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Federal rebates for gas-to-electric heating conversions have ended — but electric-to-heat-pump upgrades still qualify. What changed

Kentucky home energy costs & incentives

Not open yet — but Kentucky is the only state that shows you exactly where it is in the queue, and it says plainly that nobody can take your application.

Prices pulled August 16, 2026

What energy costs here

13.24¢

per kWh, residential electricity

23% below the national average of 17.3¢. 40th most expensive of 51.

Up 15% since 2021 (3.6% a year), against 27% nationally.

$1.37

per therm, residential natural gas

$14.23 per thousand cubic feet, 2025 annual. National average $1.48/therm.

Up 17% since 2021 (3.9% a year).

Heat pump vs. gas furnace — Heat pump favored

Kentucky's electricity-to-gas price ratio works out at 2.8-to-1. At these prices a heat pump should cost less to run than a gas furnace across the heating season, before counting the air conditioning it also replaces.

Below roughly 3.5-to-1 a heat pump usually wins on running cost; above roughly 5-to-1 a furnace may be cheaper through winter. How that comparison works · run it with these rates

State averages from the U.S. Energy Information Administration (electricity, gas), pulled 2026-08-16. Real bills vary substantially by utility within a state, and by rate plan within a utility — check a recent bill for your own numbers before relying on any of this. The heat pump verdict above follows from these averages, so it moves if your rates differ.

What's different in Kentucky

Kentucky built a dedicated site for its rebate programme before the programme existed, and put a five-step progress tracker on it. At the time of writing it sits at step two of five: application and plan submitted to the federal government, awaiting approval. Almost no other state tells you this much about where it actually stands, and it is worth checking because the marker moves.

The site also carries an explicit warning, which is there for a reason: the Kentucky Home Energy Rebates Programme is not yet accepting rebate applications. If somebody contacts you offering to sign you up, they are not doing what they say they are doing. Nobody can enrol you in a programme that has not launched, and the personal details on a rebate application are exactly what a scammer wants.

What Kentucky has published so far describes broad coverage — appliance upgrades, heating and cooling systems, insulation, air sealing and electrical work — but the detailed eligibility rules are explicitly held back for later. So no contractor can honestly tell you today whether your project will qualify.

Sign up for the update list rather than waiting to notice. Kentucky's programme will launch when federal approval lands, and states with finite funding tend to reward people who were already on the list when the announcement went out.

Check with the administrator before you sign anything. Program budgets run out, terms change without notice, and most require approval before work starts — a rebate you apply for afterwards is usually a rebate you don't get. Treat this page as a starting point for your own call, not as confirmation that you qualify. We last checked these programs on August 16, 2026.

Kentucky programs

Kentucky Energy Rebates Program — not yet accepting applications

A dedicated programme site with a five-step progress tracker showing where Kentucky is in the federal approval process. Sign-up for updates is the only action available.

Program details

Kentucky Energy and Environment Cabinet — energy programs

The cabinet behind the programme, plus the state's other energy programmes for households.

Program details

The federal position — the same everywhere

  • Residential Clean Energy Credit (Section 25D)Ended

    Ended. No credit for expenditures made after 31 December 2025.

  • Energy Efficient Home Improvement Credit (Section 25C)Ended

    Ended. No credit for property placed in service after 31 December 2025.

Full detail, sources and changelog on the national incentive tracker.

Where to check for your address

Your own utility is worth checking separately — utility rebates are often the largest remaining incentive and rarely appear in any central listing.

Not tax advice

Everything here is general information gathered from public sources. It is not tax, financial or engineering advice, and it cannot account for your utility, your income, your equipment or your return. Energy prices are state averages that move; program terms and budgets change without notice. Confirm anything you plan to budget around directly with the program administrator, your utility and a licensed professional before you commit money.

If you find something on this page that is out of date, tell us at minchangyi@me.com and we will correct it.

Run the numbers for your house

These open with Kentucky's average rates already filled in. Correct them from a recent bill before you rely on the result — state averages hide a lot of variation between utilities.

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