Do Heat Pumps Save You More Than Gas?

heatpump vs gas furnace

There are many reasons Californians make home electrification upgrades. Perhaps they’re seeking better energy efficiency, trying to increase their home’s comfort, making strides towards zero net energy, or trying to reduce their carbon footprint. 

Whatever the motivation, electrifying your home can have many benefits, including significant energy savings. And one of the best home performance upgrades you can make? Replacing a gas furnace with an electric heat pump or ductless mini split

Wonder if heat pumps save you more energy than gas? Want to know more about the benefits of installing a heat pump for homeowners and the available incentives to make it affordable? You’ve come to the right place. Read on to learn how heat pump vs gas savings stack up and how the Clean Energy Connection’s contractor directory can simplify the process of finding a contractor for heat pump installation and other clean energy upgrades. 

Heat Pump vs Gas Furnace Savings 

Before we dig into the energy savings of using a heat pump vs a gas furnace, it’s important to understand how each of these systems works: 

Gas furnaces work by burning fossil fuels to produce heat, which is then distributed throughout your home. 

Heat pumps work by transferring heat to control your home’s temperature: when it’s hot outside, the heat pump transfers heat out of your home to keep it cool; when it’s cold, it transfers heat from outside into your home to warm it up. 

Because heat pumps work by transferring heat–rather than generating it through the combustion of fossil fuels–they are far more efficient than gas furnaces. In fact, a properly installed heat pump can deliver up to three times more energy than it consumes. For homeowners, this can mean significant energy savings for your home, which is good for you and for the environment. Moreover, because heat pumps don’t burn fossil fuels inside your home, there’s no risk of carbon monoxide exposure.  

How Can California Homeowners Benefit From Installing a Heat Pump? 

Beyond saving energy, what other benefits are there to installing a heat pump or mini split? Here are a few key ones: 

  • Runs on electricity, which is better for the environment 
  • Allows for a single system for both heating and cooling 
  • Enables homeowners to use clean energy sources, such as solar, for heating and cooling 
  • Doesn’t burn fossil fuels in your home to produce heat
  • No risk of carbon monoxide leaks, which can happen with oil and natural gas furnaces
  • Improved comfort, with more consistent heat than a furnace and the ability to target specific spaces 

Incentives and Rebates for Heat Pump Upgrades 

There are clearly many benefits to upgrading from a gas furnace to a heat pump in your home. And, with many incentives and rebates available, 2023 is a great year to upgrade to a heat pump. Here are a few incentives California homeowners can take advantage of to save on heat pump upgrades: 

  • Inflation Reduction Act (IRA) tax credits: Homeowners can claim a 30% tax credit on a number of different energy efficiency upgrades, including up to $2,000 for heat pump or heat pump water heater installation.
  • Inflation Reduction Act rebates: The IRA also includes several new rebate programs, which we hope will be available later this year. Stay tuned for updates! 
  • CA utility heat pump incentives: Many utility companies offer rebates and incentives to homeowners making energy efficient upgrades, like installing heat pumps. You can search for incentives using your zip code here

Simplify the Process of Finding a Heat Pump Contractor with Our Contractor Directory 

The Clean Energy Connection’s contractor directory makes it easier for homeowners to find a local contractor they can trust for their heat pump, mini split, or other clean energy upgrades. All contractors in our directory have been thoroughly vetted, and it’s easy to sort contractors by location, services provided, language, incentives, and more.

Ready to save energy and increase your home’s comfort?