Massachusetts energy programs beyond Mass Save rebates

Four programs operate alongside the Mass Save rebate. They are administered by different bodies, pay on different terms, and are claimed in different ways. This page sets out what each one pays and how to obtain it.

The four programs at a glance

Program Administered by Amount Claimed by
NEHPA Energy Solutions $300 to $750 per unit The distributor, at point of sale
SMART Massachusetts DOER $0.03 per kWh generated Your electric utility, monthly
ConnectedSolutions Mass Save Sponsors $275 per kW contributed Your battery manufacturer
HEAT Loan Mass Save Sponsors $25,000 to $50,000 at 0% A participating lender

A heat pump conversion in a Mass Save territory can draw on NEHPA, the Mass Save rebate and the HEAT Loan together.

NEHPA

New England Heat Pump Accelerator

A point of sale discount on heat pumps and heat pump water heaters, applied by the distributor before the customer sees a price.

At a glance

Administered by
Energy Solutions, under a federal grant
Amount
$300 to $750 per unit, by equipment type
Term
February 2026 to December 2029
Eligibility
Existing homes of one to four units. Five or more units from 1 June 2026
How it is claimed
Deducted from the contractor invoice. No application
Stacks with Mass Save
Yes

Incentive by equipment type

Equipment Incentive Limit
Air source heat pump $650 per outdoor unit Two per dwelling
Air to water heat pump $750 per outdoor unit Two per dwelling
Geothermal heat pump $750 per unit Two per dwelling
Heat pump water heater $300 per unit One per dwelling

Eligibility

Equipment must be installed in an existing home of one to four units in Massachusetts, Connecticut, New Hampshire or Rhode Island. Buildings of five or more units became eligible on 1 June 2026. New construction does not qualify. Equipment must appear on the Accelerator qualified products list.

Equipment standards

Air source heat pumps must meet the ENERGY STAR version 6.1 cold climate criteria. Ductless systems require an HSPF2 of 8.5 and ducted systems an HSPF2 of 8.1. Both require a SEER2 of 15.2, a heating capacity ratio at 5°F of 70%, and a coefficient of performance at 5°F of 1.75. Air to water systems must be 6 tons or smaller. Heat pump water heaters must hold 120 gallons or less and reach a uniform energy factor of 3.30 on 240 volts, or 2.20 on 120 volt and split systems.

Obtaining the incentive

The contractor must purchase from an enrolled distributor. The distributor requires the customer's name, installation address, telephone number, email address and existing heating fuel. Ridgeline Analytics conducts random post installation inspections.

Find an enrolled distributor

65 companies supply 106 Massachusetts towns. Ask your installer whether they buy from one of them.

List published by NEHPA and last updated August 11, 2026. It is revised weekly, so confirm with your installer before ordering. View the source list .

NEHPA is funded by a federal grant rather than by utility ratepayers. Eligibility does not depend on the electricity supplier, so households in municipal light plant towns qualify even though Mass Save rebates are unavailable to them.

Sources

  1. New England Heat Pump Accelerator, incentive details. Verified 25 August 2026.
  2. Mass Save, air source heat pumps. Verified 25 August 2026.

SMART

Solar Massachusetts Renewable Target

A per kilowatt hour payment on everything a solar system generates, paid through the electric utility for twenty years.

At a glance

Administered by
Massachusetts Department of Energy Resources
Amount
$0.03 per kWh for systems of 25 kW AC or smaller
Low income rate
$0.06 per kWh
Term
20 years from the Final Statement of Qualification
Eligibility
Solar systems qualified under 225 CMR 28.00
How it is claimed
Application through your electric distribution company

Program Year 2026 rates

System type Flat incentive rate
25 kW AC or smaller $0.03 per kWh
Low income systems $0.06 per kWh

The flat rate is established by 225 CMR 28.05(7) and compensates the system owner for the Renewable Energy Certificates retained by the utility. The rate is locked at the time of qualification and guaranteed for the twenty year term. For Program Year 2026, DOER calculated a rate of $0.02 and elected to maintain $0.03.

Current program status

SMART 3.0 replaced the declining block structure used by earlier versions. The Department of Public Utilities approved the utility specific tariffs on 8 July 2026, after which DOER began issuing Final Statements of Qualification. Applications for Program Year 2026 are accepted from 1 January to 31 December 2026.

Payments are not backdated to the date a system begins operating. The twenty year term starts when the Final Statement of Qualification is issued, which may fall well after installation.

ConnectedSolutions

Battery demand response

An annual payment for allowing a home battery to discharge to the grid during summer peak demand events.

At a glance

Administered by
The Sponsors of Mass Save
Amount
$275 per kW of average contribution during events
Typical payment
Up to $1,375 a year for a battery contributing 5 kW
Events
No more than 60 a summer, up to three hours each
Season
1 June to 30 September, non holidays, 3pm to 8pm
How it is claimed
Enrolment through the battery manufacturer

Payment is per kilowatt, not per kilowatt hour.

