TYPES OF REBATES FOR VERMONT HOMEOWNERS:

Saving money on your home energy efficiency project can come in many forms.  Here are some commonly used terms from those who might offer an energy rebate:

• Direct rebates- Rebates that require you to invest first and then provide proof of purchase to get money back
• Upstream rebates – These are price reductions at the wholesale level that are passed through from your contractor to you and are deducted before you are billed for the work.
• Bill Credits – Some electric utilities offer a "credit" to your electric bill rather than a direct cash rebate. It is important to understand the difference.
• Tax Credits – Tax credits are deductions to your taxable income. These are claimed when you do your annual income tax filing.
• Special Promotions - Your utility or contractor may offer additional incentives to act before a certain date or purchase a certain product.
• Income-eligible Incentives – Many Vermont utilities have an income sensitivity component to their rebates. If your household income meets a certain threshold, you may be eligible for additional rebates or credits.
• No or Low-interest financing – There are many financial organizations and credit unions that offer "Energy Efficiency" loans to pay for your energy upgrades over time. Many of these loans are offered with very low interest rates and depending on income, may be interest-free. In many cases, the cost of the energy you save each month will pay for your monthly payment.

A SPECIAL NOTE ABOUT THE INFLATION REDUCTION ACT:

Renewable energy advocates are eagerly awaiting the new programs and incentives included in The Inflation Reduction Act (IRA) which was signed into law in August of 2022. For more about how this may affect homeowners in Vermont, read Brian Gray's blog here.

Most of these incentives are due to take effect in 2023. In the meantime, here is a handy calculator from Rewiring America that can estimate what programs and incentives might be available for you.