Michigan - Home Efficiency Rebate (HER) Program

Note: The Federal Inflation Reduction Act (IRA) created the Home Efficiency Rebates (HER) Program. The IRA established the main parameters for this program, but allowed the states to customize the program to meet their state-specific needs. The program is designed to provide rebates for whole-home energy improvements. Actual rebate amounts are determined by the level of modeled or measured energy savings and the income level of the applicant. See summary below and program website for complete details. An April 23, 2025 press release announced the opening of the program for residents statewide. The Home Energy Rebate programs will fund energy efficiency and electrification upgrades for Michiganders, helping to reduce monthly utility costs, reduce energy use and related climate impacts, and enhance comfort and indoor air quality. The amount of money available for Home Energy Rebates varies depending on the following factors: - The household's income, - Identified energy efficiency upgrades for the home, - Estimated energy savings, - Rebate limits (established by DOE and EGLE), - The selected upgrades being installed, and - Total project costs. The Home Efficiency Rebate (HER) program provides rebates to reduce the cost of energy-saving whole-home improvements in existing single-family and multifamily buildings. Rebate amounts for the HOMES program will be based on the amount of energy savings that can be achieved through a project, verified by an energy model that is completed by a qualified program contractor. The program covers a maximum of $20,000 per household, with 100% of costs being covered for low-income households. The rebate applies for energy efficiency upgrades that save 15-20% of a home's energy use.