This program is currently under development by the United States Department of Energy (DOE). Once DOE has developed its guidelines, the CEC will receive funds to implement the programs. To receive additional information on program development, please subscribe to the State and Local Spotlight newsletter for updates from the DOE Office of State and Community Energy Programs and the CEC list serve for Federal IRA Residential Incentives in the subscription box on this web page.
The federal Inflation Reduction Act includes two residential energy rebate programs and funding for contractor training grants related to these programs. More than $582 million is anticipated to be allocated to California for the whole-house Homeowner Managing Energy Savings (HOMES) rebate program and point-of-sale High-Efficiency Electric Home Rebate (HEEHRA) program.
The DOE is developing program guidelines. Additional information is available from the DOE Office of State and Community Energy Programs. The CEC will hold workshops to seek input on program development in 2023. The CEC expects rebates will become available in 2024. Until the DOE issues guidance to states, the CEC will not have California-specific information to share; however, the CEC is open to receiving written input through the docket.
- The HOMES program will provide performance-based rebates for whole-house energy saving retrofits. The amount of the rebate varies by the amount of energy savings. For eligible LMI households, the rebate level is higher.
- The HEEHRA program will provide point-of-sale rebates for qualified electrification projects in LMI households. Example projects include the purchase and installation of electric heat pumps and electric stoves certified by the Energy Star program.
A total of $200 million will be available nationwide for state-based home energy efficiency contractor training grants. Information on state-by-state allocation amounts for contractor training grants is expected soon.
- About $292 million to be allocated for California.
- Performance-based rebates for whole-house energy efficiency upgrades for single-family homes and multifamily buildings.
- Up to $8,000 ($400,000 for a multifamily building) depending on energy savings and household income.
- Eligible applicants: homeowners or aggregators.
- About $290 million to be allocated for California.
- Point-of-sale rebates for purchase and installation of qualified Energy Star appliances such as electric heat pumps for space heating and cooling. Includes rebates for panel upgrades, wiring, and insulation.
- Up to $14,000.
- Limited to households below 150% of area median income.
- Eligible applicants:
- Low- or moderate-income (LMI) households.
- Owners of eligible LMI multifamily buildings.
- Governmental, commercial, or nonprofit entity carrying out a project for an eligible household or an owner of an eligible multifamily building.
- Funding: $200 million nationwide.
- Training and education to contractors involved in the installation of home energy efficiency and electrification improvements to support the HOMES and HEEHRA program mission.
- Funds may be used to
- Reduce the cost of training contractor employees.
- Provide testing and certification of contractors involved in the installation of home energy efficiency and electrification improvements.
- Partner with nonprofit organizations to develop and implement applicable contractor training.
- 2022 (December): U.S. DOE issued a Request for Information for Contractor Training
- 2023 (January): U.S. DOE issued a Request for Information for HOMES and HEEHRA
- 2023 (Q1/Q2/Q3): CEC workshops & program development
- 2023 (Spring): Guidance and funding available to States and Tribes for Contractor Training
- 2023 (Summer): Guidance and funding available to States and Tribes for Rebates
- 2024: Programs launched; rebates available to the public
