Limited time offer effective January 1, 2026; subject to end at any time
Applicants must convert from an existing gas water heater to a hybrid (heat pump) water heater; eligible water heaters must use air transfer technology to heat water (other types of high efficiency water heaters do not qualify; tankless water heaters do not qualify).
Applicants must own property where the water heater will be installed
Qualifying water heaters must be purchased and installed within the last 90 days
The location where the water heater will be installed must:
Have an active Alabama Power residential service account (temporary service accounts do not qualify)
Be an existing single-family home (multi-family homes, such as apartments, mobile/manufactured homes, and homes less than a year old do not qualify)
Not have received an Alabama Water Heater Program incentive (free equipment or rebate) in the past eight years
Must be the primary source of water heating for the home
Applicants must submit with their application:
Photos of newly installed electric water heater
W-9 Form (link to form on application)
Brand, model, and serial number of previously installed gas water heater. *If this information is not available, you may be required to submit photos of the remaining capped gas line and/or ventilation flue from gas water heater.
Proof of purchase (receipt/invoice) for the new electric water heater containing the following information: