May 2022
(updated April 2023)
By: Josh Walejewski
Read Time: 3-4 Minutes
What is Electrification?
Electrification is a concept that has gained significant traction in recent years. Whether you realize it or not, you have likely witnessed examples of electrification in your own life. From cars and other vehicles to lawnmowers and leafblowers, many technologies that have traditionally relied solely on fossil fuels are now available in electric versions.
In fact, that’s what electrification is – the process of replacing technologies that use fossil fuels (coal, oil, and natural gas) with technologies that use electricity as a cleaner source of energy to reduce carbon emissions and the effects of climate change.
We have already seen many major car manufacturers like Ford and General Motors announce plans to completely phase out the production of gas-powered vehicles by 2035. It begs the question(s), when will HVAC manufacturers follow suit and what does this trend mean for the 70 million homeowners in the United States that rely on fossil fuels to heat their homes?
What Does the Electrification of HVAC Mean for Homeowners?
In both residential and commercial buildings, the Midwest is more dependent on fossil fuels for heating than any other region in the country. This dependence on fossil fuels for heat dramatically increases the region’s carbon footprint and contributions toward climate change.
Much like the trends that can be observed in the transportation sector, it’s likely only a matter of time before the HVAC industry follows its lead. The good news is that technologies are emerging that offer energy-efficient and cleaner alternatives to heating with fossil fuels through electrification and the use of air source heat pumps.
Air Source Heat Pumps
Air source heat pumps (ASHPs) are units that allow you to both heat and cool your home, depending on the season and temperature outside. While ASHP technology has been available for decades, these units have traditionally been better suited in warmer regions of the United States due to a significant drop in performance during extremely cold temperatures.
However, a new generation of cold-climate ASHPs can operate in temperatures as low as -20°F while maintaining efficiency and performance thanks to innovative inverter-driven compressor technology.
Mitsubishi Electric Heat Pumps
Mitsubishi Electric is a leading manufacturer of ASHPs with inverter technology. Their ductless air source heat pumps are engineered to keep your home comfortable in any climate, while simultaneously making your home more energy-efficient and sustainable.
With the installation of a Mitsubishi ductless heat pump system, you will also find it much easier to customize your comfort and maintain your preferred temperature or set point for each room in your home.
Kettle Moraine Heating & AC is Wisconsin’s largest installing contractor of Mitsubishi Comfort systems and is recognized among the best as a certified Mitsubishi Diamond Dealer. If you’re interested in learning more about how an air-sourced heat pump can make your home more energy-efficient and comfortable, give us a call for a free consultation.
(April 2023 Update) Inflation Reduction Act of 2022 Heat Pump Rebates and Incentives
Signed into law in August 2022, The Inflation Reduction Act (IRA) is the largest federal legislation to date that addresses climate change. The IRA allocates $369 billion towards clean energy sources and technologies that improve energy efficiency.
This includes providing substantial rebates and tax incentives to homeowners who purchase and install qualifying heat pumps.
High-Efficiency Electric Home Rebate Act
The heat pump incentive program of the IRA is officially known as the High-Efficiency Electric Home Rebate Act (HEEHRA), which provides point-of-sale rebates on qualifying heat pumps for home heating and cooling.
Under the heat pump rebate program, households whose income does not exceed 80% of the median income in their area are eligible for the maximum rebate, which covers 100% of the cost of a new heat pump, up to $8,000. Meanwhile, households whose income falls between 81-150% of the median income in their area can receive a rebate of up to 50% of the heat pump’s cost.
At the moment, details on how to obtain a heat pump rebate are not yet available.
The HEEHRA rebates will be administered by state governments, with guidelines expected to be issued by the Department of Energy (DOE) in spring/summer 2023. It’s anticipated that the IRA heat pump tax credits will also become effective at that time. However, these dates are still tentative.
Be sure to check back often as we will provide new updates when new information on the program becomes available. For additional reading and details, please visit www.irs.gov/inflation-reduction-act-of-2022
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About the Author
Josh Walejewski
Josh is a professional marketer who has worked in the HVAC industry since 2017. With a Bachelor of Applied Arts and Sciences Degree (B.A.A.S) in marketing and sustainable business management from the University of Wisconsin, he has a passion for all aspects of HVAC, business, marketing, and environmental stewardship.
