INCENTIVES

Heat pumps, which move heat rather than create it, are becoming more popular in Oregon homes thanks to their efficient heating and cooling, lower energy use, and potential incentive savings.

Federally Funded Heat Pump Program

Coming Spring 2025: Oregon Heat Pump Purchase Program

The Oregon Department of Energy has received a grant of $24 million to help fund the purchase of heat pumps in Oregon residences. The grant is funded through the U.S. Environmental Protection Agency's Climate Pollution Reduction Grant, enabled by the Inflation Reduction Act.

State-Funded Heat Pump Programs

In response to the heat dome event of 2021, during which about 100 Oregonians died of heat-related illnesses — often in their own homes — the legislature passed SB 1536 in 2022 to bring much-needed heat relief.

Through SB 1536, ODOE launched two heat pump incentive programs:

Community Heat Pump Deployment Program (owner-occupied homes)

Oregon Rental Home Heat Pump Program (rental homes)

The bill also directed ODOE to fund a $2 million grant for a Community Cooling Center program for extreme heat events, and to conduct a Cooling Needs Study to identify existing cooling — as well as barriers to cooling access — in government-supported housing.