We’re constantly asked by Colorado homeowners about incentive programs for home energy efficiency improvements.
The great news? There are programs available at federal, regional, and local levels that make these home performance upgrades more affordable.
The best way to maximize your savings is by starting with a home energy audit through e3 Power before making any actual upgrades. With an energy audit, you’ll gain real insights into your home’s energy use, including where and how your home could be wasting energy through air leaks and poor insulation.
After your independent energy audit, you’ll be able to work with a contractor of your choice to improve the insulation and air sealing in your home while taking advantage of tax credits, rebates, and other incentives available to Colorado homes. Read on to learn more about available incentive programs!
XCEL ENERGY HOME ENERGY AUDIT REBATE
As mentioned earlier, starting with a home energy audit is a great first step toward making home performance upgrades. This way, you don’t waste time and money on services and/or upgrades that don’t meet your home’s unique needs.
For homeowners who are Xcel Energy customers, they offer an incentive to help reduce the cost of your energy audit. Through this program, homeowners can receive up to a $200 rebate on standard home energy audits with blower door testing and infrared.
E3 Power is a participating contractor with Xcel Energy and, to make this easier on homeowners, we do a direct assignment of rebate. As a homeowner, all you need to do is sign a form. Xcel then sends us the money directly, and your bill is adjusted to reflect your rebate. The $200 never comes out of your pocket!
INFLATION REDUCTION ACT INCENTIVES
Signed into law in 2022, the Inflation Reduction Act of 2022 (IRA) contained many incentives that aim to make energy-efficient upgrades more affordable for homeowners.
25C TAX CREDIT
The IRA reinstated and increased the value of the 25C tax credit, also known as the Energy Efficiency Home Improvement Tax Credit. Thanks to the IRA, homeowners can now claim a tax credit of up to 30% of the cost of qualifying energy-efficient upgrades and services. There is a $1,200 annual limit on services including:
- Energy audits: $150 max
- Insulation and air sealing: $1,200 max
If your energy audit is performed by e3 Power, you can take advantage of the 30% tax credit on the cost of your audit in addition to the Xcel energy audit rebate (the 30% would be calculated based on the remaining balance after the rebate is deducted).
INFLATION REDUCTION ACT REBATES
In addition to reinstating the Energy Efficiency Home Improvement Tax Credit, the IRA created two new rebate programs to help homeowners improve the energy efficiency of their homes. Individual states are responsible for setting up these programs, called HOMES and HEEHR. E3 Power will keep you updated as we learn more about when they’ll be available for homeowners in Colorado!
COLORADO REBATES FOR ENERGY EFFICIENCY UPGRADES
If you’re looking for Colorado rebates for insulation, heat pumps, mini-splits, and other energy-efficiency-related upgrades, we suggest you pay a visit to the Database of State Incentives for Renewables and Efficiency (DSIRE) for the most up-to-date information available on the types of energy-efficient programs in your area.
LEARN WHERE YOU CAN SAVE WITH E3 POWER, COLORADO’S INDEPENDENT ENERGY AUDITORS
If you’re ready to improve the energy efficiency and comfort of your home, start by scheduling a home energy audit with e3 Power. We’re an independent energy audit provider, meaning we don’t offer many of the home performance services that other energy audit providers do, like insulation installation and air sealing. Because of this, you can rest easy knowing that we will only recommend home upgrades and services that your home truly needs—there’s no financial incentive for us to upsell you on expensive and unnecessary retrofit work.
By starting with an energy audit with e3 Power, you can ensure you’re making an informed decision as you make your home more energy efficient, so you can maximize your savings with whatever contractor you choose to perform the actual upgrades.