Home Energy

Handing Changing Temperature on Thermostat

1. Overview

Homes in Denver come in a variety of shapes and sizes. More importantly, how we use energy at home varies when we take into account a home’s age and structure, the number of people living in the home, and the change in season throughout the year. Making your home energy efficient can improve comfort and indoor air quality while reducing your energy bills. It can also help the city meet its climate goals while protecting public health.

Denver Climate Action Rebates
The city is incentivizing the deployment of highly efficient, all-electric energy equipment for Denver residents. Save hundreds of dollars while also helping save the planet! More information.

2. Denver Climate Action Rebates

Overview 

The city is incentivizing the deployment of highly efficient, all-electric energy equipment for Denver residents. As part of these rebates, Denver residents can also apply for up to a $1,200 instant rebate when purchasing a qualifying electric bike (e-bike) from a participating bike shop.

  • Rebates are not retroactive, rebates can only be used for projects that have signed contracts on or after April 22, 2022.
  • Rebates can cover up to 80% of the total installed project cost or the incentive amounts listed below, whichever is lower.
  • Available to residents to receive an up-front discount from their contractor on their project cost. Contractors must submit applications, not homeowners. 

How to Apply

  1. Research and choose what equipment you want to install (see full list below).
  2. Get quotes from approved contractors. Make sure to emphasize you're interested in Denver's Climate Action and Xcel Energy's rebates.
    Climate Action Rebate Registered Contractors List (PDF, 226KB)
  3. Choose contractor and schedule an install. Discount for services should be in your quote/invoice. 
  4. Your contractor will submit paperwork for the rebate on your behalf (contractor portal to submit rebates denverclimaterebates.com).

Resident Eligibility

Who's eligible for Denver's Climate Action Rebate program?

To utilize this program, you have to:

  • Live in the City and County of Denver.
  • Be using the rebate for at an existing residence. New construction is not eligible.
  • Live in either an existing single-family homes or multi-family building of 4 units or less.
  • Be Xcel Energy customer.

How do I know if I'm income-qualified?

Large discounts are available for income-qualified households ONLY through Energy Resource Center (720) 236-1321, info@erc-co.org. Energy Resource Center can submit applications for income-qualified residents, not regular contractors or individual residents.

To meet the “Income-Qualified” requirement, the applicant must meet one of the following:  

 

Eligible Equipment

Eligible Equipment

Denver Rebate Value (up to 80% of the total cost)

E-Bikes

$400
($1200 income-qualified)

EV charging home wiring

$1,000

Air source heat pump

$7200 (high efficiency)
$9000 (cold climate)

Ground source heat pump

$1800/ton up to $9000

Mini-split heat pump

$4500
$5400 (cold climate)

Heat pump water heater

$1400 (high efficiency)
$3200 (smart)

Solar

Solar rebates are on hold as we implement updates that support program administration and improve clarity for customers and solar installers.  

Battery storage*

$500
$2750 (*only available with heat pump, heat pump water heater, or bidirectional EV charger install)

Electric service upgrade*

$2000 (*only available when paired with one of the other rebates)

Heat Pumps

Heat pumps are an energy-efficient alternative to furnaces and air conditioners for all climates. That’s right, heat pumps can heat AND cool. Like your refrigerator, heat pumps use electricity to transfer heat from a cool space to a warm space rather than generating heat. 

Heat Pump 101: 

  • During the winter, heat pumps move heat from the cool outdoors into your warm home. 
  • During the summer, heat pumps move heat from your house into the outdoors.  

There are three main types of heat pumps: air source, ground source, and mini-split.  

  • Air source heat pumps transfer heat between your house and the outside air. This can reduce your electricity use for heating by approximately 50% if you use furnaces or baseboard heaters. 
  • Ground source heat pumps are more efficient and work better in cold climates. Ground source heat pumps transfer heat between your house and the ground, which often stays warmer than the air during very cold winters.
  • Regular heat pumps operate best when the temperature is about 25 degrees, and cold climate heat pumps can operate effectively at outdoor temperatures down to 5 degrees. Heat pumps can be paired with backup heating systems for colder days. That way, the vast majority of the year you’re taking advantage of the higher efficiencies and lower operating costs of heat pumps, but are still able to stay warm when it’s especially cold out. 
  • For homes without ducts, mini-split heat pumps can provide many of the same benefits as air-source heat pumps without the need for extensive home renovations.  

If you’re ready to replace your existing heating and cooling system with a heat pump, you can find a contractor using Xcel Energy’s Registered Contractor List to install a heat pump from Xcel’s Eligible Equipment List.  

Income-qualified residents are eligible for incentives of up to 100% of installed project costs after taking advantage of Xcel’s rebates, or up to $6,000.   

