If you’re planning to install a new cooling or heating system (especially a heat-pump or ductless mini-split) in Western Colorado, the Xcel rebate program can dramatically reduce your upfront cost.

The utility is offering significantly increased incentives in 2025 to encourage more efficient systems. This means better comfort, lower bills, and less dependency on fossil fuels. 

Because we serve this region, All Around Plumbing, Heating and Cooling knows how to navigate the process, and make sure you get the full benefit.

What Rebates Are Available

Based on current information, here are some of the headline rebate amounts and eligibility rules for Colorado customers of Xcel Energy (these can change, so always verify at time of quote):

*These numbers are based on latest publicly available updates (2025). The actual rebate may vary based on your system size, tonnage, efficiency rating and other eligibility criteria.

Who’s Eligible

To take advantage of the rebate:

• You must be a residential customer of Xcel Energy (electric or gas service).
• The system must meet the performance criteria (SEER2, EER2, HSPF2, etc) and be installed in the eligible service territory.
• The installation must generally be performed by a qualified contractor (for most system types) and the paperwork submitted in accordance with Xcel’s requirements.
• The program is time-sensitive: funding may be limited and terms may change (for example, Xcel states that the new incentive levels are expected to run for “8 to 12 months” in early 2025).

How the Process Works

Here’s a simplified step-by-step of how you (the homeowner) would capture the rebate with our support:

1. Initial consultation with All Around Plumbing, Heating and Cooling — we assess your home, evaluate whether a heat pump or mini-split upgrade makes sense, and estimate tons, sizing, and efficiency.
2. System selection — We select equipment that meets or exceeds the rebate’s eligibility requirements.
3. Installation by our certified team — Proper installation is essential to both system performance and rebate eligibility.
4. Rebate paperwork submission — Either the contractor or we submit the completed Xcel rebate application (including details like model numbers, tonnage, installation date) to Xcel.
5. Rebate payment — You may receive a bill credit or check, or the rebate may be assigned as a discount via the contractor. Timing may vary (commonly 6-8 weeks).
6. Enjoy savings — Your new system delivers improved comfort, better efficiency and long-term savings on utility bills.

Why Acting Now Makes Sense

• The rebate amounts for 2025 have been significantly boosted, making now an excellent time to upgrade.
• New heat-pump systems are more efficient and better suited to Colorado’s climate than older equipment.
• Installing the right system now prevents higher repair/energy costs later.
• Our local expertise means we help you both select the right system and handle the rebate logistics — reducing your workload and risk.

Things to Know & Recommendations

• Sizing matters:
  Rebates are often calculated per “ton” of capacity — correct sizing ensures you maximise the rebate
• Certified installation required:
  For certain system types, the contractor must be an approved partner or meet specific training/ certification. For example, mini-split rebate guidance emphasises the correct equipment, installation quality and paperwork.
• Stacking other incentives:
  In many cases you can combine the Xcel rebate with federal tax credits (e.g., the Inflation Reduction Act tax credit) and other local incentives.
• Funding is limited/time-sensitive:
  Since these programs can run out or changes may occur, it’s wise to act sooner rather than later.
• Documentation & compliance matter:
  Make sure model numbers, invoice dates, tonnage and performance specs are all captured and submitted to avoid delays or denial.

How We Help – Why Partner with Us

At All Around Plumbing, Heating and Cooling, we serve Grand Junction, Delta, Fruita, Montrose & Palisade, CO. Here’s how we support your rebate journey:

• We evaluate your home and recommend the system best suited to your comfort goals, budget, and rebate eligibility.
• We install to code and performance standard, ensuring the equipment qualifies and functions efficiently.
• We handle or assist with the rebate paperwork, reducing confusion and making sure you don’t miss out.
• We provide ongoing maintenance and service, so your system keeps delivering the benefits you invested in.