Heating and Cooling Your Home

For most homes, the largest energy costs come from heating and cooling. Installing energy-efficient space and water heating solutions, turning down your thermostat, doing regular maintenance, and sealing air gaps are great ways to save you money on your bills and improve the comfort of your home.

Tips for Saving on Heating and Cooling Your Home

  • Program your thermostat - To save as much as $180 a year, set your thermostat to a lower temperature when you are asleep or away from home.
  • Maintain equipment - Check your air filters and schedule annual maintenance to keep equipment running in peak condition.
  • Install aerators and efficient showerheads - By installing water conservation devices throughout your home, you can save a lot on hot water use and your water bill too!
  • Weatherize your home - Add weatherstripping and caulk to prevent air leaks and save up to $38 a year.
  • Insulate your home - Insulation is an extremely effective way to reduce your heating costs, keep you cooler in the summer, and improve the overall comfort of your home.
  • Invest in energy-efficient windows - Upgrading your windows to high-performance, energy-efficient models will improve the comfort of your home, as well as lower your energy bills by up to 12% according to the US Department of Energy.
  • Go All-Electric - City Light's electricity is mostly clean hydro and all carbon-neutral, making it an environmentally-friendly choice, unlike oil or natural gas.

Heating and Cooling Solutions, Discounts, and Rebates

Discounts and rebates are available to City Light customers for qualified heating and cooling solutions.

About Heat Pumps

Energy-efficient heat pumps are electric heating and cooling systems that can keep you comfortable at a fraction of the lifetime energy cost of standard systems. They have many benefits:

  • Lower heating costs by 25-50% compared to standard electric heating systems.
  • Improved air quality and health by using electricity with a net-zero carbon footprint and reducing the use of carbon-based fuels like natural gas
  • Ultra-quiet fans evenly circulate air, eliminating hot and cold spots in rooms.
  • Heat or cool individual rooms with each controlled by its own thermostat.
  • Built-in air conditioner included - keeping you cool on hot summer days.
  • Units are easy to control via wireless remote, making it quick and easy to adjust temperatures as needed.

Learn more about energy-efficient heat pumps to see if this solution is right for you. A contractor can help you explore options and may be able to receive an instant discount depending on the model installed.

Instant Discounts

When your contractor purchases a high-efficiency heat pump they can receive an instant discount that they are able to pass on to you in their bid. Contractor instant discounts are available only through participating distributors. Do-it-yourself installations are not eligible for a heat pump rebate.

Table 1. For products with HSPF and SEER ratings*
Size SEER HSPF Rebate per home
Ductless (Mini- or Multi- split) <5.4 tons 16 9.5 $400
<5.4 tons 16 11 $600
Traditional (Ducted) <5.4 tons 15 9 $300
<5.4 tons 15 10 $500

*Heat pumps with dual ratings for both SEER/HSPF and SEER2/HSPF2, and with an invoice date between January 1, 2023 and June 30, 2023, will follow Table 1 criteria and rebate levels.

Table 2. For products with SEER2 and HSPF2 ratings**
Size SEER2 HSPF2 Rebate per home
Air Source Heat Pump (any configuration) <5.4 tons 15.2 8.1 $300
<5.4 tons 15.2 8.5 $400
<5.4 tons 16.0 9.5 $600

**Heat pumps with dual ratings for both SEER/HSPF and SEER2/HSPF2, and an invoice date between July 1, 2023 and December 31, 2023, will follow Table 2 criteria and rebate levels.

For more information, please see AHRI or ask your contractor.

To get started with upgrading your heating and cooling system, contact a qualified installer or contractor. We recommend getting at least three bids to ensure you are receiving the best quality and price. Be sure to ask your contractor about a City Light discount on your project.

