Heat Pump Incentives for Multifamily Buildings
Receive tens of thousands of dollars in incentives to upgrade your 5+ unit building with efficient heat pump technology.
About
Be comfortable all year-round with heat pumps—the latest in efficient heating and cooling technology. Find the right one for you and your building.
Incentives
|
Category |
Description |
GSHP |
ASHP |
|
|---|---|---|---|---|
|
Category |
Description |
GSHP New Construction |
Existing Buildings |
ASHP Existing Buildings |
|
Category 2c |
Description Multifamily Full Load ASHP Heating with Decommissioning |
GSHP N/A |
$5,000/dwelling unit |
ASHP $5,000/dwelling unit |
|
Category 4 |
Description Custom Space Heating Applications |
GSHP $125/MMBtu |
$200/MMBtu |
ASHP $200/MMBtu |
|
Category 4a |
Description Custom Space Heating Applications + Envelope – Tier 1 |
GSHP $125/MMBtu |
$200/MMBtu |
ASHP $200/MMBtu |
|
Category |
Description Custom Space Heating Applications + Envelope – Tier 2 |
GSHP $150/MMBtu |
$225/MMBtu |
ASHP $225/MMBtu |
|
Category 6 |
Description Custom Domestic Hot Water (“DHW”) |
GSHP $125/MMBtu |
$200/MMBtu |
ASHP $200/MMBtu** |
|
Category 6a |
Description Prescriptive Domestic Hot Water (“DHW”) |
GSHP $1,000 per dwelling unit |
$1,000 per dwelling unit |
ASHP $1,000/dwelling unit** |
|
Category 10 |
Description Custom Partial Load Space Heating Applications |
GSHP N/A |
$100/MMBtu |
ASHP $70/MMBtu |
Limited Time Offer (LTO) for Category 2C Projects
- Multifamily Full Load ASHP Heating with Decommissioning
- Available for buildings with 100 dwelling units or fewer
|
Incentive Rate |
Base Rate |
LTO Rate |
|---|---|---|
|
Incentive Rate 2C MULTIFAMILY FULL LOAD ASHP HEATING WITH DECOMMISSIONING |
Base Rate $5,000/Dwelling Unit |
LTO Rate $7,000/Dwelling Unit |
LTO Important Dates
|
Stage |
Definition |
Date to Reach Stage |
|---|---|---|
|
Stage Sold |
Definition All project documentation, W9, applications, form signatures are submitted. Master Case Identification Number (MCID#) must also be provided at this point. |
Date to Reach Stage May 31, 2025 |
|
Stage Passed Energy Services Final Inspection (Con Ed Energy Services) |
Definition Passed final inspection from Con Ed Energy Services |
Date to Reach Stage September 1, 2025 |
|
Stage Completed |
Definition Project scope of work is fully installed, and Statement of Completion (SOC) is signed and returned by customer |
Date to Reach Stage September 15, 2025 |
|
Stage Post-Inspected |
Definition Project has undergone post-inspection and all inspection flags and fails have been adequately cured |
Date to Reach Stage November 15, 2025 |
|
Stage Service Adequate (Con Ed Energy Services) |
Definition Project must be considered service adequate as determined by Con Ed Energy Services |
Date to Reach Stage December 1, 2025 |
Note:
- Acceptance of projects submitted for the LTO is subject to available budget and funding. A sold project may not guarantee access to rates. Failure to adhere to timelines or eligibility requirements will result in project incentive adjustment to base rates or may result in project cancellation.
- The effective start date is February 24, 2025. Projects sold before the effective start date are not eligible for the Limited Time Offer.
Eligibility
Please read the Multifamily Clean Heat Program Manual (PDF) for full eligibility requirements.
- You must own or manage a residential multifamily building with 5+ residential units and have an eligible Con Edison electric account.
- New construction space heating applications are only eligible for geothermal heat pump (GSHP) incentives, not air source heat pump (ASHP) incentives. Heat Pump Water Heaters (HPWH) for Domestic Hot Water (DHW) incentives are available to new construction and existing building projects.
- Mixed-used buildings with both multifamily and commercial spaces can apply to the program with the dominant use type, determined on a case-by-case basis.
- All existing buildings are subject to decommissioning of the existing fossil fuel system for the building’s space-heating scope of work.
- Common area-only projects are not eligible for Clean Heat incentives.
- Projects submitted must not have begun installation.
Frequently Asked Questions
Abbreviation definitions: Air-source heat pump (ASHP). Central air-source heat pump (CCASHP). Ground-source heat pump (GSHP). Heat pump water heater (HPWH).
**ASHP categories 6 and 6A are now available for both new construction and existing buildings.
Projects are considered “Installed” when the entire heat pump system has been completely installed and is fully operational. Projects that do not meet these criteria will be eligible for the Base Incentive Rates.