Cities / Minnesota / Rebates

Otter Tail Power — Heat pump rebates: Open

Enrollment for 2026 is open. Open: the following heat pumps are eligible for rebates.

Serves: Western Minnesota.

Do I Qualify

  • Install new qualifying equipment at an Otter Tail electric-service address.
  • Provide an AHRI certificate or accepted efficiency documentation.
  • Air-source rebates cannot exceed 75% of project cost. Geothermal rebates cannot exceed 50%.

How Much Comes Off

Otter Tail Power — Heat pump rebates — program page · rebate chart
EquipmentRequirementAmount
Standard ducted or ductless heat pumpSEER2 ≥14.3; HSPF2 ≥7.5$300 per ton
Ductless cold-climate heat pumpSEER2 ≥16.0; HSPF2 ≥8.0$600 per ton
Ducted cold-climate heat pumpSEER2 ≥16.0; HSPF2 ≥8.0$800 per ton
Residential geothermal heat pumpENERGY STAR or published qualifying COP and EER ratings$1,200 per ton
Heat-pump Quality Installation bonusCertified contractor in the Quality Installation program$200 per ton
Heat-pump energy-control bonusCold-climate or geothermal heat pump on Dual Fuel, Deferred Load or Residential Demand Control Rate$40 per ton

Who Files It

The customer submits the application and invoice. A certified contractor supplies Quality Installation documentation.

The money is paid to the homeowner.

The Steps to Apply

  1. Choose a qualifying system and ask about eligible bonuses. Program page.
  2. Keep the invoice and efficiency certificate.
  3. Submit by March 31 of the year after installation. Program page.

Read on October 22, 2026 from the Otter Tail Power page. A change to this program is a dated line in the changelog.