The season has returned when filling up an oil tank brings a sigh of relief. If you have an oil boiler in Maine, you've probably heard about heat pumps.

To get straight to the point, as of October 2026, Efficiency Maine's residential heat pump rebate program is still in operation. However, if you install without knowing the conditions, you might end up receiving nothing.

First, let's look at the numbers. Rebates are calculated based on one outdoor unit.

Low-income households can receive $3,000 per outdoor unit, with a lifetime limit of $9,000 per residential unit. Moderate-income households can receive $2,000 per unit, with a limit of $6,000.

There is also a basic rebate available to anyone, regardless of income. This is $1,000 per unit, with a limit of $3,000.

The limits mentioned here are lifetime limits. If you've received a rebate before, that amount will be deducted, so if you've purchased a home, it's a good idea to check if the previous owner received any rebates.

The income brackets are simpler than you might think. Low-income status applies if the homeowner or household member participates in one of MaineCare, HEAP, SNAP, or TANF.

Moderate-income status is based on Adjusted Gross Income (AGI), with individual filers earning $70,000 or less and joint filers earning $100,000 or less. Low-income or moderate-income rebates require that the home is your primary residence.

To qualify for the income-based rebate, you must first verify your income eligibility on the Efficiency Maine website before installation. It's easy for things to get complicated if you wait until after the work is done to gather documents.

Now, let's address the most common question from oil boiler households: Do you need to remove the boiler? If it's an existing home, it's not strictly necessary to remove it.

However, there are conditions. The heat pump must be the primary heating source throughout the heating season, and the boiler should only remain as a backup.

There are specific methods to achieve this. You can lower all the temperature controls on the boiler to the minimum, turn off the power switch and cover it, or connect it only to a generator.

There's a reason for this. If the boiler operates simultaneously, the house heats up, causing the heat pump sensor to shut off, which ultimately leads to continued oil usage.

If your home uses the boiler for hot water, Efficiency Maine advises keeping the boiler on for that purpose. You can think of it as transferring only the heating function to the heat pump.

Capacity is also important. The heat pump must handle at least 80% of the home's maximum heating load.

Alternatively, you can combine the heat pump and auxiliary heating to meet 100%. In this case, the capacity of the boiler left as a backup is not included in the calculation.

You also need to consider the type of equipment. The rebate applies to single-zone heat pumps listed by Efficiency Maine.

Multi-zone products are not eligible for rebates but can be included in capacity calculations. The dual-fuel method that combines heat pumps with fossil fuel furnaces is not eligible at all.

When getting estimates, ask how many outdoor units there are and whether they are single-zone or multi-zone. Even with the same installation cost, the rebate amounts can vary significantly.

There is one condition for installation companies: they must be registered as Efficiency Maine Residential Registered Vendors.

If an unregistered company offers a lower price, you would be forfeiting the rebate. You can quickly check the registration status of a company on the site by its name.

Applications are submitted by submitting a Claim Form after the work is completed. It must be sent via email or postmarked within six months of completion.

After review, a check will be mailed, and the processing time is indicated to be about six weeks. If any documents are missing, it could delay or invalidate your application, so be sure to keep photos and receipts organized.

Eligible homes include single-family homes, two-family duplexes, and condos. Homes that had a natural gas account before the upgrade are excluded, but most oil boiler homes do not fall into this category.

It's best not to expect a federal tax credit. The 25C credit for heat pumps ends on December 31, 2025, and will not apply to installations in 2026.

Therefore, this year, the state rebate is essentially everything. If the upfront cost is a concern, you might also want to look into Efficiency Maine's Home Energy Loan.

Many people worry about the cold. According to Efficiency Maine, many models operate efficiently even below 22 degrees Fahrenheit.

In my opinion, the more volatile the oil prices are for a household, the quicker the calculations become clear. I would start with verifying income eligibility, getting estimates from two or three registered companies, and confirming the number of outdoor units.

The program is stated to be subject to change or termination without notice. Before signing a contract, double-check the current amounts with Efficiency Maine (866-376-2463).