(408) 978-3093

SJCE EcoHome Rebate for Heat Pumps in San Jose (2026)

If San José Clean Energy (SJCE) supplies your San Jose home's electricity, the EcoHome Rebate, open as of October 27, 2026, pays $1,500 ($2,500 income-qualified) for a heat pump that replaces a gas furnace and $2,500 ($3,500 income-qualified) for a heat pump water heater that replaces a gas one. Below are the rules and what we provide.

  • Google 4.9130+ reviews
  • Licensed C-36 · C-20 · ACSLB License #1101278
  • 1-year labor warranty24/7 service since 1986
Call (408) 978-3093See prices
New Goodman heat pump air handler installed in a closet in San Jose

Get a Free Estimate

Takes about 30 seconds. No obligation.

What do you need help with?

Google 4.9 · 130+ reviews · CSLB #1101278 · BBB A+

Or call (408) 978-3093, 24/7, or book a time online.

By submitting, you agree we may call or text this number, including automated messages, about your request. Msg & data rates may apply. Reply STOP to opt out. Privacy policy

What the EcoHome Rebate Pays For

Amounts as of October 2026, standard and income-qualified, from SJCE's EcoHome Rebate page. SJCE can change them at any time.

  • Heat pump HVAC

    $1,500, or $2,500 income-qualified, for a ducted heat pump or ductless mini-split that replaces a gas furnace. See heat pump installation.

  • Heat pump water heater

    $2,500, or $3,500 income-qualified, for a heat pump water heater of 40 gallons or more that replaces a gas water heater. See heat pump water heaters.

  • Electrical panel upgrade

    $1,000, or $2,000 income-qualified, when a panel under 200 amps is upgraded to at least 200 amps alongside a heat pump.

  • Circuit prewiring

    $500 each, or $750 income-qualified, for a new EV, dryer or cooking circuit, and $250 for a circuit pauser or splitter, alongside a heat pump.

  • Attic insulation

    $0.75 a square foot, up to $700 (or $1,000 income-qualified), when it's installed with heat pump HVAC.

  • 0% EcoHome Payment Plan

    Up to $5,000 at 0% APR, repaid on your PG&E bill. It's only available through contractors SJCE has enrolled for the Payment Plan.

Will You Qualify?

The main conditions in SJCE's Applicant Agreement and FAQ.

Get a free estimate
  • Your home is in San Jose

    The installation address must be in the City of San Jose, on an active SJCE residential account with no overdue balance.

  • The PG&E account holder applies

    The primary account holder must apply. Renters can, with the owner's signed approval.

  • You're replacing gas equipment

    The gas furnace or water heater must be removed and the gas line capped. Replacing electric heat doesn't qualify.

  • You reserve before installing

    Don't start work until SJCE gives you a reservation number.

  • The equipment meets SJCE's specs

    New equipment only, at the efficiency levels SJCE lists, with a finaled permit.

  • Income-qualified tier

    Enrollment in CARE, FERA, SJ Cares or a listed assistance program, or income limits in qualifying census tracts, unlock the higher amounts.

SJCE EcoHome Rebate at a Glance (October 2026)

These are SJCE’s amounts as of October 2026, from the EcoHome Rebate page and its equipment specifications (updated July 1, 2026). “Income-qualified” is what SJCE calls the Environmental Justice Community (EJC) tier.

Measure Standard Income-qualified Limits
Heat pump HVAC replacing a gas furnace $1,500 $2,500 SEER2 16+ (SEER 17+) or inverter; ducted or ductless; no dual-fuel
Heat pump water heater replacing gas $2,500 $3,500 40 gallons or more, UEF 3.3+, mixing valve; no tankless
Electrical panel upgrade (add-on) $1,000 $2,000 Existing panel under 200 A, upgraded to 200 A or more
Attic insulation (add-on, with heat pump HVAC) $0.75/sq ft, up to $700 $0.75/sq ft, up to $1,000 R-22 or better
EV circuit prewiring (add-on) $500 $750 240 V / 40 A
Dryer circuit prewiring (add-on) $500 $750 Within 4 ft of the gas dryer
Cooking circuit prewiring (add-on) $500 $750 Within 4 ft of the gas range; one per home
Circuit pauser or splitter (add-on) $250 $250

A limited-time $500 bonus on heat pump water heaters ran September 1 to October 31, 2026; ask SJCE how it applies to your reservation. Add-ons need a heat pump or heat pump water heater installed at the same time. An air-to-water heat pump that also cools can earn both core rebates.

