When it’s time to invest in a new HVAC system for your home, you have many different options to choose from. One option that is becoming popular is the heat pump. Many homeowners are choosing this type of HVAC system because of the NYS Heat Pump program.
The Path to Zero-Carbon Emissions
It likely doesn’t come as a surprise to most New York homeowners that the state is transforming its power grid to zero-carbon electricity. Currently, New York is aiming to have 70% of its electricity produced from renewable energy sources by 2030. By 2040 it hopes to have zero-emission electricity. This is all being done to help reduce greenhouse gas emissions and local pollution within the state.
It’s been determined that the heating and cooling of buildings in New York accounts for one-third of the state’s total greenhouse gas emissions. This makes it a big area of concern when it comes to switching to more electrification from renewable energy sources. New York is currently offering a $454 million state rebate program to help drive the adoption of more energy-efficient heating and cooling systems. This effort is a big collaboration between the NYSERDA (New York State Research and Development Authority) and six investor-owned electric companies throughout the state. These include conEdison, NYSEG, NationalGrid, RG&E, Orange & Rockland, and Central Hudson.
Why Are Heat Pumps the HVAC System of Choice?
Heat pumps are the most efficient heating system on the market today. This type of system can provide both heating and cooling for any home. When in heating mode, heat pumps can operate at an efficiency level of up to 400%. The only thing that comes close to this is the electric furnace that operates at 100% efficiency.
When your HVAC system is functioning at a high-efficiency level, it not only saves you money on your electricity bills but also greatly reduces your energy usage. This lowers your household’s overall carbon footprint and reduces the demand for electricity from your local power grid. Because these systems are so efficient, New York has chosen them as the HVAC system of choice to help it reach its zero-carbon goal.
Types of Heat Pumps
Heat pumps are the HVAC system of choice to receive this tax rebate due to their ability to operate extremely efficiently. There are two different styles of heat pumps that you can purchase for your home: air-source and ground-source. Air-source heat pumps tend to be a popular option due to their non-invasive installation process alongside their vast affordability for the average homeowner. Traditionally, air-source heat pumps could only function at temperatures above freezing. When temperatures dipped too low, they would have to switch over to an internal heating element to warm the air in your home. When in this auxiliary heating mode, air-source heat pumps weren’t as efficient.
However, new technology helps newer air-source heat pumps continue to function efficiently at temperatures below freezing. This has opened the door for homeowners in colder regions to take advantage of the efficiency of air-source heat pumps. Another type of heat pump is the ground-source or geothermal heat pump. Unlike the air-source heat pump, a geothermal heat pump doesn’t transfer heat from the air outside. Rather, it pulls heat out of the soil to warm your home during the winter months. This provides more consistent heating regardless of what the outdoor temperature is. Geothermal heat pumps tend to be more expensive than their counterpart. However, they do have a much longer lifespan.
New York Tax Credits
New York is offering cash credits to homeowners who invest in either air-source or geothermal heat pumps. Those who invest in an air-source heat pump typically receive anywhere between $2,000 and $3,000 on the state level in the form of a tax credit. Those who invest in a geothermal heat pump typically receive anywhere between $7,000 and $9,000, according to the NYSERDA’s website. You can input your information on their website to determine what specific tax credits you’re eligible for and in what amounts.
Federal Tax Incentives
Your eligibility to receive tax incentives doesn’t stop at the state level. The federal government currently is offering homeowners who invest in an eligible heat pump system a tax rebate. This is offered under the Inflation Reduction Act, where most homeowners can receive up to 30% of the total cost of their system back in a tax credit. This can go a long way in helping to reduce the overall upfront cost of investing in a new heat pump for your home.
Low-Interest State Loans
New York is currently offering homeowners who invest in a new heat pump system low-interest loan. This is to encourage more homeowners to switch to a heat pump system and get rid of their outdated fuel-burning furnaces.
Two of the most popular loans are the Smart Energy Loan and the On-Bill Recovery Loan. The latter offers manageable monthly payments that will not exceed your estimated monthly energy savings. This type of loan gets built right into your energy bill so you don’t have to worry about paying two different bills each month. You can easily apply for this type of financing at the New York Clean Heat government website.
Other Benefits of Getting a Heat Pump For Your Home
The most obvious benefit of investing in a heat pump for your home is that you get to take advantage of having a more energy-efficient heating and cooling system throughout the year. You also get to enjoy the various tax incentives and special financing programs that New York is currently offering. Another great advantage of this type of system is that you only need to worry about one HVAC system. You don’t have to worry about purchasing separate heating and cooling units.
Another advantage of heat pumps is that they’re available in both ducted and ductless setups. This makes them more widely available to all different types of homeowners. If you already have ducting in your home, you can simply have a heat pump installed and use your ducting. However, if your home doesn’t have existing ductwork, then you can invest in a ductless mini-split system that doesn’t require it.
Another great advantage of purchasing a heat pump is that it helps to eliminate some of the risks that come along with other traditional heating system options like a furnace. Heating systems that burn fuel like natural gas, heating oil, or propane all produce toxic exhaust fumes. While these are normally vented to the outdoors, there are always rare occasions where they can build up inside your home due to a malfunction. This can be extremely dangerous to you and your family. With a heat pump, there is no risk of toxic exhaust fumes.
Expert Heat Pump Service
Polar Plumbing, Heating & Air Conditioning offers expert heat pump service for the Newburgh, NY area. We can assist with all your air conditioning, heating, plumbing, humidifier, dehumidifier, and indoor air quality needs. Call our office today to book a service appointment with one of our HVAC technicians.
