Ohio received a federal IRA allocation for HEAR and HOMES programs but has not launched either as of March 2026. The Ohio Development Services Agency (ODSA) is the designated administrator. Ohio submitted a state implementation plan to DOE; approval and launch timeline have not been publicly confirmed.
Ohio is the 7th most populous state with a significant older housing stock, a large natural gas heating market, and utility rebate programs from AEP Ohio, Ohio Edison (FirstEnergy), and Columbia Gas (now NiSource). For practitioners, the current opportunity is federal 25C credits, utility rebates, and preparation for a HEAR/HOMES launch that could come in mid-to-late 2026.
ODSA administers a range of state energy programs including weatherization and LIHEAP. The agency is positioned to administer HEAR, but no launch has been announced. Ohio's political environment has been less favorable to accelerated IRA program implementation than early-launch states.
| Measure | LMI (<80% AMI) | Moderate (80–150% AMI) |
|---|---|---|
| Heat Pump HVAC | Up to $8,000 | Up to $4,000 |
| Heat Pump Water Heater | Up to $1,750 | Up to $875 |
| Electric Stove/Induction | Up to $840 | Up to $420 |
| Electrical Panel Upgrade | Up to $4,000 | Up to $2,000 |
| Insulation & Air Sealing | Up to $1,600 | Up to $800 |
| Household Maximum | $14,000 | $7,000 |
Same pending status as HEAR. Ohio has significant HOMES potential given its large stock of older homes — Cleveland, Akron, Dayton, Toledo, and Cincinnati all have substantial pre-1970 housing with poor insulation and aging gas systems. Deep retrofits in this housing stock can achieve 35%+ savings, qualifying for the maximum HOMES tier.
| Measure | Credit | Annual Cap |
|---|---|---|
| Heat Pump HVAC (25C) | 30% of cost | $2,000/year |
| Heat Pump Water Heater (25C) | 30% of cost | $2,000/year |
| Insulation & Air Sealing (25C) | 30% of cost | $1,200/year |
| Electrical Panel (25C) | 30% of cost | $600/year |
| Home Energy Audit (25C) | 30% of cost | $150/year |
| Solar (25D) | 30% of cost | No cap |
Ohio's electric utility market is among the most complex in the country. Multiple utilities serve different regions, and rebate programs vary significantly by territory.
AEP Ohio serves Columbus and much of central Ohio. Their energy efficiency programs have historically been limited due to Ohio's deregulated market structure, but some rebates are available:
AEP Ohio's rebates are smaller than many other state utilities. The primary value driver in Columbus metro is the 25C credit and, when live, HEAR.
FirstEnergy operates three subsidiaries in Ohio. Their Energize Ohio efficiency programs have been more active:
Verify at firstenergycorp.com/content/customer-support/save_energy_and_money.html
Duke Energy serves southwestern Ohio (Cincinnati metro). Their Ohio rebates parallel their North Carolina and Indiana programs:
Verify at duke-energy.com/home/products/home-energy-improvement (Ohio section)
Ohio is a deregulated electricity market, meaning customers can choose their electricity supplier. This doesn't affect rebate availability (rebates are offered by distribution utilities, not suppliers), but it sometimes creates confusion. Confirm you're talking to the correct distribution utility, not the electricity supplier.
Natural gas is dominant in Ohio for space heating — approximately 75% of homes heat with natural gas. This creates a significant opportunity for heat pump conversions when HEAR launches, particularly for HOMES (gas-to-electric conversions typically produce large percentage savings).
| Metro Area | 4-Person 80% AMI | 4-Person 150% AMI | Notes |
|---|---|---|---|
| Columbus MSA | ~$81,000 | ~$151,875 | Franklin, Delaware, Fairfield counties; fastest-growing OH metro |
| Cincinnati MSA (OH portion) | ~$80,000 | ~$150,000 | Hamilton, Butler, Warren, Clermont counties |
| Cleveland-Elyria MSA | ~$72,000 | ~$135,000 | Cuyahoga, Lake, Geauga, Lorain, Medina counties |
| Akron MSA | ~$70,000 | ~$131,250 | Summit, Portage counties |
| Dayton MSA | ~$71,000 | ~$133,125 | Montgomery, Greene, Miami counties |
| Toledo MSA | ~$65,000 | ~$121,875 | Lucas, Wood counties |
| Rural Ohio | ~$52,000–$62,000 | ~$97,500–$116,250 | Check HUD tables by county at huduser.gov |
| Program | Status | Value (HP HVAC) |
|---|---|---|
| 25C Federal Tax Credit | Available now | $2,000/year |
| AEP Ohio / FirstEnergy / Duke Rebate | Available now (verify by territory) | $100–$500 |
| Ohio HEAR (when live) | Pending — no date | Up to $8,000 (LMI) / $4,000 (moderate) |
| Ohio HOMES (when live) | Pending — no date | Up to $8,000 (LMI, 35%+ savings) |
Client: Family of 4 in Cuyahoga County, income $58,000 (80% of Cleveland AMI). Replacing gas furnace + window AC with cold-climate heat pump system. Cost: $12,000.
The IRA Practitioner Brief tracks state program launches, contractor enrollment requirements, and income documentation pitfalls — weekly, free for three issues.
Last updated: March 30, 2026. Program details subject to change. Verify current rebate amounts with program administrators before advising clients.