,000
- Total stack: ~$5,000
For a $16,000 install, out-of-pocket lands around $11,000.
Scenario C: Outer Banks household (Dominion territory), household income $130,000 (above 150% AMI)
- Energy Saver NC HEAR: not eligible
- Dominion air-source heat pump rebate: not offered
- Total stack: $0
In this case, plan for full out-of-pocket. The 25D credit (30% of solar cost) is still worth pursuing if pairing with solar.
Scenario D: Post-Helene replacement, Asheville-area, insurance-paid
If the heat pump is being replaced because of Hurricane Helene damage and insurance is covering most of the cost: the rebate is still claimable, but the rebate dollar amount counts as reimbursement and may reduce the insurance settlement on a dollar-for-dollar basis. Talk to your tax preparer and your insurance adjuster before submitting both claims.
For broader hurricane recovery planning, see Hurricane prep for aging-in-place seniors.
How to apply (NC-specific workflow)
The 6-step process for an NC homeowner from quote to rebate payment:
- Verify your county AMI at huduser.gov. Compare against your most recent tax return AGI.
- Get three quotes from licensed NC contractors verified at nclicensing.org. Each quote must itemize equipment, labor, expected rebates by program, and net out-of-pocket.
- Confirm contractor is enrolled in both programs (Energy Saver NC enrollment + Duke Energy Trade Ally status). A contractor who is not enrolled cannot submit your rebate paperwork.
- Submit Energy Saver NC reservation before installation at energysavernc.com. Approval typically takes 5 to 10 business days. Starting work before approval forfeits the rebate.
- Install equipment with refrigerant compliant with EPA Technology Transition Rule (R-454B or R-32). Get the AHRI certificate.
- Submit Duke Energy rebate after installation at duke-energy.com. Payment arrives 8 to 12 weeks after submission.
Common contractor red flags in NC
After Hurricane Helene, NC saw an influx of out-of-state contractors. Specific red flags:
- Door-to-door pitches: legitimate contractors do not cold-call.
- “Guaranteed” Energy Saver NC approval: not possible; the program does case-by-case eligibility checks.
- No NC license number on the quote: required by NC General Statute § 87-1.
- Pressure to start work before reservation approval: forfeits the state rebate.
- Refrigerant claims: any quote listing R-410A equipment for installs after January 1, 2026 disqualifies the rebate.
The NC Licensing Board for General Contractors lookup is at nclicensing.org. The NC Attorney General’s post-storm scam hotline is 1-877-5-NO-SCAM.
For the broader contractor-quote red-flag checklist, see walk-in tub quote red flags.
- Pull your county AMI from huduser.gov; compare to tax return AGI
- Confirm Duke Energy or Dominion is your utility (most NC = Duke)
- Get 3 contractor quotes with itemized rebates by program
- Verify contractor enrollment in both Energy Saver NC + Duke Trade Ally
- Submit Energy Saver NC reservation BEFORE installation begins
What’s next
- For the federal 2026 landscape: Heat pump rebates 2026 (federal)
- For the post-25C federal picture: IRA 25C expired 2026
- For cold-climate equipment selection: Cold-climate heat pumps
- For NC-specific senior programs (Medicaid, HCBS waivers): Senior programs by state
- For the cost calculation including all stacks: Heat pump cost calculator
Other state pages worth checking if you have family in multiple states: Massachusetts, California (waitlist).
Citations
- Energy Saver NC: HEAR and HOMES Rebate Programs. North Carolina Department of Environmental Quality, retrieved May 2, 2026. energysavernc.com.
- HVAC Rebate Program (Heat Pump Replacement). Duke Energy, retrieved May 2, 2026. duke-energy.com/hvac-replacement.
- Heat Pump Water Heater Rebates (Duke Energy). Duke Energy, retrieved May 2, 2026. duke-energy.com/heat-pump-water-heater.
- Save Energy and Money: Rebates (NC). Dominion Energy, retrieved May 2, 2026. dominionenergy.com.
- Energy Efficient Home Improvement Credit (25C). U.S. Internal Revenue Service. irs.gov.
- Residential Clean Energy Credit (25D, Form 5695). U.S. Internal Revenue Service. irs.gov.
- Technology Transitions: Restrictions on Use of Certain HFCs. U.S. Environmental Protection Agency. epa.gov.
- Income Limits Documentation System. U.S. Department of Housing and Urban Development, April 2026. huduser.gov.