Heat Pumps

Did you know that you may lower your bills by switching to a renewable heating source, while also reducing your carbon emissions and contributing to a stronger local economy?

There are programs and incentives for several green and cozy heating options but remember first to make sure you weatherize your home before deciding on a new heating system. This will help you reduce your heat load and help you determine the appropriate equipment to keep your home warm all winter long.

Heat Pumps: Air Source & Ground Source

Heat pumps, like air conditioners or refrigerators, use electricity to move heat from a cool space to a warm space, making the cool space cooler and the warm space warmer.

Cold-Climate Air Source Heat Pumps take heat from the outside air (even during our chilly NY winters) and work well for homes and apartment buildings of all sizes. There are incentives offered on Long Island by PSEG and through federal tax credits to help cover the cost of equipment and installation, as well as additional ones for income-eligible households. Learn more about cold-climate air source heat pumps in this video from NYSERDA and on the NYS Clean Heat site.

Alt text: overview by NYSERDA about how Air Source Heat Pumps work.

This video from This Old House explains the magic behind heat pumps—how heat can be extracted from cold air!

Ground Source Heat Pumps, also known as geothermal, remove heat from underground and are more efficient than air source heat pumps. There are three separate incentives for ground source heat pumps.

  • PSEG rebate of $1,000 or $2,000 per ton depending on the efficiency level of the equipment.

  • Federal tax credit of 30% (raised up from 26% in 2022 with the Inflation Reduction Act)

  • State tax credit (see subsection g-4) for 25% of a qualified geothermal project’s cost (capped at a maximum credit of $5,000).

Alt text: overview by NYSERDA about how Ground Source Heat Pumps work.

Heat pumps can be carbon neutral if paired with solar panels, or if you purchase green energy through your energy supplier. Read more about heat pumps here and here and explore NYSERDA’s Heat Pump Planner.

Alt text: explanation of how heat pumps can pull heat from cold air.

You can read the article A Heat Pump Might Be Right for Your Home. Here’s Everything to Know. in Wirecutter from the New York Times for more insight.


PSEG Long Island has an HVAC cost comparison calculator on their website. Answering a few questions about your home shows you the approximate costs of five different heating sources over 5, 10, and 15 years.


Interested?

We recommend getting a few quotes from local heating contractors. Or contact one of our Community Energy Advisors. We are not salespeople and we are here to help!