Categories: BlogFocus on Energy

2017 Focus on Energy Furnace and AC Incentives

Madison WI pollen count impact on HVAC efficiency

 

Incentives for Heating and Cooling Improvements

The new home performance incentives are out and we are breaking down the potential incentives for those that qualify.  We already talked about Smart Thermostats, and in this post we will include Heating Equipment and Cooling Equipment.

Not only will you save money with the energy savings of new equipment, but the incentive of doing it according to Focus on Energy guidelines will ensure you go down the right path. The most important thing to remember with your heating and cooling equipment is that it consumes nearly half of the homes total energy use!

How do you know it is time to replace your equipment?

  1. Your heating and cooling equipment is unreliable, inefficient, or over 15 years old.
  2. You’ve noticed excessive blower noises or sporadic pops, bangs, or rattles from your furnace.
  3. You have a manual or programmable thermostat that you don’t set back regularly.
  4. Your energy bills have gone up.

What are the Incentives for Replacing my Equipment?

Heating and Cooling Equipment Tier 1 Tier 2
   Incentive    Incentive  w/
Smart Thermostat*		     Incentive    Incentive  w/
Smart Thermostat*
Natural gas multi-stage furnace with ECM, 95%+ AFUE   $125   $250 $525 $650
Natural gas multi-stage furnace with ECM and 95%+ AFUE
installed with a 16+ SEER central air conditioner		 $250 $375 $750 $875
Modulating natural gas boiler with outdoor reset control, 95%+ AFUE  $400 $525 $550 $675
Modulating combination natural gas boiler with integrated domestic hot water and outdoor reset control, 95%+ AFUE   $500 $625 $675 $800
Natural gas furnace, 95%+ AFUE NA NA $350 $475
Propane multi-stage furnace with ECM, 90%+ AFUE $100 NA $300 NA
Indirect water heater (installed at the same time as qualified boiler) $100 NA $150 NA
Air source heat pump 16+ SEER and 8.4+ HSPF (propane, oil or electric furnace only; cannot be a mini-split or ductless system) $300 $425 $300 $425
ECM replacement (must replace PSC motor) $100 NA $100 NA
Ductless/mini-split heat pump for electric resistance heated home, 18+ SEER and 9.0+ HSPF (only for homes heated solely with electric resistance heat) $500 NA $500 NA
Heat pump water heater for electric water heater replacement only (ENERGY STAR qualified) $300 NA $300 NA
Smart thermostat stand-alone (not installed along with new program qualified HVAC equipment). For use with natural gas furnace, natural gas boiler, and air source heat pump only. $75 NA $75 NA
*Includes installation and smart thermostat incentive. NOTE: Work with your Trade Ally to ensure the equipment you install qualifies for Focus on Energy incentives. Qualified equipment lists and complete eligibility requirements are listed below.

What are Tier 1 and Tier 2 brackets?

If your gross annual or three-month household income is 80 percent or less of the State Median Income, you may be eligible for Tier 2 benefits. If your gross annual or three-month household income is above 80 percent of the SMI, you may be eligible for Tier 1 benefits. To determine if your income qualifies, find your gross annual or gross three-month income and household size in the chart below. For example: If you have four family members, find “4” in the Household Size row and then look at the income amount in the Income rows below. If your gross annual household income is less than $67,115 or gross three-month income is less than $16,779, you may qualify for Tier 2 benefits. Please see further details on determining your income level in this PDF.

2017 State Median Income (SMI) Chart
Household Size Annual Income 80% SMI 3 Month Income 80% SMI
1 $34,899 $8,725
2 $45,638 $11,409
3 $56,376 $14,094
4 $67,115 $16,779
5 $77,853 $19,463
6 $88,591 $22,148
7 $90,604 $22,651
8 $92,618 $23,154
9 $94,631 $23,658
10 $96,645 $24,161
11 $98,658 $24,665
12 $100,672 $25,168

Below are the most popular incentives for Tier 1.

