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Upgrade to a Heat Pump: BWP Rebate Info & Savings Guide

BWP heat pump rebates

Unlock Savings on Your Next AC Replacement

If you live in Burbank, California, and are considering AC replacement, there’s good news: Burbank Water and Power (BWP) offers generous heat pump rebates that can significantly lower your costs. These rebates not only make heat pump installation more affordable but also contribute to long-term heat pump savings on your utility bills.

In this blog, we’ll cover how BWP heat pump rebates work,  how much you can save, and why heat pumps are becoming the go-to choice for AC replacement projects in Burbank.

Why Switch to a Heat Pump?

Traditional air conditioning systems only provide cooling, while furnaces handle heating. Heat pumps, on the other hand, offer both heating and cooling in one efficient, electric-powered system. This dual functionality reduces reliance on natural gas while improving energy efficiency.

By opting for heat pump installation, Burbank homeowners can enjoy:

  • Lower monthly energy bills
  • Reduced greenhouse gas emissions
  • Consistent indoor comfort year-round

Best of all, BWP’s heat pump rebates help cover the upfront cost of this smart investment.

How Much Are BWP Heat Pump Rebates?

As of July 2025, BWP offers rebates of $1,000 per ton of cooling capacity for both central heat pump systems and ductless mini-split heat pumps. The standard cap is $2,500 per household, and for low-income customers or affordable housing providers, the cap increases to $5,000.

Example Rebates:

  • 2-ton heat pump: $2,000 rebate
  • 3-ton heat pump: $2,500 rebate (cap reached)
  • 4-ton heat pump: $2,500 (max rebate applies)

In addition to heat pump installation rebates, BWP offers:

  • $750 panel upgrade rebate (if a new electric panel is required)
  • Rebates on heat pump water heaters, electric ranges, clothes dryers, and more

These incentives can add up to significant heat pump savings—potentially reducing project costs by thousands of dollars.

Eligibility: Who Can Apply for BWP Heat Pump Rebates?

The program is open to all BWP residential electric customers. Whether you're a homeowner replacing an outdated gas furnace or a renter with landlord approval, you may be eligible for heat pump rebates when completing AC replacement with an electric heat pump system.

To qualify, your project must meet the following requirements:

  • Replace a gas heating system with an electric heat pump
  • Use AHRI-certified equipment
  • Obtain all necessary permits and inspections. At LA Construction, Heating and Air, we pull permits for all AC replacements and will assist with coordinating city inspection.
  • Submit rebate forms and required documentation within six months of project completion

We will provide you with the necessary documents including photos showing your old and new equipment, proof of purchase, invoices, and permit sign-offs that are required for rebate approval.

The Importance of AC Replacement with Heat Pumps

Many homes in Burbank still rely on older, inefficient air conditioning systems installed 15–20 years ago. These outdated units consume more energy, increase your monthly bills, and contribute more greenhouse gases.

By choosing AC replacement with a modern heat pump, you can:

  • Improve your home’s energy efficiency
  • Save money on future repairs
  • Lower your carbon footprint
  • Take advantage of BWP rebates and heat pump savings

If your current AC unit is more than 15 years old or showing signs of wear, now is a smart time to consider AC replacement.

How to Apply for BWP Heat Pump Rebates

Applying for BWP’s heat pump rebates involves a few key steps:

  1. Schedule an Evaluation
    Contact a licensed HVAC contractor such as LA Construction, Heating and Air to assess your home’s needs for a free AC replacement quote.
  2. Complete Your Heat Pump Installation
    Your contractor will handle AC installation, panel upgrades if required, and any necessary permitting.
  3. Document Your Project
    Take photos of the old and new equipment, and save all invoices and permit records. LA Construction, Heating and Air will provide the necessary documentation for your application.
  4. Submit Your Rebate Application
    Download the BWP Electrification Rebate Program Form from BWP’s website. Submit the form, photos, invoices, and other required documents via email, mail, or in person.
  5. Wait for Approval and Rebate Check
    BWP generally processes applications within 6–8 weeks. You’ll receive a rebate check in the mail once your application is approved.

Why Heat Pump Installation Is the Future of Home Comfort

More homeowners across Southern California are embracing heat pump installation—not just for rebates, but because heat pumps offer a reliable, all-in-one solution for heating and cooling.

Unlike gas furnaces or traditional AC units, heat pumps:

  • Use electricity instead of fossil fuels
  • Provide more precise temperature control
  • Operate quietly and efficiently
  • Work well with solar panel systems

Stacking Rebates: Maximize Your Heat Pump Savings

BWP heat pump rebates can be combined with other financial incentives:

  • Federal Tax Credits: Up to $2,000 under the Inflation Reduction Act (IRA).
  • California State Incentives: Additional rebates may be available for low-income households or specific equipment. Ask us about other rebates that may be available.
  • Utility Program Stacking: Some homeowners may qualify for Southern California Edison or SoCalGas programs alongside BWP rebates.

When all incentives are applied, total heat pump savings can cover 40–60% or more of your project’s cost.

Choosing the Right Contractor for AC Installation

To maximize your rebate potential and ensure a smooth heat pump installation, it’s important to hire a qualified HVAC contractor.

Look for:

  • Proper licensing and insurance
  • Experience with heat pump systems
  • Familiarity with BWP rebate programs
  • Transparent pricing and detailed proposals

LA Construction, Heating and Air will also provide you with the necessary paperwork for rebate submission.

Frequently Asked Questions About BWP Heat Pump Rebates

Q: Can I get a rebate if I install a heat pump myself?
A: No. BWP requires installations to be completed by licensed contractors with valid permits and inspections.

Q: How long do I have to apply after installation?
A: You must submit all required documents within six months of the permit final date or project completion.

Q: What if my project costs less than the rebate amount?
A: BWP rebates cannot exceed 100% of project costs. If your project costs less than the rebate amount, BWP will adjust your rebate accordingly.

Take Advantage of BWP Heat Pump Rebates Today

If you’re considering AC replacement with heat pump installation in Burbank, BWP’s heat pump rebates offer a valuable opportunity to save on upfront costs and enjoy long-term energy savings.

At LA Construction, Heating and Air, we specialize in helping Burbank homeowners take full advantage of BWP’s rebate programs. From selecting the right heat pump system to handling permit requirements and ensuring all rebate paperwork is submitted correctly, our team is here to make the process easy and stress-free for you.

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