How to Qualify for SoCalGas Rebates on Water Heaters

by | Sep 17, 2025 | Hot Water Heater, Plumbing, Water Systems

Upgrading your water heater can be a smart move for your wallet and the environment especially if you are a SoCalGas customer. Through its rebate program, SoCalGas offers generous incentives for homeowners who install qualifying energy-efficient gas water heaters or solar thermal systems. Whether you are replacing an outdated unit or looking to cut down on your energy bills, these rebates can significantly offset your upfront costs. In this guide, we’ll break down exactly how to qualify, which models are eligible, and what steps you need to take to claim your rebate before funds run out.

5 Qualifying Steps

1. Check Eligibility & Timing

  • SoCalGas rebates are available through December 31, 2025, or until funding is exhausted.
  • Rebates are distributed on a first-come, first-served basis and may be modified or canceled without notice.

2. 3. Pick a Qualifying Water Heater

SoCalGas is currently offering rebates on natural gas water heaters (both storage and tankless types) and solar thermal systems paired with gas backup:

  • Storage Gas Water Heater (≤55 gallons): $75 rebate
  • Natural Gas Tankless Water Heaters: Rebates are determined by the Uniform Energy Factor (UEF):
    • UEF 0.82–0.86 → $80
    • UEF 0.87–0.94 → ~$900
    • UEF 0.95 → ~$1,100
    • UEF ≥0.96 → ~$1,300–$1,500
  • Solar Thermal Systems (ENERGY STAR® certified with SUEF ≥1.8) combined with gas backup can qualify for rebates ranging from $2,500 to $5,000, depending on system specifications.

3. Understand Rebate Requirements

To qualify, you must:

  • Be a SoCalGas residential customer with a matching bill/account name and address.
  • Install a qualifying ENERGY STAR®-certified unit that meets UEF or SUEF thresholds.
  • Replace an existing gas water heater (new construction does not qualify).
  • Use a licensed professional for installation; contractors may verify equipment and installation compliance.
  • Keep pre- and post-installation photos, proof of purchase, and installation receipts.

4. Apply for Your Rebate

  1. Purchase and install an eligible water heater before the program expiration.
  2. Submit your application online or by mail. Include:
    • A copy of your SoCalGas bill.
    • Paid invoice(s).
    • Photos of the old water heater (“before”) and new unit (“after”).
  3. Track your application status online or via email follow-up if needed.
  4. Payment is issued via a prepaid Mastercard® (physical or digital).

5. Bonus Incentives

  • The federal Energy Efficient Home Improvement Tax Credit offers up to 30% of the cost, capped (e.g., ~$600 for a gas tankless water heater with ≥0.95 UEF).
  • Additional state or inventory-based rebates, such as the Golden State Rebate (up to $900) or Tech Clean CA incentives (if funding is available), may stack with the SoCalGas rebate and federal credit.

Tips & Warnings

  • Rebates are subject to funding availability and may change – do not delay.
  • Rebates cannot exceed the purchase price (excluding tax or installation). Only one rebate per household is allowed.
  • Applications missing required documentation can be rejected or delayed – keep digital copies organized.
  • Some applicants report receiving rebate checks in 4-6 weeks, though processing times may vary.

By choosing a qualifying water heater, working with a licensed installer, properly documenting your project, and applying early, you can unlock rebates of $75–$1,500 or more, plus stackable federal and state credits. SoCalGas rebates provide a valuable opportunity to save on replacement costs while upgrading to energy-efficient systems just be sure to dot your i’s, cross your t’s, and act while funds last.

SoCal Plumbers can recommend licensed and insured plumbing technicians to residents across Southern California. To learn more, visit https://socalplumbers.com.

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