Fix First HomeWhat home-upgrade rebates actually pay — and who you apply to.

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Otter Tail Power heat pump rebates (Minnesota) open

Administered by Otter Tail Power Company.

Otter Tail Power pays Minnesota customers by the ton: $800 a ton for a ducted cold-climate heat pump, $600 a ton for a ductless one, $300 a ton for a standard heat pump and $1,200 a ton for geothermal, with $200 a ton more when a certified Quality Installation contractor installs it and $40 a ton on an energy-control rate. The rebates stack, and the check comes in six to eight weeks.

source · verified 13 October 2026 · amounts in US dollars

What it pays

Otter Tail Power's Minnesota heat pump rebates, per ton
Heat pumpBaseQuality installationEnergy-control rateOtter Tail's total
Cold-climate, ducted (SEER2 16.0, HSPF2 8.0)$800$200$40$1,040
Cold-climate, ductless (SEER2 16.0, HSPF2 8.0)$600$200$40$840
Standard (SEER2 14.3, HSPF2 7.5)$300$200N/A$500
Air-to-water (COP 1.7 at A5W110F)$800$200$40$1,240
Geothermal, residential$1,200$200$40$1,640

Air-to-water and geothermal also get $200 a ton for a buffer tank or desuperheater that preheats domestic hot water (limit 20 tons); the totals above are Otter Tail's own 'total potential rebate' figures and include it. Otter Tail says a typical home is three to five tons.

Who is eligible

who
Otter Tail Power residential customers in Minnesota (South Dakota and North Dakota have their own tabs).
sizing
Rebates are based on system size in tons, from the AHRI certificate you submit.
Quality Installation
The $200-a-ton addition needs a certified contractor in Otter Tail's Quality installation program.
energy control
The $40-a-ton addition needs the heat pump on the Dual Fuel, Deferred Load or Residential Demand Control rate.

Where the application goes

Email or mail the 2026 Minnesota rebate form with the AHRI certificate and documents to Otter Tail Power.

Where the application goes
If this is youApply here
Heat pump rebatesotpco.com
2026 rebate formotpco.com
Idea Center800-493-3299

The thing most pages get wrong

Otter Tail's headline per-ton totals assume every add-on. The base for a ducted cold-climate heat pump is $800 a ton; the $200 needs a Quality Installation contractor, and the $40 needs a dual fuel or demand control rate.

Keep the AHRI certificate

Otter Tail asks customers to 'always get and keep an AHRI certificate' from the contractor and submit a copy; the tonnage on it sets the rebate. 'Rebate limits apply.'

Electric heat rates

Otter Tail's Deferred Load and Residential Demand Control rates lower the price of electric heat, and it pays $75 a kW for qualifying electric heating systems of at least 9 kW on those rates.

Sources