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TNMP home energy efficiency programs open

Administered by Texas-New Mexico Power (TNMP), under the Public Utility Commission of Texas.

TNMP pays contractors for heat pumps, air conditioners, insulation, heat pump water heaters and solar in its Texas service area, and publishes exactly how much: up to $2,700 for a heat pump replacing electric heat in a low-income home, $3,750 for solar with a battery. Its manual says contractors need not pass any of it on. Work must be finished by 30 November 2026.

source · verified 26 September 2026 · amounts in US dollars

What it pays

What TNMP pays the contractor, by upgrade and condition
UpgradeConditionAmount
Heat pump replacing electric heatReplacing a failed system, by SEER2 tier; $1,900 to $2,200 in hard-to-reach homes$1,400–$1,700
Heat pump replacing electric heat, earlyReplacing a working system; $2,300 to $2,700 in hard-to-reach homes$1,800–$2,200
Air conditioner or heat pump, per tonLike-for-like replacement, by SEER2 tier; $125 to $325 a ton in hard-to-reach homes$50–$225
Ductless heat pump replacing electric heat, per tonBy SEER2 tier; $350 to $750 a ton replacing a working system$250–$600
Solar, 3 to 7.499 kWBy size$1,250–$2,200
Solar, 7.5 to 30 kW$2,750
Solar with a new batteryBy size; $4,250 is the most per customer$2,250–$3,750
EV charger, with solar$500
Heat pump water heater, 55 gallons$500 in hard-to-reach homes$400
Smart thermostatSingle family; $175 in hard-to-reach homes$125

All of it is paid to the contractor. Insulation is paid by the savings instead: $480 per kW and $0.25 per kWh in a gas-heated home, more in hard-to-reach homes.

Who is eligible

delivery utility
TNMP must deliver your electricity (your bill names your delivery utility).
hard-to-reach
Households meeting the Public Utility Commission's income forms, 200% of the federal poverty guidelines, get the higher rates.
per home
At least three measures, unless the program manager approves fewer.
counties
10% more for all work in Cooke, Eastland, Erath, Franklin, Hill, Hood, Johnson, McLennan, Stephens and Van Zandt counties.
deadline
Installed and reported by 30 November 2026.
budget
2026: $1.2 million for the residential program, $550,000 for hard-to-reach homes.

Where the application goes

Through a TNMP project sponsor, who is paid the incentive.

Where the application goes
If this is youApply here
Homeownerstnmp.com
Low-income householdstnmp.com

The thing most pages get wrong

These are not rebates to the homeowner. TNMP's 2026 manual says it will "pay all incentives directly to the Project Sponsors, not to customers", and that sponsors are not required to pass any of it on; they must only tell you in the contract that they are receiving it.

Free for low-income homes

TNMP's Low Income Weatherization Program, run by Frontier Energy with non-profit agencies, installs upgrades at no cost for households at or under 200% of the federal poverty guidelines, and sets no maximum spend per home.