Monday to Friday: 7AM - 7PM
Saturday & Sunday : 9AM - 1PM
The Denver Climate Action Rebates program includes multiple measures to help Denver homeowners electrify their home. Homeowners can save up to $8,000 on a heat pump system with Denver CARe and other incentives available. Rebate measures for 2024 are listed below.
UniColorado is proud to be a top participant in this historical program.
Eligible Equipment & Rebates | Rebate Amount | Efficiency Required | Use Case | Price Range (Before Rebates) |
---|---|---|---|---|
Air Source Heat Pump (ASHP) | $1,500 | 15.2 SEER2, 11.7 EER2, 7.8 HSPF2+ | House w/ ductwork or existing forced-air system | $11,500 - $17,200 before rebates |
Cold Climate Air Source Heat Pump (ccASHP) | $3,500 | 15.2 SEER2, 10.0 EER2, 8.1 HSPF2 & 70%+ Cold Heat | House w/ ductwork or existing forced-air system | $15,100 - $25,400 before rebates |
MiniSplit Heat Pump (MSHP) | $1,500 | 15.2 SEER2, 11.5 EER2, 7.8 HSPF2 | No ductwork | $6,100 & up depending on # of zones before rebates |
Cold-Climate MiniSplit Heat Pump (ccMSHP) | $3,500 | 16.0 SEER2, 9.0 EER2, 9.5 HSPF2 & 70%+ Cold Heat | No ductwork | $6,700 & up depending on # of zones before rebates |
Electrical Service Upgrade if needed for ASHP or Mini | $2,000 | Licensed Electrician (Provided by UniColorado) | Electrical work for Heat Pump | $450 - $6,000 before rebates |
EV Charger | $200 | Energy Star Level 2 Certified | Electric Vehicle Charging | $1,000 - $1,500 before rebates |
Heat Pump Water Heater | $1,000 - $1,750 | Energy Star Certified | Water Heater Replacement | $5,400 - $7,500 before rebates |
Solar | $4,000 | Previous heat pump or EV rebate recipients only | Solar PV | $10,400 - $30,500 before rebates |
Battery Storage | $500 - $2,750 | High rebate for previous heat pump or EV rebate recipients only | Energy Storage | $15,400 - $27,200 before rebates |
The Denver Climate Action Rebate Program (CARe) is an initivative by the City & County of Denver to encourage homeowners to electrify their home.
You can:
at a substantially reduced cost.
UniColorado does all the rebate paperwork for our customers. You’ll be required to sign a few forms via eSignature (takes a few minutes), but that’s the extent of forms you’ll need to do.
Single family, duplex and townhome (as well as renter occupied) properties located in the City & County of Denver. You must have an active Xcel Gas & Electric account at the property.
The eligible rebate amount is applied as a discount by the contractor on eligible installations at the time of purchase.
The Xcel Energy Rebate is provided to UniColorado customers upfront as a discount. The rebate will be assigned to us.
For a free online heat pump pricing calculator, click here.
For air source heat pumps, our Denver customers spent an average of $10,900 – $15,800 in fourth quarter of 2023.
For MiniSplit heat pumps, our customers spent an average of $3,500 – $26,200 in fourth quarter of 2023.
The rebates help reduce the overall the cost of the project and incentives for heat pumps are currently at an all time high.
No. The property must be located in the City & County of Denver.
An Air Conditioning unit only provides cooling function in the summer. A Heat pump unit provides cooling in the summer and electric heating in the winter.
We do.
MiniSplit systems (for ductless setups) are fully electric; For traditional systems with duct work, we offer furnace electrification services.
We provide free estimates on replacement or installation of new heatpump systems.
Xcel’s Rebates are discounted up front by UniColorado to the customer. The customer assigns the Xcel rebate to us through an eSignature.
Terms are set by Xcel Energy & subject to change. Table shows simplified information for 2024. For full terms, click below.
System Type | 2024 Xcel Rebate |
---|---|
Air Source Heat pump | $1,700 |
Cold Climate Air Source Heat pump | $2,200 |
MiniSplit Heat pump | $1,700 |
Cold-Climate MiniSplit Heat pump | $2,200 |
The Inflation Reduction Act offers two incentives for heat pumps: the 25C Tax Credit incentive and HEEHRA Rebates (The High-Efficiency Electric Home Rebate Act).
