Duke Energy Heat Pump Rebates & Incentives (2026)
Duke Energy serves about 8 million electric customers across six states, and its heat pump rebates are different in every one of them. Smart $aver pays up to $900 for a heat pump replacement and up to $2,500 for a conversion in the Carolinas, up to $3,000 in Indiana, and $300–$800 in Kentucky, while Florida runs a separate Home Energy Improvement program and Ohio has no residential rebate at all. This guide covers all major Duke Energy heat pump incentives available in 2026, verified state by state on Duke's own program pages, including Smart $aver, Home Energy Improvement, and heat pump water heater rebates. Here's what's actually available.
Updated July 20, 2026 · Verified July 20, 2026
Rates and program availability may change after this date.
Duke Energy
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Duke Energy pays residential heat pump rebates in 5 of its 6 states: up to $2,500 for conversions in North Carolina and South Carolina, $3,000 in Indiana, $1,000 in Florida, and $800 in Kentucky, plus $350–$500 heat pump water heater rebates. Ohio has no residential program. Federal 25C/25D credits ended Dec 31, 2025.
Sources:
The short version
✓ Carolinas: up to $2,500
North and South Carolina share identical Smart $aver tables: $350–$900 for heat pump replacements, $1,500 for converting electric resistance heat to a heat pump, and up to $2,500 for dual-fuel, cold-climate, or geothermal conversions. Plus a $500 heat pump water heater rebate.
✓ Indiana: up to $3,000
Indiana's Smart $aver pays $400–$700 for replacements, $800 for converting electric resistance heat, and its dual-fuel conversion tops the whole Duke system at $2,500–$3,000. Heat pump water heaters earn $350.
✓ Stacks with state rebates
Where state HEAR programs are open, Duke rebates stack on top. In North Carolina, an income-qualified household converting from electric resistance heat can combine up to $8,000 in HEAR with Duke's $1,500 conversion rebate and both water heater rebates.
✗ Federal tax credits expired
The Section 25C and 25D federal tax credits ended December 31, 2025. Duke rebates and state programs are now the main sources of heat pump savings in Duke territory.
⚠ Rebates differ by state — and Ohio has none
Each state's rebate table is separately approved by its utility commission. Amounts, eligible measures, program names, and effective dates all differ, and Duke Energy Ohio customers have no residential heat pump rebate at all. Always check your own state's table below, not a neighbor's.
Where Duke Energy offers heat pump rebates
Duke Energy serves customers in six states; residential heat pump rebates are available in five of them. In North Carolina and South Carolina, Duke operates as two utilities — Duke Energy Carolinas and Duke Energy Progress — but both offer the same Smart $aver rebates in each state.
| State | Heat pump rebate? | Note |
|---|---|---|
| NC | Yes | Smart $aver: $350–$900 heat pump replacement, up to $2,500 conversions; $500 HPWH |
| SC | Yes | Same Smart $aver tables as NC; some Greenwood-area customers excluded from the HPWH rebate |
| IN | Yes | Smart $aver: $400–$700 replacement, up to $3,000 dual-fuel conversion; $350 HPWH |
| FL | Yes | Home Energy Improvement: $500 heat pump, up to $1,000 strip-heat conversion; free Home Energy Check required |
| KY | Yes | Smart $aver: $300–$800 by efficiency tier and replacement timing |
| OH | No | No residential heat pump or efficiency rebates; supplier-choice and renewable programs only |
Duke's website shows each visitor their own state's program after a one-time location prompt, so the rebate links on this page resolve to your state's version automatically.
Rebate details by state
Every table below was verified on Duke's own program pages with the site set to that state. Smart $aver rebates pay two amounts per measure: a lower Replace on Failure value when your old system has already died, and a higher Early Replacement value for proactively replacing working equipment.
Replacing early pays up to twice as much
Duke's two-column structure rewards planning ahead: in the Carolinas, the same 15.2 SEER2 heat pump earns $350 after a failure but $700 as an early replacement. If your system is past 12–15 years old and still running, getting the rebate quote before it dies can double your rebate — and spares you an emergency install at list price.
