New construction rebates

Minnesota Energy Resources new construction rebates provide incentives to customers who install high efficiency natural gas heating systems, advanced or wi-fi enabled thermostats, qualifying appliances or a hearth product in a home that has been newly constructed. Customers who purchase a new home that participated in the Minnesota Energy Resources Home Energy Excellence program are not eligible for certain rebates under this program. Please reference the table below.

Equipment Minimum efficiency Home Energy Excellence rebate eligibility list Rebate
Natural gas furnace 95% AFUE No $200
Natural gas furnace 97% AFUE No $300
Natural gas boiler 90% AFUE No $200
Integrated natural gas space and water heating system 92% AFUE No $250
Advanced thermostat Automatic programming based on occupancy**
List of current eligible models.
Yes $100*
Wi-Fi enabled thermostats Customer programmed Yes $25*
Natural gas storage water heater ENERGY STAR® certified and .64 UEF No $125
Natural gas storage water heater ENERGY STAR® certified and .82 UEF No $250
Natural gas water or tankless heater ENERGY STAR® certified and .87 UEF No $300
Drain water heat recovery (DHR) device   Yes $150
Clothes washer ENERGY STAR® certified Yes $45
Dishwasher ENERGY STAR certified Yes $30
Natural gas hearth/fireplace Direct vent, sealed combustion, electronic ignition fireplace, insert or free-standing stove Yes $75


The Air Conditioning, Heating and Refrigeration Institute (AHRI) will be used to verify actual AFUE ratings for heating purposes.

AFUE: Annual Fuel Utilization Efficiency

UEF: Uniform Energy Factor

* Rebate amount is 50% of total improvement cost, up to maximum rebate amount listed above.

Thermostat Rebates: Customers cannot get more than one rebate per thermostat.

** Must feature integrated occupancy-sensing capabilities (such as motion sensors or geofencing) without additional devices. Thermostat must learn occupancy and automatically improve programming schedule using advanced analytics.

Please reference all rebate requirements prior to installation to ensure eligibility. To apply for a rebate, download and fill out the new construction rebate application. To qualify for the Advanced Thermostat rebate, complete model number must be provided. Funding is limited and can change or end at any time. There is a limit of one qualifying thermostat per natural gas service address. Applications will be processed on a first-come, first-served basis. The program application must be received within 60 days of installation.

We only honor one rebate per piece of equipment. Therefore, building contractors and home buyers should determine who applies for and receives the rebate.

If you are a nonprofit, new construction organization such as a Community Housing Development Authority, Housing Development Agency or Habitat for Humanity serving the low-income community, Minnesota Energy Resources supports your community efforts with enhanced rebates through low income new construction rebates.

For additional questions, email us at or call us at 866-872-0052, option 1.