High-Efficiency Furnaces

Propane Multi-Stage Furnace with ECM, 90%+ AFUE
Tier 1 Financial Incentive: $100

  • Furnace must have an annual fuel utilization efficiency (AFUE) of 90 percent or greater.
  • Must be a customer of a participating electric utility.
  • Propane furnaces are eligible. Electric, oil, and natural gas furnaces are not eligible.
  • Furnace must have a multi-stage or modulating burner.
  • Furnace must have an electronically commutated motor (ECM). An ECM is sometimes referred to as a variable speed, constant-airflow, constant torque, electronically efficient (EEM), or X-13 motor. A permanent split capacitor motor (PSC), single- or multi-speed, does not qualify.
  • Furnace must be a sealed combustion unit and must be the primary heating source for the home’s living space.
  • Chimney liners must be installed where a high-efficiency gas furnace replaces an atmospherically-drafted furnace and only a water heater remains vented through the chimney. The interior opening left by the removed furnace must be closed with a metal cap and sealed with caulk or mortar.

Natural Gas Multi-Stage Furnace with ECM, 95%+ AFUE
Tier 1 Financial Incentive: $125

  • Furnace must have an annual fuel utilization efficiency (AFUE) of 95 percent or greater.
  • Must be a customer of a participating electric utility and a participating natural gas utility. Customer must use natural gas for home heating.
  • Only natural gas furnaces are eligible.
  • Furnace must have a multi-stage or modulating burner.
  • Furnace must have an electronically commutated motor (ECM). An ECM is sometimes referred to as a variable speed, constant-airflow, constant-torque, electronically-efficient (EEM), or X-13 motor. A permanent split capacitor motor (PSC), single- or multi-speed motors are not eligible.
  • Furnace must be a sealed combustion unit and must be the primary heating source for the home’s living space.
  • Chimney liners must be installed where a high-efficiency gas furnace replaces an atmospherically-drafted furnace and only a water heater remains vented through the chimney. The interior opening left by the removed furnace must be closed with a metal cap and sealed with caulk or mortar.

High-Efficiency Furnace and Air Conditioner Combination

Natural Gas Multi-Stage Furnace with ECM and 95%+ AFUE
Installed with a 16+ SEER Central Air Conditioner
Tier 1 Financial Incentive: $250

  • Furnace must have an annual fuel utilization efficiency (AFUE) or 95 percent or greater.
  • Seasonal energy efficiency ratio (SEER) for the combination of the furnace, outdoor unit, and inside coil must be 16 or greater.
  • Must be a customer of a participating electric utility and a participating natural gas utility and use natural gas for home heating.
  • Qualified furnace and air conditioner must be installed at the same time and may not be combined with individual equipment incentives.
  • If installing a qualified furnace and air conditioner and the condenser cannot be set due to weather:
    • The evaporator coil must be installed at the same time as the furnace.
    • The invoice must include the condenser model and state when the condenser will be installed.
    • The application must be submitted within 60 days of the furnace and evaporator coil installed.
  • Furnace must be a sealed combustion unit and must be the primary heating source for the home’s living space.
  • Furnace must have a multi-stage burner or modulating burner.
  • Furnace must have an electronically commutated motor (ECM). An ECM is sometimes referred to as a variable speed, constant-airflow, constant torque, electronically efficient (EEM), or X-13 motor. A permanent split capacitor motor (PSC), single- or multi-speed, does not qualify. A Pre-Qualified Equipment list is available below.
  • Chimney liners must be installed where a high-efficiency gas furnace replaces an atmospherically-drafted furnace and only a water heater remains vented through the chimney. The interior opening left by the removed furnace must be closed with a metal cap and sealed with caulk or mortar.
  • An air source heat pump cannot be used to meet the air conditioner portion of this incentive.

About Us

Pharo Heating carries and professionally installs the Honeywell WiFi Smart thermostats and Bryant Heating and Air Conditioning Products.  For more information on Pharo Heating and Bryant products, do not hesitate to contact us. Want to stay up to date on specials and events? Be sure to follow us on Facebook.

 

Eric Townley

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Published by
Eric Townley
9 years ago

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