PNW Home Energy Rebates in 2026 — What's Left After the Federal Credits Ended

Read this first: the federal credits ended

If you're working from a 2024 or 2025 article, it is out of date. The federal tax law enacted in July 2025 terminated both of the big residential energy tax credits:

• 25C — Energy Efficient Home Improvement Credit: no credit for property placed in service after December 31, 2025.
• 25D — Residential Clean Energy Credit (solar, battery, geothermal): no credit for expenditures made after December 31, 2025.

There is no phase-down and no grandfathering for new 2026 work. If you already did qualifying work in 2025, you still claim it on that year's return with IRS Form 5695 — but do not budget a 2026 project around a 30% federal credit, because it isn't there.

This changes the math on heat pumps and solar in the PNW. Utility and state programs are now the main incentive, not a bonus on top of a federal credit.

What's still available

Washington

• Home Energy Rebates (HOMES / HARP) — Washington Commerce is running the federally funded whole-home performance rebate programs, with a state electrification and appliance rebate track rolling out through third-party administrators. Eligibility and amounts depend on household income and the measures installed. Start at the Commerce page linked below and check current status before you sign a contract.
• Utility rebates — PSE, Seattle City Light, Tacoma Power, Snohomish PUD and most other WA utilities run their own heat pump, water heater, insulation and weatherization rebates. These are the most reliable dollars available right now. Amounts change by program year, so pull the current rebate form from your utility rather than trusting a number in any article.
• Income-qualified weatherization — Commerce funds weatherization assistance through local agencies for eligible households.

Oregon

• State Home Energy Rebate programs (HOMES / HEAR): still not launched. As of spring 2026 the Oregon Department of Energy had delayed launch pending federal approval. Do not plan a project around these until ODOE announces they are live.
• Energy Trust of Oregon — this is the workhorse. Energy Trust publishes dated incentive sheets each program year covering heat pumps, ductless systems, water heaters, insulation, windows and smart thermostats for customers of PGE, Pacific Power, NW Natural, Cascade Natural Gas and Avista. Check the current-year sheet for your utility.
• Income-qualified solar — Energy Trust and partner programs offer enhanced solar incentives for eligible households.

Idaho

• Idaho Power runs residential heating, cooling and weatherization efficiency programs for its service territory.
• Avista (northern Idaho) runs its own residential rebate set, including heat pumps and insulation.
• State-level rebates: Idaho's rollout of the federal Home Energy Rebate programs was not confirmed as live at the time this guide was verified. Check with your utility and the state energy office before assuming a state rebate exists.
• Idaho has no state solar tax credit; with 25D gone, solar economics now rest on net metering terms and equipment pricing.

How to actually get the money

1. Confirm the program is open, in writing, before you sign. Program years close and budgets run out mid-year.
2. Use a participating installer. Most utility rebates require an installer on the utility's approved list, and most installers file the paperwork for you — confirm which of you is filing.
3. Keep itemized invoices with equipment model numbers and the AHRI certificate for HVAC. Missing model numbers is the number one rebate rejection.
4. Ask about equipment tiers. The rebate often depends on efficiency rating, not just "a heat pump."
5. Get more than one quote. With the federal credit gone, the spread between installer bids matters more than any single rebate.

Bottom line for 2026

A PNW customer can still meaningfully reduce the cost of a heat pump or weatherization project — through their utility and, in Washington, through state-administered rebates. What's gone is the automatic 30% federal credit that used to sit on top. Budget from utility rebate sheets, verify each program is currently open, and treat any dollar figure older than a few months as suspect.