Colorado Springs Utilities - residential efficiency rebates
$1,500 for heat pumps that are less than three tons and/or models that are ENERGY STAR rated, $3,000 rebate for NEEP heat pumps three tons and over
Up to $3,000 in rebates from 3 programs. 5 licensed installers based in Colorado Springs.
A typical ducted air-source heat pump, whole home (~3 ton, ~2,000 sq ft) costs $20,000 installed. Most jobs land between $14,000 and $28,000 (variable-speed ducted heat pump outdoor unit and air handler sized ~3 tons, line set, refrigerant, thermostat, condensate, electrical circuit, removal of old equipment, permit, commissioning, using existing usable ductwork. excludes new/replacement ductwork (+~$4,500 average, nescaum) and panel/service upgrade (see panel_upgrade_200a). typical = northeast program invoice data of ~$6,600-$6,900/ton x 3 tons.). With the biggest rebate on offer here ($3,000), a typical job could cost you as little as $17,000.
Cost sources: MA EEAC / NMR - 2024/2025 Residential Heat Pump Pricing Study (MA25X05-BR-RHPINV2), ducted ~ $6,912/ton (Aug 2025$); CT DEEP - CTAC Q&A tracker (average ASHP cost ~ $6,600/ton, 2024 CT installs); NESCAUM/OTC - Heat Pumps in the Northeast and Mid-Atlantic: Costs and Market Trends (ASHP total install $12,000-$23,000). Rebates come with conditions (equipment, income, approved contractor), so check each program.
$1,500 for heat pumps that are less than three tons and/or models that are ENERGY STAR rated, $3,000 rebate for NEEP heat pumps three tons and over
State income tax credit for qualifying air-source and ground-source heat pumps and heat pump water heaters, claimed by the installing contractor, which passes savings to the customer.
Heat pump water heater $1,750; Cold climate heat pump for space heating and cooling $8,000; Heat pump for space heating and cooling $3,000; Total maximum rebate $14,000