Heat pumps in Colorado

Colorado has some of the most ambitious building-electrification policy in the country and one of the lowest heat pump adoption rates to go with it — 1.3% of homes, 48th of 51. Cheap natural gas explains most of the gap. The policy is pushing hard against a fuel that is still winning on price.

CO

Heat pump adoption

EIA RECS 2020 microdata ↗

1.3% of Colorado homes use a heat pump as their main heat

Goal: every home

Central heat pumps and ductless mini-splits combined, counted as the home's main heating equipment.


Episodes

Recorded in Colorado

Homeowners and contractors in CO, in their own words.


Money and next steps

What Colorado pays toward one

  • Colorado Energy Office

    Runs the state's heat pump tax credits and coordinates the federal rebate programmes. Colorado stacks state credits on top of utility rebates from Xcel and Black Hills, which is worth understanding before you buy.

    Program details →
  • Federal Home Energy Rebates

    The IRA rebate programs (HEAR and HOMES) survived the 2025 tax changes — they were grants to states, not tax credits. Each state runs its own, and they are at different stages: some open, some already out of money, some yet to launch. Check where Colorado stands before you count on it.

    Program details →

The federal 25C tax credit — 30% back, up to $2,000 on a heat pump — ended for systems placed in service after 31 December 2025. If you had one installed in 2025 or earlier you can still claim it; there is no successor credit. Incentives move fast, so check DSIRE for what is current in Colorado. Last checked September 2026.

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The numbers

What a heat pump here has to cover

  • 18°F

    Coldest month average low

    Denver · NOAA 1991–2020 normals

  • 90°F

    Warmest month average high

    Denver · NOAA 1991–2020 normals

Coldest month, average low Warmest month, average high

Cold-climate heat pumps are rated to hold full output well below zero. The question here is not whether one works, it is whether yours was sized and installed for the coldest night of the year rather than the average one.