Pepco Energy Efficiency Rebates 2026: The Insider's Guide to Claiming Cash

Stop leaving money on the table. Here is the complete breakdown of Pepco's 2026 rebate programs for Maryland residents, from smart thermostats to heat pumps, and how to maximize your ROI.

Our Top Products Picks

ProductAction
Amazon Smart Thermostat – Save money and energy - Works with Alexa and Ring - C-wire required

Amazon Smart Thermostat – Save money and energy - Works with Alexa and Ring - C-wire required

Amazon Echo Hub, 8” smart home control panel with Alexa+ Early Access, Compatible with thousands of devices

Amazon Echo Hub, 8” smart home control panel with Alexa+ Early Access, Compatible with thousands of devices

Echo Hub — An easy-to-use Alexa-enabled control panel for your smart home devices—just ask Alexa or tap the display to control lights, smart plugs, camera feeds, and more. Streamline your smart home — Customize the controls and widgets, displayed on your dashboard to quickly adjust devices, view cameras, start routines, and more. Works with thousands of Alexa compatible devices — Compatible with thousands of connected locks, thermostats, speakers, and more. WiFi, Bluetooth, Zigbee, Matter, Sidewalk and Thread devices sync seamlessly with the built-in smart home hub. Home security at your fingertips — Use the Echo Hub to arm and disarm your compatible security system. Use the Alexa app and compatible cameras, locks, alarms, and sensors to check in while you're out. Easy to install — Echo Hub can be wall mounted anywhere you have an outlet. Use in-wall cable pass throughs or a power-over-ethernet adapter (both sold separately) to hide cables. Also compatible with table-top stand (sold separately). Play your music everywhere — Connect your preferred speaker to Echo Hub to play music, audiobooks, and podcasts in any room. Designed to protect your privacy — Amazon is not in the business of selling your personal information to others. Built with multiple layers of privacy controls, including a mic off button. Designed for sustainability – This device is made from 27% recycled materials. 97% of this device packaging is made of wood fiber-based materials from responsibly managed forests or recycled sources.

LEVOIT Smart Thermostat for Home, WiFi Programmable Digital Thermostat, Works with Alexa and Smart Sensor, Energy Saving, Large Touch Screen, C-Wire Adapter Included, DIY Install, Aura 400S, White

LEVOIT Smart Thermostat for Home, WiFi Programmable Digital Thermostat, Works with Alexa and Smart Sensor, Energy Saving, Large Touch Screen, C-Wire Adapter Included, DIY Install, Aura 400S, White

meross Matter Smart Thermostat for Electric Baseboard Heater, Works with Alexa, HomeKit, Google, SmartThings, Programmable WiFi Thermostat for House, Energy Saving, App & Voice Control for Smart Home

meross Matter Smart Thermostat for Electric Baseboard Heater, Works with Alexa, HomeKit, Google, SmartThings, Programmable WiFi Thermostat for House, Energy Saving, App & Voice Control for Smart Home

Honeywell Home RTH9585WF1004 Wi-Fi Smart Color Thermostat, 7 Day Programmable, Touch Screen, Energy Star, Alexa Ready, Gray

Honeywell Home RTH9585WF1004 Wi-Fi Smart Color Thermostat, 7 Day Programmable, Touch Screen, Energy Star, Alexa Ready, Gray

COMFORT COMES IN YOUR COLOR. Personalize your Wi-Fi Smart Color Programmable Thermostat to fit your décor. SAVE ENERGY AND GET REWARDED by checking with your energy provider about available rebates. Plus, eligible customers can enroll in their local Utility's "DEMAND RESPONSE PROGRAM" which can reward you for allowing the utility to slightly adjust your AC or furnace temperature settings when there is high energy demand. YOUR SCHEDULE. YOUR WAY. Flexible programming options for your schedule or utility company’s peak rate pricing. EASY OPERATION AND INTUITIVE. Bright, easy-to-read touchscreen makes for simple operation. COMPATIBLE WITH: Forced air (gas, oil or electric), hot water and steam, and heat pumps with electric backup. Does NOT work with electric baseboard heat (120-240V). C-Wire required. ENERGY STAR certified. Help save energy, track your heating and cooling with monthly energy reports and get personalized tips on reducing energy use. Before purchasing, check to see if this thermostat is compatible with your home and to determine if your home needs a C-wire power adapter. Our Air products and services work with you and for you, supporting and creating more comfortable surroundings Works with most heat/cool oil furnace systems. Will not work with heating only oil furnace systems unless a C-Wire is present. Fan Control Options include On: Fan is always on; Automatic: Fan runs only when the heating or cooling system is on; and Circulate: Fan runs randomly about 35% of the time. The WiFi Smart Color Thermostat works seamlessly with Amazon Alexa and Google Home, as well as our mobile app, so you can control the temperature from anywhere

If you are a Pepco customer in Maryland, you are already paying for these rebates every month through the surcharge on your electric bill. It makes zero sense not to claim that money back. As we settle into 2026, the utility landscape has shifted. We've seen rate hikes stabilize slightly, but the cost of raw energy remains high. Pepco energy efficiency rebates are your primary defense against creeping utility bills.