The Federal 25C Tax Credit provides homeowners with savings on qualifying heat pumps and electrical panel upgrades. Deduct 30% of the costs, up to $2,000 for heat pumps and $600 for electrical panel upgrades, from your federal taxes annually.
Most homeowners are expected to be eligible for the 25C tax credit incentives, while HEEHRA is designed for low-income households. Eligibility requirements for HEEHRA have not yet been fully announced.
For the most up-to-date information on tax credit eligibility and rules, visit the IRS website or consult a tax professional.
Incentive | Available | Benefit | Description | Restriction |
---|---|---|---|---|
25C Tax Credit | ✅ | Up to $2,000 | A tax credit that reduces tax liability | Must have tax liability to offset |
HEEHRA Rebates | ❌ | Up to $8,000 | An income restricted rebate that is not available yet | Heavily income restricted |
At UniColorado, we’ve been the go-to heat pump pros in Denver for over a decade. With thousands of installations under our belt and unmatched practical knowledge, we’re the experts you can trust for all your heat pump needs. Whether you’re upgrading your existing HVAC or going all-electric, our top-notch service and quick turnaround times make switching to a greener, more efficient home a breeze. As Denver’s most experienced heat pump contractor, we’ve got the skills and know-how to take your comfort and sustainability to the next level. Ready to make the switch?
A heat pump is a HVAC unit that provides both electric heating and central air conditioning for your home. The heat pump is the outdoor component of the system, working to transfer heat either into or out of your living space, depending on the season.
In a ducted system, the heat pump is connected to an indoor furnace or air handler, which distributes the conditioned air through a network of ducts to the various rooms in your home.
For ductless systems, also known as mini-splits, the heat pump is linked to individual indoor units mounted on walls or ceilings in each room. These units deliver heated or cooled air directly to the space they serve, without the need for ductwork.
Ducted vs. Ductless:
Dual Fuel vs. Fully Electric:
High Efficiency vs. Cold Climate:
Regardless of the type of heat pump you choose, you’ll also benefit from central air conditioning, which is included with all heat pump systems.
Ducted Air Source Heat Pump Costs
In 2023, most of our customers spent around $11,500 to $18,800 to install a ducted air source heat pump system* before rebates. The total cost can vary widely depending on the property and the customer’s specific needs.
It’s important to note that most ducted air source heat pump units require a new or compatible furnace to function at high efficiency. We do not recommend installing an air source heat pump on an old furnace. However, if your furnace is less than 5 years old, it may be compatible with an air source heat pump system.
Ductless Mini-Split Heat Pump Costs
In 2023, most of our customers spent around $11,700 to $24,700 to install a multi-zone mini-split heat pump system before rebates. The total cost can vary significantly based on the number of zones, the complexity of the installation, and the customer’s specific requirements. On average, Denver mini-split heat pump installation costs range from $9,500 to $22,500, which typically includes the installation of an outdoor heat pump condenser, indoor wall-mounted units, materials, labor, and tax.
System Type | Cost range before incentives |
---|---|
Air Source Heat pump | $8,800 - $17,500 |
Cold Climate Air Source Heat pump | $10,200 - $24,500 |
MiniSplit Heat pump | $5,500 - $22,800 |
Cold-Climate MiniSplit Heat pump | $5,800 - $27,100 |
Denver Heat Pump Rebates are part of the Denver Climate Action Rebates (CARe) program, which aims to reduce the city’s carbon footprint by encouraging homeowners to install energy-efficient heat pump systems. The rebates, which can be up to $8,000 for air source heat pumps and mini-split systems, help offset the upfront costs of installation, making it more affordable for homeowners to transition away from gas-powered heating and cooling systems. To qualify, homeowners must work with a participating contractor, such as UniColorado, who can guide them through the application process and ensure that the installed system meets all eligibility requirements.
The Denver Climate Action Rebate (CARe) Program is an initiative launched by the City and County of Denver in 2021 to encourage residents to make energy-efficient upgrades to their homes. The program is funded by a 0.25% sales tax increase approved by Denver voters in 2020, which is dedicated to financing climate action projects.
CARe offers rebates for various home improvements, including insulation, air sealing, electric water heaters, solar panels, and heat pump systems. The program aims to reduce greenhouse gas emissions, improve energy efficiency, and help homeowners save money on utility bills.
