REBATES and FINANCIAL INCENTIVES

Free Home Energy Audit

There are currently numerous incentives for getting a Home Energy Audit, completing Energy Efficient Upgrades to your home and for installing Renewable Energy Systems like Solar and Geothermal. These incentives come from local utilities and local, state, and federal governments to encourage homeowners to make their homes more energy efficient.

Unfortunately, identifying and applying for all of the incentives that you are eligible for as a homeowner can be very confusing. We are here to help because we know how big of an impact these improvements can have on your the comfort of your home and the size of your energy bills.

Below is a list of the different agencies that offer incentives for Energy Improvements.

All of the incentives are combinable.

Utility Incentives

Potomac Edison

Potomac Edison offers subsidies and rebates for the following services and improvements:

  1. Home Energy Audits (SUBSIDIZED) - All Potomac Edison Customers are eligible for a subsidized Audit. As an incentive to have energy efficient measures installed in every home, Potomac Edison requires that each homeowner accepts a Energy Efficiency Kit which includes either 6 CFL light bulbs or Low-Flow Shower Heads and Faucet Aerators. If you do not accept the kit you must pay an additional $40 for the audit. The two types of Audits offered are:

*Price Assumes the customer accepts the Energy Efficiency Kit

  1. Energy Efficiency Upgrades (REBATES) - Through the Watt Watchers program, Potomac Edison customers are eligible to receieve rebates for addiing insulation and air sealing, upgrading Air Conditioning or Heat Pump systems, and for purchasing energy efficient appliances and lights.
    • Attic Air Sealing and Insulation - 15% up to $1000 - Customers who have (1) Received either a Quick Home Energy Check-Up or Comprehensive Home Energy Audit and (2) have electric heat (either with a heat pump or electric baseboards) as their primary heat source are eligible for 15% of the installed cost for attic insulation and air sealing.
    • Upgrading Heat Pumps or Central Air Conditioners - $200 - Rebates are awarded for purchasing ENERGY STAR rated Central A/C units or Heat Pumps when installed by a licensed Maryland HVAC contractor.
    • Purchasing High Efficiency Appliances and Lights - Varies from $3 to $100 - Rebates are available for upgrading clothes washers/dryers, CFL lights, refrigerators, freezers, and programable thermostats.

For more information on Potomac Edison's Watt Wachers Program please click here.

PEPCO

PEPCO offers subsidies and rebates for the following services and improvements:

  1. Comprehensive Home Energy Audits - $100 (After Utility Subsidy) - All PEPCO Customers are eligible for a subsidized Audit. To register, a homeowner must simply schedule an Audit with a Participating Contractor and PEPCO pays for $300 of the total audit cost which leaves $100 out of pocket for the homeowner.
  2. Energy Efficiency Upgrades (REBATES) - PEPCO customers are eligible to receieve rebates for implementing the following energy efficiency upgrades into their home:
    • Air Sealing and Attic or Wall Insulation - 15% up to $1000 - Rebates are availble only to customers who (1) have received a Comprehensive Home Energy Audit through a registered PEPCO Home Performance Contactor and who (2) have either Central air conditioning or Electric Heat. Homeowners who upgrade insulation levels in walls or the attic to meet existing code requirements OR acheive a 20% reduction in air leakage through air sealing efforts is eligible for this rebate on the total installed cost of the improvements.
    • Duct Sealing - $200 - Eligible customers who acheive a 25% reduction in duct leakage are eligible for this rebate on the total installed cost of duct sealing work.(Eligibility requirements are the same as for Air Sealing and Attic or Wall Insulation)
    • Central Air Conditioner or Heat Pump Tune-up - $100 - Customers who receive a tune-up from a participating PEPCO HVAC Efficiency Program Contractor are eligible for the full $100 rebate. Homes with muiltiple HVAC systems are eligible for multiple rebates.
    • Upgrading Heat Pumps or Central Air Conditioners - $150 to $300 - Rebates are awarded for purchasing ENERGY STAR rated Central A/C units or Heat Pumps when installed by a participating PEPCO HVAC Efficiency Program Contractor.
    • Purchasing High Efficiency Appliances - Varies from $20 to $50 - Rebates are available for upgrading refrigerators, room air conditioners, and water heaters.

For more information on PEPCO's Energy Efficiency Program please click here.