Eligible Equipment

Climate Action Rebate Amount

Air source heat pump (high efficiency)

$7,200

Air source heat pump (cold climate)

$9,000

Ground source heat pump

$1,800 per ton up to $9,000

Mini-split heat pump

$4,500

Mini-split heat pump (cold climate)

$5,400

Top 10 Tips for New Heat Pump Owners

Heat Pump Water Heaters

Heat pump water heaters use electricity to move heat from one place to another. Instead of generating heat, they pull heat from the surrounding air and transfer it to heat water. Benefits include: 

  • Two to three times more energy efficient.
  • Lower operating costs than conventional electric resistance water heaters.
  • Year-round usage if installed in locations that remain between 40-90°F.  

You can even install an air-source heat pump that combines heating, cooling, and water heating. If you’re ready to replace your water heater with a heat pump, you can find a contractor using Xcel Energy’s Registered Contractor List. to install a heat pump from Xcel’s Eligible Equipment List. If you install a high-efficiency heat pump water heater you are eligible for a rebate of up to $1,400 and if you install a smart heat pump water heater you are eligible for a rebate of up to $3,200. If you are an income-qualified resident, the Climate Action Rebate program will cover 100% of your installed costs after taking advantage of Xcel’s rebates up to $6,000. 

Solar

Thank you, Denver, for your enthusiasm to go solar! Solar rebates are on hold as we implement updates that support program administration and improve clarity for customers and solar installers.  

If you want to know when solar rebates are available again, please sign-up for notifications that we will share throughout the year.  

 

 

Battery Storage

Battery storage pairs well with solar, even if you can’t put solar panels on your home. Battery storage can replace a backup gas generator, allowing you to keep essential devices operating during power outages.  

If you’re interested in installing a battery, the Climate Action Rebate program will provide $500 ($1,000 for income-qualified residents). This rebate assists with the cost of hiring a licensed electrician and installing a new battery system. You are eligible for an increased rebate of $2,750 ($4,750 for income-qualified residents) through the Climate Action Rebate program if you: 

  • Already have a heat pump, a heat pump water heater, or a bidirectional EV charger installed in your home, OR
  • If your contractor is applying for a Climate Action Rebate program to install any of those three pieces of equipment at your home.

You can use any licensed electrician to install this equipment as long as they are registered with the Climate Action Rebate program.

Electric Vehicle Charging Home Wiring

Level 1 charging cables can take a while if you own an electric vehicle. EV owners interested in charging up faster can consider installing a Level 2 charger at their home. The EV Charging Home Wiring Rebate provides up to $1,000 (up to $1,700 for income-qualified residents) to assist with installing either an Energy Star Certified Level 2 EV Charger or a home Tesla charger.

You can use any licensed electrician to install this equipment as long as they are registered with the Climate Action Rebate program. If you are interested in renting an EV charger from Xcel and using our rebate to cover installation and wiring costs, you can sign up to participate in Xcel’s EV Accelerate at Home program.

 

V2B/Bidirectional Electric Vehicle Charging

Electric vehicles (EVs) are becoming more prevalent.  Owners often want to take advantage of their large batteries and their ability to store electricity. Most EVs have their batteries charged and then use that power to drive around. Several “Vehicle 2 Home” or “bidirectional” chargers are now on the market, allowing fully-charged EVs to discharge their battery and return power to a home.   Bidirectional chargers open up the potential for: 

  • Plugged-in EVs provide power back to the electrical grid at peak times to help keep up with electrical demand. This avoids bringing extra fossil fuel generating stations online.
  • Extra power for the home during a power outage (helpful to keep a fridge or essential medical equipment running) 

If you’re interested in being a trailblazer, you can apply for up to $2,000 to cover installation costs (or up to $4,000 or 100% of installed costs for income-qualified residents). 

You can use any licensed electrician to install this equipment as long as they are registered with the Climate Action Rebate program.

Electric Service Upgrade

If you’re applying for a rebate, your home electrical panel may need an upgrade to support the extra electrical load. This add-on rebate helps cover the cost of that electrical upgrade, including a new panel and any associated wiring.  

Up to $2,000 is available (up to $4,000 for income-qualified residents) to applicants applying for another rebate through the Climate Action Rebate program.

You can use any licensed electrician to install this equipment as long as they are registered with the Climate Action Rebate program.

3. Additional Rebates, Financing and Tax Credits

Rebates through Xcel Energy

  • Full list of residential rebates available through Xcel Energy
  • Home Energy Squad - $50 trip fee, includes full replacement of all incandescent bulbs with LED lights, weather-stripping, smart thermostat, faucet aerators. Schedule an appointment online or call 303-446-7910. You may also submit your information, and Xcel will call you to schedule an appointment.
  • Full Home Energy Audit – Can be combined with a Home Energy Squad visit for a total cost of $150. In addition to the services above, a home audit utilizes diagnostic tools to assess the home’s air leakage as well as infrared camera images to identify problem areas.

