Heating and Water Heating Equipment


The Benefits

Heating is the largest energy expense in the average U.S. home, accounting for about 45 percent of your energy bill. New high-efficiency heating or water heating equipment will help you save up to 30 percent, or $400, on heating costs each year.

A furnace or boiler’s efficiency is measured by its Annual Fuel Utilization Efficiency (AFUE) rating. An AFUE of 90 percent means that 90 percent of the energy in the fuel becomes heat for the home, and the other 10 percent is wasted.

A water heater’s efficiency is measured as an Energy Factor (EF), where the higher the number, the more energy efficient the water heater. New equipment can have an EF as high as 0.96.

Compared to older models, new efficient equipment helps you save money in the long term because less energy is wasted. To determine your new equipment’s AFUE or EF, look for the yellow EnergyGuide sticker on the appliance. The higher the AFUE or EF, the less energy is used, saving you money.


Available Rebates and Incentives

If heating or water heating improvements were recommended during your home energy assessment, you could be eligible for rebates of up to $1,600 when you install new, qualifying equipment that meets minimum efficiency requirements.


Next Steps