Heat pump installation
in Suffolk County, NY.

For the PSEG Long Island rebate, PSEG says eligible equipment must be purchased from and installed by participating Home Comfort Partners. You can check any contractor in PSEG’s Contractor Finder, and Cornell Cooperative Extension of Suffolk County keeps a list too. EnergiSense plans and quotes the job, and the installation is done through our installation partner. We confirm the installing contractor’s program status before any rebate goes on your proposal.

Rewiring America puts a whole-home heat pump at $17,000 to $23,000 installed for a 1,500 to 2,500 square foot home (median $19,500), and $22,500 to $28,000 for 2,500 to 5,500 square feet. It says homes in colder climates or in regions with high labor costs are likely to fall at the higher end. These are national ranges, not an EnergiSense quote. A PSEG rebate of $4,000, $5,000 or $7,500 comes off a qualifying whole-house system.

A 2,000 square foot home falls in Rewiring America’s 1,500 to 2,500 square foot band: $17,000 to $23,000 installed, median $19,500. At the median, the PSEG Long Island rebate brings that to $15,500 at market rate, $14,500 at the moderate or disadvantaged-community tier, and $12,000 at the low-income tier. PSEG’s rebate requires a Manual J load calculation to set the size.

PSEG Long Island pays $4,000 at market rate, $5,000 for a moderate-income household (under 80% of area median income) or a market-rate home in a disadvantaged community, and $7,500 for a low-income household (under 60%). For a household of four in 2026, the limits are $98,925 (low) and $131,900 (moderate). The system must carry 100 to 120% of the whole home’s heating load by Manual J, use NEEP-listed equipment, and be installed by a participating contractor.

No. The IRS says the Energy Efficient Home Improvement Credit (25C) can be claimed for improvements made through December 31, 2025, so it does not cover a 2026 install. On Long Island, PSEG still lists its heat pump rebate and Rate 580. Ask a tax professional about your own return.

PSEG Long Island says today’s cold-climate heat pumps are designed to be used in extremely low temperatures. NEEP’s cold-climate specification requires a heating efficiency (COP) of at least 1.75 at 5°F at maximum capacity, and PSEG’s rebate requires equipment on the NEEP list. PSEG recommends keeping the old system, but only as a backup, used when temperatures are extremely low, ideally below 15°.

It depends on the model. NEEP’s cold-climate specification sets a minimum heating efficiency (COP) of 1.75 at 5°F at maximum capacity for listed units. PSEG Long Island says backup heat, if you keep it, should be used only when temperatures are extremely low, ideally below 15°.

Things to check: was the system sized by a Manual J load calculation (PSEG’s rebate requires one), is the model on the NEEP cold-climate list, are the integrated controls set up if the old system stayed as backup, and does the house leak air? Cornell Cooperative Extension of Suffolk County strongly recommends air sealing and weatherization before installing air source heat pumps.

Yes. In Suffolk, 44% of occupied homes heat with oil and 4% with bottled, tank or LP gas (US Census, 2020–2024). PSEG lets you keep the oil or propane system as backup with integrated controls, with the heat pump as the primary heat, or remove it. Either way the heat pump must be sized for the whole house to get the rebate. Rate 580 is different: LIPA’s tariff applies it only when the heat pump supplies all of the heating requirements of the building, so it fits the removal path, not the backup path.

Rate 580 is the space-heating rate in LIPA’s tariff, billed by PSEG Long Island. PSEG’s FAQ describes a 40% energy delivery charge discount on all usage above 400 kWh a month, October through May. To qualify, LIPA’s tariff says the heat pump or electric resistance heater must supply all of the heating requirements of the building and be permanently connected (fireplaces, coal and wood stoves are excluded), the equipment must meet LIPA’s specifications, and you sign an application. PSEG’s 2026 rate sheet puts it as heating the entire building solely with an electric heat system. A house that keeps oil or propane as backup does not meet that wording.

No. LIPA says it provides electric service for Long Island excluding the Villages of Rockville Centre, Freeport and Greenport. Fishers Island, part of the Town of Southold, gets its electricity from Fishers Island Electric Corporation, a separate utility on the New York Department of Public Service list. The PSEG Long Island rebate and Rate 580 are for PSEG Long Island customers, so they do not apply in either place. We take heat pump requests from across Suffolk County; for Riverhead, Southampton, East Hampton, Southold and Shelter Island addresses, coverage and scheduling are confirmed at intake.