SMUD's heat pump rebate depends on what you replace and how many stages the new system has. With the federal tax credit ended for 2026 installs, it is the main money left for most Sacramento heat pump projects. DuloCore checked every amount below on SMUD's pages on October 30, 2026.
SMUD also pays toward a home EV charger and its circuit, explained on our SMUD EV charger rebate page.
How Much Is the SMUD Heat Pump Rebate in 2026?
As of October 30, 2026, SMUD pays $3,000 for a variable-stage heat pump HVAC system and $2,000 for a two-stage system when you switch from gas, and $1,000 when you replace an electric system.
| Upgrade (SMUD tables, October 30, 2026) | SMUD rebate |
|---|---|
| Variable-stage heat pump HVAC, gas to electric | $3,000 |
| Two-stage heat pump HVAC (15.2 SEER2 minimum), gas to electric | $2,000 |
| Two-stage or variable-stage heat pump HVAC, electric to electric | $1,000 |
| Go Electric rebates: smart panel, subpanel, new circuit (gas-to-electric conversion required) | Up to $4,000 |
| Heat pump water heater, gas to electric, 50 / 65 / 80 gallons or more | $3,000 / $3,500 / $4,000 |
| Heat pump water heater, electric to electric, all sizes | $1,000 |
SMUD's heating and cooling rebates page says rebates are subject to available funding. The two SMUD pages differ on the panel amount: the heating and cooling page lists Go Electric rebates of up to $4,000, and the appliance page lists a $2,000 Go Electric bonus or panel upgrade. Ask your contractor which one applies to your project.
For every SMUD rebate by upgrade, see our SMUD home energy rebates guide.
Which Heat Pumps Qualify?
A two-stage heat pump with at least 15.2 SEER2, or a variable-stage heat pump, installed by a participating contractor in the SMUD Contractor Network. SMUD's tables list no single-stage tier.
- Stages. A two-stage or variable-stage heat pump can run at more than one speed. SMUD's heating and cooling page calls both multi-stage systems.
- Gas to electric pays more. The $2,000 and $3,000 amounts are for replacing gas heat. Replacing an older electric heat pump or electric heat pays $1,000.
- A network contractor is required. SMUD says rebates must be submitted by a qualified participating contractor through the SMUD Contractor Network.
- Several upgrades at once. SMUD points customers planning a heat pump water heater, a heat pump HVAC system or insulation together to its Home Performance Program.
What Does a Heat Pump Cost in Sacramento After the Rebate?
SMUD's customer data puts the median gas-to-electric heat pump HVAC install at $18,951 before rebates. Less the $3,000 variable-stage rebate, that is about $15,951.
SMUD publishes what its customers paid over the past 12 months in its Advanced Home Solutions program, single-measure projects only, refreshed each quarter:
| Install type (before any rebate) | Median | Lowest | Highest |
|---|---|---|---|
| Heat pump HVAC, gas to electric, all | $18,951 | $3,500 | $65,620 |
| Gas to electric, ducted | $21,367 | $12,510 | $38,400 |
| Gas to electric, ductless | $14,995 | $3,500 | $51,814 |
| Heat pump HVAC, electric upgrade, all | $17,466 | $9,000 | $51,000 |
The after-rebate figure is DuloCore's arithmetic on SMUD's numbers, not a SMUD figure. Your price depends on system size, ducts, the number of mini-split heads and other factors SMUD lists. SMUD gives no guarantee of the data.