North Carolina — Smart $aver
Duke Energy Carolinas and Duke Energy Progress offer the same Smart $aver rebates across North Carolina for projects completed after August 1, 2025. Your participating contractor completes the work and submits the rebate application for you; the rebate arrives as a physical card or digital Mastercard. Equipment must be AHRI certified with ECM motors, and conversion rebates require an existing heat pump with electric resistance strip heat serving at least 1,000 sq. ft.
| Measure | Minimum efficiency | Replace on Failure | Early Replacement |
|---|---|---|---|
| Air-source heat pump | 15.2 SEER2 / 7.5 HSPF2 | $350 | $700 |
| Air-source heat pump | 16 SEER2 / 7.5 HSPF2 | $450 | $800 |
| Air-source heat pump | ≥17 SEER2 / 7.5 HSPF2 | $700 | $900 |
| Mini/multi split (min. 1,000 sq. ft.) | ≥18 SEER2 / 9.0 HSPF2 | $700 | $900 |
| Electric furnace/baseboard → heat pump | ≥15.2 SEER2 / 7.5 HSPF2 | $1,500 | $1,500 |
| Heat pump → dual fuel (≥80% AFUE) | ≥15.2 SEER2 / 7.5 HSPF2 | $2,000 | $2,500 |
| Heat pump → cold-climate heat pump (COP ≥2.0) | ≥21 SEER2 / 9.0 HSPF2 | $2,100 | $2,400 |
| Heat pump → geothermal heat pump | ≥20.7 EER2 | $2,300 | $2,500 |
| Heat pump water heater (after 1/1/2025) | ENERGY STAR, UEF ≥3.3 | $500 | |
| Smart thermostat (with eligible HVAC) | — | $125 | |
North Carolina customers can stack these with Energy Saver NC HEAR rebates — see the stacking section below. Full state context: North Carolina heat pump incentives.
South Carolina — Smart $aver
South Carolina's Smart $aver rebate values are identical to North Carolina's, line for line, for projects completed after August 1, 2025 — including the heat pump water heater rebate, which in South Carolina also applies to projects after August 1, 2025. The application flow is the same: a participating contractor submits for you, and the rebate arrives as a Mastercard.
| Measure | Minimum efficiency | Replace on Failure | Early Replacement |
|---|---|---|---|
| Air-source heat pump (three tiers) | 15.2 to ≥17 SEER2 / 7.5 HSPF2 | $350–$700 | $700–$900 |
| Mini/multi split (min. 1,000 sq. ft.) | ≥18 SEER2 / 9.0 HSPF2 | $700 | $900 |
| Electric furnace/baseboard → heat pump | ≥15.2 SEER2 / 7.5 HSPF2 | $1,500 | $1,500 |
| Conversions (dual fuel, cold-climate, geothermal) | varies by measure | $2,000–$2,300 | $2,400–$2,500 |
| Heat pump water heater (after 8/1/2025) | ENERGY STAR, UEF ≥3.3 | $500 | |
| Smart thermostat (with eligible HVAC) | — | $125 | |
One territory caveat: Duke's own FAQ notes that some customers in the Greenwood, S.C. area are not eligible for the heat pump water heater rebate — confirm with Duke if you're in that area. Full state context: South Carolina heat pump incentives.
Indiana — Smart $aver
Indiana's Smart $aver uses its own table for projects completed after July 31, 2025, with lower replacement tiers than the Carolinas but the largest single rebate in Duke's system: a $2,500–$3,000 dual-fuel conversion. Note that dual fuel pairs the heat pump with a gas furnace — the biggest number on this table is not an all-electric measure.
