New $10,000 All-Electric Program

New Xcel Builder Rebates

Xcel Energy unveils significant changes to its builder rebate initiative, set to take effect on July 1, 2024.

New Xcel Builder Rebates
Published May 9, 2024

Revamped & Realigned

The updates to Xcel's builder rebate program stem primarily from their dedication to supporting the United States' climate objectives for 2030 and 2050. By implementing these revisions, Xcel aims to incentivize more builders to embrace all-electric construction methods.

Xcel currently provides rebates to builders who build homes with high-efficiency heating and cooling mechanical equipment, building envelopes that are a percentage better than code requirements, and efficient appliances. However, as of June 30, 2024, these programs will be phased out.

Big Changes = Big Rebate

Beginning July 1, 2024, newly permitted homes can tap into Xcel Energy's new $10,000 All-Electric Program. To qualify, homes must meet specific criteria: certification to ENERGY STAR v3.2, Indoor airPLUSTM, DOE ZERH, and ENERGY STAR NextGen (or certification to PHIUS or PHI) and no gas line connected to the property. The 2021 IECC, which is rapidly being adopted by jurisdictions across Colorado, already mandates many of the same requirements as these programs. There are also builder, HVAC designer, HVAC installer, and energy rater checklists that must be completed. Below are the basic program requirements to qualify for the $10,000 rebate:

ENERGY STAR for Homes Version 3.2

  • Meet the requirements of ENERGY STAR New Homes V3.1 
  • ERI or HERS score without PV of no more than 50  
  • Windows must meet 2021 IECC requirements - .30 U-Value/.40 SHGC  
  • Insulation less than 105% UA of 2021 IECC requirements  

DOE Zero Energy Ready Homes Version 2

  • Meet the requirements of DOE ZERH V1  
  • Meet the requirements of ENERGY STAR for New Homes V3.2  
  • ERI without PV of no more than 47  
  • Insulation meets 100% UA of 2021 requirements  
  • Above-grade walls provide a thermal break (continuous insulation, SIPs, ICFs, or double-stud walls)  
  • Windows meet high-performance standard (U-Value less than .27)

Indoor airPLUS Version 1

  • House to-garage air barrier is in place and verified by an additional air leakage test or 70 cfm exhaust fan installed  
  • Minimum MERV 8 Air Filter in HVAC system
  • Minimum passive radon system & radon-resistant features installed  
  • Installed material meets the low VOC requirements of the Indoor airPLUS program
  • Drain or sump pump with check valve installed in basements and crawl spaces
  • Layer of aggregate or sand with geotextile matting installed below slab
  • Hard surface flooring at kitchens, baths, entry, laundry, and utility rooms
  • Duct systems are protected from debris during construction. If the system can't be protected, HVAC ductwork must be vacuumed and cleaned
  • No air handling equipment or ductwork installed in garage. Duct work can run in garage ceiling or walls but must be separated from garage by insulation and air barrier

ENERGY STAR NextGen (All Electric)

  • Meet the requirements of ENERGY STAR for New Homes V3.2  
  • ENERGY STAR certified two-speed or variable-speed heat pump  
  • HVAC Commissioning to Grade 1 under Standard 310  
  • ENERGY STAR certified heat pump water heater that meets minimum tank capacity  
  • Heat pump water heaters have sone rating equal to or less than 55 dBA  
  • Ovens are electric - electric resistance or induction 
  • Powered 208/240 receptacle installed in garage or 3’ of driveway/parking space  
  • Electric service panel includes a 40 amp breaker dedicated for “electric vehicle charging” 
  • Homes that meet all of the requirements for ENERGY STAR NextGen but that have dual-fuel heating or a gas line to the property will meet this program but will not qualify for the $10,000 Xcel rebate

EnergyLogic Can Help

If you have questions, would like to learn more, or would like to discuss which rebate programs might work best for you, please reach out to EnergyLogic today!

About the Author
Ryan Gilbert

Ryan Gilbert

Ryan is a Business Development Manager at EnergyLogic. A passionate environmentalist at heart, Ryan is on a personal mission to help raise the standards of energy efficiency in homes. Learn more about Ryan.

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