Estimated Savings for a Typical Montana Home
2,000 sq ft home switching from electric-resistance heating
Installed Cost
$17,000
State Rebate
-$500
Net Cost
$16,500
Current Heating Cost/yr
$3,032
Heat Pump Cost/yr
$1,378
Annual Savings
$1,654
Payback Period
10 yrs
15-Year Savings
$15,181
CO₂ Avoided/yr
12,552 lbs
Montana Heat Pump Rebates
✕
Federal 25C Tax Credit (Expired Dec 31, 2025)
The federal Energy Efficient Home Improvement Credit (up to $2,000 for heat pumps) ended December 31, 2025. Heat pumps installed in 2026 do not qualify for it.
Up to $500
Montana State/Utility Rebate
Montana offers limited utility heat-pump rebates (around $500); cold-climate units recommended.
Up to $8,000
HEEHRA Federal Rebate (Income-Qualified)
Households at or below 150% of area median income can receive up to $8,000 toward a heat pump through the federal HEEHRA program, administered by Montana. View full rebate detail →
Heat Pump Costs by City in Montana
| City | Annual Savings | Payback (yrs) | Population ↓ | Utility |
|---|---|---|---|---|
| Billings | $1,622 | 10.2 | 117,116 | NorthWestern Energy |
| Missoula | $1,766 | 9.3 | 74,428 | NorthWestern Energy |
| Great Falls | $1,674 | 9.9 | 59,351 | NorthWestern Energy |
| Bozeman | $1,932 | 8.5 | 53,293 | NorthWestern Energy |
| Butte | $1,732 | 9.5 | 34,494 | NorthWestern Energy |
| Helena | $2,065 | 8 | 32,315 | NorthWestern Energy |
| Kalispell | $1,767 | 9.3 | 24,558 | NorthWestern Energy |
| Havre | $1,859 | 8.9 | 9,621 | NorthWestern Energy |
| Anaconda | $2,046 | 8.1 | 9,129 | NorthWestern Energy |
| Miles City | $1,894 | 8.7 | 8,410 | NorthWestern Energy |
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Quick Facts: Montana
- 🌡️ Climate: Very Cold (7,700 HDD)
- ⚡ Avg electricity: $0.112/kWh
- 🔥 Natural gas: $1.10/therm
- 🏭 Top utility: NorthWestern Energy