This isn't just about saving five bucks on LED bulbs anymore. The current incentives for 2026 are heavily weighted toward grid-interactive devices and major HVAC overhauls. Whether you are looking at the EmPOWER Maryland Program: The 2026 Homeowner's Guide to Rebates for a broad overview or specifically targeting Pepco's offerings, the strategy is the same: upgrade your gear, lower your load, and let the utility company subsidize the hardware.

2026 Rebate Cheat Sheet: Quick Wins vs. Big Investments

I categorize rebates into two buckets: the 'no-brainer' quick swaps and the 'capital expenditure' upgrades. Here is what the numbers look like for Q1 2026.

CategoryDevice / UpgradeEstimated Rebate (2026)ComplexityROI Speed
Quick WinSmart Thermostat (Energy Star)$75 - $100DIY Install< 6 Months
Quick WinHybrid Water Heater$700 - $900Pro Install2-3 Years
Big InvestAir Source Heat Pump$1,500 - $2,500+Major Construction5-7 Years
Big InvestWhole Home Air Sealing50% up to $2,500Contractor RequiredImmediate Comfort
Grid TechEV Charger (Level 2)$300 bill creditElectrician RequiredInstant

Key Takeaway: If you haven't grabbed a smart thermostat rebate yet, do it today. It's essentially free money given current hardware prices.

Smart Thermostats: The Gateway Drug to Savings

Back in 2024, a smart thermostat was a luxury. Now, it's a requirement for a balanced grid. Pepco's Marketplace offers instant rebates, meaning you don't have to mail in a form and wait six weeks. You get the discount at the point of sale.

The 2026 Standard: We are past the days of basic Wi-Fi connectivity. To qualify for the top-tier rebates in 2026, your device generally needs to be demand-response capable. This means you are opting into programs like 'Energy Wise Rewards' where Pepco can micro-adjust your temp during peak events.

Top Picks for Maryland Homeowners:

  • Ecobee Smart Thermostat Premium (2025/2026 Model): Still the king of sensors. The rebate usually covers 40% of the cost.

  • Google Nest Learning (Gen 4/5): Better Matter integration now. Great for those deep in the Google Home ecosystem.

Who Should Avoid This: If you have a variable-speed communicator HVAC system (like high-end Carrier Infinity or Trane systems), do not slap a generic smart thermostat on it just for a $75 rebate. You will cripple your system's efficiency. Stick to the manufacturer's proprietary controller.

HVAC and Heat Pumps: The Heavy Hitters

This is where the serious money lives. With the 2026 federal tax credits still stacking on top of Pepco rebates, switching to a high-efficiency heat pump is the most impactful move you can make.

The Criteria: Pepco isn't handing out cash for standard units. You need high SEER2 (Seasonal Energy Efficiency Ratio) and HSPF2 (Heating Seasonal Performance Factor) ratings.

  • Air Source Heat Pumps: Look for units that replace electric resistance heat. The rebates here are aggressive because you are removing a massive load from the grid during winter peaks.

  • Mini-Splits: Perfect for Maryland row homes or additions. Pepco offers specific tiers based on tonnage.

Warning: You must use a participating contractor. I've seen too many DIY enthusiasts install a MrCool unit perfectly, only to get denied the rebate because they didn't have a certified pro sign off on the paperwork.

Limited Income Energy Efficiency Program (LIEEP)

If your household income falls below specific thresholds, stop looking at standard rebates and look at the LIEEP. This is not a partial reimbursement; it often covers 100% of the cost for energy improvements.

What's Covered in 2026:

  • HVAC Tune-ups and replacements.

  • Refrigerator replacement (if your current one is an energy hog from the previous decade).

  • Water heater upgrades.

  • Insulation and air sealing.

This program is vital for energy equity. In 2026, the application process has moved almost entirely online, speeding up approval times significantly compared to the paper-heavy days of the early 2020s. If you qualify, this is the most powerful tool available to reduce HVAC costs permanently.

