A Georgia summer has a way of making an aging air conditioner feel like a ticking clock. If your system is pushing 12 to 15 years old and you’ve started budgeting for replacement, you’ve probably heard that incentives exist to offset the cost. What most homeowners in Dallas and Paulding County don’t have is a clear picture of what’s actually available in 2026, what has changed, and how to access programs without accidentally disqualifying yourself on a technicality.
We’ve served Paulding County homeowners since 2010, and we walk through rebate and program eligibility as part of every installation estimate we provide. Here’s what the incentive landscape actually looks like this year.
The Federal Tax Credit Is Gone for 2026 Installs
The most important thing to know before you do anything else: the Section 25C Energy Efficient Home Improvement Credit no longer applies to new AC installations. The One Big Beautiful Bill Act (P.L. 119-21) terminated the credit for equipment placed in service after December 31, 2025. If you’re having a system installed in 2026, Section 25C isn’t available to you, regardless of how efficient the equipment is. If you completed a qualifying installation before the end of 2025, you can still claim the credit on your 2025 tax return. The cutoff is the installation date, not the payment date.
Nearly every general-audience guide still describes Section 25C as valid through 2032. That information is outdated, and relying on it could cause you to budget incorrectly. The programs that remain available in 2026 are at the state level, and they’re worth understanding in detail.
What Georgia’s Home Energy Rebates Cover for Paulding County Homeowners
The Georgia Environmental Finance Authority, known as GEFA, administers two rebate programs funded through federal legislation: the Home Electrification and Appliance Rebates program (HEAR) and the Home Efficiency Rebates program (HER). Paulding County is explicitly listed among the qualifying Metro Atlanta counties, which means homeowners in Dallas and the surrounding communities are eligible to apply.
HEAR Program & Income Eligibility
HEAR is an income-qualified program, open to households at or below 150% of the Area Median Income (AMI) for your area. If you qualify, the rebate can reach up to $8,000 on a qualifying heat pump installation, applied at the point of sale. The discount comes off your purchase price before you pay rather than arriving later as a reimbursement.
One feature that’s particularly relevant for the 2026 program cycle: you don’t have to replace your entire system to access HEAR. A homeowner can keep an existing gas furnace in place, replace only the AC unit with a high-efficiency system that meets the program’s ENERGY STAR and SEER2 performance thresholds, and still qualify for up to $8,000 off. For households with a relatively newer furnace but a failing cooling system, this AC-only pathway removes a significant financial barrier.
Published Deadline
GEFA has published a close date of July 24, 2026 for most project types under the Home Energy Rebates application window, with a Fuel Switching HEAR deadline of August 10, 2026. Program funds are limited and the deadline is firm. If you’re considering an AC replacement this summer, the timeline is a practical constraint, not just a recommendation.
HER & Georgia Power HEIP: Options Beyond Income Limits
Households that fall above the 150% AMI threshold for HEAR still have two meaningful options.
Home Efficiency Rebates (HER)
The HER program is open to all income levels and is based on whole-home modeled energy savings rather than equipment type alone. Projects that achieve modeled savings between 20% and 35% qualify for rebates up to $4,000; projects exceeding 35% can qualify for up to $8,000. For households at or below 80% AMI, those amounts are doubled. Because HER requires a modeled energy savings assessment before the project begins, it isn’t a same-week solution. It can, however, deliver meaningful value for homeowners willing to plan ahead.
Georgia Power’s Home Energy Improvement Program
Georgia Power serves most of the Atlanta Metro area, including much of Paulding County. The Home Energy Improvement Program (HEIP) offers qualifying residential Georgia Power customers up to 50% back on eligible HVAC upgrades, with rebates on heat pump installations up to $1,000. Bundling improvements such as attic insulation, air sealing, and duct sealing together under the Home Comfort Bundle can bring total rebates up to $1,250. If your home is served by an electric cooperative such as GreyStone Power or Cobb EMC instead of Georgia Power, check directly with that provider, as equivalent programs may be available through your cooperative.
On qualifying heat pump installations, HEAR and Georgia Power HEIP rebates can generally be stacked, meaning both applied to the same project. Stacking rules must be confirmed before the project begins, not after, so that step belongs early in the planning process.
How to Avoid Losing the Rebate on a Technicality
The most common way homeowners forfeit rebates they otherwise qualify for is by choosing a contractor who isn’t enrolled in the program. Both GEFA HEAR and HER require installation by a program-approved contractor. It doesn’t matter how well the equipment qualifies if the installer isn’t participating. The rebate is lost.
These are the process details that catch people off guard most often:
- HEAR approval comes before purchase. Because the rebate is applied at the point of sale, pre-approval must happen before you buy, not after installation. Skipping pre-approval eliminates eligibility entirely, with no exception.
- The contractor submits the application. Under both HEAR and HER, the program-approved contractor submits the rebate application on your behalf. A contractor who isn’t enrolled simply can’t file it.
- Equipment must meet SEER2 thresholds. Not every high-efficiency system qualifies. The unit must meet the program’s specific ENERGY STAR and SEER2 performance requirements to be eligible for the rebate amount.
When Rebates Don’t Apply: Financing the Gap
Not every household will qualify for income-based rebates, and for some homeowners the HER whole-home assessment timeline doesn’t line up with a system that has already failed. In those situations, waiting for a rebate window isn’t a practical option. We offer flexible financing options that allow Paulding County homeowners to manage the cost of an AC replacement without waiting on rebate approvals or income qualification cycles. Whether you’re above the HEAR threshold or simply need a system running before the July heat peaks, financing can bridge that gap.
Every free estimate we provide includes a review of applicable rebate offsets, so you see the full cost picture before committing to anything. If a program applies to your address and your installation, we account for it. If it doesn’t, we’ll tell you plainly and walk through what financing looks like instead. The GEFA application window closes July 24, 2026 for most project types. Reach out to Five Star Chimney Heating and Cooling at (678) 723-3904 for a free estimate that includes a full review of the rebate programs available at your address.