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Updated January 26, 2021
Homeowners in Central Pennsylvania have two great ways to save money when they install new high-efficiency heating and cooling equipment. Thanks to Met-Ed and the IRS, you can get a rebate right after you get your new equipment. And, you can get a tax write-off at the end of the year. Put together, you can save nearly a thousand dollars.
In this article, we’ll go through how these work, the requirements for each one, and how to apply for them.
It may take a little bit of research — and paperwork — but in the end, you’ll take a chunk out of your bill. And, we here at Air Comfort can help you along the way to make sure you make the most of each offer.
So, if you have any questions about how to take advantage of these for your home in Hanover, Dover, York, or anywhere in Central Pennsylvania, call or email us here at Comfort Air Technologies.
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Met-Ed Rebates For High-Efficiency HVAC Equipment
Believe it or not, your electric utility wants you to use less power. And they’ll offer you cash to do just that. Here’s a glance at what’s available:
- $150 for a new furnace fan motor
- $200 for high-efficiency central air
- Up to $500 for an air source heat pump
- $200 for a ductless mini-split
- $600 for a geothermal heat pump
- $25 for a programmable thermostat
- $50 for a tune-up on your existing central air or heat pump system
Of course, there’s a little bit of fine print. The equipment you choose must be high-efficiency. In other words, it uses less energy to give you the same performance as comparable models. We’ll get into some of those specifications later in this article. And, we’ll help you make sure whatever you want to install qualifies when you work with Air Comfort for the installation.
And, if you need even more motivation to take advantage of this offer, consider this: It’s your money anyway. Check your Met-Ed bill for the Energy Efficiency and Conservation Charge rider. Everyone pays a little on each bill, and the funds go toward these rebates.
The effort is part of Act 129, also known as Energy Efficiency Law. It requires each electric company to reduce energy use in their territories. From 2016 through 2020, Met-Ed spent about $124 million to do just that — with the $74 million going directly to residential customers.
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The savings don’t stop with HVAC equipment — although, of course, that’s our area of expertise here at Air Comfort. But, search under Met-Ed at energysavepa.com, and you’ll find more offers for turning in old, inefficient appliances, discounts on lighting, energy audits, and more.
According to a Met-Ed spokesperson, fewer people took advantage of these programs in 2020. But, that was mostly because the utility suspended in-person interaction with customers. Once they lifted that restriction, more people participated in the program.
“Energy efficiency goes along with one of our core values: being mindful of the environment,” the spokesperson explained. “We want to keep our customers at the forefront of everything we do. And, a lot of our customers want to save energy.”
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How To Apply
To take advantage of these offers, you need to make sure that whatever you’re installing meets the requirements. Again, we’ll go into more detail below. And, when you’re choosing your new equipment with Air Comfort, we’ll make sure you know what qualifies and how to take advantage of whatever offers fit with what your home needs.
Once we install the equipment, we’ll fill out the paperwork for the rebate. The forms require a few technical specs, so it’s better that we handle that, anyway. Once that’s done, we send off the information, and you receive a check directly from Met-Ed. The money doesn’t pass through us or anyone else.
How much you get back depends on two specifications: SEER and HSPF, which we’ll explain here.
Seasonal Energy Efficiency Ratio
An air conditioner’s seasonal energy efficiency ratio, or SEER, tells you how much energy it uses to produce its cooling effect. The higher the rating, the less electricity it uses.
The highest rating is 21, and no ACs produced today can go below 13. For conventional units, you can get $100 back for a 16 SEER model and $200 for 18 SEER or higher.
Heating Seasonal Performance Factor
The HSPF, or heating seasonal performance factor, is a specific measure for heat pumps. It tells you how efficient the model is when it comes to producing heat and measures the ratio of BTUs (British Thermal Units) to the number of watt-hours of electricity it uses.
A mini-split heat pump must be at least 18 SEER and 10 HSPF to be eligible for the $200 Met-Ed rebate.
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Federal Tax Credits For New Energy-Efficient HVAC Equipment
In early 2020, Congress authorized up to $500 in tax credits for homeowners anywhere in the United States who installed energy-efficient heating and cooling equipment. While it was a temporary measure at first, the Non-business Energy Property Tax Credits are now good at least through the next three years.
In this case, you don’t get cashback after an installation. Instead, you’ll pay less on your taxes at the end of the year. If you owed $2,000, for instance, after a $500 credit, you’d only owe $1,500. Or, if you owed, say, only $200, then you’d get a $300 rebate after a $500 tax credit.
The general requirement is for your new furnace, air conditioner, or heat pump system to meet federal Energy Star standards for efficiency. We’ll guide you through that process when choosing your equipment, and you can get a head start here.
To take advantage, you’ll fill out IRS Form 5695 and fill it with your taxes. Download the form here, and learn more about the specifics here.
And, there’s more good news: In most cases, you can combine both these offers! Since they operate independently, it’s reasonably easy to find a furnace, central air system, or mini-split that meets both requirements.
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With offers like these, you’ll save money on a new mini-split, furnace, or AC installation. And, you’ll pay less in the long run with energy-efficient equipment that uses less gas or electricity to do the job. Call or email Air Comfort Technologies for a free consultation, and we’ll help you choose the best new equipment for your home and your wallet.
