North Carolina's HEAR and HOMES programs are live through Energy Saver NC, administered by the NC Department of Environmental Quality (NC DEQ). The program launched January 16, 2025 and became available in all 100 counties by February 2026. Applications are open at energysavernc.org or by calling 866-998-8555. Heat pump rebates up to $8,000; total household cap $14,000.
North Carolina is one of the Southeast's most active HEAR markets — with hot, humid summers creating strong heat pump demand and a large LMI contractor network already in place. This guide covers rebate amounts, income limits by metro, contractor enrollment through Energy Saver NC, utility stacking with Duke Energy and Dominion, and the full incentive stack.
Program name: Energy Saver NC
Administrator: NC Department of Environmental Quality (NC DEQ)
Website: energysavernc.org
Phone: 866-998-8555
Status: Live — launched January 16, 2025; available in all 100 counties as of February 2026
Rebates: Contractor-applied discounts at installation (standard HEAR structure)
These are federal maximums. North Carolina may offer the full amount or a state-reduced schedule. Do not quote these to clients as confirmed — use them for planning only.
| Measure | LMI (<80% AMI) | Moderate (80–150% AMI) | Notes |
|---|---|---|---|
| Heat Pump HVAC | Up to $8,000 | Up to $4,000 | Air-source ducted or ductless; geothermal $8,000 all incomes |
| Heat Pump Water Heater | Up to $1,750 | Up to $875 | ENERGY STAR certified |
| Electric Stove/Induction | Up to $840 | Up to $420 | Induction or electric resistance |
| Electrical Panel Upgrade | Up to $4,000 | Up to $2,000 | When panel is capacity constraint for electrification |
| Insulation & Air Sealing | Up to $1,600 | Up to $800 | Typically bundled with HVAC measure |
| Wiring (240V circuits) | Up to $2,500 | Up to $1,250 | For appliance and EV charging circuits |
| Household Maximum | $14,000 | $7,000 | Across all HEAR measures combined |
HOMES (efficiency-based rebates) follows the same pending status as HEAR. When launched, HOMES could be particularly valuable in North Carolina for two reasons:
| Savings Level | Market Rate Rebate | LMI Rebate |
|---|---|---|
| 20–35% energy savings | Up to $2,000 | Up to $4,000 |
| 35%+ energy savings | Up to $4,000 | Up to $8,000 |
Federal tax credits are the most certain opportunity available to NC clients today. No state program action required.
| Measure | Credit | Annual Cap | Income Limit |
|---|---|---|---|
| Heat Pump HVAC (25C) | 30% of cost | $2,000/year | None |
| Heat Pump Water Heater (25C) | 30% of cost | $2,000/year | None |
| Insulation & Air Sealing (25C) | 30% of cost | $1,200/year | None |
| Exterior Windows (25C) | 30% of cost | $600/year | None |
| Exterior Doors (25C) | 30% of cost | $250/door (max $500) | None |
| Electrical Panel (25C) | 30% of cost | $600/year | None |
| Home Energy Audit (25C) | 30% of cost | $150/year | None |
| Solar (25D) | 30% of cost | No cap | None |
| Battery Storage (25D) | 30% of cost | No cap | None |
North Carolina's electricity market is primarily served by two investor-owned utilities: Duke Energy Carolinas and Duke Energy Progress (both Duke Energy subsidiaries) cover most of the state; Dominion Energy North Carolina covers the northeast corner.
