Thanks to offers from ComEd and the IRA, you can save now and save later when you install new high-efficiency heating and cooling equipment in your Fox River Valley home. You’ll need a qualified contractor to take full advantage, and Compass Heating and Air has you covered on all fronts.
In this article, we’ll outline two great offers that every homeowner in Barrington, East Dundee or any Fox River Valley town should know about. Put together, you can save up to or more than a thousand dollars on a new furnace, central air system, or mini split/heat pump system.
There’s only one catch if you can even call it that: The new equipment must meet energy efficiency requirements. But that works out even better for you in the long run.
High-efficiency uses less energy than other options. So, after you save a bundle on the installation, you’ll see lower bills every month after that.
Once again, we reached out to ComEd communication specialist Luz Bottecchia for the most up-to-date information. We heard from Chris Czarnecki, government relations manager for the Air Conditioner Contractors of America
But first, let’s start local.
- Air source heat pumps qualify for discounts up to $2,000 for systems that have a SEER rating of 16 or greater or SEER2 of 15.2 or greater.
- Mini-split heat pumps qualify for discounts up to $1,350 for systems with a SEER rating of 17 or above and 9.5 HSPF or 16.1 SEER2 and 9 HSPF2 ratings.
- Central air conditioning, the more efficient system, the bigger the savings you can receive!
o $125 for = 15 SEER
o $125 for = 14.2 SEER2
o $175 for = 16 SEER
o $175 for = 15.2 SEER2
o $225 for = 18 SEER
o $225 for = 17.2 SEER2
- Geothermal Heat Pump systems can qualify for up to $9,000 per hp,e
- Geothermal Ground Source Heat Pump replacement can qualify for discounts between $1,275 and $1,800
o $1,275 on = 15 EER
o $1,500 on = 17 EER
o $1,800 on = 20 EER
You can even get discounts for system tune-ups!
Air source Heat Pumps qualify for $100 discount, and Central Air Conditioning systems qualify for a $35 discount!
Adding a Smart Thermostat will get a discount of $100 , and there’s an addition $75 rebate through the ComEd Marketplace- just click here for more information. Duct sealing also can save you $250!
Check out more energy-saving tips here.
And, those savings have been especially welcome over the last dozen months: ComEd noted a three-percent increase in residential use in 2020. That was due in large part to people being home more because of the pandemic.
But, that uptick was accompanied by a 4.9-percent decrease in system usage across the board.
“ComEd’s average residential customers’ bills will be lower this year than they were in 2008, in part because these successful energy efficiency programs have helped them use less energy,” said Boettechia.
You can apply online for the offers, and many of them are provided through a certified HVAC contractor at the time of service- be sure to ask your contractor about these discounts! To qualify, you must have the unit installed by a qualified service provider. We’ll get into that a little later.
Meanwhile, the models you choose have to meet specific efficiency requirements. You’ll notice “HSPF” and “SEER” next to the models.
The HSPF or Heating Seasonal Performance Factor,(now HSPF2), tells you how much energy a heat pump uses to produce heat.
Seasonal Energy Efficiency Ratio, or SEER, (now SEER2) measures how much energy your HVAC unit uses to provide air conditioning.
The benefit of a certified provider, along with knowing the work gets done correctly, is having someone familiar with the process and qualifications.
Also, make sure the company you choose is certified by the brand you’ve purchased. Most brands require a certified tech to install the new equipment. Otherwise, they’ll void the warranty.
For the rebate itself, we’ll fill out an application and include invoices for every item installed. Mini splits, for instance, have two or more components, depending on the setup.
Broadly speaking, every year for the next ten years, Illinois homeowners can claim a tax credit for 30 percent of the cost of qualified projects that make their home less drafty or improve energy efficiency, to an annual limit of $1,200 credit.
That means you can spend $4,000 annually to improve the comfort and efficiency of your home and the IRA will throw you up to $1,200 of that investment back in the form of tax credits and cash rebates.
Qualifying incentives include:
- Up to $600 for highly efficient heat pump air conditioners; electrical panel upgrades; and water heaters, furnaces, and water boilers that run on natural gas, propane, or oil. These products must meet Consortium for Energy Efficiency’s highest efficiency tier.
- Up to $150 for a home energy audit
- $600 for new energy-efficient exterior windows or skylights
- $500 for exterior doors
The Illinois Citizens Utility Board supports the IRA because they have long argued that climate change will cost electric customers billions in higher bills in years to come, so the board concludes that fighting climate change through strong clean energy legislation is a pro-consumer issue.
Now, this is a credit, not a rebate. That means however much you qualify for comes off what you owe. So let’s say Uncle Sam’s expecting $2,000 in taxes after you file. With a $600 credit, you’ll only owe $1,400.
And, if you owe less than $600 — say, $200 — in taxes, the rest is a rebate. Using that $200 number, you’d get $400 back with a $600 credit.
Call or email Compass Heating and Air for a free consultation when you’re ready to replace your old heating and cooling system. We’ll help you choose a new, energy-efficient HVAC system that will keep your home comfortable while saving you money.