Mini-split heat pump rebates
Rebates for BED residential and small business customers installing mini-split heat pumps in existing buildings to replace a significant share of fossil-fuel heating.
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A mini-split heat pump heats and cools rooms without a central duct system. This entry covers the mini-split route: Burlington Electric Department (BED) pays a customer rebate claimed through its online form, with a separate rebate available to the contractor.
For single-zone or multi-zone systems, the customer rebate is $2,100 for capacity of 2 tons or less (up to 24,000 Btu per hour), or $2,500 above 2 tons. “Tons” measures heating/cooling capacity; one ton equals 12,000 Btu per hour. Income-qualified households can receive an additional $400 for the smaller systems or $500 for the larger systems, bringing the customer rebate to as much as $3,000 per system. Your contractor may also receive $350–$450 when purchasing the unit; ask them about this rebate. The customer rebate, income bonus and contractor rebate together cannot exceed 75% of installed cost. The contractor rebate can apply to both a first and second mini-split system.
BED warns that customers using natural gas will likely pay more overall for heating after switching, even though their home’s carbon footprint falls.
Eligibility
- You must be a residential or small business customer with an active BED account. The rebate applies to existing buildings in BED’s Vermont service area; new construction has separate offers.
- Install the system in the main occupied spaces, where it displaces a significant share of the building’s space-heating load. Garages, auxiliary buildings and other smaller spaces are excluded. Seasonal homes need BED’s prior approval.
- The installed model must appear on the Qualified Products List (QPL), the list BED uses to identify eligible equipment. Have your participating contractor check the model before purchase. Equipment must be purchased through local participating qualified professionals and HVAC distributors; equipment sourced by the customer is excluded. Your contractor must obtain the necessary Burlington permits.
- There is a limit of two rebates per household or business. A household or business receiving a centrally ducted system rebate cannot also receive this mini-split rebate.
For the income bonus, your gross household income must be at or below the limit for your household size: one person $69,850; two $79,800; three $89,800; four $99,750; five $107,750; six $115,750; seven $123,700; eight or more $131,700.
How to apply
- Status
- søknadsfrist 31. des. 2026
- Søknadsfrist
- Vilkår for søknadsrunden
- Submit within 90 days of installation. The offer is valid through December 31, 2026; BED may modify or end it at any time.[^c5][^c11]
Arrange the purchase and installation through a local participating professional. Then claim the customer rebate through BED’s mini-split online rebate form within 90 days of installation. Provide your BED account number and a scan or photo of the contractor’s invoice marked “Paid in Full.” If financing through VSECU, VFCU or GMCU, the instructions allow contractor quotes instead.
The offer is valid through December 31, 2026. This offer end date is separate from the requirement to submit within 90 days of installation. BED can inspect the installation or verify the purchase, and may change rebate amounts or end the offer at any time.
The form warns that the direct customer rebate may be taxable and BED may request a W9 tax form when total BED product rebates reach at least $600. Complete the W9 if requested in the form.