After home heating, water heating is the second largest energy user in your home. Upgrading to an efficient water heater can reduce your natural gas use and help the environment. We recommend that you work with your contractor or retailer to select the water heater that will best fit your home's needs.

Measure Minimum Efficiency Rebate
Natural Gas Water Heater 0.62 EF* $45
Natural Gas Water Heater 0.64 EF* $75
Natural Gas Water Heater 0.67 EF* $125
Natural Gas Tank or Tankless Water Heater 0.82 EF* $250
Natural Gas Tank or Tankless Water Heater 0.90 EF* $300
Drain Water Heat Recovery Device (DHR)   $150

* EF: Energy Factor

Please reference all of the rebate requirements prior to installation in order to insure eligibility.

After the qualifying system is installed, work with your contractor to complete and submit the Water Heating Rebate Application.

Funding is limited and can change or end at any time. Applications will be processed on a first-come, first-served basis. The program application must be received within 60 days of installation.

If you are a non-profit, new construction organization such as a Community or Housing Development agency or Habitat for Humanity serving the low-income community, Minnesota Energy Resources supports your community efforts with enhanced rebates through the Low Income New Construction Rebates.

For additional questions on this program, please call us at 1-866-872-0052.