Long Island homeowners replacing a boiler can take advantage of several rebate programs, tax credits, and assistance programs to reduce the cost. This guide covers everything available in 2026, including National Grid utility rebates, NYS Clean Heat heat pump incentives, federal Inflation Reduction Act tax credits, and HEAP assistance for income-qualifying households.
We stay current on all available programs and help every customer apply for the incentives they qualify for. For a full breakdown of replacement costs before rebates, see our cost guide.
National Grid Gas Boiler Rebates
National Grid serves most of Long Island for natural gas and offers rebates on high-efficiency gas heating equipment. To qualify, the new boiler must be ENERGY STAR certified with an AFUE rating of 95% or higher. Rebate amounts vary by equipment type and program year. As a licensed Long Island HVAC contractor, our installations qualify for all applicable National Grid rebate programs.
Rebates are typically deducted directly from the installation cost or mailed as a check after installation. We handle the paperwork and submit it to National Grid along with proof of installation and equipment specifications.
NYS Clean Heat: Heat Pump Rebates
If you are considering replacing your boiler with a heat pump system, the NYS Clean Heat program offers significant rebates through National Grid. These rebates are substantially larger than those available for gas boilers.
| System Type | Standard Rebate | Disadvantaged Community | With Fossil Fuel Decommission |
|---|---|---|---|
| Air Source Heat Pump (Whole Home) | Up to $6,000 | Up to $8,000 | Up to $10,000 / $12,000 |
| Air Source Heat Pump (Partial to Full-Load) | Up to $4,000 | Up to $4,000 | N/A |
| Geothermal Heat Pump (Existing Home) | Up to $20,000 | Up to $25,000 | N/A |
| Geothermal Heat Pump (New Construction) | Up to $14,000 | Up to $19,000 | N/A |
| Heat Pump Water Heater | Up to $1,250 | Up to $1,250 | N/A |
You must work with a NYS Clean Heat participating contractor to be eligible. Rebates can be deducted from the installation cost or mailed as a check. Homes located in a New York State Disadvantaged Community qualify for higher rebate amounts. The largest rebates are available when the existing fossil fuel heating system is fully decommissioned.
Federal Tax Credits (Inflation Reduction Act)
The Inflation Reduction Act provides federal tax credits for qualifying high-efficiency heating equipment installed in your primary residence. These are dollar-for-dollar reductions in your tax liability, not deductions.
Boiler Tax Credit
High-efficiency gas boilers with an AFUE of 95% or higher qualify for a tax credit of up to 30% of the cost, capped at $600. You claim this on your federal income tax return for the year the equipment is installed.
Heat Pump Tax Credit
Heat pump systems qualify for a larger credit of up to 30% of the cost, capped at $2,000. This applies to air source heat pumps that meet the highest efficiency tier (CEE Tier). Geothermal heat pumps also qualify for a 30% credit with no cap.
You will need the manufacturer certification statement and your installation receipt. Consult your tax professional for specific eligibility. These credits can be combined with utility rebates.
New York State Geothermal Tax Credit
New York State offers a separate tax credit of 25% of the cost (up to $10,000) for qualifying geothermal heat pump systems. This is in addition to the federal credit and any National Grid rebates.
HEAP Heating Equipment Assistance
The Home Energy Assistance Program (HEAP) is a federally funded program administered by New York State that helps eligible low-income households with heating costs. The HEAP Heating Equipment Repair and Replacement benefit can cover the cost of a new boiler, installation labor, and related work such as chimney lining.
Eligibility is based on household size and income. Applications are submitted through your local Department of Social Services in Nassau or Suffolk County. If you believe you may qualify, let us know during your free estimate and we can help guide you through the process.
Stacking Your Savings: An Example
The most effective approach is to combine multiple programs on a single project. Here is an example of how the numbers can work for a high-efficiency gas condensing boiler replacement:
Example: 95%+ AFUE Gas Condensing Boiler
For heat pump conversions, the savings stack even higher. A whole-home air source heat pump with fossil fuel decommission could receive up to $10,000 from NYS Clean Heat plus a $2,000 federal tax credit, bringing the out-of-pocket cost down significantly. See our financing page for details on paying the remaining balance over time with 0% APR options available through Wisetack.
How We Help You Maximize Savings
During your free estimate, we review every rebate and incentive program available for your specific situation. We handle the rebate paperwork, provide the documentation you need for tax credits, and offer flexible financing through Wisetack for the remaining balance. We serve all of Nassau County and Suffolk County.
Call (631) 860-6681 or schedule your free estimate online to find out exactly which programs apply to your home.