New York Announces $150M for Residential Heat Pumps

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New York Governor Kathy Hochul announced up to $150 million in supplemental funding to accelerate the deployment of energy-efficient heat pump systems across small residential buildings statewide, advancing the state's broader push toward building electrification and emissions reduction.

Why it matters

The initiative builds on the state's $1 billion Sustainable Green Futures program and is designed to expand access to clean heating and cooling technologies while lowering energy costs for residents, particularly in low- and moderate-income households. This reflects a coordinated approach to scaling electrification in the residential sector, a significant source of building emissions.

The details

The funding will be administered by New York State Homes and Community Renewal through its Green Small Buildings Program, which targets single-family homes and small-scale residential properties. Program guidelines, developed in coordination with the New York State Energy Research and Development Authority's Clean Heat program, establish performance and installation standards intended to ensure long-term energy savings and system reliability.

• On April 13, 2026, Governor Kathy Hochul announced the $150 million in supplemental funding.

What’s next

The state aims to streamline project delivery and improve uptake across diverse regions by integrating this funding with existing grant and loan programs administered by the housing agency, as well as financing options offered through the State of New York Mortgage Agency.