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Indiana is one of the 13 states taking applications

Indiana Heat Pump Rebates: Open, and What They Pay

What Indiana Office of Energy Development pays, the condition attached to each figure, who qualifies, who may do the work, and the page to apply on.

Open
Where the programme stands
one of 13 states taking applications
$18,000 or 100% of project cost
Largest figure the office prints
whole home project cap
7
Figures published in all
each with the condition attached
Yes / Yes
Income rule, approved contractor
income sets the size of the award
The answer

You can apply in Indiana today

OpenIndiana Energy Saver Program

Indiana is taking applications now, through Indiana Energy Saver Program, run by Indiana Office of Energy Development. The largest heat pump figure it prints is $8,000. It is one of only 13 states out of 50 where a homeowner can apply today.

  • Indiana prints 7 figures, the largest of them $18,000 or 100% of project cost for whole home project cap. Each one below carries the sentence or table row it came from.
  • The heat pump line is $8,000. It applies ENERGY STAR certified heat pump for space heating and cooling, Home Appliance Rebate track.
  • Income decides the size of the award in Indiana, or whether there is one at all. Indiana runs two tracks side by side. The appliance track is only for households under 150% of area median income, while the whole home efficiency track is open to every household but pays much less above 80% AMI.
  • The work has to go through a contractor the programme has approved. the work must be installed by a contractor in the programme's qualified contractor network
  • Beside the state programme, the energy office points readers to their own utility's efficiency programmes and lists the six large Indiana utilities.
  • Applications go through Indiana Office of Energy Development.

Indiana Office of Energy Development

The Indiana Office of Energy Development announced the launch of the Indiana Energy Saver Program on May 14th, 2025.

Read September 23, 2026.

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Every figure the office prints

All 7 Indiana figures

Each figure carries the condition Indiana Office of Energy Development attached to it, and the condition is the half that decides whether the figure applies to a particular house. Where the office wrote a sentence beside the number, that sentence is reproduced whole and linked to the page it was read from, because a paraphrase of an eligibility rule is a different statement than the rule.

Whole home project cap

$18,000 or 100% of project cost

Applies single family under 80% AMI modelling 35% or more energy savings; above 80% AMI the same tier is $4,000 or 50% of project cost.

Less than 80% AMI 20-34% $12,000 or 100% of project cost 35%+ $18,000 or 100% of project cost 80% AMI or more $2,000 or 50% of project cost $4,000 or 50% of project cost
Indiana Office of Energy Development, read September 23, 2026. Read it at the source

Air source heat pump

$8,000

Applies ENERGY STAR certified heat pump for space heating and cooling, Home Appliance Rebate track.

ENERGY STAR-certified heat pump for space heating and cooling $8,000
Indiana Office of Energy Development, read September 23, 2026. Read it at the source

Heat pump water heater

$1,750

Applies ENERGY STAR certified.

ENERGY STAR-certified heat pump water heater $1,750
Indiana Office of Energy Development, read September 23, 2026. Read it at the source

Heat pump clothes dryer

$840

Applies ENERGY STAR certified.

ENERGY STAR-certified heat pump clothes dryer $840
Indiana Office of Energy Development, read September 23, 2026. Read it at the source

Electrical panel

$4,000

Electric load service center (i.e., electrical panel) $4,000
Indiana Office of Energy Development, read September 23, 2026. Read it at the source

Electrical wiring

$2,500

Electric wiring $2,500
Indiana Office of Energy Development, read September 23, 2026. Read it at the source

Insulation

$1,600

Applies insulation, air sealing and mechanical ventilation together.

Insulation, air sealing, and mechanical ventilation $1,600
Indiana Office of Energy Development, read September 23, 2026. Read it at the source
Who it is for, and who may do the work

The two conditions that end most applications

Income and the contractor list are where the largest number of applications stop, and both are usually discovered late. Nationally 34 states publish an income rule and 28 of those tier the award by it, meaning income decides how much is paid rather than only whether anything is; 23 require the work to go through a contractor the programme has approved, which generally excludes work a homeowner does themselves.

Who qualifies in Indiana

Income decides the size of the award in Indiana, or whether there is one at all. Indiana runs two tracks side by side. The appliance track is only for households under 150% of area median income, while the whole home efficiency track is open to every household but pays much less above 80% AMI.