Heat Pump Water Heaters

Heat pump water heaters (HPWH), also known as hybrid heat pump water heaters, are the most efficient water heaters available. They help you save energy and lower your bills, and best of all for City Light customers, they are powered by our clean, carbon-neutral, electricity. To assist customers with lowering the cost of buying a heat pump water heater, we provide three ways to receive financial incentives (pick one).

Homeowner working with Contractor Homeowner DIY installation
(instant discount)
Homeowner DIY installation
(rebate form)

When your contractor purchases a qualified HPWH from a participating distributor, they can receive an instant discount of $500 that they are able to pass on to you in their bid.

To get started with upgrading your old water heater, contact a qualified installer or contractor. We recommend getting at least three bids to help ensure you receive the best quality and price. Be sure to ask your contractor about a City Light discount on your project.

If you choose to purchase and install a qualified HPWH from The Home Depot or Lowe's, you can download an instant digital coupon for use at the store.

If you choose to purchase and install a qualified hybrid HPWH yourself from a supplier other than The Home Depot or Lowe's, you can apply for a $500 rebate directly from City Light.

How to qualify:

How to qualify:

  • Download your instant digital coupon for use at the register when you buy a qualifying hybrid HPWH from a Lowe's or The Home Depot store in the Puget Sound area.
  • Check with a store associate or store website for details on which products qualify.

How to qualify:

  • Be able to confirm that you are replacing an existing electric water heater.
  • Make sure the water heater you are purchasing is on the qualified lists of models.
  • Install your water heater in accordance with the manufacturer's specifications by using these Do-It-Yourself Tips.
  • You must submit your rebate form with your retail invoice to City Light no later than 90 days from the date of purchase.
  • Contractors are not eligible for this rebate but are able to receive the instant discount from participating wholesalers.
  • Only one rebate per customer.
  • Water heaters purchased at Lowe's or The Home Depot are NOT eligible for the additional incentives.

Don't have an electric water heater and want to switch to all electric? Contact a qualified installer to determine if converting to electric is possible, and be sure to ask about instant discounts available to them for qualified products.

About Heat Pump Water Heaters

Heat pump water heaters, also known as hybrid water heaters, move heat from the surrounding air to the water tank instead of generating heat directly and are 2 - 3 times more energy-efficient than conventional water heaters.


  • Are the most energy-efficient water heating systems on the market.
  • Save you energy and money using less energy which lowers your utility bill.
  • Provide you with smart programming options such as "vacation mode," saving energy while you're not at home while ensuring you have hot water when you return.
  • Help dehumidify damp spaces, such as your garage or basement, where they are often installed.

Choosing the Right Size Tank

A properly sized hybrid heat pump water is more likely to meet your expectations of performance and savings. In order to choose the right size water heater, you'll need to think about the amount of hot water you need during peak usage.


The number of people and the ages of any children in the household, along with their typical usage patterns, will allow you to choose the HPWH that provides enough hot water to meet demand during peak usage without reverting to its less-efficient backup mode.

Consecutive 10-minute showers Appropriate hybrid tank size
1 - 2 50 Gallon
3 65 Gallon
4+ 80 Gallon

For additional questions about energy-efficient heating and cooling solutions, contact an Energy Advisor.

If you are a Seattle resident with an oil furnace interested in converting to an electric heat pump, you may be eligible for an additional rebate from the Seattle Office of Environment and Sustainability.

Learn More

Income-eligible customers may qualify for a free heating and cooling system and insulation upgrades through the City of Seattle's HomeWise Program.

Learn More

If you need to finance your new heating and cooling system, you may qualify for a low-interest loan with convenient payment plans.

Learn More

City Light

Dawn Lindell, General Manager and CEO
Address: 700 5th Ave, Seattle, WA, 98104
Mailing Address: PO Box 34023, Seattle, WA, 98124-4023
Phone: (206) 684-3000

Seattle City Light was created by the citizens of Seattle in 1902 to provide affordable, reliable, and environmentally responsible electric power to the City of Seattle and neighboring suburbs.