The Inflation Reduction Act has clean energy as a cornerstone of its objectives. Within this law, consumers will find many avenues for lowering their carbon footprint while saving themselves money. For homeowners looking to make upgrades, tax credits and rebates on qualifying electrical and plumbing savings and improvements present a great opportunity for energy and cost efficiency.
Electrical and Plumbing Savings You Can Earn Via the Inflation Reduction Act
The IRA includes a host of credits and rebates for clean energy in areas ranging from production to investment to residential improvements.
The residential energy efficiency credits and rebates, particularly the Credit for Energy Efficiency Home Improvements, are essential benefits for electrical and plumbing upgrades. With tax credits reaching as high as 30 percent, you can score thousands of dollars in savings annually in electrical or plumbing improvements alone. Include other credits, and your savings jump to as much as $17,000 annually. Start your savings with these benefits.
Updates for Electrical Panels
Electrical panels represent one of the best uses for the Credit for Energy Efficiency Home Improvements. In addition to raising previous credit potential by 20 percent, the IRA also expands home energy credits to the electricity-distributing electrical panels. With this revised credit, you can cover up to $600 in costs for panel upgrades.
An older panel that originated with a home over 25 years old likely needs an upgrade. Secure an assessment of your electrical panel with trusted pros.
Upgrades for Water Heaters
While you can also get a $600 tax credit for a traditional propane, gas, or oil water heater, an even more cost-saving option is available. If you invest in an energy-efficient heat pump water heater, you’ll not just save money on your bills long-term. You’ll also enjoy up to $2,000 in tax credit savings courtesy of the IRA.
Ask our Wilmington Air team for help with your water heater options, and get the documentation you need to garner those savings.
IRA Electrical and Plumbing Rebates
Your savings won’t end at tax credits. If you want to purchase and install an energy-efficient electrical or plumbing product starting in 2023, two key rebates are at your disposal. First up is the Home Owner Managing Energy Savings (HOMES) Rebate. which rewards you for the percentage of energy savings your improvements create for your home. For example, slash energy usage by about one-third and get as much as $8,000 in savings.
Lower or middle-income families can see significant savings from the HOMES Rebate. Another option, the High-Efficiency Electric Home Rebate Act (HEEHRA), cannot be combined with the HOMES Rebate. It can, however, net significant savings of up to $14,000 for homeowners who really want maximum investment in energy efficiency. The HEEHRA provides point-of-sale discounts for the purchase of energy-efficient projects or products.
Save time, energy, and money by getting the efficiency improvements you need. Contact Wilmington Air for a high-quality, thorough consultation on your electrical and plumbing systems.