Business Rebates Available Now!

Get up to $40,000 in rebates when upgrading to energy-efficient induction cooktops and heat pumps for HVAC and water heating. Plus, get up to an additional $15,000 if your business is a non-profit.

Upgrade to energy efficient all-electric space and water heating systems!

Attention businesses! You’re now eligible for support in transitioning to energy-efficient all-electric induction cooking and heat pumps for HVAC and water heating. Traditional gas systems are major contributors to building emissions and indoor/outdoor air pollution. Electric heat pumps offer a clean, safe, and efficient alternative. Act now to claim rebates on new heat pump water heaters and HVAC systems for your business.

What rebates are available?

SVCE rebates are available for businesses, schools, and municipal buildings. We accept applications submitted by the Business Owner, Property Owner, Property Manager, Lease Holder, City, School/District, or Contractor (on behalf of Business/Property Owner).

SVCE will award rebates up to the dollar amounts described below. Rebates are not to exceed the project costs.

Equipment Rebate
Heat Pump HVAC (packaged or split systems, 1-20 Tons) $750/Ton ($750 - $15,000 per unit)
Heat Pump Water Heater (40-80 gal) $2,000 per unit
Heat Pump Water Heater (81-120 gal) $4,000 per unit
Point-of-Use Electric Water Heater (3-10 gal) Up to $400 per unit
Residential Induction Cooktop or Range $500 per unit
Commercial Induction Cooktop or Range Up to $5,000 per unit
Wiring or Prewiring $500 per circuit or device, up to $5,000 per project
Add-on Rebates Rebate
Electrical Infrastructure Upgrade (e.g., electric panel or subpanel upgrade) Up to $2,000 (limit one per project)
Non-Profit Adder (Heat Pump HVAC, HPWH, or Commercial Induction Cooking) $1,500 per unit (up to $15,000 per project)

STEP 1: Reserve Your Rebate

Submit a Rebate Application. Have your PG&E account number and a photo of your existing equipment(s) (electric-resistance or gas-fired water heater and/or packaged rooftop HVAC unit name plate, gas cooktop or range) handy. You’ll also be asked to review and sign our Participant Agreement. Please note that the Rebate Application must be approved before your equipment is installed.

STEP 2: Install Your New Equipment

Equipment: Review the Equipment Specifications to learn which equipment qualifies.

Contractor: Contact a local installer who has experience installing all-electric equipment. We recommend you do some research and get a few quotes. You can use any qualified contractor of your choice in order to qualify.

Permitting: Make sure to apply for the right building permits with your city or county. Your contractor should be able to help with the permitting process.

STEP 3: Receive Your Rebate

After installing your equipment and receiving your inspection approval, submit a Rebate Claim which will be provided via email. You will be asked to provide photos of your newly installed equipment, proof of project costs, and the permit document(s) signed and dated by your City or County inspector to claim your rebate.

After submitting a Rebate Claim, you will receive an email confirmation. We will issue the rebate and mail it to you or to your contractor, whichever is your preference. Please note that it takes approximately four weeks for a rebate check to arrive in the mail.

Ready to apply?

Application questions?
Email us at SVCEPrograms@smud.org or call us at 833-243-4235

Need More Help?


Send your questions to SVCEPrograms@smud.org or call us at 833-243-4235

Complex Upgrade Scenarios

Are you running into issues with planning, equipment selection, and bid review for your business electrification process? We offer free technical assistance for more complicated projects via our Building Electrification Technical Assistance team.

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Frequently Asked Questions

Yes, you can receive up to $40,000 in rebates, and up to $55,000 if you’re a non-profit.

Any commercial or municipal SVCE customer is eligible. We accept applications submitted by the Business Owner, Property Owner, Property Manager, Lease Holder, City, School/District, or Contractor (on behalf of Business/Property Owner).

Induction technology offers: faster cooking times, precise temperature control, less ambient heat, and eliminates the emission of harmful gases such as carbon monoxide, making it safer for employees. Learn more about induction.

After we’ve approved your application and you’ve completed the rebate claim form, the one-time rebate check will be sent to the address you provide in about 4 weeks.

You may only receive up to $40,000 in rebates per business site location ($55,000 for non-profits).

To claim your rebate you will need to submit the following documentation:

  • Proof of project costs, such as, permit fees, materials purchase receipts, contractor’s invoices
  • Photos of existing equipment to be replaced
  • Photos of all newly installed equipment
  • Final permits from Authority Having Jurisdiction (City or County)

To qualify as a “non-profit” an organization must demonstrate receiving “exempt” status under the Internal Revenue Services by meeting the requirements of a 501(c)(3) organization. Public schools and school districts are also eligible for the non-profit adder.

POU Water Heaters are great for low-usage applications that currently have a small gas tank or instantaneous gas water heater serving them. For example, a single lavatory or sink in a small retail or warehouse. They are cheap to install and easy to maintain!

If your home office is on a commercial electricity rate, then absolutely! Otherwise, please check out our residential Home Rebates.

Dual-Fuel Systems – As our focus is on decarbonization, dual-fuel systems (such as an electric heat pump with a backup gas furnace) would not qualify for our rebates. Find out the benefits of all-electric HVACs here!

Electric tankless water heaters – Tankless (“on-demand”) electric water heaters use significantly more power, eligible point-of-use water heaters have small water tanks (between 2.5 and 10 gallons).

Please review our Equipment Specifications for appliance eligibility requirements.

Yes, your old appliances must be removed, and gas lines capped to qualify for the rebates.

No, you can choose any contractor you wish to hire. We do offer a Find-a-Contractor webpage that provides a list of local contractors that have participated in our programs.

Yes. The finalized permit signed and dated by your City or County inspector is required to claim your rebate.