Since its inception, the CARe program has helped numerous Denver residents make their homes more sustainable and energy-efficient. The program has been successful in promoting the adoption of clean energy solutions and contributing to Denver’s goal of reducing its carbon footprint.
However, the CARe program is scheduled to end in 2024, so homeowners interested in taking advantage of these rebates should act soon. By working with a participating contractor like UniColorado, homeowners can navigate the rebate application process and ensure they receive the maximum available incentives before the program expires.
Denver CARe Rebates are available to homeowners and property owners within the City and County of Denver. To be eligible for the rebates, the following criteria must be met:
1. Property Location: The property must be located within the City and County of Denver boundaries.
2. Property Type: The property can be a single-family home, duplex, townhome, or multi-family building (up to 4 units).
3. Homeownership: The applicant must be the property owner or have the property owner’s permission to make the upgrades. Renters may be eligible if they have the property owner’s consent.
4. Contractor Selection: The upgrades must be completed by a participating contractor, such as UniColorado, who is registered with the CARe program.
5. Equipment Eligibility: The installed equipment, such as heat pumps, insulation, or solar panels, must meet the program’s efficiency and eligibility requirements.
6. Application Timeframe: The rebate application must be submitted within 90 days of the installation completion date.
Income-qualified homeowners may be eligible for additional rebates and assistance through the Denver Homes Renewable Rebates (DHRR) program, which is designed to help lower-income households access the benefits of energy-efficient upgrades.
It’s important to note that rebate funds are limited and available on a first-come, first-served basis. Homeowners should work with their participating contractor to ensure they meet all eligibility requirements and submit their applications in a timely manner.
The Denver Climate Action Rebate (CARe) Program is currently scheduled to end on December 31, 2024. This means that homeowners and property owners in Denver have until the end of 2024 to complete eligible energy-efficient upgrades and apply for the available rebates.
It’s crucial for homeowners who are considering making energy-efficient improvements to their homes to start planning and taking action soon to ensure they can take full advantage of the CARe program before it expires. The process of selecting a contractor, obtaining necessary permits, and completing the upgrades can take some time, so it’s advisable not to wait until the last minute.
Additionally, rebate funds are limited and distributed on a first-come, first-served basis. As the program deadline approaches, there may be an increased demand for rebates, which could lead to funds being depleted more quickly.
To ensure a smooth process and secure the maximum available rebates, homeowners should work closely with a participating contractor like UniColorado. These contractors are well-versed in the CARe program requirements and can help guide homeowners through the application process, ensuring that all eligibility criteria are met and the necessary documentation is submitted in a timely manner.
While there is a possibility that the CARe program could be extended or renewed beyond 2024, homeowners should not rely on this possibility and should instead focus on taking advantage of the current program before its scheduled end date.
The Denver mini-split heat pump rebate offers an upfront discount of either $1,500 or $3,500, depending on the system’s efficiency rating. To qualify for the $1,500 rebate, the mini-split must have a SEER rating of at least 16 and an HSPF rating of at least 9.0. For the $3,500 rebate, the system must have a SEER rating of at least 18 and an HSPF rating of at least 10.0. The rebate is applied directly to the installation cost by the participating contractor, such as UniColorado.
Yes, it is possible that you may not receive the Denver CARe rebate, even if you have completed eligible upgrades. Reasons for this include:
1. Funds being exhausted before your application is processed
2. Not meeting all eligibility criteria
3. Errors or omissions in your application
4. Missing the 90-day deadline for submitting the application after installation
5. Potential program changes or cancellation
To minimize the risk of not receiving the rebate, work with an experienced contractor like UniColorado, who can help ensure you meet all requirements and submit a complete, accurate, and timely application.
If you planned on upgrading your HVAC system to something more efficient and comfortable, heat pumps are a great choice. Heat pump units will increase your comfort due to the way they’re designed and reduce your bills over time. Heat pumps can also bring certain features like invert-driven compressors that reduce noise in the outdoor unit.
Based of our empirical & anecdotal findings in the field, most heat pumps systems typically reduce energy use by around 10-15% over time when compared to a conventional system. In the lab settings, efficiency gains may be as high as 30%.
We’re happy to provide a free estimate to see if heat pumps are a good fit for your project and budget. Click here to schedule.
About UniColorado
Blog
Services
Service Areas
Testimonials
FAQs