Palo Alto Heat Pump Water Heater Rebate

The City of Palo Alto Utilities is offering a rebate of 55% of project costs, up to $3,500, for residents who install an efficient, electric heat pump water heater.

Please apply for this rebate if you will be selecting your own contractor. If you are interested in having a City contractor install your heat pump water heater, please choose our "Full Service Solution" at

How to Qualify

  • Be a residential customer who receives utility service from City of Palo Alto Utilities (i.e., must pay residential rates for electric and/or gas utility services).
  • Submit a completed online application and be approved prior to purchasing equipment and installing the heat pump water heater.
  • Rebates are for replacing existing gas or electric resistance water heaters only. New construction projects are not eligible.
  • The new HPWH must meet Product Tier 3 or higher tier from the Northwest Energy Efficiency Alliance (NEEA) Qualified Products List.

Rebate Amounts

  • 55% of total project cost, up to $3,500, if you have an existing natural gas water heater and apply for this rebate on or after April 15, 2024.
  • $500 if you have an existing electric water heater and have a final inspection permit dated on or after October 4, 2022.

BayREN Heat Pump Water Heater Rebate

Heat Pump Water Heaters Up to $1000 per unit

Golden State

Heat pump water heaters Up to $900 instant rebate

Book your Boiler, Radiant Heating or Sewer service now!

Contact the experts at Flow Masters Plumbing.

Call us at (415) 735-6060!