| Measure | Minimum efficiency | Replace on Failure | Early Replacement |
|---|---|---|---|
| Air-source heat pump | 15.2 SEER2 / 7.5 HSPF2 | $400 | $600 |
| Air-source heat pump | ≥16 SEER2 / 7.5 HSPF2 | $500 | $700 |
| Mini/multi split (min. 1,000 sq. ft.) | ≥18 SEER2 / 9.0 HSPF2 | $500 | $700 |
| Electric furnace/baseboard → heat pump | ≥15.2 SEER2 / 7.5 HSPF2 | $800 | $800 |
| Heat pump → dual fuel (≥80% AFUE) | ≥15.2 SEER2 / 7.5 HSPF2 | $2,500 | $3,000 |
| Heat pump → cold-climate heat pump (COP ≥2.0) | ≥21 SEER2 / 9.0 HSPF2 | $2,000 | $2,500 |
| Heat pump → geothermal (COP ≥3.6) | ≥17.1 EER2 | $2,300 | |
| Heat pump water heater | ENERGY STAR, UEF ≥3.3 | $350 | |
| Smart thermostat (with eligible HVAC) | — | $65 | |
Indiana's state rebate program is open and can stack on top. Full state context: Indiana heat pump incentives.
Florida — Home Energy Improvement
Duke Energy Florida runs a different program with a different process: the Home Energy Improvement (HEI) rebate requires a free Home Energy Check before work begins (or within the prior 24 months; for emergency replacements, within 12 months after installation). The condensing unit and air handler must be replaced at the same time, and you may use your own licensed, insured contractor.
| Measure | Minimum efficiency | Rebate |
|---|---|---|
| Heat pump replacement | 15.2 SEER2 / 7.5 HSPF2 | $500 |
| Strip heat → heat pump (standard tier) | 15.2 SEER2 / 7.5 HSPF2 | $600 |
| Strip heat → heat pump (high tier) | 16 SEER2 | $1,000 |
| AC replacement | 15.2 SEER2 | $300 |
| Heat pump water heater, 50-gallon | ENERGY STAR, UEF ≥3.3 | $500 |
| Heat pump water heater, 80-gallon | ENERGY STAR, UEF ≥3.3 | $800 |
Florida rebates are claimed through the HEI Rebate Portal after installation. Full state context: Florida heat pump incentives.
Kentucky — Smart $aver
Duke Energy Kentucky (the Cincinnati-adjacent northern Kentucky territory) runs a compact Smart $aver table: replacement rebates by tier and timing, one conversion measure, and no dual-fuel or cold-climate conversion tiers. A heat pump water heater rebate is offered; Duke's Kentucky page did not display the amount at our last verification, so confirm it on Duke's site before counting on it.
| Measure | Minimum efficiency | Replace on Failure | Early Replacement |
|---|---|---|---|
| Air-source heat pump | 15.2 SEER2 / 7.5 HSPF2 | $300 | $600 |
| Air-source heat pump | 16 SEER2 / 7.5 HSPF2 | $400 | $700 |
| Air-source heat pump | ≥17 SEER2 / 7.5 HSPF2 | $500 | $800 |
| Mini/multi split (min. 1,000 sq. ft.) | ≥18 SEER2 / 9.0 HSPF2 | $500 | $800 |
| Electric furnace/baseboard → heat pump | ≥15.2 SEER2 / 7.5 HSPF2 | $800 | $800 |
| Geothermal heat pump | ≥19 EER2 full load | $500 | $800 |
| Smart thermostat (with eligible HVAC) | — | $65 | |
Full state context: Kentucky heat pump incentives.
Equipment requirements
Across all Smart $aver states, eligible equipment must be AHRI certified with ECM motors, and program-specific duct sealing is required with HVAC replacements. Conversion rebates require that the existing system being converted is a heat pump with electric resistance strip heat serving at least 1,000 sq. ft. of conditioned living space, and mini/multi splits must condition at least 1,000 sq. ft. to qualify.
Heat pump water heaters must be ENERGY STAR certified with a uniform energy factor (UEF) of at least 3.3 in every state that publishes the spec; standard electric, standard gas, and tankless water heaters are not eligible. Systems must be installed and operable before the rebate application is submitted, and participating contractors must submit within 60 days of installation. Florida's HEI program adds its own rules: the Home Energy Check prerequisite and simultaneous replacement of the condensing unit and air handler.
