AC and heat pump rebates around Austin, explained
What you can get depends on who sends your electric bill. Here's the honest 2026 picture.
- Federal 25C tax credit: ended for 2026 installs
- Austin Energy customers: tiered rebates on qualifying replacements
- PEC, Oncor and Georgetown areas: varies, ask us
- Texas state rebates: not launched as of mid-2026
The biggest local rebate, with real requirements
Higher efficiency means a bigger rebate, and heat pumps pay more than AC-only systems. Austin Energy's pages list different amounts, so we confirm the current figure on your quote. See Austin Energy's page.
- Home age
- 10+ years
- Existing system age
- 10+ years
- What's replaced
- Indoor, outdoor and coil
- Sizing
- Manual J load calculation
- Permit and inspection
- Required
- Contractor
- Austin Energy participating
- Apply within
- 90 days of install
From Austin Energy's residential AC rebate page, reviewed Feb 2026. Funding is first-come, first-served.
If your bill doesn't say Austin Energy
Oncor areas
Most of Round Rock, Pflugerville and Hutto, with retail choice. Oncor runs efficiency programs through participating contractors. Published amounts conflict, so we verify before quoting.
Pedernales Electric Cooperative
Cedar Park, Leander, Kyle, Buda and parts of Lakeway. PEC's programs change, so we check what's current.
Georgetown Utility Systems and Bluebonnet
We found no current AC replacement rebate from either. Bluebonnet has offered smart-thermostat bill credits.
Is the federal heat pump tax credit available in 2026?
No. The 25C credit ended for systems placed in service after December 31, 2025. 2025 installs can still be claimed on 2025 returns.
Do I qualify for Austin Energy rebates?
Only if Austin Energy is your electric utility, and the home and existing system are at least 10 years old, among other requirements. Check the utility on your bill first.
I live in Cedar Park, Round Rock or Kyle. Any rebates?
Austin Energy's program doesn't apply. PEC, Oncor-area and Georgetown Utility programs vary and change, so we check what's open when we quote.
Want us to check what you qualify for?
Tell us your city and your system's age. We'll check the rebates and put them in a written quote.