Heat Pump Water Heaters

Would you like to cut your water heating energy costs by up to 60%? Upgrade to a heat pump water heater, which is twice as efficient as a standard electric water heater.

Heat pump water heaters use electricity to move heat from the air and transfer it, at a higher temperature, into the tank to heat the water. Our Heat Pump Water Heater Program provides rebates and quality assurance to PUD customers who install qualified models. Learn more by reading our Heat Pump Water Heater Program Information (PDF).

Save Energy & MoneyA woman adjust the temperature on her heat pump water heater inside of a garage.

  • Control Panel: A heat pump water heater has a unique control panel that offers more flexibility than a standard electric water heater. You can easily set the temperature and change operation modes to maximize efficiency.
  • Moving Heat: Rather than generating heat directly, the heat pump water heater saves energy by moving heat from the surrounding air into the water in the tank.
  • Dial-In Efficiency: Guests staying over? Going on vacation? The control panel on a heat pump water heater allows you to choose the setting that best fits your needs.
  • Tax Credits: Heat pump water heaters installed between December 31, 2017, and December 31, 2020, are eligible for a federal tax credit.

Rebate Amounts

Program Requirements

  • Heat pump water heaters must meet efficiency requirements. View our list of qualified models (PDF).
  • Heat pump water heaters may be installed in newly constructed homes or replace an existing electric storage water heater.

Things to Consider – All Heat Pump Water Heaters

  • Space – Heat pump water heaters require 1,000 cubic feet of air-flow around them. This is the equivalent of a 10 feet by 10 feet by 10 feet space.
  • Sound – Heat pump water heaters generate sounds similar to an electric fan. Consider if this noise can be heard from your bedroom.
  • Cold air – While in operation, heat pump water heaters release cool, dry air into the surrounding space.
  • Size – Heat pump water heaters are slightly larger than standard electric water heaters.
  • Ducting – Some heat pump water heaters will be installed in a location that will require ducting to the outside.

Things to Consider – Tier 2 & Tier 3 Tanks

To vent or not to vent?

Tier 2 and Tier 3 heat pump water heaters can be vented directly to the outside so that they do not cool the air around the water heater. If a Tier 2 or Tier 3 tank is not vented, it may require at least 1,000 cubic feet of air space. This is roughly equivalent to a 10-foot by 10-foot by 10-foot room.

Hot Water Heater Diagram

Resources & Information

Rebate Application

We partner with Efficiency Services Group (ESG) to bring you this rebate program. Call ESG at (888) 883-9879 or email ESG to start your project.