Financing

  • RENU Loan – Colorado Energy Office statewide energy loan program.

This loan makes energy upgrades easy and affordable by offering low-cost, long-term financing for energy efficiency and renewable energy improvements. 

Tax Credits

Database of State Incentives for Renewables and Efficiency

4. Prioritizing Energy Improvements

Home Energy Audits

A home energy audit is a 2-3 hour diagnosis of your home performed by a certified and licensed auditor. The diagnostic tools used during an audit (blower door and infrared camera) are used to help diagnose a home when you can’t see issues with the naked eye. After the audit is complete, a report will identify opportunities to improve your home now, and into the future when it’s time to replace appliances such as your heating or cooling systems. 

Xcel Energy offers a few programs you may wish to take advantage of to assess your home:

  • Home Energy Squad - $50 trip fee, includes full replacement of all incandescent bulbs with LED lights, weather-stripping, smart thermostat, faucet aerators. Schedule an appointment online or call 303-446-7910. You may also submit your information, and Xcel will call you to schedule an appointment.
  • Full Home Energy Audit – Can be combined with a Home Energy Squad visit for a total cost of $150. In addition to the services above, a home audit utilizes diagnostic tools to assess the home’s air leakage as well as infrared camera images to identify problem areas.

Prioritize Upgrades

  1. Behavior Changes
  • Open/close blinds during hot or cold days
  • Install motion sensors/timers
  • Utilize power strips to turn off stand-by power

Instant rebates for select items like power strips available at the Xcel Energy Store: www.XcelEnergyStore.com

2. DIY Changes

  • Insulate hot water pipes and older water heaters
  • Consider alternatives to window replacements such as storm window attachments or insulated blind attachments (Window Attachments Energy Rating Council)
  • Place a chimney balloon in your fireplace
  • Establish annual heating and cooling maintenance to extend the life of your systems
  • Weather-stripping and caulking around doors and windows     

The Home Energy Squad through Xcel Energy offers a quick install home visit for one fee of $50. Call 303-446-7910 to learn more or visit www.XcelEnergy.com

3. Low Cost Changes

  • Change out incandescent bulbs to LEDs
  • Insulate and air seal attic, crawlspace and walls where possible

4. Higher-Cost Changes

  • Upgrade heating/cooling systems
  • Upgrade appliances to Energy Star rated

Going Solar

  • Consider Rooftop or Community Solar – Taking steps to reduce your energy use before adding solar can save money on energy costs and may even mean fewer solar panels needed on your property.
  • Sign-Up for Windsource – A program through Xcel Energy that allows customers to purchase renewable energy

Reduce Your Household Gas Use

Learn how you can reduce gas use in your home from small appliances like stoves, fireplaces, and outdoor heaters.

5. Additional Energy Cost Savings for Denver Residents

Saver's Switch

Receive a $40 bill credit each year in October

On a few hot summer days a year, Xcel Energy may cycle your air conditioner off and on and will circulate the already-cooled air throughout your home.

Call Xcel at 800-895-4999 to enroll or learn more online.

AC Rewards Smart Thermostat Program

Receive a $25 bill credit each year and qualify for up to $125 in additional rebates

Adjustments are made to your smart thermostat during the hottest summer days to help Xcel Energy manage the electric grid.

Customers can have a smart thermostat installed by Xcel Energy at no cost.

Call 800-895-4999 to enroll or learn more online.

Recycle Your Old Refrigerator or Freezer

Receive a $50 check by mail for each working fridge or freezer recycled

Plug in your fridge or freezer the night before the pickup date to show that it works when it is picked up the next day.

Call 866-552-8755 to make an appointment for your free refrigerator pickup or learn more online.

Colorado Low Income Energy Assistance Program (LEAP)

Get help paying a portion of your winter home heating costs

Households with a monthly gross income up to $4,561 for a family of 4 (60% of the state median) may qualify for heating assistance this winter through LEAP.

Call 866-432-8435 or go the website for more information.


Colorado's Affordable Residential Energy Program (CARE)

Receive FREE energy efficiency evaluations and upgrades

Households with an annual income up to $80,0000 for a family of 4 (80% of the area median) may qualify for free energy efficiency upgrades such as energy audits, emergency repairs, and equipment replacement from Energy Outreach Colorado.

Call 303-226-5061 or go to the website for more information.


Colorado's Weatherization Assistance Program

Receive FREE energy efficiency evaluations and upgrades

Households with an annual income up to $52,400 for a family of 4 (200% of federal poverty guidelines) and those that qualify for LEAP, SSI, SNAP, TANF, AND, or OAP, may qualify for free energy services such as insulation, HVAC upgrades, light bulb replacements, appliance replacements, and more.

Call 720-236-1321 or go to the website for more information.