Tucson Electric Power publishes an Efficient Home Program for high-efficiency heating and cooling equipment, duct sealing, mini-splits, and AC tune-ups. The figures below are copied from tep.com/efficient-home-program as that page read on October 15, 2026. They can change. Do not treat a contractor’s round number, including anyone else’s “up to $755,” as a substitute for TEP’s page.
Amounts TEP lists for HVAC
| What TEP lists | Amount on tep.com |
|---|---|
| High-efficiency heat pump, quality installation | Up to $720 |
| High-efficiency air conditioner, quality installation | Up to $600 |
| Duct sealing (varies by leakage reduced) | Up to $300 |
| Mini-split heat pump or air conditioner | Up to $100 per ton |
| AC tune-up, listed as up to $160 total | Refrigerant charge repair $80; indoor coil cleaning $40; outdoor coil cleaning $40 |
TEP says the equipment rebate is instant, taken off the purchase price when you retire an older working unit or a non-working AC, and that you must use a participating Efficient Home contractor. Participating contractors deduct the rebate from the final project cost. Confirm the contractor is on the program before work begins. TEP’s contractor finder is tep.com/tep-approved-contractors. We are not stating that Sabino Creek is on that list.
Franklin Energy is the implementer named on the page. For program questions TEP lists 866-473-8761 and [email protected], 8 a.m. to 5 p.m. Monday through Friday. A free virtual home assessment is available. TEP also says you can skip it and work directly with a participating contractor if you already know the project.
Other programs on TEP’s rebates page
tep.com/rebates also lists, as of the same day: a smart-thermostat rebate with no dollar amount shown on that page, so none is repeated here; Efficient Home Water Heating, $400 for an ENERGY STAR heat pump water heater, credited to the TEP account; and Energy Smart Homes, up to $800 for attic or roof insulation when a licensed insulation contractor does the work. Multi-family, Trees for You, and the TEP Marketplace are on that page too. They are not HVAC installation rebates.
A replacement estimate should say whether a rebate is conditional. Do not let a proposal fold “up to $720” into the price as if it were already approved. How to read the rest of a replacement estimate is on AC replacement cost and new AC cost. Check “Ask about TEP rebate eligibility” on the form if you want that question included in the callback. Eligibility is still TEP’s and the participating contractor’s.
A separate, income-qualified state rebate is Efficiency Arizona. On October 19, 2026, that program listed a heat pump for space heating or cooling at up to $8,000, inside a household cap of $14,000, and the program assigns its own contractor. It is not this TEP amount. Households above 150 percent of area median income are not eligible there. If that income test does not fit, the estimate request on this page is the TEP question.