Save Money. Save Energy.
Great news for Arizona residents — this fall you may be eligible to take part in state-wide programs that could improve the energy efficiency of your home and potentially save you money on your utility bills!
The initiative is called EFFICIENCY ARIZONA and it’s offered by the Arizona Governor’s Office of Resiliency through The U.S. Department of Energy (DOE) Home Energy Rebates programs. These rebates are expected to save households across the United States millions of dollars annually.
What is Efficiency Arizona?
The Inflation Reduction Act, signed by President Biden on August 16, 2022, allocates millions of dollars to Arizona households to increase energy efficiency, promote clean energy and combat climate change through various initiatives, including the Home Efficiency Rebates Program (HOMES) and the Home Electrification and Appliance Rebates Program (HEAR) the State of Arizona will now be offering. The first phase of Efficiency Arizona will be an air-conditioning replacement program through Community Action Agencies across Arizona. Future phases will roll out in the next few months.
In Arizona, the Governor’s Office of Resiliency will manage the Efficiency Arizona Rebate Programs with a third-party implementer and will work closely with a wide array of local community based organizations, stakeholders, utilities and industry associations across the state. Efficiency Arizona will include a variety of ways to ensure Arizona residents save energy and have a more resilient home.
When Will Efficiency Arizona Take Place?
Efficiency Arizona will be rolled out in phases over the course of the next few months.
The first phase of the program will focus on the replacement of air conditioning units for Arizonans facing financial hardship and heat emergencies that are currently working with Community Action Agencies (CAAs) throughout the state supporting low-income Arizona residents in need. Not everyone will be eligible and individual eligibility will be based on income.
Estimated Timeline of Program
August 29, 2024
Efficiency Arizona
Phase I Launch
Air-conditioning replacement program through Community Action Agencies across Arizona
Q1 2025
Efficiency Arizona
Phase II Launch
Home retrofit program with energy efficiency rebates available state-wide
Q1 2025
Efficiency Arizona
Phase III Launch
Multifamily Pilot Program
The HEAR Program
The HEAR program provides rebates for eligible electrification products in low-income and historically underserved households. Please note, not everyone will be eligible to participate since eligibility will be based on a variety of factors including household income. Additionally, homes with existing heat pumps are not eligible for the heat pump rebate.
This program will offer rebates for installing qualifying equipment. A single household can receive a maximum of $14,000 in total rebate dollars from this program. Households above 150% area median income (AMI) are not eligible for this program.
Here’s a breakdown of the rebates:
| Type of Home Energy Project | Households below 80% AMI | Households between 80% and 150% AMI | Households above 150% AMI |
|---|---|---|---|
| Home Electrification Project Qualified Technologies Only households with an income below 150% AMI are eligible. |
100% of project costs up to $14,000 | 50% of project costs up to $14,000 | Not Applicable |
| ENERGY STAR electric heat pump water heater up to $1,750 | |||
| ENERGY STAR electric heat pump for space heating up to $8,000 | |||
| ENERGY STAR electric heat pump clothes dryer up to $840 | |||
| ENERGY STAR electric stove, cooktop, range, oven to $840 | |||
| Electrical load service center (electrical panel) up to $4,000 | |||
| Electrical Wiring up to $2,500 | |||
| Insulation, air sealing, ventilation up to $1,600 | |||
| Total Potential Rebates | $14,000 | ||
The HOMES Program
The HOMES program is intended to provide performance-based rebates for comprehensive home energy-saving retrofits, with the rebate amount depending on the level of energy savings achieved. This will be a comprehensive effort to examine homes and multifamily residences to identify their specific energy efficiency needs. Our experts analyze applicants’ homes to craft the best solution for their specific needs. Based on verification of income, some homeowners may be eligible for specific programs, but not for others. HOMES will be available later in the first quarter of 2025.
Simple, Streamlined, Typical Approach to Program Delivery
Education
Getting the word out to Arizona homeowners
Applicant Screening
Easy-to-use portal for customer info & income verification
Energy Audit
Detailed review of home energy usage and potential opportunities
Scope Development
Customer’s investment options
Installation & QC/QA
Qualified contractor to perform work and ensure it is done correctly
Reporting & Compliance
State to Federal compliance reporting
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How Will I Know If I Am Eligible?
Your eligibility for these programs will be based on DOE income eligibility thresholds. One way to demonstrate eligibility is through Categorical Eligibility. Categorial Eligibility recognizes qualification through “Recognized” programs listed here: Federal Programs Approved for Categorical Eligibility for DOE Home Energy Rebates (“Recognized Programs”)
- Low Income Home Energy Assistance Program (LIHEAP)
- Medicaid
- Supplemental Nutrition Assistance Program (SNAP)
- Head Start
- Lifeline Support for Affordable Communications (Lifeline)
- Food Distribution Program on Indian Reservations (FDPIR)
- National School Lunch Program – Free (NSLP)
- Housing Improvement Program (HIP)
- Housing Opportunities for Persons with AIDS
- Supplemental Security Income (SSI)
- Weatherization Assistance Program (WAP)
- Special Supplemental Nutrition Program for Women, Infants, and Children (WIC)
Please note: 80% and 150% Area Median Income (AMI) values are calculated by household size of the median income of the area in which the individual or family resides, as reported by the Department of Housing and Urban Development.
What are the Next Steps and How Can I Stay Informed?
Efficiency Arizona includes deploying resources and professionals statewide to reach as many eligible Arizona residents as possible. We’re developing a whole-home approach that includes more than just replacing equipment. Due to the very specific guidelines of these federally funded programs, we will work to craft solutions that combine various sources of funding to help homeowners achieve their efficiency goals. (This is commonly called “braiding”).
The Office of Resiliency will be announcing the next phase of the program in the coming months. In the meantime, please fill out the form below to sign up for our newsletter and stay informed about the latest updates.
Look for more information on Efficiency Arizona at the following:
Look for the Efficiency Arizona mobile information lab, which will be at community events statewide in the coming months
Visit this website regularly for updates and information
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Ready to save money on your energy costs? The Arizona Clean Energy Hub connects you with the latest energy incentive programs available for households, businesses, schools, local governments, and other organizations. Click here to visit the Clean Energy Hub!