Heat Pump Water Heater Incentives now Available for Schools!

Picture of David Jaeger

David Jaeger

Climate & Energy Technician

Willdan’s GK-12 Program, which has been effectively implementing heat pump water heaters at municipal agencies, can now provide low-cost heat pump water heater (HPWH) retrofits at K-12 Local Education Agencies (LEAs). LEAs such as High School and Unified school districts with gyms and pools are the top priority due to cost effectiveness of these projects, however this isn’t a requirement. Other potential projects, ranked by effectiveness behind gyms and pools, include:

  1. Transportation and food service
  2. District offices
  3. School sites

To improve overall cost effectiveness it is beneficial to explore where HPWH retrofits can be coupled with other energy efficiency projects at LEAs. However, HPWH retrofits at elementary school districts and districts without gyms or pools will generally be more challenging to pencil out. These LEAs can still take advantage of other GK-12 Program offerings, some of which we have highlighted in previous blog posts (see here).

Why HPWHs?

HPWHs take advantage of the same technology found in your refrigerator, using electricity and refrigerants to move heat from one space to another. In a fridge, heat is removed from inside to keep perishable foods cold. In a HPWH system, heat is pulled from the ambient air around the tank to the water inside, and provides hot water the same way that a typical natural gas or electric resistance water heater does. To put it simply, though this equipment may be new, the mechanisms and technology utilized are very familiar, and retrofits are usually a simple process. The result is that a HPWH can be two to three times more efficient than conventional electric resistance water heaters.

Besides the potential for energy cost savings, there are multiple other reasons to consider HPWH retrofits:

  1. Air Quality – When replacing a natural gas unit, eliminating the use of combustion fuels has a positive impact on indoor and outdoor air quality
  2. Deferred or Planned Maintenance – Getting a low- or no-cost HPWH to replace an aging water heater is in and of itself a cost saving measure
  3. Climate Action – Low-cost installations of HPWHs are an easy climate action win to help your agency meet greenhouse gas emissions reduction goals
  4. Staying Ahead of State Policy and/or Code – CA policy is moving towards an electrified future, getting the incentive now when the work is low- or no-cost is advantageous compared to waiting until the state requires efficiency levels that all but mandate HPWHs

If your LEA is interested in pursuing this opportunity, please don’t hesitate to reach out to us to get started. You can either email us at snew@sierrabusiness.org or call 530-214-3836. We hope to hear from you soon!

Read More Recent Blogs

2026 Legislative Session: What It Means for Wildfire & Climate Resilience

California’s 2026-27 legislative session wrapped up September 1 after a turbulent final week of negotiations over wildfire policy, funding, and the state budget. While a last-minute proposal on wildfire liability ultimately stalled, the Legislature did restore and increase funding for climate resilience through Proposition 4 and the Greenhouse Gas Reduction Fund (GGRF)—a meaningful outcome for Sierra communities amid a challenging state budget year.

The final plan includes $329.5 million for wildfire and forest resilience through Prop 4 and $118 million for wildfire prevention through GGRF. While these investments are an improvement over the June budget, wildfire resilience funding remains near historic lows, with no clear plan for sustained investment in future years.

Read more about the final budget, Prop 4 and GGRF allocations, and what’s next for wildfire and climate resilience in the Sierra.