Water Heaters

Save energy and reduce greenhouse gas emissions with an efficient water heater.
water heating equipment
Higher-efficiency water heating systems can lower heating expenses, decrease equipment maintenance time, and lower greenhouse gas emissions. 

The Sponsors of Mass Save offer incentives on storage and tankless (on-demand) water heaters, as well as electric heat pump water heaters. Heat pump water heaters are a highly efficient way to heat water, using electricity to pull heat from the surrounding air and transfer it to water enclosed in the tank.

Whatever your fuel type, the key is to choose a water heater with a high energy factor (this calculates the total efficiency, including tank insulation and standby heat loss).

In alignment with the Commonwealth’s climate policy and goals, the Sponsors of Mass Save are discontinuing incentives for equipment powered by natural gas. Eligible natural gas water heating equipment must be purchased by September 30, 2024, to receive an instant incentive.

Incentives are available for qualifying high efficiency equipment in the chart below:

Water Heater Incentives
Water Heater Type
Fuel Type
Input Rating
Required Efficiency
Customer Discount
Storage Natural Gas >= 75 Mbtuh Thermal Efficiency >= 94% $4.00/Mbtuh
Natural Gas <  200 Mbtuh Energy Factor >= 0.94 or 
Uniform Energy Factor >= 0.91
Volume (Domestic Hot Water Boiler) Natural Gas >= 75 Mbtuh Thermal Efficiency >= 94% $4.00/Mbtuh
Indirect Natural Gas N/A N/A $400/unit

Heat Pump Water Heaters
Equipment Sector Existing Water Heating Fuel Type Size Required Efficiency Customer Incentive ($/Unit)
Electric Heat Pump Water Heater (HPWH) Commercial Electric, Propane, Oil, or Natural Gas <= 80 Gallon UEF >= 3.3 $1,000
> 80 and <= 120 Gallon COP >= 3.6 $2,200
  1. Determine Your Water Heating Need
    Contact your contractor to determine the water heating need for your business.
  2. Find a Participating Distributor
    Locate participating distributors who can work with you and your contractor to identify the right type of high-efficiency equipment for your business.
  3. Receive Incentive
    The incentive will be automatically applied at the point of purchase and noted on the invoice.

Can’t find what you’re looking for? The Sponsors of Mass Save offer customized project support to help your business save energy, money and energy , and reduce greenhouse gases. If you have any questions, please contact your Sponsor

  • For heat pump water heater purchases, you must be an existing customer of Berkshire Gas, Cape Light Compact, Eversource, Liberty Utilities, National Grid, or Unitil
  • For natural gas water heater purchases, you must be an existing customer of Berkshire Gas, Eversource, Liberty Utilities, National Grid, or Unitil
  • Must have a licensed heating contractor or plumber purchase and install eligible equipment 
  • Equipment must be purchased from a participating distributor
  • Your contractor must provide the installation address and site information to the distributor to obtain the incentive
  • You cannot already be receiving an incentive for the water heating equipment through another program from the Sponsors of Mass Save

Case Study: ALDACO Linen Services

Find out how a linen services company saved 1,250,000 gallons of water each month by investing in a new, energy-efficient water system.

Not Sure Where To Start?

If you’re looking for advice on how to save energy, the Sponsors of Mass Save offer energy assessments and guidance to support efficiency projects from start to finish.

Learn More