You’re income-qualified if you’re enrolled in SJ Cares, CARE or FERA (SJCE checks automatically), or in a listed program such as CalFresh, WIC, SSI, LIHEAP or Section 8 housing. Households in qualifying census tracts can also qualify by income, up to $246,600 for a family of four.

Rules That Trip People Up

  • Reserve first. Installing before you have a reservation number can cost you the rebate. Emergency replacements need an email OK from SJCE staff before you apply.
  • It has to replace gas. The gas furnace or water heater comes out and the gas line is capped. Swapping electric baseboard or an old electric water heater doesn’t qualify, and neither does new construction without gas.
  • The right person applies. It must be the primary PG&E account holder, not a spouse or roommate listed as an authorized user.
  • The permit must be finaled before SJCE pays. For heat pump HVAC, SJCE notes that a HERS test is part of passing final inspection.
  • One per appliance type, and only if SJCE has never rebated that equipment at your home before.
  • What’s not covered: a standalone air conditioner, a gas furnace, duct sealing or a smart thermostat.

The EcoHome 0% Payment Plan

SJCE’s EcoHome Payment Plan is a pilot that lends up to $5,000 per household at 0% APR, with no fees, no credit check and no money down, repaid over 2, 3 or 5 years on your PG&E bill. Your rebate reduces the amount financed. The balance is due if you sell, move or leave SJCE.

The catch: the Payment Plan only works through a contractor SJCE has enrolled for it, and that contractor does all the work and submits the claim. Check SJCE’s list of enrolled contractors if you want that route. If you’d rather finance an installation with us, see our 0% financing for 12 months.

Stacking With Other Rebates

SJCE says EcoHome stacks with federal and state incentives, but the total from every program can’t exceed your equipment and installation cost. In practice, little else is open in late 2026:

  • The federal 25C tax credit ended for equipment installed after December 31, 2025.
  • TECH Clean California’s single-family heat pump incentives have been reserved since November 14, 2025, and HEEHRA single-family rebates since February 24, 2026 (waitlist only). See California heat pump rebates.
  • BayREN’s EASE Home program uses its own partner contractors.

How to Apply

  1. Get a quote for qualifying equipment and photograph what you have now.
  2. Apply online at SJCE and wait for your reservation number.
  3. Install within 120 days. You can ask SJCE for an extension, but funds aren’t guaranteed.
  4. After the permit is finaled, submit the itemized invoice, photos, and make, model and cost. SJCE pays by PayPal, Venmo or check, or pays your contractor if you ask it to.

Questions go to SJCE at SJCEPrograms@smud.org or 1-844-933-6662. SJCE’s free Go Electric Advisor can also help.

Sources

Checked October 27, 2026.

What a Heat Pump Costs Before the Rebate

Typical installed prices in San Jose, before any rebate. Every job is quoted as a fixed price before we start.

Typical SJCE ecohome rebate prices in San Jose, installed, in US dollars. Checked October 2026.
ServiceTypical San Jose price (USD)
Ducted heat pump system$8,000–$25,000
Ductless mini-split, single zone$3,000–$8,000
Ductless mini-split, multi-zone$9,000–$15,000
Heat pump water heater$2,500–$6,000+
Inspection feeWaived for service plan members$59

What affects the price

  • What you're replacing. EcoHome only pays when the heat pump replaces gas equipment.
  • Income tier. Income-qualified households get $1,000 more on each heat pump.
  • Electrical work. A panel upgrade or new circuits add cost, and earn add-on rebates.
  • The cap. Rebates can't exceed what the project costs.

Most repairs are quoted as a fixed price before we start. Ranges are typical for San Jose and the South Bay and don't include current specials.

Read the heat pump installation cost guide →

How to Claim the EcoHome Rebate With CPI

  1. Check eligibility

    We confirm you're in San Jose, on SJCE, and replacing gas equipment, and photograph the existing unit for your application.

  2. Quote qualifying equipment

    A written, fixed-price quote for equipment that meets SJCE's specifications, with model numbers.

