Hawaii Energy Rebates 2026
Hawaii homeowners in 2026 can access federal HEAR and HOMES rebates administered by the Hawaii State Energy Office, plus utility programs from Hawaiian Electric (HECO). Hawaii has some of the highest electricity rates in the US (30–40¢/kWh), making energy efficiency especially valuable. The 25C and 25D federal tax credits expired December 31, 2025. Hawaii also has its own state income tax credit for solar energy systems, which survived the OBBBA and remains available in 2026.
HOMES Rebate Program in Hawaii
| 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 Hawaii State 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. Given Hawaii's extremely high electricity rates, even modest efficiency improvements achieve high dollar savings.
HEAR (HEEHRA) Rebates in Hawaii
| 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.
Hawaii State Incentive Programs
Hawaii State Solar Tax Credit
Hawaii offers its own state income tax credit for solar photovoltaic systems: 35% of system cost, up to $5,000. This is a STATE credit that survived the OBBBA — it is separate from the expired federal 25D credit. Hawaii residents installing solar in 2026 can claim this state credit on their Hawaii state income tax return. Combined with net energy metering (NEM), solar remains financially attractive in Hawaii despite loss of the federal 30% ITC.
Learn moreHawaiian Electric Home Energy Programs
Hawaiian Electric (HECO) offers programs including rebates for heat pump water heaters, smart thermostats, and EV charging. Given Hawaii's very high electricity rates (~33¢/kWh), heat pump water heaters provide exceptional ROI — replacing an electric resistance water heater with a heat pump model can cut water heating costs by 60–70%.
Learn moreArea Median Income (AMI) in Hawaii
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) |
|---|---|---|
| Urban Honolulu MSA | $93,920 | $176,100 |
| Kahului-Wailuku-Lahaina MSA (Maui) | $86,480 | $162,150 |
| Non-metro Hawaii (Hawaii Island/Big Island) | $72,000 | $135,000 |
Frequently Asked Questions
What energy rebates are available in Hawaii in 2026?
Hawaii homeowners in 2026 can access: (1) Federal HEAR rebates for heat pump water heaters (up to $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) Hawaii's 35% STATE solar tax credit (survived OBBBA, max $5,000 per system); (4) Hawaiian Electric utility rebates for heat pump water heaters and smart thermostats. Note: The federal 25D solar credit expired December 31, 2025.
Is the federal solar tax credit still available in Hawaii?
No. The federal Section 25D Residential Clean Energy Credit (30% ITC) expired December 31, 2025 under OBBBA. However, Hawaii has its own state solar tax credit: 35% of cost, up to $5,000 per system, claimable on your Hawaii state income tax return. This state credit survived the OBBBA and remains fully available for 2026 solar installations.
Are heat pump water heaters especially valuable in Hawaii?
Yes — heat pump water heaters (HPWHs) offer the best energy ROI of any appliance in Hawaii. At ~33¢/kWh electricity rates, an electric resistance water heater costs significantly more to operate than an HPWH, which is 3–4x more efficient. A family of four can save $800–$1,200 per year by switching to a heat pump water heater. HEAR rebates (up to $1,750 for income-qualifying households) plus Hawaiian Electric incentives make the upfront cost very manageable.
How does Hawaii's state solar credit work in 2026?
Hawaii's state solar income tax credit is 35% of the system's cost, up to a maximum of $5,000 per 5 kW of capacity (with a total cap of $5,000 for most residential systems). You claim it on your Hawaii state income tax return (Form N-342). There is no income limit for the state credit. This is separate from and unaffected by the federal 25D credit expiration. Hawaii remains one of the best states for solar economics due to high electricity rates and this state credit.
What is the HEAR program priority for Hawaii homeowners?
For Hawaii, the highest-priority HEAR rebate is the heat pump water heater ($1,750 for income-qualifying households). Given Hawaii's 33¢/kWh electricity rates, this offers the fastest payback of any HEAR-eligible appliance. Electrical panel upgrades ($4,000) are also valuable for households adding solar, EVs, or HPWHs that need additional capacity. Space heating is less relevant in Hawaii's tropical climate.
How to Claim Your Hawaii Rebates
