What is the Inflation Reduction Act?
The Inflation Reduction Act of 2022 (IRA) is the largest ever climate investment by the Federal Government in American history, projected to reduce greenhouse gas (GHG) by 31-44% below 2005 levels by 2030. The IRA will also bring energy bill relief to U.S. households by incentivizing the adoption of more efficient, all-electric appliances. Importantly, the IRA fully recognizes the key role of highly efficient, variable-capacity heat pumps in slashing domestic GHG emissions and lowering energy costs for Americans. In fact, at least 87% of U.S. households, 104.7 million, could save $37.3 billion a year on energy bills if they were using modern, high-performance heat pumps and water heaters.
The programs with the biggest direct impact on variable-capacity heat pump adoption are the High-Efficiency Electric Home Rebate Program (HEEHRP), HOMES Rebate Program, and the extension and enhancement of the 25C tax credit. Both programs will create unprecedented growth opportunities for METUS, our distributors, and our contractors. This brochure provides an overview of these programs, and others, that you’ll want to become familiar with.