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Vermont

Efficiency Vermont rebates for 2026: up to 90% back

The largest weatherization subsidy in New England, a per-head mini split rebate, and an income bonus most households never check. The full Vermont schedule for the Upper Valley.

What Efficiency Vermont is

Vermont did something no other state did: in 2000 it created a statewide energy efficiency utility. Efficiency Vermont is funded through a charge on electric bills and is responsible for delivering savings across the whole state, regardless of which utility serves you. For Upper Valley Vermonters that is usually Green Mountain Power, with pockets of co-op territory in Orange County.

The practical consequence is that Vermont’s incentives tend to be larger, better funded and more aggressively targeted at whole-house work than New Hampshire’s — and that they move more often, because a single organisation can change them mid-year. The July 1, 2026 step-down from $9,500 to $7,000 on the Home Performance cap is a good example.

Weatherization: the 90% program

This is the headline of the 2026 Vermont schedule. Efficiency Vermont is offering up to 90% cash back on air sealing and insulation, described explicitly as available through the end of 2026 or while funding lasts.

MeasureWhat Efficiency Vermont paysNotes
Air sealing & insulationUp to 90% cash backEnhanced level runs through end of 2026 or while funding lasts
Home Performance with ENERGY STARUp to $7,000 off project costReduced from $9,500 on July 1, 2026; requires an EEN contractor
Attic insulation (measure-based)$0.50–$1.00 per sq ftRoughly $600–$1,200 on a typical 1,200 sq ft attic
Income-qualified households100% coveredHome Weatherization Assistance Program via SEVCA or Capstone
Two numbers, one project

There are two ways Vermont weatherization money reaches you: the percentage-based cash back, and the Home Performance with ENERGY STAR project cap. Which one governs depends on how the contractor scopes and submits the job. Before you sign, ask for the rebate stated both ways — as a percentage and as a dollar cap — and ask which one your project is being submitted under.

For a typical Upper Valley farmhouse, a full envelope job — dense-packing the walls, air sealing the attic plane, insulating the attic floor to R-60, sealing and insulating the rim joist — lands somewhere between $8,000 and $18,000. At 90%, the homeowner’s share on a $10,000 project is around $1,000. There is no other subsidy in either state that comes close.

Heat pumps and equipment

EquipmentRebateConditions
Ducted / central heat pumpUp to $2,200ENERGY STAR Cold Climate certified
Ductless mini split$475 per indoor headMulti-head systems earn per head
Income bonus (heat pumps)$200–$2,200GMP customers at or below 80% AMI: $2,000, claimed in the same step
Ground source (geothermal)Up to $3,000Vermont also exempts geothermal from property tax increases
Heat pump water heater$600Plus up to $400 more for income-eligible households
Heat pump clothes dryerUp to $400Or washer / heat pump dryer combo units
Window air conditionerUp to $150Central AC is not rebated in Vermont

Vermont pays per indoor head on ductless systems, which changes the arithmetic on old houses. A 1900 farmhouse in Thetford with a four-head mini split system earns $1,900 in Efficiency Vermont rebates — and if the household is income-eligible through GMP, another $2,000 on top.

Note what is not on the list: central air conditioning. Vermont does not rebate central AC, on the reasonable theory that a heat pump does the same job and heats as well. Window and portable units get up to $150.

The income bonus is bigger than people think

Vermont layers an income-based adder of roughly $200–$2,200 on top of the standard heat pump rebate, depending on utility and household income. Green Mountain Power customers at or below 80% of Area Median Income qualify for a $2,000 bonus, and GMP and Efficiency Vermont have deliberately combined the claim into a single step so customers do not have to chase two programs.

Area Median Income in Windsor and Orange counties is higher than most households assume, and the threshold scales with household size. If you have not actually checked the number for your county and family size, check it before you conclude you do not qualify.

Free weatherization if you qualify

The Home Weatherization Assistance Program provides a no-cost, whole-home energy retrofit to income-eligible Vermonters — comprehensive assessment, blower-door and combustion diagnostics, and full-service retrofit work. It is administered by the Department for Children and Families and delivered locally:

  • Windsor County (Hartford, Woodstock, Hartland, Windsor, Norwich, Sharon, Springfield, Weathersfield): SEVCA — Southeastern Vermont Community Action, 802-722-4575
  • Orange County (Bradford, Thetford, Fairlee, Chelsea, Randolph, Corinth, Strafford): Capstone Community Action

You may be eligible if your household income is under the published limits, or if you are an active Seasonal Fuel Assistance household, someone in the household receives SSI, or an adult received Reach Up in the past 12 months — and you have not received free weatherization in the past 15 years.

Towns we cover on the Vermont side

Windsor CountyHartford & White River Junction, Norwich, Woodstock, Hartland, Windsor, Sharon. Orange CountyThetford, Bradford, Fairlee, Strafford, Chelsea.

Figures checked July 2026. Rebate programs change their amounts, caps and equipment requirements during the year, and several are capped by available funding. Confirm the current offer with the program or your contractor before you sign anything.

Vermont rebate questions

Is the weatherization rebate really 90%?

For 2026, yes — Efficiency Vermont is offering up to 90% cash back on air sealing and insulation, and it says plainly that the enhanced level runs through the end of 2026 or while funding lasts. The separate Home Performance with ENERGY STAR cap, which is what most whole-house projects run through, stepped down from $9,500 to $7,000 on July 1, 2026. Which figure governs your project depends on how the contractor structures it, so ask for both numbers in writing.

Do I need a specific kind of contractor?

For the Home Performance rebate, yes: the work has to be done by a member of Efficiency Vermont’s Efficiency Excellence Network. This is the single most common way Vermont homeowners lose a rebate — hiring a good insulation crew from across the river in Lebanon who is not an EEN member. Confirm membership before you sign, not after.

What is the income bonus and do I qualify?

Vermont layers an income-based adder on top of the standard heat pump rebate, worth roughly $200 to $2,200 depending on your utility and household income. Green Mountain Power customers at or below 80% of Area Median Income qualify for a $2,000 bonus, claimed in the same step as the Efficiency Vermont rebate — so an income-eligible GMP customer installing a ducted heat pump can reach about $4,200 total. AMI in Windsor and Orange counties is higher than most people guess; it is worth checking rather than assuming.

Is there natural gas here?

No. Vermont Gas Systems serves the northwest corner of the state and the Rutland corridor, not the Upper Valley. Homes in Hartford, Norwich, Woodstock, Hartland, Windsor, Thetford and Bradford heat with oil, propane, wood or electricity. That is precisely why the heat pump and weatherization rebates matter so much here — delivered fuel is the most expensive way to heat a leaky house.

How do I get free weatherization?

Through the Home Weatherization Assistance Program, run by the Department for Children and Families and delivered by regional community action agencies. In Windsor County that is SEVCA (Southeastern Vermont Community Action, 802-722-4575); in Orange County it is Capstone Community Action. It is a no-cost, whole-home retrofit — assessment, diagnostics and full-service work. You generally qualify if your income is under the limits, or if you receive Seasonal Fuel Assistance, SSI or Reach Up, and you have not had free weatherization in the past 15 years.


Claim the 90% before the funding runs out

Efficiency Vermont says the enhanced weatherization level lasts through the end of 2026 or until funding is exhausted. We’ll get you in front of an Efficiency Excellence Network contractor.