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SANTA BARBARA, CA – November 18, 2025
Santa Barbara Clean Energy (SBCE) is excited to announce a new offering from the Home Electrification Accelerator Program (HEAP). The program now offers incentives for heat pump heating, ventilation, and air conditioning (HVAC) systems, which efficiently heat and cool homes. SBCE customers who own single-family homes, duplexes, townhomes, or mobile homes can apply through June 30, 2026, or until the program funds are expended.
Heat pump appliances are highly energy-efficient, using electricity to move heat rather than generating it. Heat pump HVAC systems provide both heating and cooling in the same appliance, making homes more comfortable year-round. Because heat pumps use electricity, they are also cleaner and safer than gas appliances.
Available incentives include:
- Up to $3,500 for replacing gas furnaces with heat pump HVAC systems.
- Up to $3,500 for replacing gas water heaters with heat pump water heaters.
- Up to $4,000 for associated electrical work, including any electrical materials or labor associated with installed appliances.
“The Home Electrification Accelerator Program is a key step in the City’s journey toward an electrified, sustainable future,” said Jefferson Litten, the City of Santa Barbara’s Energy and Climate Program Manager. “By offering generous incentives, support with permitting, and a Home Electrification Advisor service, SBCE is helping City residents make the switch to heat pump technologies.”
By combining Santa Barbara Clean Energy incentives with federal programs, such as the federal Home Energy Tax Credit, eligible homeowners can substantially reduce the total cost of their electrification projects. Federal funds expire on December 31, 2025.
For more information on this and other incentives, eligibility requirements, and to apply, visit Home Electrification Accelerator Program (SantaBarbaraCA.gov/HEAP).
About Santa Barbara Clean Energy
Santa Barbara Clean Energy is a not-for-profit program of the City of Santa Barbara that supplies clean, cost-competitive electricity for homes and businesses in the City of Santa Barbara.
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