Peninsula Home Electrification
Heat Pump Water Heaters, Rebates & the Gas Phase-Out
What every San Mateo County homeowner should know in 2026 — and how to capture thousands in rebates before the Bay Area gas rules take effect.
The Peninsula is going electric — here's what it means for your home
Across San Mateo County, gas furnaces and tank water heaters are being replaced by efficient electric heat pumps — driven by new Bay Area air-quality rules, generous rebates, and lower operating costs. The homes that plan ahead get to choose the right system on their own timeline and stack the most incentives. The homes that wait until something breaks pay full price under pressure.
As a Mitsubishi Diamond certified contractor serving the Peninsula, Nur HVAC handles the full electrification path — heat pump HVAC, heat pump water heaters, panel and circuit upgrades, and the rebate paperwork that goes with them.
The Bay Area gas phase-out: 2027 & 2029
Bay Area Air Quality Management District rules begin requiring new residential water heaters to be zero-NOx — in practice, electric heat pump models — starting in 2027. Gas space heaters and furnaces follow in 2029. You won't be forced to rip out a working appliance, but once your gas unit fails, its replacement will need to meet the new standard.
That makes the next couple of years the smart window to switch: rebates are strong now, you avoid an emergency replacement, and you lock in lower running costs. We help you plan the transition before it becomes urgent.
Money on the table
2026 heat pump rebates & incentives
These programs frequently stack. We calculate exactly what your home qualifies for and apply the contractor-side rebates for you. Amounts change — treat this as a starting point, not a quote.
Peninsula Clean Energy
LocalRebates toward heat pump water heaters and heat pump HVAC for San Mateo County homes, with extra incentives for income-qualified households.
BayREN Home+
RegionalBay Area regional rebates for heat pump water heaters, heat pump HVAC, ductwork and related electrical work — stackable with other programs.
TECH Clean California
StatewideStatewide heat pump incentives applied at the point of installation by participating contractors like us.
Federal Tax Credit (25C)
FederalUp to $2,000 federal tax credit for qualifying heat pump HVAC and up to $600 for a qualifying heat pump water heater, plus panel/wiring credits.
Start with a heat pump water heater
For most Peninsula homes the easiest first step is the water heater. A heat pump water heater uses roughly 3–4× less electricity than a standard electric tank, qualifies for rebates a gas unit doesn't, and sets your home up for the gas phase-out — all without touching your HVAC.
- 3–4× more efficient than electric resistance
- Qualifies for stackable 2026 rebates
- Future-proofs against the gas phase-out
- Lower monthly energy bills
- Quiet, proven technology
- Often a 1-day installation
Electrification & rebates — FAQ
Is gas really being phased out in the Bay Area?
Yes — Bay Area Air Quality regulations begin requiring new water heaters to be zero-NOx (effectively electric heat pump models) starting in 2027, with space heaters and furnaces following in 2029. Existing appliances are not removed, but as they fail, replacements must meet the new standard. Planning ahead lets you choose the system you want instead of reacting to a breakdown.
How much can I save with heat pump rebates in 2026?
It depends on the equipment and your household, but San Mateo County homeowners can often stack rebates from Peninsula Clean Energy, BayREN and TECH together with the federal 25C tax credit — frequently totaling several thousand dollars toward a heat pump water heater or heat pump HVAC system. We calculate your specific eligibility during a free assessment.
Why a heat pump water heater instead of a regular one?
A heat pump water heater uses roughly 3–4× less electricity than a standard electric tank by moving heat instead of generating it, and it qualifies for rebates a gas unit does not. It's the single easiest first step toward electrifying a Peninsula home, and it future-proofs you against the gas phase-out.
See what your home qualifies for
Free electrification assessment — we map your rebates and the right heat pump path for your home, with no pressure.
Electrification & heat pumps by city
Google Reviews
What our customers say on Google
“Fedor and Volodymyr are extremely profession and detail oriented for helping my HVAC and heat pump systems. Highly recommend it!”
“Highly Recommend this guys! They did a Heat pump installation for my house back in December. Great price, scheduling, communication with project manager helped a lot! 10/5 stars”
“”
“I am writing this review hoping that it would help others when selecting the company to trust new installation of a Heat Pump system. We started with a few quotes that included visits. NUR seemed to be the best of the three both in terms of knowledge and desire to please the client. Upon completion and using the system for a couple of months I can tell you that it was the right choice. NUR team even helped with guidance on insulation (which we were thin with) and most recently, power outage had tripped a fuse. Over time, we dealt with 5 team members led by Davit each extremely professional took time to answer any questions and make sure that we are satisfied before departing.”
“Top notch, professional, courteous, timely, knowledgeable, experienced.”
“Fedor and Volodymyr are extremely profession and detail oriented for helping my HVAC and heat pump systems. Highly recommend it!”
“Highly Recommend this guys! They did a Heat pump installation for my house back in December. Great price, scheduling, communication with project manager helped a lot! 10/5 stars”
“”
“I am writing this review hoping that it would help others when selecting the company to trust new installation of a Heat Pump system. We started with a few quotes that included visits. NUR seemed to be the best of the three both in terms of knowledge and desire to please the client. Upon completion and using the system for a couple of months I can tell you that it was the right choice. NUR team even helped with guidance on insulation (which we were thin with) and most recently, power outage had tripped a fuse. Over time, we dealt with 5 team members led by Davit each extremely professional took time to answer any questions and make sure that we are satisfied before departing.”
“Top notch, professional, courteous, timely, knowledgeable, experienced.”
“Fedor and Volodymyr are extremely profession and detail oriented for helping my HVAC and heat pump systems. Highly recommend it!”
“Highly Recommend this guys! They did a Heat pump installation for my house back in December. Great price, scheduling, communication with project manager helped a lot! 10/5 stars”
“”
“I am writing this review hoping that it would help others when selecting the company to trust new installation of a Heat Pump system. We started with a few quotes that included visits. NUR seemed to be the best of the three both in terms of knowledge and desire to please the client. Upon completion and using the system for a couple of months I can tell you that it was the right choice. NUR team even helped with guidance on insulation (which we were thin with) and most recently, power outage had tripped a fuse. Over time, we dealt with 5 team members led by Davit each extremely professional took time to answer any questions and make sure that we are satisfied before departing.”
“Top notch, professional, courteous, timely, knowledgeable, experienced.”
Service area
Areas We Serve
Proudly serving homeowners and businesses across San Mateo County and the greater Bay Area — fast response, local crews.
- San Jose
- San Mateo
- Redwood City
- Los Gatos
- Sunnyvale
- Mountain View
- Palo Alto
- Menlo Park
- San Carlos
- Burlingame
- Cupertino
- Hillsborough
- Los Altos Hills
- Emerald Hills