Peabody heat pump rebates, 2026 and 2027
Peabody has its own electric utility, so PMLP pays its own rebate. Here are the amounts, who can still use Mass Save, and the dates.
- Checked: November 2026
- Mass Save rate drops: Jan 1

The short answer for Peabody. PMLP pays its own rebate: $500 per ton for air-source, up to 36,000 BTU per address per year. Amounts, rules and an example by size are below. If you heat with gas, Mass Save's gas side is a second route: $2,650 per ton in 2026, $2,350 from January 1, 2027.
Peabody estimator
What could a Peabody home get back?
Your estimate
Up to $8,500
Finished in 2026: $2,650 for each ton, up to $8,500.
What to do next
Rates: Mass Save, read November 6, 2026. An estimate, not an offer. Mass Save decides who qualifies and pays the rebate.
The PMLP rebate
Peabody Municipal Light Plant (PMLP) sets its own program. This is what its page says, read November 6, 2026:
- $500 per ton for air-source and mini-splits, $750 per ton for ground-source. The maximum is based on 36,000 BTU per address per calendar year.
- Owner-occupied homes only. Not available on new construction.
- Must be purchased between 1/1/2026 and 12/31/2026.
- Applications are due online or at the program address by 1/31/2027.
- All heat pumps must be installed by a Massachusetts licensed contractor.
- Timing. Purchase between January 1 and December 31, 2026. Application due January 31, 2027.
| System size | PMLP rebate |
|---|---|
| 2 tons | $1,000 |
| 3 tons | $1,500 |
| 4 tons | $1,500 |
Does Mass Save also apply in Peabody?
Mass Save's eligibility text covers homes replacing natural gas where National Grid is the gas sponsor, applied for with the gas account. Peabody gas is National Grid (Boston Gas) per the DPU franchise list.
If you are on Mass Save's gas side: 2026 against 2027
| System | Installed 2026 | From Jan 1, 2027 | Change |
|---|---|---|---|
| 2-ton whole-home | $5,300 | $4,700 | -$600 |
| 3-ton whole-home | $7,950 | $7,050 | -$900 |
| 3.2+ ton whole-home (cap) | $8,500 | $7,500 | -$1,000 |
| 2-ton partial-home | $2,250 | $2,000 | -$250 |
| 3-ton partial-home | $3,375 | $3,000 | -$375 |
Which account do you apply with in Peabody?
| Your heat today | Apply with | Peabody homes (Census) |
|---|---|---|
| Oil, propane or electric resistance | PMLP's own rebate (Mass Save's electric side needs a Mass Save electric sponsor) | 10,479 homes (47%): 5,377 oil, 4,370 electric, 732 propane |
| Natural gas | Your gas account: National Grid. Mass Save's gas sponsor rule. | 11,333 homes (51%) |
Mass Save gas side: what qualifies a Peabody home
The median home in Peabody was built in 1966, well before Mass Save's 2000 cut-off. Most whole-home projects here will need the other weatherization test: a Home Energy Assessment recommending under $1,000 of work, or 2013-or-later recommendations completed. 66% of Peabody homes are owner-occupied.
- Installer. Mass Save requires a contractor in its Heat Pump Installer Network.
- Whole-home weatherization test (Mass Save): built in 2000 or later, or a Home Energy Assessment recommending under $1,000, or 2013-or-later recommendations completed.
- Full-time winter home and one whole-home rebate per account.
Permits in Peabody
Building Department
- Address
- Peabody City Hall, 24 Lowell St., Peabody, MA 01960
- Phone
- 978-538-5786. Electrical Inspector: 978-538-5789.
- Hours
- Inspectors: Mon to Wed 8:30 to 10 am and 3 to 4 pm, Thu 8:30 to 10 am and 5:30 to 7 pm, Fri 8:30 to 10 am and 12 to 12:30 pm
Peabody permit pageOnline permits
Peabody accepts permit applications only through its online system (no walk-ins), and inspections are booked by email or by calling the inspector. Its page says wiring permits are issued to Massachusetts licensed electricians.
The December 31 timeline for Peabody
- Now. Get two or three proposals. Ask PMLP for its current rebate form and check the equipment list it names.
- Before the install. Permit pulled and equipment ordered.
- By December 31, 2026. PMLP: the heat pump must be purchased by this date for the 2026 rebate. Mass Save gas side: installed by this date to get $2,650 per ton. From January 1, 2027 it is $2,350.
- By January 31, 2027. PMLP applications due, online or at the program address.
- By February 28, 2027. Mass Save gas side: the rebate form and paperwork for a 2026 install must be received. Allow about eight weeks.
The full dates for every program: the December 31 deadline guide.
Questions about heat pump rebates in Peabody
Does Peabody get Mass Save heat pump rebates?
Not for the electric side. Peabody is served by Peabody Municipal Light Plant (PMLP), which runs its own rebate. Gas in Peabody comes from National Grid, a Mass Save gas sponsor, so a gas-heated home may use Mass Save's gas side instead. Mass Save's eligibility text covers homes replacing natural gas where National Grid is the gas sponsor, applied for with the gas account. Peabody gas is National Grid (Boston Gas) per the DPU franchise list.
How much is the heat pump rebate in Peabody?
$500 per ton for air-source and mini-splits, $750 per ton for ground-source. The maximum is based on 36,000 BTU per address per calendar year. Read from PMLP's own program page on November 6, 2026. Utilities change amounts without notice, so confirm before you sign. PMLP via NextZero, help@NextZero.org.
What is the 2026 deadline for a heat pump in Peabody?
PMLP: Purchase between January 1 and December 31, 2026. Application due January 31, 2027. For Mass Save's gas-side rebate, the heat pump has to be installed by December 31, 2026 and the rebate form has to reach Mass Save by February 28, 2027.
Do I need a permit for a heat pump in Peabody?
Peabody's Building Department handles permits. Peabody accepts permit applications only through its online system (no walk-ins), and inspections are booked by email or by calling the inspector. Its page says wiring permits are issued to Massachusetts licensed electricians. Call 978-538-5786 or see the town's permit page before work starts. The licensed contractor doing the work normally pulls the permit.
Is it worth installing a heat pump in Peabody before December 31?
PMLP's page lists no 2027 amount or change. PMLP's 2026 rebate covers heat pumps purchased by December 31, 2026. If your home is on gas and uses the Mass Save side, the install date matters: $2,650 per ton in 2026 against $2,350 per ton from January 1, 2027.
Who can install a heat pump in Peabody and still get the rebate?
PMLP's page says all heat pumps must be installed by a Massachusetts licensed contractor. For Mass Save's gas side, the contractor must be in Mass Save's Heat Pump Installer Network. Aurion takes heat pump projects in Peabody and helps with the rebate paperwork. Licensed work is done by licensed Massachusetts technicians. Send two photos and the town to get a price.
More for Peabody
Average cost context from Mass Save: $22,000 for a whole-home install finished in 2022, which leaves $13,500 after the 2026 cap. Your quote decides the real number. Questions? Call (781) 210-8400.
Heat pump in Peabody? Decide before the rate drops.
Send two photos and your town. We look at them and get back to you with a price. Or call (781) 210-8400.
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