The rate applies to power delivered during events, not to the storage capacity of the battery. A battery contributing 5 kW receives up to $1,375 a year. Applying the rate to a battery's kilowatt hour rating produces a substantially higher and incorrect figure.

Event conditions

Events are called between 1 June and 30 September on non holidays, between 3pm and 8pm. There are no more than 60 events in a season and each lasts up to three hours. National Grid reports a typical annual payment of approximately $1,200 and between 30 and 60 events a year.

The thermostat program

ConnectedSolutions also runs a smaller tier for smart thermostats, which is separate from the battery program and pays on different terms. National Grid offers up to $100 on enrolment and $20 a year afterwards, across roughly 15 events a summer. Eligible thermostats include Nest, ecobee, Honeywell, Sensi, Emerson and Trane models. A household can enrol a thermostat without owning a battery.

Enrolment

Enrolment is handled by the battery manufacturer rather than by Mass Save. Participating manufacturers include Tesla, Enphase, SolarEdge, Generac, Sonnen, FranklinWH, Panasonic, Qcells, Sol-Ark and Emporia.

A higher paying variant, ConnectedSolutions+, is available in selected National Grid communities including Lynn, Malden, Medford, Salem and Worcester.

Sources

  1. Mass Save, battery storage. Verified 26 August 2026.
  2. National Grid, ConnectedSolutions. Verified 26 August 2026.

HEAT Loan

Mass Save zero interest financing

Zero interest financing for energy efficiency work, arranged through a participating lender.

At a glance

Administered by
The Sponsors of Mass Save, with participating lenders
Interest rate
0%
Standard maximum
$25,000, effective 1 January 2025
Expanded Loan Option
Up to $50,000 for homes of two to four units
Basis of the cap
Applies across the lifetime of a customer's upgrades, not per project
How it is claimed
Application to a participating lender

The maximum applies for the lifetime of the customer.

Mass Save applies the cap across all of a customer's energy efficiency upgrades rather than to each project. Borrowing $18,000 for a heat pump leaves $7,000 available for all subsequent work.

Eligible measures

  • Weatherization, and the pre weatherization barriers that must be cleared first
  • Heat pump projects
  • Heat pump water heaters
  • Home batteries enrolled in ConnectedSolutions
  • ENERGY STAR replacement windows, only alongside completed weatherization work

Replacement windows are not financeable on their own. They qualify only in combination with the weatherization measures recommended by a Home Energy Assessment.

Sources

  1. Mass Save, 0% interest financing. Verified 26 August 2026.
  2. Montachusett Regional Planning Commission, listed on mass.gov. Verified 26 August 2026.

A heat pump conversion, in sequence

Three of these programs apply to the same project, and they arrive at different points. The example below assumes a three ton whole home air source system on a single outdoor unit, installed for $15,000 in a Mass Save territory, replacing oil.

Stage Source Amount
Installed cost Quoted by the contractor $15,000
At the point of sale NEHPA, one outdoor unit −$650
After installation Mass Save, $2,650 per ton −$7,950
Remaining Financeable at 0% on the HEAT Loan $6,400

The order matters. The NEHPA discount is applied by the distributor when the contractor buys the equipment, so it has to be arranged before the order is placed and cannot be added afterwards. The Mass Save rebate is claimed after installation and arrives weeks later. The HEAT Loan is arranged separately with a participating lender and covers whatever balance is left.

Households on the income based Enhanced tier receive up to $16,000 from Mass Save rather than $8,500, which covers this project in full. In a municipal light plant town the Mass Save rebate and the HEAT Loan are both unavailable, and the $650 NEHPA discount is the only incentive that applies.

Frequently asked questions

Can these programs be combined on the same project?

Yes. NEHPA is designed to stack with state and utility incentives, and directs customers to Mass Save for additional offers. A solar and battery installation can receive SMART payments for the panels and ConnectedSolutions payments for the battery at the same time. The HEAT Loan finances the remaining balance.

Do these programs apply in municipal light plant towns?

NEHPA does. It is funded by a federal grant rather than by utility ratepayers, so eligibility does not depend on the electricity supplier. Mass Save rebates, the HEAT Loan and ConnectedSolutions are funded by the Mass Save Sponsors and are not available to municipal light plant customers.

Why is NEHPA applied at the point of sale rather than claimed as a rebate?

The incentive is applied in the supply chain. The contractor purchases equipment from a participating distributor, the distributor deducts the incentive from that invoice, and the reduction is passed to the customer. No form is submitted and nothing is claimed afterwards.

How much does SMART pay a typical residential system?

Systems of 25 kW AC or smaller receive a flat $0.03 per kilowatt hour in Program Year 2026, which covers almost all residential installations. Systems serving low income customers receive $0.06. The rate is locked at qualification and guaranteed for a twenty year term.

Do these programs replace the federal tax credits that ended?

Only in part, and only for heat pumps. NEHPA began in February 2026, six weeks after Sections 25C and 25D were repealed, and covers comparable equipment at a few hundred dollars per unit rather than 30% of project cost. No current program replaces the solar coverage that 25D provided.