The Inflation Reduction Act (IRA) provides support for the clean energy transition in multiple ways. The Colorado Energy Office is currently developing the Home Energy Rebate programs established in the IRA.
State of Colorado Heat Pump Tax Credits and Federal Tax Credits are currently available.
Inflation Reduction Act Home Energy Rebate Programs
Rebates from the Inflation Reduction Act are not currently available.
The Colorado Energy Office (CEO) received federal guidance about these rebate programs on July 27,2023 and is in the process of applying for funding, in accordance with the federal requirements. CEO is developing two rebate programs that will provide funding for income-qualified Colorado homeowners and renters to improve home energy efficiency and upgrade to electric appliances. These upgrades will reduce greenhouse gas emissions, improve indoor and outdoor air quality and reduce residents’ heating and cooling costs.
Check out the following resources to learn more:
- U.S. Department of Energy's Home Energy Rebate Programs Frequently Asked Questions
- Internal Revenue Service's Frequently asked questions about energy efficient home improvements and residential clean energy property credits
Frequently Asked Questions
- I need a home energy upgrade now. What should I do?
The Department of Energy (DOE) does not recommend that households wait to accomplish needed home energy upgrades or projects. Households looking for financial assistance to make home energy upgrades before these rebates are available may be eligible for Colorado’s Weatherization Assistance Program or other financial incentives, such as federal tax credits and utility rebates.
- When will state-administered, IRA-funded rebates be available?
Estimated Fall 2024.
- Who will qualify to receive home efficiency rebates?
Income-qualified homeowners and renters will be eligible for rebates.
Although we have not finalized the income-qualifications, we expect that the Colorado IRA Home Efficiency Program rebates will be available to households earning up to 80% Area Median Income (AMI). This is subject to change until these programs launch.