Federal tax credits have ended
The Section 25C Energy Efficient Home Improvement Credit (up to $2,000 for heat pumps) and the Section 25D Residential Clean Energy Credit (30% for geothermal) both expired December 31, 2025. Duke Energy rebates and state programs are now the main sources of heat pump savings in Duke territory. See what the federal expiration means for details.
How Duke rebates stack with state programs
Duke rebates stack with state IRA rebates where a state program is open, and the stacking rule comes from the state side: in North Carolina, NC DEQ confirms households can receive both home energy rebates and utility incentives for the same product, as long as combined rebates do not exceed the purchase price of that product. North Carolina is the clearest worked example, because both layers are live and verified. Indiana's state program is also open; South Carolina, Florida, and Kentucky had not launched consumer HEAR rebates at our last verification, so Duke rebates are the primary layer in those states — check each state page for current status.
North Carolina, above 150% AMI — electric resistance to heat pump
- Not HEAR-eligible above 150% of Area Median Income (AMI)
- Duke Smart $aver conversion rebate: $1,500
- Duke heat pump water heater rebate: $500
Realistic maximum: ~$2,000
North Carolina, 80–150% AMI — electric resistance to heat pump
- Energy Saver NC HEAR heat pump: 50% of cost, up to $8,000
- Energy Saver NC HEAR heat pump water heater: 50% of cost, up to $1,750
- Duke Smart $aver conversion rebate: $1,500
- Duke heat pump water heater rebate: $500
Realistic maximum: ~$11,750 in combined rebate caps
North Carolina, below 80% AMI — electric resistance to heat pump
- Energy Saver NC HEAR heat pump: 100% of cost, up to $8,000
- Energy Saver NC HEAR heat pump water heater: 100% of cost, up to $1,750
- Duke Smart $aver conversion rebate: $1,500
- Duke heat pump water heater rebate: $500
Realistic maximum: ~$11,750, capped at the purchase price of each product
What you'll actually pay (North Carolina example)
For a household below 80% AMI converting electric resistance heat, HEAR can cover up to 100% of the heat pump's cost within its caps, with Duke rebates absorbing part of the remainder — $0 to a few thousand dollars out of pocket depending on project size. Above 150% AMI, Duke is the only rebate layer, so expect the project cost minus ~$2,000. Per-state numbers for South Carolina, Florida, Indiana, and Kentucky live on their state pages.
Combined rebates cannot exceed the purchase price of each product, and HEAR heat pump rebates only apply when upgrading from a non-heat-pump system. Duke's biggest Carolina and Indiana conversion rebates (dual fuel, cold-climate, geothermal) start from an existing heat pump, so they generally do not pair with a HEAR heat pump rebate on the same project.
How to apply
In the Smart $aver states (North Carolina, South Carolina, Indiana, Kentucky), the contractor handles the paperwork:
Find a participating contractor
Use Duke's Find It Duke referral tool from the Smart $aver page to connect with a participating contractor for your project.
Confirm the equipment qualifies before install
Check your state's table above for the SEER2/HSPF2 tier you're buying, and whether it counts as Replace on Failure or Early Replacement — the difference can double the rebate.
The contractor completes the work and submits the application
The system must be installed and operable first; contractors submit within 60 days of installation. Retail-purchased heat pump water heaters can be self-submitted at smartsaverincentives.com.
Receive your rebate as a Mastercard
Choose a physical card in the mail or a digital Mastercard for your virtual wallet.
⚠ Florida's process is different
Duke Energy Florida's HEI program requires a free Home Energy Check before work begins (or within the prior 24 months; within 12 months after installation for emergency replacements). After installation, submit and track the rebate through the HEI Rebate Portal. Skipping the Home Energy Check is the most common way Florida customers lose the rebate.
What to watch
Commission-approved program cycles
Duke's rebate tables are set through state utility commission filings and have changed twice in roughly a year — North Carolina amounts increased in January 2025, and new tables took effect August 1, 2025 (July 31 in Indiana). Expect the next cycle to revise amounts again; the effective-date lines on Duke's tables are the tell.
