Heat Pump Water Heater Rebate Program

Did you know that conventional water heaters consume about 17-32% of a home's energy usage? However, heat pump water heaters (HPWH) are approximately 3x more efficient than their gas counterparts and they pose less of a safety risk in your home by eliminating the chance of gas leaks.

The Decarbonize Buildings Pathway of the City's Climate Action Plan details Measure B-3 'Incentivize replacement of gas appliances at end-of-life with electric appliances'. This measure highlights the need for replacing fossil-fuel powered appliances and equipment, which release greenhouse gases (GHGs), with electric alternatives, such as HPWHs.

To reduce the initial cost of heat pumps, the City is providing a rebate for Solana Beach residents who purchase and install a heat pump water heater to replace their gas water heater.

Applications will open on January 5th, 2026 and are first come first serve. Water heater permits submitted on or after January 1, 2026 will be eligible for this program. To learn more about the permitting process, click here

Residential Rebate:

Contractor Rebate: 
$500 per HPWH installed. One per address allowed.

Please review the program documents below to learn more and apply:

This rebate may be stacked with other rebates! Find other resources below: