Heating and Colling a division of Gemaire participation in Golden States Water Heating Midstream Program provides you with the ability to offer homeowners with the opportunity to upgrade their inefficient water heaters to more energy-efficient model at a lower cost.
Help your customers save on their monthly bill, reduce their carbon footprint, and increase the value of your home by providing an incentive when replacing a gas storage water heater.
How Does It Work?
After completing an installation, use the Heating and Cooling portal to submit your claim. A copy of your Heating and Cooling invoice, showing the model and serial number of the eligible equipment, is required.
Qualifying Equipment & Incentive Amount
Effective January 1 , 2026
| Equipment | Efficiency Requirements | Replacement Requirements | Incentive Amount |
|---|---|---|---|
| Heat Pump Water Heaters | 240V HPWH >= 45 to <= 55 gal. UEF >= 3.30, replacing 40 gal electric storage WH | Must be replacing 40 gallons electric storage water heater | $500 |
| Heat Pump Water Heaters | 240V HPWH >= 45 to <= 55 gal. UEF >= 3.30, replacing 50 gal electric storage WH | Must be replacing 50 gallons electric storage water heater | $500 |
| *Eligibility Criteria: This incentive requires the replacement of an existing 40–50 gallon electric storage water heater. | |||
| Equipment | Efficiency Requirements | Replacement Requirements | Incentive Amount |
|---|---|---|---|
| Heat Pump Water Heaters | 240V HPWH Fuel Sub < 45 gal UEF >= 3.30 replacing 40 gal natural gas storage WH | Must be replacing 40 gallons natural gas storage water heater | $600 |
| Heat Pump Water Heaters | 240V HPWH Fuel Sub > 75 gal UEF >= 3.30 replacing 75 gal natural gas storage WH | Must be replacing 75 gallons natural gas storage water heater | $680 |
| Heat Pump Water Heaters | 240V HPWH Fuel Sub 45 to 55 gal UEF >= 3.30 replacing 30 gal natural gas storage WH | Must be replacing 30 gallons natural gas storage water heater | $700 |
| Heat Pump Water Heaters | 240V HPWH Fuel Sub 45 to 55 gal UEF >= 3.30 replacing 40 gal natural gas storage WH | Must be replacing 40 gallons natural gas storage water heater | $700 |
| Heat Pump Water Heaters | 240V HPWH Fuel Sub > 55 to 75 gal UEF >= 3.30 replacing 40 gal natural gas storage WH | Must be replacing 40 gallons natural gas storage water heater | $800 |
| Heat Pump Water Heaters | 240V HPWH Fuel Sub > 55 to 75 gal UEF >= 3.30 replacing 50 gal natural gas storage WH | Must be replacing 50 gallons natural gas storage water heater | $800 |
| Heat Pump Water Heaters | 240V HPWH Fuel Sub > 75 gal UEF >= 3.30 replacing 50 gal natural gas storage WH | Must be replacing 50 gallons natural gas storage water heater | $900 |
| Heat Pump Water Heaters | 240V HPWH Fuel Sub > 75 gal UEF >= 3.30 replacing 60 gal natural gas storage WH | Must be replacing 60 gallons natural gas storage water heater | $900 |
| *Eligibility Criteria: This incentive requires the replacement of an existing 40–75 gallon gas storage water heater. | |||
| Equipment | HVAC System Type | Incentive |
|---|---|---|
| Smart Thermostat | AC w/ Gas Furnace | $40 |
| Smart Thermostat | Heat Pump | $40 |
Program Guidelines
Must be a residential dwelling. Retrofits, replacements, and new construction is eligible.
Must replace a gas or electric tank water heat of specific size.
Homeowners must have an active residential gas account with PG&E, SCE, SoCalGas, or SDG&E to qualify for a gas water heater incentive.
Homeowners must have an active residential electric account with PG&E, SCE, or SDG&E to qualify for an electric water heater incentive.