PSE&G Heat Pump Equipment Rebate

PSE&G Heat Pump Equipment Rebate

What it covers

Equipment-only rebate of up to $900 for installing a qualifying central air-source heat pump in a PSE&G electric customer's home. The rebate is paid post-installation and is tied to the equipment itself — there is no whole-home audit, no envelope work, and no required scope of measures beyond the heat pump install.

This is the simplest path to a PSE&G rebate, but also the smallest. Compared to NJ Whole Home ($7,500) or PSE&G BD Clean Heat ($10,000+), the $900 equipment rebate is a fallback rather than a primary recommendation.

Eligibility

• Active PSE&G electric residential account.
• Equipment must meet PSE&G's minimum efficiency thresholds (typically 16+ SEER and 9+ HSPF for ENERGY STAR cold-climate models — verify exact spec on the PSE&G program page).
• Professional installation by a qualified contractor.
• Single-family residence; multi-family rules vary — confirm with PSE&G.
• Rebate is paid after install via post-purchase form (not at point of sale).

Stacks with

Nothing material at the headline level. This rebate is best understood as an alternative to NJ Whole Home, not a complement. If a homeowner is doing a Whole Home project that includes HVAC, they should not plan on receiving the $900 in addition.

Does NOT stack with

• NJ Whole Home Energy Solutions — if HVAC is included in the Whole Home scope (which is typical), the homeowner is disqualified from this equipment-only rebate covering the same equipment. See rules/whole-home-equipment-exclusion.md.
• PSE&G BD Clean Heat / Dual Heat / Hybrid Heat — PSE&G BD is a separate program. The $900 equipment-only rebate and BD heat-pump rebate target the same equipment — homeowners choose one path, not both. See rules/bd-stackability-rules.md.

Edge cases

• Whole Home envelope-only project + separate HVAC install: if a homeowner does Whole Home for insulation/air sealing only (no HVAC measure) and then separately installs a heat pump, the $900 equipment rebate may be available. Agent should flag this as a possibility to verify during the free consultation rather than promising it.
• Equipment doesn't meet efficiency threshold: many mid-tier heat pumps don't qualify. Agent should not promise this rebate without confirmation that the proposed equipment meets PSE&G's spec.

Recommended for

Rare. Only when Whole Home is not feasible — for example, a single-measure equipment swap with no envelope work, or a homeowner who has already done envelope upgrades through a non-Whole-Home channel. The agent should typically surface this rebate as a comparison point ("equipment-only path = $900; Whole Home path = $7,500") to demonstrate the superior value of Whole Home, not as a primary recommendation.