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On-Bill Repayments

Heat Pumps for Heating & Cooling

0% interest on-bill repayments for heat pumps

  • Upgrade your heating and cooling system to a high-efficiency heat pump
  • We'll cover equipment and installation costs up to $15,000, after utility and local rebates
  • Repay the costs over 10 years on your electric bill at 0% interest
  • Some members may be able to pay nothing upfront

By upgrading your heating and cooling system to a high-efficiency heat pump, you can provide eco-friendly comfort to your home or business. But like any big home upgrades, the expense can be a big barrier to making the investment.

Through our new on-bill repayment option, you can now make these upgrades without a huge upfront expense. We’re proud to extend upfront financial support for the installation of your heat pump system. In return, you can repay the project cost through a monthly fixed charge that will appear on your electricity bill.

And remember, our rebates will knock up to 25-50% off your project total from the beginning, meaning you’ll pay back less than the total cost over the 10 years. 

Keep reading to learn more, and refer to the Program Rules below for the complete details.

Learn More about Heat Pumps

Here's how it works

Any Holy Cross Energy member looking to upgrade their heating and cooling system can apply as long as they meet the following criteria:

  • Member is a property owner or a tenant with the property owner’s permission
  • Member cannot have been delinquent on any electric bills in the last 12 months   
  • Heat Pump must be used as Primary Heating System 
  • Financial support may not exceed $15,000 ($125/month) 
  • Member must enroll in Peak Time Payback Plus 
    •  
  1. Reach out to one of our Enrolled Contractors to schedule a site visit.
  2. Agree on the project scope, equipment, and price with your contractor.
  3. Apply by submitting your signed contractor proposal and HCE Program Agreement through the form on this page. 
  4. We will review your application.
  5. We will notify you and your contractor to proceed with the installation, once approved.
  6. We will pay the contractor 50% of the project cost upon pre-approval.
  7. Schedule the installation with your contractor.
  8. Upload your completion documents after your installation is complete.
  9. We will pay the contractor in full after project completion and final approval.
  10. A monthly fixed charge will appear on your monthly bill, for the next 10 years, to repay the financial assistance.
  11. You may pay off your balance owed at any time.
  •  

The initial application includes the following:

  • Executed Program Agreement
  • Program rules and requirements 
  • Your project price breakdown and expected fixed monthly charge  
  • Any stackable rebate amounts from Holy Cross Energy and our local energy partners that will be subtracted from your total project price

Installation costs vary depending on your home’s specific needs.

Financial support may not exceed $15,000 total per member. 

Support totaling the full $15,000 equates to a $125/month repayment for 120 months. 

While the overall cost of installing a heat pump may be more than a gas furnace, members can save thousands of dollars on their heat pump upgrades through HCE and partner rebates, Colorado tax credits, and federal tax credits and rebates.  

Additionally, the 0% interest offered through this program can help members save when compared to traditional home improvement loans or credit cards. 

Remember! Heat pumps are a two-in-one system, meaning you’ll have added summer cooling comfort in addition to your new energy-efficient winter heating. 

The amount owed on your heat pump installation is attached to your electric meter and will be billed to the member associated with that meter until repaid in full.

Therefore, if you sell your home, you must disclose to potential new buyers that they will be responsible for assuming the monthly repayments until the system is paid off.

You may also choose to pay off your system so that the new owners will not need to assume the repayments.

Air, water, or ground source

Ducted heat pumps must have:

  • Heating Seasonal Performance Factor (HSPF2) of 8.1+
  • Coefficient of Performance (COP) @ 5° of 1.75+

Ductless mini-split heat pumps must have:

  • Heating Seasonal Performance Factor (HSPF2) of 9.5+
  • Coefficient of Performance (COP) @ 5° of 1.75+

Other requirements:

  • Outside unit must be elevated at least 12 inches off the ground to defrost properly
  • Garfield County (Climate Zone 5) = Heat pump rated to 5°F minimum
  • Eagle County (Climate Zone 6), Gunnison and Pitkin Counties (Climate Zone 7) = Heat pump rated to -5°F or colder minimum

Recommended:

Load calculation to right size heat pump system and derate for high elevation

Federal Tax Credit Requirements may vary:

Additional Resources – 

Learn More About Heat Pumps

Preferred HVAC Installers

Tips for Getting The Most Out of Your Heat Pump (PDF)

What is a heat pump?

Unlike existing furnaces or boilers that burn fuel to generate heat, a heat pump uses electricity to move heat from outside into your home. They can even heat at temperatures below 0°F. 

Even better, during hot summer months, the same equipment can move heat from inside your home to the outdoors. The best part is all this can happen for the same or less than the cost of the existing fuel alternative. 

Depending on your existing HVAC system, there are several different heat pump options to consider. 

Types of Heat Pumps:  

  • Ductless Mini-Splits (for homes without central ductwork) 
  • Ducted Heat Pump
  • Air to Water Heat Pumps 
  • Ground Source Heat Pumps 

What utility & local rebates are available for a heat pump?

Answer the questions below to estimate your heat pump rebate eligibility. All members and equipment must meet our full eligibility requirements to receive rebates from Holy Cross Energy and our local energy partners.

(For question #2, click on your county below to see the income limits based on the number of people in your household):

1 – $107,550
2 – $123,000
3 – $138,300
4 – $153,600
5 – $165,900
6 – $178,200
7 – $190,500
8 – $202,800 

1 – $132,000
2 – $150,900
3 – $169,659
4 – $188,550
5 – $203,700
6 – $218,700
7 – $233,850
8 – $248,850

1 – $136,650
2 – $156,150
3 – $175,650
4 – $195,150
5 – $210,750
6 – $226,500
7 – $241,950
8 – $257,700

Helpful Tax Credit Resources

Participating Contractors

  • The enrolled contractors have been vetted by Holy Cross Energy and have proven to provide a high-quality experience for our members. 
  • Furthermore, they have attended our On-Bill Repayment training and will be able to answer specific questions about the program rules and can submit all final documentation on your behalf. 
Become a participating contractor
Roaring Fork Valley Contractors

Serving Pitkin County, Garfield County, and the Roaring Fork Valley portion of Eagle County

A1 Heating

office@a1heatinginc.com

970.625.2136

Mountain Air Mechanical

sar@mountainair.biz

970.635.4352

Eagle Valley Contractors

Serving the I-70 corridor portion of Eagle County from Vail to Dotsero

Skyline Mechanical

justin@skylinemechanical.com

970.904.6225 

Elite HVAC Contractors, LLC

ricardos@elitehvaccolorado.com

970.844.5700

Questions?
We're here to help.

Contact our Energy Programs Team

Ready to apply?

Apply Here