City of Seattle Announces Bonus Rebate to Help Residents Transition from Oil Heat to Electric Heat Pumps, Households Can Access Up to $8,000 in Local and Federal Support

Seattle, WA - The City of Seattle is offering a new $4,000 bonus rebate, effective through May 2025 (or while funding lasts), for moderate-income households to transition off oil heat to clean electric heat pumps. Income-qualified residents may stack this rebate onto the City's existing $2,000 Clean Heat instant rebate - which is not income restricted - as well as onto a $2,000 federal tax credit when switching an oil heating system to a qualified energy-efficient electric heat pump, for a combined $8,000 in support.

"Burning oil for heating is not only costly to our planet, but also to our residents' health and monthly expenses," said Mayor Bruce Harrell. "We are proud to be able to expand our City's Clean Heat Program through these additional instant rebates, allowing more Seattleites than ever to transition off oil heating, regardless of income. We're taking another step forward in creating a sustainable and more affordable future for all Seattle residents."

Since 2017, the City has already helped more than 1,600 households convert from dirty, inefficient heating oil to clean, energy-efficient heat pumps, and the City is on track in meeting Mayor Harrell's goal of no oil heated homes by 2030. Efficient electric heat pumps are valuable tools in tackling climate change, as they use three- to four-times less energy than a traditional oil or gas furnace while also providing air-conditioning.

An average household using 500 gallons of heating oil per year can expect to save more than 50% on their heating costs, or approximately $1,100 per year. Heat pump installations also create well-paying clean energy jobs across the region that cannot be outsourced.

"As a third-generation family-owned and operated regional wholesale distributor and manufacturer of HVAC equipment and supplies, Gensco is proud to be the leading heat pump distributor in the region and a partner through Seattle's Clean Heat Program," said Hayden Lycke, Gensco VP Supplies Sales. "Along with the support of Mitsubishi Electric Heating & Cooling, Seattle's Clean Heat program will have helped approximately 2,000 households convert from oil to energy-efficient heat pumps by year end. We're also proud to be supporting a clean energy workforce with more than 50 local qualified heat pump contractors participating in the program and the backing of over 300 local Gensco employees who provide training, sales and technical support."

In March, the City received $3.2 million in funding from the Washington State Department of Commerce via the Climate Commitment Act (CCA) to expand the Clean Heat Program, as well as offer free gas-to-heat pump conversions for 52 low-income households and increase rebates for 125 small businesses to access heat pumps and heat pump water heaters. This funding is expected to reduce total greenhouse gas emissions by at least 20,000 MTCO2e, which is the equivalent of 4,760 gasoline-powered cars taken off the road for a year. In total, Seattle has been awarded more than $26 million in funding from the Climate Commitment Act.

"As we head from a record-hot summer into the winter months, Seattle residents are transitioning from cooling their homes in unprecedented ways to facing down high heating bills," said Jessyn Farrell, Director of the Office of Sustainability & Environment. "The Climate Commitment Act is not only alleviating these costs and comfort burdens on families, but it also helps us reduce the pollution that is making climate change and extreme weather worse."

The Clean Heat Program is supported with funding from Washington's Climate Commitment Act. The CCA supports Washington's climate action efforts by putting cap-and-invest dollars to work reducing climate pollution, creating jobs, and improving public health. Information about the CCA is available at www.climate.wa.gov.