How to Replace Your Old Heating or Cooling System

Your choice of heating and cooling systems affects your energy bill. If you need to replace an old or failing heating or cooling system, or are ready to upgrade, we recommend that you:

1. Find a Contractor.

A DC-licensed HVAC contractor can help you and make sure your choices are eligible for rebates.

2. Choose Efficiency.

The DCSEU offers rebates on over 300 models of energy efficient heating and cooling systems.

View Eligible

3. Get a Rebate.

DCSEU rebates help offset the increased cost of high-efficiency heating & cooling systems.

View Rebates

Tips for Cooling Down This Summer

Before you upgrade your cooling equipment, consider the most cost-effective way to save money and energy on cooling–reducing your air conditioning needs. This can be done in several ways:

What You Can Do

How it Will Help

How Expensive Is It?

Delay heat-producing tasks

Wait to do any dishwashing, baking, or laundry, until the cooler evening or early morning hours.

No cost

Keep cool air in & hot air out

When it’s cooler outside than inside, open your windows. When it’s warmer outside than inside, close your windows and draw window coverings against direct sunlight.

No cost

Use energy-efficient light bulbs, such as CFLs or LEDs

Incandescent light bulbs lose 90% of their energy as heat.


Use fans (ceiling, table, floor, or wall-mounted)

Fans circulate air in a room, creating a wind-chill effect that makes you more comfortable in hot weather.


Use bath fans

Removes heat and moisture generated by showers.


Plant shade trees

Planting leafy shade trees on the east and west sides of your home will block heat and sunlight.


Install and use a whole house fans

Pulls air in through windows and exhausts warm air from the attic and roof.


Insulate and air seal

Prevents heat from entering your house.


What is a Zoned HVAC System?

Zoned Heating Ventilation and Air Conditioning (HVAC) systems use a network of thermostats that control temperatures in different areas of the house. System zoning allows you to save money by running temperature-controlled air to those rooms only when necessary.

Why Zones?

  • Increase your comfort by regulating the temperature of individual rooms - different areas of a home have different temperature needs, depending on occupancy and use.
  • Save money on your energy bills - by heating only the parts of the home that need it, instead of the whole house.

Adding zones when you need to update an old heating system can give additional energy savings. Ask a contractor whether zoning is a good option to save energy in your home.

What is a Programmable Thermostat?

A programmable thermostat is a home heating control that can adjust the temperature of your home according to your preferences. You could be missing a great energy-saving opportunity if you are still using a manual thermostat. You can set a programmable thermostat to adjust your home’s temperature at times when you’re regularly away or sleeping, an easy way to save energy while staying comfortable at home.

Use a programmable thermostat to automatically warm up your house when you get up in the morning and when you come home at the end of the day. Contrary to popular belief, the energy used to get back up to a comfortable temperature does not exceed the energy you save while the thermostat is turned down.

Install a programmable thermostat and you could be saving up to $40 per year in energy costs, and be eligible for a rebate from the DCSEU.

If you have a thermostat provided by the Pepco Energy Wise RewardsTM program, you are not eligible for this rebate. Visit the Pepco Energy Wise Rewards program website or call 1-866-353-5798 for more information.

Get Started


Heating and Cooling equipment must be installed by a DC-licensed contractor in order to qualify for rebates. Contractors must have a valid DC Master Ref/AC license to offer cooling rebates or a valid DC Master Plumbing license to offer water heating rebates.

Qualifying Product

Qualified Source

Qualifying Efficiency Level

Previous Rebate

Updated Rebate

(Until December 31, 2021)

(Gas Rebates Until Aug. 20, 2021)

Water Heater Electric Heat Pumps


Storage Volume < 55 gallons

 UEF ≥  2.00



Storage Volume ≥  55 gallons

UEF ≥  2.20

Air Source Heat Pumps


SEER ≥ 16
EER ≥ 13
HSPF ≥ 9.0



SEER ≥ 18 
EER ≥ 13 
HSPF ≥ 9.5 



Variable Speed (Ductless) Mini-Split Heat Pumps


SEER ≥ 15
EER ≥ 12.5
HSPF ≥ 8.5



SEER ≥ 20 
EER ≥ 13
HSPF ≥ 9.5



Central Air Conditioners


SEER ≥ 16

EER≥ 13



SEER ≥ 18

EER ≥ 13 

$300 $375
Variable Speed Mini-Split Air Conditioners AHRI

SEER ≥ 18 EER ≥ 12.5

$100 $125

Smart Thermostat (Read More)


Up to $50

Up to $50

*Disclaimer: The DCSEU website has the most up-to-date rebate information. Please refer back to this table or DCSEU rebate applications for accurate rebate amounts.

Apply for rebates


  • Equipment must be purchased new and installed by a licensed contractor between 10/1/21-9/30/22. 
  • Equipment must be installed in residential households of 4 units or less. 
  • Rebates for products installed after 9/30/22 are subject to change.
  • Equipment model numbers must meet ENERGY STAR specifications (for Smart Thermostats & Electric water heaters) or CEE Tier1 or Tier 2 specifications for Heat Pumps, Central Air Conditioners, and Variable Speed Mini-Split Air Aonditioners
  • Limit one product per utility account per fiscal year.
  • Application and any required additional documentation must be filled out completely, truthfully, and accurately. These materials must be submitted within 30 days of the installation date and postmarked by 9/30/22 to qualify for a rebate.
  • Rebate applications for residential gas measures must be submitted online or postmarked by August 20, 2021, to be eligible for rebates. 

Apply for Rebates

For more information, contact us at 202-479-2222 or