High Demand for Oregon’s Rental Home Heat Pump Program

Source: NASEO

The Oregon Department of Energy (ODOE) recently opened a new round of funding for the Oregon Rental Home Heat Pump Program, which provides incentives to owners of rental homes, manufactured dwellings, or recreational vehicles located in a rented space. Within 36 hours, contractors reserved all $4 million in funding allocated by Oregon state legislature.

ODOE first launched the program in July 2023 with approximately $14 million for incentives. The first tranche of funding was completely reserved by May 2024. ODOE anticipates re-opening the program in 2025 using federal funds made available from Oregon’s Climate Pollution Reduction Grant Award.

Under the program, eligible rental property owners may receive incentives for installing energy efficient heat pumps and related upgrades. ODOE-approved contractors install heat pumps and efficiency measures in eligible properties, and the full rebate savings must be passed on to the dwelling owner. Program rules require that minimum of 25 percent of funds be allocated to low- and moderate-income households and that a minimum of 25 percent of funds be allocated to affordable housing providers.