Multifamily tiers marked "Coming Soon"
The Carolinas and Indiana multifamily tables list several 1.5-ton measures as Coming Soon. When those rows get amounts, small-unit owners gain new rebates.
State HEAR launches change the stacking math
North Carolina and Indiana state rebates are live today. If South Carolina, Florida, or Kentucky launch consumer HEAR rebates, Duke customers there gain a second layer worth thousands — watch each state page for launch status.
Frequently asked questions
What heat pump rebates does Duke Energy offer in 2026?
Duke Energy offers residential heat pump rebates in five of its six states through the Smart $aver program (North Carolina, South Carolina, Indiana, Kentucky) and the Home Energy Improvement program (Florida). Amounts range from $300 for a base-tier replacement in Kentucky to $3,000 for a dual-fuel conversion in Indiana. Ohio has no residential heat pump rebate. Each state has its own rebate table, efficiency requirements, and effective dates.
Are Duke Energy heat pump rebates the same in every state?
No. Each state's program is separately approved by that state's utility commission, so amounts, eligible measures, and effective dates differ. North Carolina and South Carolina share identical Smart $aver tables (up to $900 for replacements, up to $2,500 for conversions), Indiana tops out at $3,000 for a dual-fuel conversion, Florida runs a separate Home Energy Improvement program with a required Home Energy Check, Kentucky pays $300–$800, and Ohio offers no residential rebates at all.
What is the difference between a Replace on Failure rebate and an Early Replacement rebate?
Duke's Smart $aver tables pay two different amounts for the same equipment: a lower Replace on Failure amount when your old system has already died, and a higher Early Replacement amount when you proactively replace working equipment. The difference can be substantial — in the Carolinas, a 15.2 SEER2 heat pump earns $350 on failure but $700 as an early replacement. If your system is old but still running, replacing it before it fails pays more.
Can I stack Duke Energy rebates with state HEAR rebates?
Yes, where a state HEAR program is open. In North Carolina, NC DEQ confirms households can receive both home energy rebates and utility incentives for the same product, as long as the combined rebates do not exceed the purchase price of the product. Indiana's state rebate program is also open. South Carolina, Florida, and Kentucky had not launched consumer HEAR rebates as of our last verification, so Duke rebates are the primary layer there.
Does Duke Energy Ohio offer heat pump rebates?
No. Duke Energy Ohio's residential offerings include supplier choice, renewable energy programs, and billing tools, but no heat pump, HVAC, or efficiency rebates. The Smart $aver program is not available to Ohio customers. Ohio homeowners should check the Ohio state incentives page for what exists outside the utility.
See also
- North Carolina Heat Pump Rebates 2026
- South Carolina Heat Pump Rebates 2026
- Florida Heat Pump Rebates 2026
- Indiana Heat Pump Rebates 2026
- Kentucky Heat Pump Rebates 2026
- Ohio Heat Pump Rebates 2026
- Xcel Energy Heat Pump Rebates 2026
- Efficiency Maine Heat Pump Rebates 2026
- Federal Heat Pump Tax Credits Ended — What It Means
- All State Heat Pump Incentives
- Are Home Batteries Worth It in 2026?
Sources
- Duke Energy — Smart $aver Home Improvement Rebates (NC, SC, IN, KY — content set by site location)
- Duke Energy — Smart $aver Heat Pump Water Heater Rebate (content set by site location)
- Duke Energy Florida — Home Energy Improvement HVAC Replacement
- Duke Energy Florida — Home Energy Improvement Heat Pump Water Heater
- NC DEQ — Energy Saver North Carolina Energy Efficiency Rebates (stacking rules)
Disclaimer: This page covers the main residential heat pump incentives Duke Energy offers to homeowners in North Carolina, South Carolina, Florida, Indiana, Kentucky, and Ohio in 2026. It does not calculate savings, guarantee eligibility, or represent Duke Energy or any incentive program. Duke's website shows program details based on your location, and amounts are set by each state's utility commission, so always confirm your state's current table on Duke's site and with your contractor before making decisions. We verify status regularly but programs can change without notice.