  3. You reserve

    You apply to SJCE and wait for your reservation number. You then have 120 days to install.

  4. Install and permit

    We install, remove the gas appliance, cap the gas line, pull the permit and see it through final inspection, including the HERS test.

  5. Submit your claim

    We give you the itemized invoice, model numbers, photos and finaled permit SJCE asks for. You submit the claim.

EcoHome in San Jose

Territory facts as of October 2026.

  • San Jose only

    SJCE serves the City of San Jose. Nearby cities use SVCE Home Rebates; the City of Santa Clara uses Silicon Valley Power.

  • Check your PG&E bill

    PG&E still delivers your power and sends the bill; the bill names SJCE as your generation provider.

  • Stay with SJCE

    You agree not to opt out of SJCE for two years and to keep the equipment in place for five.

  • Gas water heater rule

    Air District Rule 9-6's adopted January 1, 2027 date for small gas water heaters applies at replacement, never to working units. A November 4, 2026 Board vote may change it.

Neighborhoods we serve: Downtown San Jose · Willow Glen · East San Jose · South San Jose · Evergreen · Cambrian Park · West San Jose · Berryessa · North San Jose · Blossom Valley

Current Specials

Save on your visit. Mention the offer when you book.

What Our Customers Say

Google 4.9 from 130+ reviews: read more →See photos of our work →

  • Our new heat pump system has just been installed and we are very pleased with CPI and the new equipment. We are especially grateful for the knowledgeable and hard-working technician Bunhak, who worked throughout our recent heatwave to finish the job. We would highly recommend CPI for any HVAC installation or maintenance.

    Linda G.Google review

  • CPI Service is a great company to use for HVAC too! Our A/C stopped working during the recent heatwave & another company wanted to replace our whole unit. Then we called CPI & they found it didn’t need to be replaced, they fixed it that day! I really appreciate a company that responds quickly, is very professional & reasonably priced!!! I’ll be using them for sure in the future.

    Jaycee V.Google review

  • CPI and Alex were extremely helpful when our local church’s water heater kept malfunctioning and needed replacing. From the initial diagnosis, explanation and recommendation of replacement, we always felt that our needs were being tailored to. Not only were they extremely kind, knowledgeable and professional, but they also were diligent and efficient during their time.

    We’re truly grateful for their excellent work and would highly recommend CPI to anyone in need of plumbing or heating services, especially for those in larger community buildings like churches like ours.

    Stephen S.Google review

SJCE EcoHome Rebate FAQs

Is the SJCE EcoHome Rebate still available?

Yes. As of October 27, 2026 it's open for heat pump HVAC and heat pump water heaters, first-come, first-served while funds last. Battery storage applications are closed. SJCE can change or end the program without notice.

How much is the SJCE heat pump rebate?

As of October 2026: $1,500 for heat pump HVAC replacing a gas furnace ($2,500 income-qualified) and $2,500 for a heat pump water heater replacing a gas one ($3,500 income-qualified), plus add-ons for panels, circuits and attic insulation.

Do I need approval before the work starts?

Yes. Apply with a photo of your existing equipment and don't install until you have a reservation number. For an emergency replacement, get an email OK from SJCE staff before you apply. The reservation lasts 120 days.

Do I need an SJCE-approved contractor?

Not for the rebate. Any contractor without a recent state labor violation can do the work, or you can install it yourself. The 0% Payment Plan is different: it must go through a contractor SJCE has enrolled for it.

Can renters get the EcoHome Rebate?

Yes, if the renter is the primary PG&E account holder and the owner signs SJCE's Property Owner Attestation of Approval.

Can I combine it with other rebates?

SJCE says it stacks with federal and state incentives, but the total can't exceed your project cost and you must disclose other rebates. The federal credit ended after 2025, and the state heat pump programs are reserved or waitlisted.

Helpful Guides

Serving San Jose and the South Bay

Our shop is at 2880 Aiello Dr in San Jose. We provide SJCE ecohome rebate across the city and nearby South Bay and Peninsula communities. See our full service area.

Content and prices reviewed October 2026.

Need SJCE ecohome rebate in San Jose? We're here 24/7.

Get a Free Estimate(408) 978-3093Book online