Duke Energy runs the Home Energy Improvement Program (HEIP) and related rebate programs for North Carolina residential customers.
| Measure | Rebate Amount | Requirements |
|---|---|---|
| Heat Pump HVAC — Standard | $200–$350 | Minimum 15 SEER2; ENERGY STAR; new installation replacing gas or central AC |
| Heat Pump HVAC — High Efficiency | $350–$600 | 18+ SEER2; ENERGY STAR; replaces gas, oil, or resistance electric |
| Heat Pump Water Heater | $200–$350 | ENERGY STAR certified; 50+ gallon; replaces standard electric or gas |
| Smart Thermostat | $50–$75 | ENERGY STAR; Wi-Fi enabled; connected to Duke demand response program eligible |
| Duct Sealing | $150–$300 | Verified by contractor; pre/post test required in some programs |
| Home Energy Assessment | Free (program-funded) | Duke's no-cost Home Energy Check; scheduled by contacting Duke |
Verify current amounts at duke-energy.com/home/products/home-energy-improvement. Duke's NC rebate programs are subject to rate case approval; amounts can change between filings.
Duke Energy operates several low-income specific programs in NC that are separate from standard rebates and can stack with HEAR when it launches:
Dominion serves northeastern NC (including Raleigh metro-adjacent areas and eastern counties). Their rebate program is smaller than Duke's NC offering:
Verify at dominionenergy.com/nc/savings.
North Carolina has 26 electric membership cooperatives (EMCs) serving rural areas, organized under the North Carolina Electric Membership Corporation (NCEMC). Many have heat pump rebates ranging from $150 to $500. A few notable ones for practitioners in the Piedmont and mountains:
HUD AMI is calculated by county or metro area. NC has significant variation — Research Triangle is significantly higher than rural piedmont and mountain areas.
| Metro Area / County | 4-Person 80% AMI | 4-Person 150% AMI | Notes |
|---|---|---|---|
| Durham-Chapel Hill MSA | ~$88,000 | ~$165,000 | Durham, Orange, Chatham counties; highest AMI in NC |
| Raleigh-Cary MSA | ~$86,000 | ~$161,250 | Wake County; large moderate-income opportunity |
| Charlotte-Concord MSA | ~$81,000 | ~$151,875 | Mecklenburg, Union, Cabarrus counties |
| Asheville MSA | ~$68,000 | ~$127,500 | Buncombe County; strong cold-climate HP opportunity |
| Greensboro-High Point MSA | ~$67,000 | ~$125,625 | Guilford, Forsyth, Randolph counties |
| Fayetteville MSA | ~$60,000 | ~$112,500 | Cumberland County; large military population |
| Rural NC (non-metro counties) | ~$48,000–$58,000 | ~$90,000–$108,750 | Check HUD tables by specific county at huduser.gov |
| Program | Status | Max Value (HP HVAC Example) |
|---|---|---|
| 25C Federal Tax Credit | Available now | $2,000/year |
| Duke Energy Rebate (HP HVAC) | Available now (verify) | $200–$600 |
| NC HEAR (when live) | Pending — 2026 | Up to $8,000 (LMI) / $4,000 (moderate) |
| NC HOMES (when live) | Pending — 2026 | Up to $8,000 (LMI, 35%+ savings) |
Client: Family of 3 in Wake County, income $95,000 (~132% of Raleigh AMI — moderate income eligible). Replacing 18-year-old gas furnace + central AC with dual-fuel heat pump, cost $13,000.
Many NC clients — particularly in the Piedmont and mountains — have natural gas or propane for heating with a separate central AC. Dual-fuel heat pump systems (heat pump + gas backup) are well-suited to NC's climate and are HEAR-eligible. This framing often works well for clients who are nervous about cold weather performance.
North Carolina spans multiple climate zones, which affects how you scope efficiency projects and which measures generate the most savings:
The mountain counties are particularly interesting from a HOMES perspective. A 1970s home in Boone with oil or propane heat, single-pane windows, and minimal insulation can realistically achieve 50%+ savings with a deep retrofit — enough to qualify for the maximum $8,000 LMI HOMES rebate. For practitioners working this territory, HOMES certification and modeling capability (BEopt, EnergyPlus) is worth investing in now.
The IRA Practitioner Brief covers state program launches, contractor enrollment requirements, and income documentation details — weekly, free for the first three issues.
Last updated: March 30, 2026. Program details subject to change. Verify current rebate amounts and program status directly with program administrators before advising clients.