Appliance Recycling: Don't Trash It, Cash It

Got an old fridge running in the garage keeping a six-pack cold? It's likely costing you $150 a year in electricity. Pepco will literally come to your house, haul it away for free, and send you a check (usually around $50-$75 depending on current promo periods).

The Rules:

  • Unit must be working (it has to cool).

  • Must be standard residential size (10-30 cubic feet).

  • Must be plugged in so they can verify it works upon pickup.

This is the lowest hanging fruit for energy conservation. That secondary fridge is an energy vampire. Kill it.

How to Navigate the Application Maze

Claiming these funds requires precision. Pepco processors are strict. Here is the workflow I use for my clients:

  1. Audit First: Get the Quick Home Energy Check-up (QHEC). It's free, takes an hour, and often unlocks higher tier rebates for insulation.

  2. Verify the Model Number: Before buying anything, check the model number against Pepco's qualified product list (QPL). One digit off equals zero dollars.

  3. Hire Participating Contractors: For HVAC and insulation, the contractor submits the paperwork. If they aren't in the network, you don't get paid.

  4. Save the Box: For self-install items (thermostats, dehumidifiers), you need the UPC code and the receipt. Take a photo of everything immediately.

Energy independence starts with efficiency. There is no point in sizing a solar array or battery bank for a house that leaks energy like a sieve. Pepco's 2026 rebate portfolio is robust, funded by your own utility payments, and designed to stabilize the Maryland grid. Take the money. Upgrade your infrastructure. Lower your baseline consumption. That is how we win the energy game.

Our Top Picks

Amazon Smart Thermostat – Save money and energy - Works with Alexa and Ring - C-wire required

Amazon Smart Thermostat – Save money and energy - Works with Alexa and Ring - C-wire required

$62.99
Buy Now on Amazon
Free delivery available • Prime eligible
Amazon Echo Hub, 8” smart home control panel with Alexa+ Early Access, Compatible with thousands of devices

Amazon Echo Hub, 8” smart home control panel with Alexa+ Early Access, Compatible with thousands of devices

Echo Hub — An easy-to-use Alexa-enabled control panel for your smart home devices—just ask Alexa or tap the display to control lights, smart plugs, camera feeds, and more. Streamline your smart home — Customize the controls and widgets, displayed on your dashboard to quickly adjust devices, view cameras, start routines, and more. Works with thousands of Alexa compatible devices — Compatible with thousands of connected locks, thermostats, speakers, and more. WiFi, Bluetooth, Zigbee, Matter, Sidewalk and Thread devices sync seamlessly with the built-in smart home hub. Home security at your fingertips — Use the Echo Hub to arm and disarm your compatible security system. Use the Alexa app and compatible cameras, locks, alarms, and sensors to check in while you're out. Easy to install — Echo Hub can be wall mounted anywhere you have an outlet. Use in-wall cable pass throughs or a power-over-ethernet adapter (both sold separately) to hide cables. Also compatible with table-top stand (sold separately). Play your music everywhere — Connect your preferred speaker to Echo Hub to play music, audiobooks, and podcasts in any room. Designed to protect your privacy — Amazon is not in the business of selling your personal information to others. Built with multiple layers of privacy controls, including a mic off button. Designed for sustainability – This device is made from 27% recycled materials. 97% of this device packaging is made of wood fiber-based materials from responsibly managed forests or recycled sources.

Key Features

  • Echo Hub — An easy-to-use Alexa-enabled control panel for your smart home devices—just ask Alexa or tap the display to control lights, smart plugs, camera feeds, and more.
  • Streamline your smart home — Customize the controls and widgets, displayed on your dashboard to quickly adjust devices, view cameras, start routines, and more.
  • Works with thousands of Alexa compatible devices — Compatible with thousands of connected locks, thermostats, speakers, and more. WiFi, Bluetooth, Zigbee, Matter, Sidewalk and Thread devices sync seamlessly with the built-in smart home hub.
  • Home security at your fingertips — Use the Echo Hub to arm and disarm your compatible security system. Use the Alexa app and compatible cameras, locks, alarms, and sensors to check in while you're out.
$179.99
Buy Now on Amazon
Free delivery available • Prime eligible
LEVOIT Smart Thermostat for Home, WiFi Programmable Digital Thermostat, Works with Alexa and Smart Sensor, Energy Saving, Large Touch Screen, C-Wire Adapter Included, DIY Install, Aura 400S, White