BGE

BGE offers subsidies and rebates for the following services and improvements:

  1. Comprehensive Home Energy Audits - $250* (REBATE) - BGE customers must pay full price for a Comprehensive Home Energy Audit. If following the Audit, the customers completes an eligible home energy improvement project they are eligible to receive a $250 rebate for the cost of the audit. To register, a homeowner must simply schedule an Audit with a Participating Contractor.
  2. Energy Efficiency Upgrades (REBATES) - BGE customers are eligible to receieve rebates for implementing the following energy efficiency upgrades into their home:
    • Air Sealing and Attic or Wall Insulation - 15% up to $1,300* - Rebates are availble only to customers who (1) have received a Comprehensive Home Energy Audit through a registered BGE Home Performance Contactor and who (2) have either Central air conditioning, Electric Heat, or a Gas Furnace or Boiler that is served by BGE. Homeowners who upgrade insulation levels in walls or the attic to meet existing code requirements are eligible for this rebate on the total installed cost of the improvements.
    • Installaton of Gas Tankless Water Heater - 15% up to $1,300* Rebates are available for homeowners who replace existing storage water heaters with a Gas In-Demand Water Heater.
    • Duct Sealing - $200** - Duct Sealing must be performed by a Participating BGE HVAC Contractor. Eligibility requirements are the same as for Air Sealing and Attic or Wall Insulation
    • HVAC System Tune-up - $75** - Customers who receive a tune-up from a Participating BGE HVAC Contractor are eligible for the full $100 rebate. Homes with muiltiple HVAC systems are eligible for multiple rebates.
    • Upgrading HVAC System - $375 to $600 per unit** - This includes two rebates (1) between $175 to $400 for purchasing a high efficiency HVAC unit and (2) for $200 for a Quality Installation. HVAC Units must be installed by a participating BGE HVAC Contractor.
  4. Purchasing High Efficiency Appliances - Varies from $25 to $50 - Rebates are available for upgrading refrigerators, room air conditioners, and clothes washers. An additional $50 reward can be received if your refrigerator is recycled through the BGE Smart Energy Savers Program.

*Total Rebate for Home Energy Audit, Air Sealing/Wall Insulation, and Gas Water Heater cannot exceed $1,300.

**Total Rebate for Heating and Air Conditioning Measures cannot exceed $1,150.

For more information on the BGE Smart Energy Savers Program please click here.

Local Incentives

Montgomery County

Montgomery County is now offering rebates for energy efficiency upgrades completed on primary residences located with-in the county. An application process is required that is similar to the MEA application process. To be eligible for funding a Home Energy Audit must be completed through an approved Maryland Home Performance with ENERGY STAR Contractor. The following rebates are available:

  1. Energy Efficiency Upgrades (Building Envelope) - 20% up to $1,000 - Eligible improvements include air sealing, attic insulation, wall insulation, and duct sealing or ductwork in unconditioned spaces.
  2. Energy Efficiency Upgrades (HVAC System) - 25% up to $2,000 - Total installed costs for the replacement of Central Air Conditioning units, Heat Pumps, Furnaces, or the installation of Geothermal Heat pumps are eligible.
  3. High Efficiency Appliances - $25 to %50 - Rebates are available for the replacement of Freezers, Refrigerators, Dishwashers, and Clothes Washers.
  4. Solar Hot Water Heating - 25% up to $1000 - The rebate covers the total installed cost for an ENERGY STAR rated Solar Hot Water Heating System.

For more information on the Montgomery County Residential Energy Efficiency Rebate Program please click here.

State Incentives

Maryland Energy Administration (MEA)

The Maryland Energy Adminstration offers Maryland homeowners rebates and tax credits to implement energy improvements and to operate renewable energy systems at their homes. To be eligible for the energy improvement rebates, homeowners must first have a Comprehensive Home Energy Audit through a Maryland Home Performance with ENERGY STAR qualified contractor and submit an appliaction to the MEA. Following the completion of the work, a test-out inspection must be completed by the Home Performance Contractor to verify the effectivness of the improvements. The following rebates are available after work has been completed at a residence:

  1. Home Energy Audits - $100 Rebate - This rebate goes towards the cost of the Home Energy Audit and when combined with Utility program incentives virtually eliminates the cost of the audit.
  2. Energy Efficiency Upgrades - 35% up to 3,000 - There are 6 different categories of building improvement each of which are eligible for a 35% rebate up to a maximum of $1,500. The incentives from each category can be combined for a total rebate of $3,000. Eligible improvements include: Whole House Air Sealing, Attic Insulation, Duct Sealing, Wall Insulation, and Basement or Crawl Space Insulation.
  3. Renewable Energy Systems - $0.85 per Kilo-watt Hour Produced - As part of the Clean Energy Production Tax Credit, Marylanders who install and operate a renewable energy system are eligible for a Maryland State Income Tax Credit for each kilo-watt of power produced. The tax credit can be taken each year for a total of 5 years, but it ends on December 31st, 2015.

For more information on the Maryland Energy Administration Home Performance Rebate Program please click here.

Federal Incentives

Income Tax Credits

While the original Consumer Energy Efficiency Tax Credits expired at the end of 2010, new tax credits were passed at lower levels. Below is a list of upgrades which are eligible for an Income Tax Credit.

  1. Energy Efficiency Upgrades - 10% up to $500 - This tax credit covers the costs to install qualifying Insulation, HVAC equipment, water heaters, windows, and more. Improvements must be fully completed by December 31st, 2011.
  2. Renewable Energy Systems - 30% with no Limit - THe renewable energy systems income tax credit extends untill December 31st, 2016 for Geothermal Heat Pump Systems, Small Wind Turbines, and Solar Energy Systems.

For more information on the Federal Tax Credits please click here.