City, County residents can receive $500 rebate toward new water heaters

Residents throughout Missoula County are now eligible to receive a $500 rebate for replacing water heaters in their homes with certain energy-efficient alternatives, thanks to a new rebate program Missoula County and the City of Missoula recently launched.

Residents who buy and install qualifying heat pump water heaters can apply online to receive the rebate by submitting proof of purchase and installation. Heat pump technology is more energy efficient than traditional electric or propane appliances because it extracts heat from an external source instead of generating it. Heat pump technology can be found in clothes dryers, water heaters and mini-split heaters and air conditioners. A list of more than 500 heat pump water heaters that qualify for this rebate are available online.

The City and County have $40,000 to distribute by 2025 through funding the Montana Department of Environmental Quality provided. $20,000 is reserved for county residents who live outside of city limits, and the remaining $20,000 is reserved for city residents. The project is supported by the nonprofit Climate Smart Missoula and is a part of the Electrify Missoula campaign, which aims to help the City and County reach their goal of 100% clean electricity for the Missoula urban area by 2030. Additional initiatives to support this goal will be announced in the coming months.

Funds will be distributed on a first-come, first-served basis, and there is no income restriction or limit. Though anyone can apply for a rebate, residents who use propane to heat their water are encouraged to apply, as they will likely see long-term savings on their energy bills.

To ensure equitable distribution of the rebates, residents may submit a pre-approval form to reserve a rebate for 30 days until they are able to purchase and install the qualifying product. If the applicant’s project is delayed, they may request to extend their rebate reservation at any time before their 30-day window lapses. Residents are eligible to apply without pre-approval, but there is no guarantee that funds will be available. Appliances must be purchased on or after June 1, 2023, to qualify.

In addition to the $500 rebate, participants are eligible to receive an additional $75 if they complete a satisfaction survey three months after receiving their rebate. While the federal Inflation Reduction Act is set to provide rebates to homeowners and renters, these likely won’t be available until late 2023 or early 2024. This local program is intended to help residents begin to transition to electric home appliances. Products that are eligible for this rebate are also eligible for a 30% tax credit through the Inflation Reduction Act. Information on this rebate, and the accompanying tax credit, are available on at electrifymissoula.org. Additionally, residents who are also customers of Missoula Electric Co-op may be eligible for an additional rebate through the utility. For more information, visit their website.