Arkansas Energy Rebates 2026
Arkansas homeowners in 2026 can access federal HEAR and HOMES rebates administered by the Arkansas Energy Office, plus utility programs from Entergy Arkansas and other regional utilities. Arkansas has a mixed climate with hot, humid summers and cold winters, making heat pumps an efficient year-round choice. The 25C and 25D federal tax credits expired December 31, 2025. Arkansas has below-average median income, meaning many households qualify for HEAR's maximum rebate tier.
HOMES Rebate Program in Arkansas
| Income Level | Max Rebate | Cost Coverage |
|---|---|---|
| Low income (≤80% AMI) | Up to $8,000 | 80% of project cost |
| Moderate income (80-150% AMI) | Up to $4,000 | 50% of project cost |
| Above 150% AMI | Not eligible | N/A |
HOMES rebates are administered by the Arkansas Energy Office. Provides up to $4,000 for 20–35% whole-home energy savings and up to $8,000 for 35%+ savings. Income-qualified households (≤80% AMI) receive doubled amounts.
HEAR (HEEHRA) Rebates in Arkansas
| Equipment | Max Rebate |
|---|---|
| Heat Pump HVAC | Up to $8,000 |
| Electrical Panel | Up to $4,000 |
| Wiring Upgrade | Up to $2,500 |
| Heat Pump Water Heater | Up to $1,750 |
| Insulation & Weatherization | Up to $1,600 |
| Electric Stove/Cooktop | Up to $840 |
Maximum total: $14,000 per household (low-income, ≤80% AMI). Moderate income (80-150% AMI) can receive up to $7,000.
Arkansas State Incentive Programs
Entergy Arkansas Energy Efficiency Programs
Entergy Arkansas offers residential efficiency programs including rebates for ENERGY STAR equipment, smart thermostats, and energy assessments. Entergy customers in Arkansas can check the program page for current rebate amounts, which can be combined with federal HEAR and HOMES rebates.
Learn moreArkansas Weatherization Assistance Program
Federally and state-funded weatherization services for income-qualified Arkansas households (at or below 200% of federal poverty level). Delivered through local Community Action Agencies and the Arkansas Energy Office. Provides free insulation, air sealing, heating/cooling improvements, and health and safety repairs.
Learn moreArea Median Income (AMI) in Arkansas
HOMES and HEAR rebate amounts depend on your household income relative to the Area Median Income in your area. AMI varies by county and household size.
| Area | 80% AMI (Family of 4) | 150% AMI (Family of 4) |
|---|---|---|
| Little Rock-North Little Rock-Conway MSA | $62,720 | $117,600 |
| Fayetteville-Springdale-Rogers MSA | $65,920 | $123,600 |
| Fort Smith MSA | $54,320 | $101,850 |
Frequently Asked Questions
What energy rebates are available in Arkansas in 2026?
Arkansas homeowners in 2026 can access: (1) Federal HEAR rebates for heat pumps (up to $8,000), heat pump water heaters ($1,750), insulation ($1,600), and electrical panels ($4,000) for income-qualified households (≤150% AMI); (2) HOMES whole-home performance rebates up to $8,000; (3) Entergy Arkansas or SWEPCO utility rebates; (4) Free weatherization for income-qualified households. The 25C and 25D federal tax credits expired December 31, 2025.
Are federal tax credits still available in Arkansas?
No. The One Big Beautiful Bill Act (OBBBA, P.L. 119-21, signed July 4, 2025) terminated the Section 25C and 25D federal energy tax credits for installations after December 31, 2025. If you installed qualifying equipment before that date, you can still claim the credit on your 2025 tax return. For 2026 installations, HEAR and HOMES rebates are the primary federal incentive paths.
Are heat pumps the right choice for Arkansas's climate?
Yes. Arkansas has hot, humid summers and cold (but not extreme) winters — an ideal heat pump climate. Modern heat pumps handle Arkansas conditions well, with backup heat strips activating only during the rare severe cold snap. Most Arkansas homes already use heat pump or central air systems; upgrading from older SEER 10–13 units to high-efficiency SEER2 16+ models reduces both cooling and heating costs and qualifies for HEAR rebates.
Who administers HEAR and HOMES in Arkansas?
The Arkansas Energy Office (within the Arkansas Division of Higher Education or DHS, depending on the program) administers HEAR and HOMES rebates. Contact the Arkansas Energy Office or visit their website to find participating contractors. Local Community Action Agencies provide weatherization services and can help income-qualified households navigate all available programs.
What is the income limit for maximum HEAR rebates in Arkansas?
HEAR uses Area Median Income (AMI). In the Little Rock area, the 80% AMI for a 4-person household is approximately $62,720 — qualifying for 100% of costs up to rebate caps. In the Fort Smith area, 80% AMI is approximately $54,320. Arkansas's below-average income means a significant proportion of the population qualifies for maximum HEAR rebates. Use our calculator with your specific location to check eligibility.
How to Claim Your Arkansas Rebates
