At Cool Air Solutions, we’re committed to helping our customers in Murrieta, Riverside County, and surrounding areas save money while improving home comfort and efficiency. As of August 2025, there are several federal, state, and local incentives available for qualifying HVAC installations, heat pumps, water heaters, insulation, and more. These can significantly reduce your upfront costs through tax credits, rebates, and instant discounts. Note that incentives vary by location, utility provider, income level, and specific equipment—always verify eligibility with us or the program administrator. Programs are subject to change, funding availability, and may require working with certified contractors like us.
For personalized guidance, call us at 888-659-COOL or schedule a free consultation today. We’ll handle the paperwork and ensure you maximize your savings!
Disclaimer: Tax credits require IRS Form 5695 and consultation with a tax professional. Rebates may have limited funds and expiration dates. All details below are current as of August 7, 2025, based on official sources.
Federal Tax Credits (Energy Efficient Home Improvement Credit – 25C) Now ending this year (2025)
Under the Inflation Reduction Act, homeowners can claim up to 30% of qualified costs (annual cap of $3,200) for energy-efficient improvements installed after January 1, 2023, now through December 31, 2025 (changed with the recent bill passed). Heat pumps and heat pump water heaters have a separate $2,000 limit, while other items fall under a $1,200 cap (with sub-limits like $600 per item for certain equipment). No lifetime limit applies post-2022.
For all others “Only while funds are available”
- Converting Gas to All-Electric/Dual Fuel (e.g., Heat Pumps): Up to $2,000.
- Insulation: Up to $1,200.
- Heat Pump Water Heater: Up to $2,000.
- +90% Efficient Gas Furnace: Up to $600.
- Variable Speed AC (Non-Heat Pump): Up to $600.
Eligibility: Improvements must meet ENERGY STAR standards and be installed in your primary residence. Claim on your federal tax return using IRS Form 5695. More details at irs.gov.
State Incentives: TECH Clean California
This statewide program offers rebates for switching to efficient, low-emission systems like heat pumps. Must use a TECH-enrolled contractor (like Cool Air Solutions) and enroll in demand response. Rebates are layerable where noted and available for retrofits (not new construction). Programs are active but subject to funding—act now!
Heat Pump Water Heaters (HPWH) – Residential Unitary (Single Family)
- Rebate Amounts: $1,100–$5,700 per unit (base: $1,100–$3,500 based on utility region and income; +$700 for 55+ gallons; +$1,500 for low-GWP refrigerant).
- Eligibility: Electricity from qualifying SoCal utilities; income-qualified for higher base (check at tech-incomeportal.com). Layerable incentives.
- Requirements: TECH-enrolled contractor; see full details at switchison.org.
Single Family HVAC (Heat Pumps)
Rebate Amounts: $1,000–$4,000 per unit (market rate: $1,000–$1,500; +$2,500 for income-qualified, below 80% AMI or 250% FPL).
- Eligibility: Conditional income (check tech-incomeportal.com); ENERGY STAR 2-stage/variable capacity systems.
- Requirements: Non-heat pump to heat pump retrofit; demand response; qualified products at products.switchison.org/heat-pumps.
- Details: switchison.org.
Local Utility Rebates
Incentives depend on your utility provider. We serve areas under Southern California Edison (SCE), Riverside Public Utilities (RPU), Moreno Valley Utility (MVU), and others. Contact us to confirm your eligibility.
Riverside Public Utilities (RPU) – For City of Riverside
- Electric Heat Pump Air Conditioners: $750 per ton (SEER 15.2+).
- Air Conditioning Units: $150 per ton (SEER 15.2–15.9); $250 per ton (SEER 16+).
- HVAC Tune-Ups: $25 (includes refrigerant check).
- Requirements: New systems; AHRI-listed; submit application within 90 days. Download form at riversideca.gov.
Moreno Valley Utility (MVU) – For City of Moreno ValleyUnder the GREEN MoVal program, up to $4,000 per household for energy-saving upgrades including high-efficiency AC, heat pumps, and related items (e.g., Central AC/Heat Pump Replacement, Tune-Ups).
- Heat Pump Water Heaters: $120–$140 per unit.
- Ducted Heat Pumps (Central HVAC): $140–$160 per ton.
- Eligibility: MVU customers; specific by rate class. Contact MVU at 844-341-6469 or visit moval.gov/mvu for applications. Rebates limited and may end without notice.