LEVOIT Smart Thermostat for Home, WiFi Programmable Digital Thermostat, Works with Alexa and Smart Sensor, Energy Saving, Large Touch Screen, C-Wire Adapter Included, DIY Install, Aura 400S, White

$132.23
Buy Now on Amazon
Free delivery available • Prime eligible
meross Matter Smart Thermostat for Electric Baseboard Heater, Works with Alexa, HomeKit, Google, SmartThings, Programmable WiFi Thermostat for House, Energy Saving, App & Voice Control for Smart Home

meross Matter Smart Thermostat for Electric Baseboard Heater, Works with Alexa, HomeKit, Google, SmartThings, Programmable WiFi Thermostat for House, Energy Saving, App & Voice Control for Smart Home

$74.99
Buy Now on Amazon
Free delivery available • Prime eligible
Honeywell Home RTH9585WF1004 Wi-Fi Smart Color Thermostat, 7 Day Programmable, Touch Screen, Energy Star, Alexa Ready, Gray

Honeywell Home RTH9585WF1004 Wi-Fi Smart Color Thermostat, 7 Day Programmable, Touch Screen, Energy Star, Alexa Ready, Gray

COMFORT COMES IN YOUR COLOR. Personalize your Wi-Fi Smart Color Programmable Thermostat to fit your décor. SAVE ENERGY AND GET REWARDED by checking with your energy provider about available rebates. Plus, eligible customers can enroll in their local Utility's "DEMAND RESPONSE PROGRAM" which can reward you for allowing the utility to slightly adjust your AC or furnace temperature settings when there is high energy demand. YOUR SCHEDULE. YOUR WAY. Flexible programming options for your schedule or utility company’s peak rate pricing. EASY OPERATION AND INTUITIVE. Bright, easy-to-read touchscreen makes for simple operation. COMPATIBLE WITH: Forced air (gas, oil or electric), hot water and steam, and heat pumps with electric backup. Does NOT work with electric baseboard heat (120-240V). C-Wire required. ENERGY STAR certified. Help save energy, track your heating and cooling with monthly energy reports and get personalized tips on reducing energy use. Before purchasing, check to see if this thermostat is compatible with your home and to determine if your home needs a C-wire power adapter. Our Air products and services work with you and for you, supporting and creating more comfortable surroundings Works with most heat/cool oil furnace systems. Will not work with heating only oil furnace systems unless a C-Wire is present. Fan Control Options include On: Fan is always on; Automatic: Fan runs only when the heating or cooling system is on; and Circulate: Fan runs randomly about 35% of the time. The WiFi Smart Color Thermostat works seamlessly with Amazon Alexa and Google Home, as well as our mobile app, so you can control the temperature from anywhere

Key Features

  • COMFORT COMES IN YOUR COLOR. Personalize your Wi-Fi Smart Color Programmable Thermostat to fit your décor.
  • SAVE ENERGY AND GET REWARDED by checking with your energy provider about available rebates. Plus, eligible customers can enroll in their local Utility's "DEMAND RESPONSE PROGRAM" which can reward you for allowing the utility to slightly adjust your AC or furnace temperature settings when there is high energy demand.
  • YOUR SCHEDULE. YOUR WAY. Flexible programming options for your schedule or utility company’s peak rate pricing.
  • EASY OPERATION AND INTUITIVE. Bright, easy-to-read touchscreen makes for simple operation.

Specifications

BrandHoneywell Home
Model NameRTH9585WF1004
Product Dimensions0.88"D x 4.5"W x 3.5"H
Controller TypeTouch Screen, Voice
Special FeatureCustomizable color touchscreen, Smart Response Technology, Energy Star certified
ColorGray
$99.20
Buy Now on Amazon
Free delivery available • Prime eligible

Frequently Asked Questions

Can I combine Pepco rebates with federal tax credits in 2026?
Yes. This is the 'stacking' strategy. You can claim the Pepco rebate (instant savings) and then claim the federal 25C tax credit (30% of project cost, capped annually) on the remaining balance.
Does Pepco offer rebates for DIY insulation?
Rarely. Major envelope improvements usually require a certified contractor to verify the R-value and air sealing metrics to ensure the grid actually benefits from the upgrade.
How long does it take to get a rebate check from Pepco?
For 2026, online applications for appliances usually process in 4-6 weeks. Contractor-submitted HVAC rebates can take 6-8 weeks depending on the season.
Are smart plugs eligible for rebates?
Generally, smart plugs are discounted on the Pepco Marketplace store rather than having a standalone mail-in rebate. Look for 'advanced power strips' for the best deals.