Propane shortage today, geothermal boom tomorrow?
The propane shortage keeps making news, and no doubt making a lot of home and business owners uncomfortable. We’ve seen the worrying situation pique many members’ interest in geothermal systems, and the bright side to this dark situation is that we introduced a rebate for fossil fuel to geothermal conversions earlier this year.
There’s a lot of good reason to convert from a propane furnace to a geothermal system. The efficiency difference is stunning: for every $1 of fuel you put into a propane furnace, you get about $.97 of heat. Fine, but consider the return on that same $1 if you have a geothermal system—$4 worth of heat.
And we can help members reach those returns.
On January 1, 2014, we introduced a $1,500 rebate for homeowners who replace a propane, natural gas, or fuel oil furnace with an all-electric geothermal unit that meets our minimum efficiency standards:
- Closed loop: ?17 EER and ?3.6 COP
- Open loop: ?21.1 EER and 4.1 COP
Homes that use two heating systems and install two geothermal systems properly sized according to ACCA standards can qualify for two incentives—$3,000 total.
What’s more, geothermal systems qualify for a 30% federal tax credit. Your tax advisor can help you with the details there.