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TECH Clean California incentives relaunch to help California homeowners electrify

Building Decarbonization Tech Clean California Press Release

April 25, 2023
Contact: Robin Tung, Building Decarbonization Coalition,

Sacramento, CA – California’s award-winning heat pump program, TECH Clean California, has relaunched incentives for heat pumps for heating, ventilation, and air conditioning through TECH-certified contractors. TECH Clean California has been allocated $145 million over the next two years, including $50 million in 2023 and $95 million in 2024 pending annual budget approval. These funds are designed to help accelerate the market for heat pump technology across the state through incentives, workforce training and consumer education to create a pathway for meeting California’s targets of six million heat pumps by 2030 and carbon-free, climate-ready homes by 2045. At least 40 percent of the funds will be committed to low-income households and disadvantaged communities.

The incentives arrive as Californians are facing soaring gas heating bills, severe pollution, and longer and more intense extreme heat events during summer months. Electric heat pumps, which can both heat and cool a home with a single system, can help reduce utility bills because they’re up to three to four times more efficient than standard air conditioners or furnaces. They can also improve indoor and outdoor air quality, provide critical cooling in extreme heat, and air filtration benefits against pollution and wildfire smoke. 

Now in its second year, TECH Clean California has over 1,000 enrolled contractors who can help households claim $1,000 for new heat pump HVAC systems, with up to two incentivized systems per home for a total of $2,000 when replacing a gas appliance. Single family incentives for heat pump water heaters will launch later this year starting at $3,100 per unit. Multifamily incentives will be available by early June and will include up to $2,000 for heat pump HVAC systems per unit and $2,100 for heat pump water heaters. The incentives are available on a first-come, first-served basis.

The Switch Is On provides consumer education as part of the TECH Clean California program. This statewide educational campaign powered by the Building Decarbonization Coalition offers homeowners and renters electrification resources and tools to electrify their homes for a cleaner, healthier way to power their lives. Homeowners can take advantage of limited time incentives in California and find pre-qualified, TECH-certified contractors on the Switch Is On website. The Switch Is On has also launched a new Training Hub to help contractors access trainings from industry experts.