Heat · Rebates & incentives
The utility will pay part of the bill. You have to ask correctly.
Rhode Island Energy Rebates for Boilers & Water Heaters, 2026
What Rhode Island Energy pays back on a high-efficiency boiler, a combination boiler, a tankless or heat pump water heater in 2026, the rules that decide whether you actually get it, and what changed with the federal credit. Last reviewed September 5, 2026.
The 2026 residential gas heating rebates
These are Rhode Island Energy's figures for equipment installed between January 1 and December 31, 2026, taken from the utility's published 2026 Residential Gas Heating Rebate Application. They apply to homes with an active Rhode Island Energy residential natural gas heating account.
| Equipment | Requirement | Rebate |
|---|---|---|
| High-efficiency gas hot water boiler | 95% AFUE or better | $775 |
| Combined condensing boiler and on-demand water heating unit | 95% AFUE or better; one appliance per the manufacturer | $950 |
| On-demand tankless gas water heater | ENERGY STAR certified, 87 UEF or better | $600 |
| Storage gas water heater | ENERGY STAR certified, UEF thresholds per the form | $70 |
| Smart thermostat | ENERGY STAR certified, connected; limit two | up to $75 each |
The rules that decide whether you get paid
- A licensed contractor must install the heating or water heating equipment
- Installed in 2026: between January 1 and December 31
- Apply within 90 days of installation; December installations by February 28, 2027
- The invoice has to say the right things: contractor name, address and phone, equipment manufacturer and model, installation date and address matching the gas account, total cost, and "paid in full" or "zero balance"
- The old unit's make and model are required on the application, so note them before the boiler leaves
- One gas account per application, and the utility says offers are subject to change without notice
Apply online at RIEnergy.com/applyforarebate, or by mail. The utility quotes 8 to 10 weeks to payment on a complete application, and longer for one that has to be chased for missing paperwork, which is where most rebates go wrong.
Converting from oil or propane
The 2026 form has a checkbox for customers converting from oil or propane to natural gas heating. A conversion qualifies for the boiler or combination rebate once the gas account is active. Since a conversion is the moment a house gets a new boiler anyway, the rebate is written almost exactly for it. How the whole job goes is on the oil to gas conversion page.
Heat pump water heaters, for electric customers
Rhode Island Energy has offered up to $600 toward a qualifying electric heat pump water heater installed by a licensed plumber, when it replaces an existing electric water heater or goes into new construction. Larger-capacity units carry a smaller rebate. This is for residential electric customers and does not apply to replacing an oil, propane or gas water heater. The most recent form the utility has published for this program is the 2024 one, so confirm the current-year terms with Rhode Island Energy before counting on the figure. We will do that with you when we quote.
0% financing through EnergyWise
Separately from the rebates, Rhode Island Energy's EnergyWise program can offer 0% financing over two to seven years for a high-efficiency gas boiler or water heater, for owners of one to four family homes with a current gas heating account. It requires a no-cost in-home energy assessment first and is subject to lender approval and funding availability. RIEnergy.com/HEA or 888-633-7947 to start. SOS also offers financing through Wisetack on any job we quote.
The federal tax credit has ended
The federal Energy Efficient Home Improvement Credit, section 25C, applied to qualifying property placed in service before December 31, 2025. It is not available for equipment installed in 2026. We mention it because a lot of older articles and some contractors still quote it. Do not count on it for a project this year, and talk to a tax professional about your own return.
What SOS does with all of this
We install the qualifying equipment, we know which units meet the AFUE and UEF thresholds, and our invoice carries every detail the application asks for so it does not bounce. When we quote a boiler or a water heater, the rebate figure is in the quote, so the number you are comparing against doing nothing is the real one. And we tell you honestly when a job does not qualify, rather than letting you find out from the utility.
Rebates are programs of Rhode Island Energy, funded through the energy efficiency charge on customer bills under Rhode Island law, and are subject to the utility's terms and to change without notice. SOS Plumbing & Heating installs qualifying equipment and assists with documentation but does not administer or guarantee rebates. Figures on this page were verified against the utility's published 2026 gas heating rebate form on September 5, 2026.
Rebate questions
Asked before every high-efficiency install.
How much is the Rhode Island Energy boiler rebate in 2026?
$775 for a high-efficiency natural gas hot water boiler rated 95% AFUE or better, and $950 for a combined condensing boiler and on-demand water heating unit that the manufacturer treats as one appliance. The equipment must be installed by a licensed contractor between January 1 and December 31, 2026, at a home with an active Rhode Island Energy residential natural gas heating account.
Is there a rebate for a tankless water heater?
Yes. An ENERGY STAR certified on-demand tankless water heater at 87 UEF or better qualifies for $600 under the 2026 gas heating rebates. A qualifying ENERGY STAR storage water heater gets $70.
I am converting from oil to gas. Do I qualify?
Yes, once the gas account is active. The 2026 application form has a box specifically for customers converting from oil or propane to natural gas heating, and the boiler and combination unit rebates apply. See our oil to gas conversion page for how the two fit together.
What about the federal tax credit?
The federal Energy Efficient Home Improvement Credit, known as 25C, applied to qualifying property placed in service before December 31, 2025, and is no longer available for 2026 installations. Do not count on it for a project this year. Talk to a tax professional about your own situation.
How long does it take to get the rebate?
Rhode Island Energy states payment arrives by mail 8 to 10 weeks after receipt of a complete application. Applications must be submitted within 90 days of installation, and December 2026 installations by February 28, 2027. Our invoice carries every detail the form asks for, which is what keeps an application from bouncing.
Are these amounts guaranteed?
No. They are Rhode Island Energy's programs, funded through the efficiency charge on utility bills, and the utility states they are subject to change without notice. We verify the published figures regularly and show the date at the top of this page, but the rebate is between you and the utility, and SOS cannot guarantee approval.