What these programs are and who pays for them
Many electric companies pay customers to buy efficient equipment or to seal and insulate a home. The idea is that saving a kilowatt hour can cost less than making or buying one. In many states regulators approve the programs and the cost is recovered through electric rates, which means customers already fund them whether they use them or not.
Each year utilities report to the Energy Information Administration how many kilowatt hours of annual savings their programs produced and what they paid in customer incentives and in other costs. We summed the residential figures by state for 2025. The data are on Form EIA-861, in the energy efficiency file.
Residential incentives paid per home, 2025
The table divides the incentives each state's reporting utilities paid to residential customers by the state's residential customer count. A bigger number means utilities there paid more per home. Alaska has no report in the file.
| Rank | State | Per home | Total paid | Utilities reporting |
|---|---|---|---|---|
| 1 | Massachusetts | $60.34 | $176.2 million | 10 |
| 2 | Vermont | $53.22 | $16.7 million | 2 |
| 3 | Maryland | $48.08 | $118.8 million | 5 |
| 4 | New Hampshire | $46.59 | $30.7 million | 4 |
| 5 | Rhode Island | $37.47 | $17.4 million | 2 |
| 6 | Connecticut | $37.30 | $59.0 million | 5 |
| 7 | New Jersey | $34.84 | $131.8 million | 6 |
| 8 | New York | $29.23 | $218.1 million | 12 |
| 9 | Washington | $28.24 | $96.2 million | 28 |
| 10 | Illinois | $27.84 | $151.0 million | 9 |
| 11 | Delaware | $26.66 | $12.8 million | 5 |
| 12 | Hawaii | $26.31 | $11.8 million | 2 |
| 13 | Colorado | $22.43 | $58.3 million | 19 |
| 14 | Michigan | $21.58 | $97.9 million | 20 |
| 15 | Arkansas | $18.35 | $27.4 million | 5 |
| 16 | Utah | $17.96 | $23.5 million | 6 |
| 17 | Maine | $17.84 | $13.4 million | 1 |
| 18 | New Mexico | $17.38 | $16.4 million | 6 |
| 19 | North Carolina | $17.22 | $88.9 million | 22 |
| 20 | District of Columbia | $14.97 | $4.9 million | 1 |
| 21 | Oregon | $14.68 | $27.7 million | 19 |
| 22 | Oklahoma | $13.32 | $25.3 million | 4 |
| 23 | Arizona | $13.18 | $42.2 million | 7 |
| 24 | South Carolina | $12.65 | $33.3 million | 8 |
| 25 | Minnesota | $12.41 | $32.3 million | 24 |
| 26 | Louisiana | $9.88 | $21.3 million | 4 |
| 27 | Pennsylvania | $9.38 | $52.2 million | 5 |
| 28 | Texas | $9.30 | $119.0 million | 22 |
| 29 | Virginia | $8.65 | $31.9 million | 4 |
| 30 | Wisconsin | $8.10 | $23.2 million | 12 |
| 31 | Tennessee | $6.94 | $22.2 million | 1 |
| 32 | Missouri | $5.57 | $16.4 million | 11 |
| 33 | Mississippi | $5.17 | $7.0 million | 9 |
| 34 | California | $5.15 | $74.1 million | 32 |
| 35 | Iowa | $5.06 | $7.4 million | 14 |
| 36 | Indiana | $4.87 | $15.0 million | 13 |
| 37 | Nebraska | $4.75 | $4.4 million | 18 |
| 38 | Georgia | $4.70 | $22.9 million | 12 |
| 39 | Kansas | $4.68 | $6.2 million | 4 |
| 40 | Kentucky | $3.19 | $6.7 million | 9 |
| 41 | Idaho | $2.91 | $2.6 million | 6 |
| 42 | Florida | $2.83 | $30.2 million | 25 |
| 43 | Nevada | $2.37 | $3.2 million | 3 |
| 44 | Wyoming | $2.20 | $644 thousand | 3 |
| 45 | Alabama | $1.90 | $4.6 million | 5 |
| 46 | Montana | $1.70 | $965 thousand | 5 |
| 47 | South Dakota | $1.31 | $583 thousand | 9 |
| 48 | Ohio | $1.23 | $6.4 million | 7 |
| 49 | West Virginia | $0.31 | $265 thousand | 2 |
| 50 | North Dakota | $0.08 | $31 thousand | 2 |
Source: U.S. Energy Information Administration, Form EIA-861 (final 2025 data), energy efficiency file, residential customer incentives for the reporting year, by the utility's state. Per home uses residential customers from the same survey.
How to read the ranking
- It shows spending, not savings. A state can pay large incentives and still produce small savings, or the reverse. Look at the savings column in the EIA file if that is your question.
- Reporting varies. Only utilities that run programs and file the form appear. A low number can mean a state routes its programs through another group that does not report here.
- It does not describe your offer. What you can get depends on your utility, your equipment and the current program year.
- Cooperatives and city utilities differ. Some run programs and some do not.
The top five states by paid incentives per home were Massachusetts, Vermont, Maryland, New Hampshire, Rhode Island. The lowest were Ohio, West Virginia, North Dakota. The national figure was $13.89 per home.
How to find the offers that apply to you
- Search your ZIP code on the ENERGY STAR rebate finder, which lists rebates and special offers from ENERGY STAR partners near you for certified products.
- Check your electric company's website for efficiency or rebate pages, and call if you cannot find one.
- Look at your state energy office and the DSIRE database for state and local programs.
- Ask the contractor which offers they handle, but confirm each one with the program yourself.
Before you buy, ask four things: does the product have to be on a qualified list, must you reserve the rebate first, how long does payment take and does the rebate go to you or the installer. For heat pumps, see heat pump rebates. For air conditioning and heating equipment, see HVAC rebates.
The federal credits for efficiency ended
The federal home improvement credit no longer applies: the IRS says it does not apply to property placed in service after December 31, 2025. That makes utility and state rebates more important for upgrades done now. The federal home energy rebates run by states are a separate program. See HOMES and HEEHR for what changed in May 2026.
Reserve before you buy
Source: Federal dates and program rules were read on October 10, 2026 from the sources at the end of the page. Rebate programs open, change and close often, so confirm every offer with the program before you buy. This is not tax or financial advice.
Sources and further reading
Frequently asked questions
Do electric companies give rebates for efficient appliances?
Many do. Offers differ by utility and year, so search your ZIP code on the ENERGY STAR rebate finder and ask your electric company.
Which states pay the most in efficiency incentives?
Per residential customer in 2025, Massachusetts, Vermont and Maryland ranked highest among utilities that reported to EIA.
Who pays for utility efficiency programs?
In many states the cost is recovered through electric rates, so customers fund the programs together. Check your state regulator for how yours is paid.
Is the federal home improvement tax credit still available?
The IRS says it does not apply to property placed in service after December 31, 2025.
Does a rebate guarantee I will save money?
No. A rebate lowers the price. Savings depend on how the equipment performs and how much you use it.