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Arizona · checked October 21, 2026
Heat pump water heater rebates in Arizona
1 program pays toward a heat pump water heater in Arizona right now, with 1 offer between them. The largest stated amount is $500, from SRP heat pump water heater rebate. The federal 25C credit for this upgrade ended on December 31, 2025, so the state and utility money below is what is left.
What Arizona pays for heat pump water heaters
SRP heat pump water heater rebate Open
Run by Salt River Project (SRP) · for customers of 1 utility · ends April 30, 2027
- $500 for an ENERGY STAR heat pump water heater, UEF 2.8 or better
Conditions on the program page: Installed by a contractor licensed in Arizona for residential plumbing before April 30, 2027; Home with permanent SRP electric service for more than one year; no new construction; Submit within 6 months of installation; once every 10 years.
Source: SRP: Heat pump water heater rebate. Last checked October 21, 2026. Official program page.
Worked example: one Arizona home
Take one heat pump water heater replacing an electric tank. These are example inputs, not typical prices. Each program's own rule gives the amounts below; where one program has several tiers only the largest one counts, separate programs add up, and a percentage offer with no cost entered is shown at its ceiling.
| Utility | Not income-qualified | Moderate income | Low income |
|---|---|---|---|
| Salt River Project (SRP) | $500 | $500 | $500 |
For a household that is not income-qualified, the example comes to $500, made of $500 from SRP water heaters. None of the open offers has a separate income-qualified amount, so every household gets the same figure.
Who can use these Arizona offers
Every household in Arizona covered by SRP can apply; the offers are not limited to one utility's territory. The earliest end date among these offers is April 30, 2027.
Federal credit and state IRA rebates
The Energy Efficient Home Improvement Credit (IRC §25C) paid 30% of cost, up to $2,000 a year (shared with heat pumps). The IRS page says: “can claim the credit for improvements made through December 31, 2025.” Not allowed for property placed in service after December 31, 2025. Source: IRS: Energy Efficient Home Improvement Credit, 26 U.S.C. §25C, as amended by Public Law 119-21 (July 4, 2025). See what the credit covered and when it ended.
Arizona's Inflation Reduction Act home energy rebate page was not reached on the last check, so its status is not shown here. The federal status page lists every state whose status was read.
How Arizona compares
10 of the other 14 covered states list a larger top amount for heat pump water heaters. Open elsewhere: California $4,000; Connecticut $1,900; North Carolina $1,750; Massachusetts $1,500; Maine $1,200; Oregon $1,200; Texas $1,000; Vermont $1,000; New Hampshire $900; Rhode Island $625; Pennsylvania $500; Wisconsin $300. No open, sourced offer is listed in 2 other covered states (Florida, Michigan). Compare them on the heat pump water heater rebates by state page.
Other upgrades in Arizona: air-source heat pump, insulation and air sealing. Background: how rebates stack and the federal credit status.
Rebates are set by each program and can change or close without notice; the program's own page and application decide what is paid. This page is information, not tax, legal or financial advice. Amounts last checked October 21, 2026.