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Geothermal Heat Pump Rebate

Attention: 2010 Rebate Information

CL&P will begin accepting applications for the 2010 Connecticut Energy Efficiency Fund (CEEF) geothermal rebate program during the last week in December. The application for the 2010 geothermal rebate program will be posted on this website at that time. The 2010 CEEF geothermal rebate program will have several significant changes:

  1. The Connecticut Energy Efficiency Fund Rebate Program will be coordinated with the Connecticut Clean Energy Fund Geothermal Rebate which is funded by The American Recovery and Reinvestment Act (ARRA). There will be two applications required for this program. One application will be returned to the Clean Energy Fund, and a second application which will be returned to CEEF via CL&P. The two rebate programs will have similar requirements, and participants will have to fulfill the requirements for both programs to receive a rebate in either program.
  2. Applicants will have to successfully verify the installed performance (VIP) of the units to qualify for rebates in either program.
  3. Applicants will have to follow a two-step application process. Participants will be required to fill out an application for "pre-approval". Once a project is pre-approved based on the initial application, rebate dollars are reserved for that project. The project must be successfully completed within six months of receiving preliminary approval. Projects that are not completed within this six month window may apply for an extension (based on available funding).
  4. Project applications may only be submitted for new geothermal projects. Project applications will not be accepted for any project if the installation process, including equipment, ductwork, or loops, has started. Geothermal projects that are already enrolled in the CL&P rebate program may be allowed to participate in the Clean Energy Fund (ARRA) Program on a case-by-case basis. Only projects that have received preliminary approval can apply for rebates. No retroactive rebates will be allowed.
  5. No open loop projects will be accepted.
  6. Water-to-Water Units will be accepted. However, it will be the responsibility of the installer to provide sufficient performance testing data in order to verify that the units meet ENERGY STAR® criteria. Test data will have to be submitted for any fan coils and pumps that are part of the overall system. Projects that are not able to supply this information will not receive pre-approval and will not qualify for a rebate.

Questions on this program can be directed to Mark Foley at 860-832-4964.

Innovative Solutions

This program is one of several innovative solutions offered by the Connecticut Energy Efficiency Fund and administered by CL&P.

How Do Geothermal Heat Pumps (GHP) Work?

Geothermal heat pumps take advantage of the earth’s constant temperature to provide extremely efficient heating and cooling. Standard air-source heat pumps use the outside air temperature to heat and cool a home.

A few feet beneath the earth’s surface, the temperature of the ground remains fairly stable year-round, ranging from 45◦F (northern latitudes) to 70◦F (deep south). Like a cave, this ground temperature is warmer than the air above it during the winter and cooler than the air during the summer. Geothermal heat pumps take advantage of these conditions by exchanging heat with the earth through a ground heat exchanger. This allows the GHP to heat, cool, and if so equipped, supply the home with hot water.

A GHP system collects the earth’s natural heat through a fluid-filled series of pipes made of copper or plastic that is installed below the surface of the ground. It can also be submersed in a body of water. Fluid circulating in the pipes carries the earth’s heat to the home. In the winter, an electric compressor and heat exchanger concentrate the earth’s heat and release it into the home at a higher temperature through ductwork. In the summer, the process is reversed so that excess heat is drawn from the home, expelled to the pipes and absorbed by the earth.

Geothermal heat pumps are efficient because it is easier during the winter to heat warmer air from the ground than it is to heat colder, outside air. The same is true for creating cool air in the summer. Geothermal heat pumps also use the waste heat from air conditioning to provide “free” hot water heating in the summer.

How do I Select a GHP?

There are four basic types – three of them are closed-loop systems. The fourth type of system is an open-loop system. Which is best for your home depends on the climate, soil conditions, available land and local installation costs at the site. All four approaches can be used for residential and commercial applications.

How Does the Rebate Work?

Since proper geothermal performance requires that careful design and installation guidelines be followed, geothermal rebates are based on actual performance measurements of the geothermal system.

  • Geothermal ENERGY STAR Performance Rebate Criteria for 2009
    • The geothermal rebate is for geothermal units that are installed (“started up” and operating) between January 1, 2009 and December 31, 2009.
    • The geothermal rebate is $500 per nominal ton for successfully commissioned geothermal systems. The geothermal rebate is capped at $1,500 per customer meter.
    • In addition to the CEEF rebates, you may qualify for a tax credit. Information on tax credits can be found at www.energystar.gov/index.cfm?c=products.pr_tax_credits#s6 or contact a tax professional.
    • All new homes must be ENERGY STAR-rated to qualify for a geothermal rebate. For existing homes, customers are encouraged to participate in the Home Energy Solutions Program (or comparable audit program) prior to installing a geothermal system. All cost effective shell upgrades should be made prior to installing a geothermal system.
    • Geothermal equipment must be ENERGY STAR-rated in order to qualify for a rebate. For units that do not have ENERGY STAR ratings, factory testing done under appropriate test conditions (ISO 13256 for open or closed loop systems; ARI 870 for dx systems) will be accepted. A list of ENERGY STAR geothermal equipment can be found at www.energystar.gov/index.cfm?c=geo_heat.pr_geo_heat_pumps.
    • Units must meet 85% of the rated COP (or EER) and 85% of the capacity (heating or cooling) under field test conditions using the appropriate VIP spreadsheet form. Measurements that do not look reasonable or do not fall within the manufacturer’s guidelines for the equipment or ductwork will not be accepted. Contractors are encouraged to performance test units in both the winter and summer and to perform follow-up testing after the loop has reached equilibrium.
  • Geothermal Heat Pump Retrofit Prequalification Application [PDF:57 KB]
  • The application must be submitted along with the appropriate Verification of Installed Performance spreadsheets below.

For questions or additional information, please contact Mark Foley at foleymp@nu.com (860-832-4964.)

For more information call 1-877-WISE-USE (1-877-947-3873).