Propane Water Heater Rebate

Michigan residents are eligible to receive a rebate when installing a new Energy Star, Propane Water Heater in 2024.

Energy Star propane water heaters offer 13% to 20% savings per year on overall energy costs and emits minimal carbon emissions (EPA) as compared to electric units.

The Water Heater Rebate Covers Any Energy Star, Propane Water Heater

*Boilers must heat the water of your home


when replacing an existing water heater or boiler* with a new Energy Star, propane water heater or boiler


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

If there is no Energy Star label on your propane water heater, 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

Easy Application

Rebate Open to Any Michigan Resident

  1. Contact a licensed installer of your choice to install your new Energy Star propane water heater.

  2. Fill out section 1 and 2 of the rebate application.

  3. Have your licensed installer fill out sections 3 and 4 of the rebate application.

  4. As the customer, you are responsible for providing a receipt of purchase as well as proof of Energy Star certification. 

  5. The homeowner, installer, or the propane supplier can submit the application between January 1, 2024 – December 31, 2024.



Water Heater return on investment. Propane, standard and tankless, versus electric

* Unit costs vary by what make and model you choose to install in your home or business

All Energy Star Propane Water Heater Manufacturers Qualify for the Rebate

Below are a Sample of Manufacturers to Choose From

Box Store Rebate Centers

Michigan Propane

Propane is non-toxic. It doesn’t contaiminate air, soil or groundwater (EPA). Thousands of Michigan homes and businesses run on propane.

Propane is a low-emissions, low-cost fuel used by a variety of public and private fleets. There’s over 33,000 propane vehicles running on Michigan roads.

Propane is easy to use with minimal mess, making outdoor grilling fun. Try the delicious, seasonal recipes  featuring Michigan grown produce.

Propane is popular with food truck cooks and operators because it’s quick and efficient to create short-order masterpieces.

Propane is used in the cannabis industry by growers and processors to extract the oil and terpenes from plants. It doesn’t interfere with the plant’s qualities.

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