Written on: June 9, 2026
Last week, NPGA President & CEO Steve Kaminski shared an update on action by the Department of Energy:
The United States Department of Energy (DOE) has issued a slate of program notices providing that nearly $9 Billion of Inflation Reduction Act funding may no longer be used to incentivize consumers to switch from propane or other gas heating and cooling systems to electric heat pumps. States with already-launched programs must implement the fuel-switching prohibition within three months.
These actions apply to both the Home Owner Managing Energy Savings (HOMES) program (rebates up to $8,000) and the High-Efficiency Electric Home Rebate (HEEHR) program (rebates up to $14,000). Going forward, rebates under these programs are limited to upgrading existing electric equipment and new construction. Additionally, insulation and air sealing upgrades are required prior to installing electric upgrades.
National Propane Gas Association and our coalition partners requested a comprehensive review of these programs with a specific focus on their disparate impact to combustion-fueled appliances. This DOE action marks a massive win for propane and our liquid fuel peers.
