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New York Funds Heat Pumps and Solar in Nearly $1B Program

New York announced the second installment of its Sustainable Future Program on September 22, 2026. The listed allocations add up to about $887.5 million, not the $1 billion headline, and…

Solar panels on a home roof, part of New York's free heat pumps and solar savings push

On September 22, 2026, during Climate Week, Governor Kathy Hochul announced the second installment of New York’s Sustainable Future Program. The state calls it “nearly $1 billion.” The money covers home heating and cooling upgrades, solar incentives, school and housing retrofits, and some farm and parks projects.

  • Headline size: “nearly $1 billion” per the state; the itemized lines add up to about $887.5 million
  • Announced: September 22, 2026, by Governor Hochul and NYSERDA
  • Main route for households: EmPower+ (income-based; homeowners and renters)
  • Status: funding announced; no application dates or income thresholds in the announcement

Where the money goes

The NYSERDA announcement lists these allocations:

Category Program Amount
Building decarbonization and energy cost savings ($500M) EmPower+ (home efficiency and heat pumps for low- and moderate-income households) $150M
Affordable Green Transition for Housing $150M
Thermal Energy Network projects $150M
Clean Green Schools $50M
Affordable renewable energy ($300M) NY-Sun solar incentives $200M
NYPA Renewables (public projects) $100M
Methane reduction and agricultural resiliency (total not stated) Municipal recycling and food waste $25M
Climate-resilient farming ($25M) and urban forestry ($12.5M) $37.5M
Parks, public lands and community stewardship $25M

Source: NYSERDA and the Governor’s office, September 22, 2026.

Inside the housing line, $40 million fills federal gaps in the Weatherization Assistance Program and $10 million goes to all-electric multifamily housing. Another $100 million goes to the Clean Energy Initiative, with $20 million for NYCHA and $30 million for Mitchell-Lama housing.

Who can tap the heat pump money

EmPower+ is the main route for homeowners and renters. NYSERDA says you may qualify if household income is at or below 80 percent of the state or area median income, or if you take part in a utility payment assistance program. City Limits reported in March 2026 that the low-income tier now uses the higher of the area or state median income. Under the area figure, a two-person household can earn up to $77,760 and still qualify. The same report puts the low-income tier at up to $10,000 per project and the moderate tier at up to $5,000.

The geography is lopsided. Only 7 percent of EmPower+ retrofit projects since 2010 were in the five boroughs, City Limits reported. Rebekah Morris of the Pratt Center said “more people will be considered eligible at the low-income level than had previously.”

Why It Matters to You

If your household income is at or below 80 percent of the state or area median, or you take part in a utility payment assistance program, EmPower+ can cover assessments, efficiency upgrades and heat pumps, up to the per-project limits. Renters can apply too. The money has been announced, but the announcement gives no application dates, so check eligibility with NYSERDA before counting on it. Solar incentives, school and housing retrofits and public projects are funded in the same package.

Open questions

  • The listed allocations total $887.5 million ($500M + $300M + $87.5M). The $1 billion headline is about $112.5 million higher, and the announcement doesn’t explain the gap.
  • The announcement gives no income thresholds, application dates or number of homes the money will reach.
  • Of the $100 million Clean Energy Initiative, only $50 million is itemized.
  • EmPower+ funding partly relies on Regional Greenhouse Gas Initiative revenue, which City Limits described as temporary. Its budget of about $234 million could fall to $124 million in 2027.
  • The $12,000 upstate and $14,000 downstate caps sometimes quoted for EmPower+ are unconfirmed, so the per-project figures above come from City Limits.
  • Landlord consent may matter for renters when building work is involved. The sources don’t address it.

Quick answers

Is the Sustainable Future Program really $1 billion?

The state calls it “nearly $1 billion,” but the itemized allocations add up to about $887.5 million.

How do I get help paying for a heat pump?

Check EmPower+ eligibility with NYSERDA. Qualifying households can receive no-cost assessments, efficiency upgrades and heat pumps, up to the program’s per-project limits. NYSERDA says both homeowners and renters must meet the income rules, so renters can apply.

Are the rebate checks part of this program?

No. The one-time $1 billion energy rebate for more than 8 million New Yorkers belongs to the separate CHARGE agenda. Checks began going out the week of September 22 and continue through December.

Sources

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