Propane Appliance Rebates
2025 Propane Rebate Program Now Open
Due to high demand, processing rebate checks may take 90 to 120 days.
2024 Rebate Closed
Furnace Rebate
(Furnaces must be Energy Star & at least 40,000 BTUs)
$500
When you replace an electric/oil furnace with a new Energy Star propane furnace, or installing in a new construction
$200
Water Heater Rebate
(Storage or Tankless, Energy Star Water Heaters or Boilers)
$400
When replacing an electric/oil water heater or boiler with a new Energy Star, propane water heater or boiler, or installing in a new construction
$200
When replacing an existing water heater or boiler with a new Energy Star, propane water heater or boiler
Furnace Rebate
Rebates Open to Michigan Residents
How to Apply:
Contact a licensed installer of your choice to install your new Energy Star propane furnace, water heater, or boiler.
Whoever submits the rebate (homeowner, installer, or propane supplier) is responsible for providing a complete application, paid in full receipt of purchase, proof of Energy Star (see qualifying certifications below), and a propane work order (only required for propane to propane). Rebate applications will be denied if any of the documents are missing or incomplete.
Fill out sections 2 and 3 of the rebate application.
Have your license installer fill out Section 3; the license # of the installer is required.
- Have your licensed installer or the propane supplier fill out Section 4 and sign at the bottom with the homeowner’s signature; this is required.
- The homeowner, installer, or propane supplier can submit the application between January 1, 2025 – December 31, 2025.
Water Heater Rebate
If there is no Energy Star label on your propane water heater or furnace, submit a copy of the unit’s specifications with the AFUE or UEF rating as proof of Energy Star.
Storage Tank Propane Water Heater
- Less than 55 gallons: 0.64 UEF or greater.
- More than 55 gallons: 0.78 UEF or greater.
Propane Boilers
- 90% AFUE or greater.
Tankless/Instantaneous Propane Water Heater
- 0.87 UEF or greater.
Furnaces
- 95% AFUE or greater
Appliance Safety:
RETURN ON INVESTMENT
PROPANE VS. ELECTRIC
* Unit costs vary by what make and model you choose to install in your home or business
Sources: Propane.com, EIA 2020 State Annual Average data
All Propane Manufacturers Qualify for the Water Heater & Furnace Rebates
Below are a Sample of Manufacturers to Choose From
Furnace Manufacturers
Water Heater Manufacturers
Box Store Rebate Centers
