New Jersey Home Energy Rebates & Incentives (2026)
The NJ Whole Home Energy Solutions program offers up to $7,500 per home in rebates for weatherization and electrification, plus 0% On-Bill Repayment financing — up to $25,000 standard, with an additional $50,000 when electrification is added ($75,000 total). PSE&G Building Decarbonization is a separate program (up to $10,000+) — heating and cooling can run under Whole Home or BD, not both. Sponsored by all 7 NJ utility companies. As of April 2026.
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Most NJ homeowners save the most with a Whole-Home Upgrade
Get up to $7,500 in Whole Home rebates plus up to $25,000 in 0% on-bill repayment financing ($75,000 total when adding electrification) by bundling heat pump, insulation, water heater, and air sealing upgrades together.
Available Programs
NJ Whole Home Energy Solutions
Comprehensive home energy upgrade program covering insulation, air sealing, HVAC, and water heater upgrades.
- Rebates up to $7,500
- Insulation & air sealing covered
- HVAC & water heater upgrades
- Home energy audit included
- Income-based enhanced rebates available
PSE&G Building Decarbonization
PSE&G's dedicated heat pump program with three tiers based on how much fossil fuel heating you replace.
- Clean Heat (full switch): up to $10,000+ with adders
- Dual Heat (add HP): up to $5,000+
- Hybrid Heat (cooling only): up to $2,000+
- Heat pump water heaters also covered
- LMI households get enhanced amounts
0% On Bill Repayment (OBR)
PSE&G and NJ utilities offer 0% interest financing repaid through your utility bill for up to 10 years.
- Up to $25,000 for standard projects
- Up to $50,000 for heat pump (BD) projects
- 0% interest for up to 10 years
- Repaid through your monthly utility bill
- Combine with rebates for lowest out-of-pocket
Pay the remaining balance at 0% interest for up to 10 years
NJ utility companies offer 0% interest On Bill Repayment (OBR) for up to 10 years — up to $25,000 for most projects, or up to $50,000 for qualifying heat pump projects.*
Example: A $24,000 whole-home upgrade with $7,500 in rebates leaves $16,500. With 0% On Bill Repayment, that's just ~$138/month for 10 years at 0% interest.
What You Can Upgrade
Typical rebate ranges for NJ homeowners through state and utility programs.
Service
Rebate Range
Whole-Home Upgrade
Best ValueUp to $7,500
Heat Pump (PSE&G BD Clean Heat)
Up to $10,000+ (separate program)
Insulation & Air Sealing
Up to $7,500
Water Heater (Heat Pump)
$750 rebate
HVAC Replacement
~$200
Who Qualifies?
Most NJ homeowners are eligible for at least some rebates.
New Jersey homeowners who own and occupy the home
Single-family homes qualify for all programs
Multi-family properties (2-4 units) are also eligible
Income-based enhanced incentives available for qualifying households
Example Project: Cherry Hill, NJ
How a whole-home energy upgrade pencils out for a typical NJ home (illustrative example).
Building Details
Cherry Hill, NJ
Home Type
Single-family colonial
Size
2,400 sq ft
Year Built
1999
Existing System
18-year-old gas furnace + AC
Issues
High energy bills, drafty rooms, uneven temperatures
Cost Breakdown
Whole-Home Upgrade
Heat pump system
$12,500
Insulation + air sealing
$5,800
Heat pump water heater
$3,200
Total project
$21,500
NJ Whole Home rebate
-$7,500
What this homeowner pays
Can save $50–$300/mo on energy — net positive from month one
Rebates by County
Rebate programs vary by utility. Find your county to see exactly which programs you can access.
Check Your NJ Eligibility
Answer a few quick questions and we will show you exactly which rebates you qualify for.