Governor Kathy Hochul announced that $10 million is now available to support the adoption of advanced clean heating and cooling solutions in New York. The funding comes through the new statewide Clean Heat for All: Window Heat Pump Demonstration program, which aims to increase consumer confidence in packaged window heat pumps (PWHPs) by supporting their demonstration in multifamily buildings.
Manufacturers and vendors can apply to qualify and demonstrate PWHPs, a technology designed to improve comfort and temperature control for households without requiring major building upgrades. The initiative builds on lessons from the New York City Housing Authority (NYCHA) Clean Heat for All Pilot.
“Making clean energy more affordable is key to ensuring every New Yorker can benefit from our transition to a greener future,” Governor Hochul said. “Clean Heat for All demonstrates how strong partnerships and proven solutions can accelerate that transition, helping families save energy costs, improving comfort in their homes and reducing harmful emissions across the state.”
The program is administered by the New York State Energy Research and Development Authority (NYSERDA), which will offer incentives to qualified manufacturers and vendors installing PWHPs in selected multifamily buildings with more than five units.
Doreen M. Harris, President and CEO of NYSERDA, stated, “The success of the Clean Heat for All program brought ground-breaking technology into the homes of New Yorkers to experience the benefits of clean, efficient heating and cooling. Through these demonstration projects, more residents and building owners will be able to experience greater comfort, control, and air quality from heat pump technology and feel confident in the switch to these low emission solutions.”
The application process consists of two phases. In Phase One, manufacturers or vendors whose products meet technical criteria may apply for qualification. Once qualified, they are eligible for Phase Two incentives covering up to 50 percent of costs (up to $1,500 per unit) at market rate sites or 75 percent (up to $2,250 per unit) at low- or moderate-income sites.
Applications for Phase One are accepted via email until January 30, 2026; incentive applications must be submitted by June 30, 2027.
NYSERDA will collect performance data from Phase Two demonstrations to provide insights for building owners, operators, tenants, and utilities regarding PWHP viability as a retrofit solution.
The demonstration program is part of NYSERDA’s broader Clean Heat for All portfolio alongside other initiatives such as the Packaged Terminal Heat Pump program. It follows positive results from previous pilots conducted with NYCHA and partners including the New York Power Authority (NYPA).
Justin E. Driscoll, President and CEO of NYPA said: “Through the Power Authority’s strategic partnership with NYCHA and NYSERDA, the Clean Heat for All program led to the development of energy-efficient heat pumps that can be easily installed in multifamily buildings. The continued investment in this innovative technology will make it more affordable to implement, improving comfort and climate control for New York residents.”
RuthAnne Visnauskas, Commissioner of New York State Homes and Community Renewal added: “Expanding access to clean, efficient heating and cooling is essential to improving the quality of life for residents across New York, including those who live in affordable multifamily developments. The $10 million Clean Heat for All Pilot program supports HCR’s mission to preserve and improve our existing housing stock, and ensure safe, sustainable, affordable homes for all New Yorkers. By embracing and funding innovative technologies like packaged window heat pumps, we’re helping to build a healthier, more resilient housing stock for the future.”
Lisa Bova-Hiatt, Chief Executive Officer at NYCHA commented: “NYCHA is proud to have been the catalyst and proving ground for this innovative program. The success of the initial Clean Heat for All pilot…demonstrates the viability of these window heat pumps as a key solution…We are thrilled to be involved in driving a market transformation that will serve…New Yorkers statewide.”
Urban Green Council CEO John Mandyck said: “We applaud NYSERDA’s new Window Heat Pump Demonstration program. It will expedite technologies that will fill important gaps in the industry and provide affordable electrification solutions for more New Yorkers.”
For over five decades NYSERDA has played an important role in energy planning across New York State. Buildings account for a significant portion of greenhouse gas emissions within New York; investments exceeding $5.6 billion have been made through state programs aimed at decarbonizing buildings using high-efficiency electric heating technologies such as room heat pumps.
This initiative receives funding from the Regional Greenhouse Gas Initiative.
New York’s climate agenda includes transitioning toward an emissions-free economy by 2050 through measures affecting energy production as well as sectors like transportation—and ensures at least 35 percent of benefits reach disadvantaged communities.
