Up to $1,200 from PSEG Long Island

Water Heater Rebates in Brookhaven

Half the homes in the Town of Brookhaven heat with oil, and an oil boiler often makes the hot water too. A heat pump water heater can take that job off the boiler. PSEG Long Island pays up to $1,200 toward one, and lower-income families can get much more through EmPower+.

On this page
  1. What water heater rebates pay in Brookhaven
  2. What Brookhaven homes look like
  3. Where a heat pump water heater fits
  4. Who should not rush
  5. Renters and condos
  6. How to claim in Brookhaven
  7. Common questions
  8. What to do next
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What water heater rebates pay in Brookhaven

We re-read PSEG Long Island's rebate page and NYSERDA's EmPower+ page on October 3, 2026. Long Island is not part of NYS Clean Heat, so the $1,250 and $1,300 water heater rebates you may see for upstate and New York City do not apply here.

Open

PSEG Long Island heat pump water heater

Up to $1,200

For an ENERGY STAR certified electric heat pump water heater. PSEG Long Island customers.

Open

EmPower+ Sustainable Futures

Up to $5,000

For income-eligible households, on top of the regular EmPower+ project cap. Suffolk County counts as downstate.

Open

EmPower+ moderate income

50% up to $7,000

Downstate cap for moderate-income single-family homes, for efficiency work found in a free home assessment.

Closed

Federal 25C tax credit

Ended

Does not apply to equipment placed in service after December 31, 2025.

Working it out

Say a 50-gallon heat pump water heater costs $3,500 installed. The PSEG Long Island rebate of up to $1,200 brings it to about $2,300. A moderate-income household in EmPower+ may get help with the rest, and a low-income household may pay nothing for approved work. The real numbers depend on your quote and your income, so check both before you buy.

What Brookhaven homes look like

The US Census Bureau's American Community Survey (2020 to 2024) counts about 179,400 homes in the Town of Brookhaven. 78% are single detached houses and 81% are owned by the people who live in them. The heating mix is unusual for New York: 52% of homes heat with fuel oil, 33% with piped gas, and 10% with electricity.

That matters for hot water. If your oil boiler also makes your hot water, through an indirect tank or a coil, then in summer it fires just to make hot water. A heat pump water heater runs on electricity instead, and pulls heat from the air around it.

Where a heat pump water heater fits

These units need space and air. Most makers ask for a room of a certain size, or venting, and they cool and dry the air around them. In a Brookhaven house, the basement is often the best spot. It is also usually where the oil boiler lives, which helps, since the plumbing is already there. A garage can work too, but very cold winter air makes the unit lean on its backup electric element, which costs more to run.

Built in the 1970s or before? About 65% of Brookhaven homes were, per the same Census data. Ask the installer to check your electrical panel. A heat pump water heater usually needs its own 240-volt circuit. If you need a panel upgrade, EmPower+ can help income-eligible homes pay for it.

Who should not rush

If your oil boiler is near the end of its life, step back and plan the whole house. A heat pump for heating changes your electric load and may come with its own rebates, covered in our Brookhaven heat pump guide. Doing both at once can mean one panel upgrade instead of two. If your boiler is fairly new and makes hot water cheaply in winter, the savings from a separate heat pump tank are smaller. Your installer should show you the math, not just the rebate.

Renters and condos

About one in five Brookhaven households rents. EmPower+ is open to income-eligible renters of 1 to 4 family homes, with the owner's okay. The PSEG Long Island rebate goes to whoever buys and installs the unit, so talk to your landlord first.

How to claim in Brookhaven

  1. Check that the model is ENERGY STAR certified and on PSEG Long Island's eligible list.
  2. If your income may qualify, apply to EmPower+ first through NYSERDA's MyEnergy portal. A contractor does a free assessment and tells you what is covered.
  3. Otherwise, get two quotes from licensed installers and ask about the electrical circuit and condensate drain.
  4. Apply for the PSEG Long Island rebate online or through the Marketplace, and keep the receipt and model number.

Common questions

Does NYS Clean Heat pay for water heaters in Brookhaven?

No. NYS Clean Heat runs through the upstate utilities and Con Edison. Long Island customers use PSEG Long Island's own rebate, up to $1,200.

Can EmPower+ pay for a heat pump water heater?

Yes, for income-eligible households. NYSERDA lists up to $5,000 for a heat pump water heater through its Sustainable Futures funding, on top of the regular EmPower+ caps.

Is there still a federal tax credit?

No. The IRS says the Energy Efficient Home Improvement Credit does not apply to property placed in service after December 31, 2025.

Will it work in my basement?

Usually yes, if the room is large enough or vented, and stays above the maker's minimum temperature. Ask the installer to check before you buy.

How much can I save versus oil?

It depends on your oil price, how much hot water you use and your electric rate. Ask your installer for a written estimate based on your actual bills.

What to do next

Pull last summer's oil delivery slips. If you burned oil in July and August, that was mostly for hot water, and it shows what a heat pump water heater could replace. Then see every offer on our Brookhaven rebate hub.

By Sam Menard. Sources, last read October 3, 2026: PSEG Long Island: ENERGY STAR rebates, NYSERDA: EmPower+, IRS: Energy Efficient Home Improvement Credit, US Census Bureau ACS table B25040. All Brookhaven rebates → Every PSEG Long Island rebate →

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