The Home Appliance Rebate (HEAR) provides cost savings to low- and moderate-income households earning less than 150% of the Area Median Income (AMI) with eligible upgrades.
Indiana Office of Energy Development, read September 23, 2026. Read it at the source

Who may do the work in Indiana

The work has to go through a contractor the programme has approved. the work must be installed by a contractor in the programme's qualified contractor network

Participants will receive the rebate in the form of a discount on the eligible product and installation by a qualified contractor.
Indiana Office of Energy Development, read September 23, 2026. Read it at the source
An installer in a dust mask and gloves kneeling on joists in a bare attic, laying a fresh batt of pink insulation into the bay beside several already filled, with the roof sheathing close overhead
Fifteen states print a dollar figure for insulation, which puts it fifth behind the air source pump, the whole home cap, the water heater and the electrical panel. It is also the measure most likely to be required before the rest: several offices will pay for a pump only after the envelope has been dealt with, on the reasoning that a pump sized to a leaking house is a pump sized wrong. Where an office has written that rule down, the state page quotes it. “Installing installation in an attic (9337)”, The EnergySmart Academy, CC0
What to do meanwhile

The other Indiana money

A utility programme is a different thing from a state one, with its own rules, its own contractor list and its own deadline, and in a handful of states it is worth more than the state programme it stands in for. 31 state offices publish a route like this, and on most of those pages it sits well below the announcement that brought the reader there.

What Indiana Office of Energy Development points at

Beside the state programme, the energy office points readers to their own utility's efficiency programmes and lists the six large Indiana utilities.

Learn more about Indiana’s utility demand response, energy efficiency, and energy audit/assessment programs through the links below.
Indiana Office of Energy Development, read September 23, 2026. Read it at the source
A worker in a respirator and knee pads fitting a white moisture barrier and batts of insulation into the low crawl space under a house, working on their side between the floor joists and the bare earth
Weatherization work under a floor, which for most of the country is the only home energy money with a door open on it. Thirty one state energy offices point a homeowner at a utility programme or a weatherization agency while their own rebate is still being designed, and the referral is usually buried well below the announcement. The work in this frame is what that referral leads to. “DOE weatherization services (677)”, U.S. Department of Energy, Public Domain
The other money

A Indiana rebate is not the federal tax credit

These are two separate programmes and conflating them is the commonest error on pages about this. A Indiana rebate is money off the job, applied for through Indiana Office of Energy Development under its own rules. The federal credit is money off a tax bill, claimed when filing, with no application and no approval step. Different timing, different paperwork, and qualifying for one says nothing about qualifying for the other.

Indiana Office of Energy Development is one of only 10 state offices that address on its own pages whether the two can be claimed together. Its sentence is below, exactly as written, because whether two kinds of money can be combined on one job is a tax question and the office’s own wording is the only safe answer to it.

Indiana on combining the two

Some residential tax credits are available for homeowners to obtain residential efficiency products and improvements. For example, qualifying home improvements made after December 31, 2021, may be eligible for these federal tax credits, including purchases of ENERGY STAR certified products and improvements to the building shell.
Indiana Office of Energy Development, read September 23, 2026. Read it at the source
How Indiana compares

13 states are taking applications, 31 are not

Indiana is in the smaller group. 13 of the fifty states are taking applications from homeowners, against 31 that have announced a programme and never opened it and 6 in some other state of suspension. An open programme can close: at least one state has reserved its funding, shut, and reopened more than once inside two years.

Across the country 155 separate dollar figures are printed and 21 states print none at all. The spread has little to do with climate: it tracks how each state chose to divide a federal allocation between a small number of large whole home awards and a large number of small per appliance ones.

A tall grey outdoor condenser unit standing on a frame against a stone garden wall, its fins and louvred side panel filling the frame, no maker’s plate or badge visible anywhere on it
The outdoor half of a heat pump is the same box in the same place as the outdoor half of an air conditioner, which is why so many homeowners cannot tell from the yard which one they already own. It matters to the paperwork: an office that pays for a swap usually wants to know what the house burns today, and Arizona has written that from September 2026 it will pay only where the equipment being replaced was already electric. “Outdoor air conditioner unit installed in residential garden space”, Shixart1985, CC BY 2.0

Indiana heat pump rebate questions

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Indiana read September 23, 2026 from Indiana Office of Energy Development’s own pages, linked beside every figure and every rule. A programme can open, reserve its funding and stop taking applications inside a single season, so the office page linked above is what governs on the day. Every state is on the home energy rebates hub.