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November 7, 2023

Energy Star Certified: Heat Sources

Keeping your customer’s home at a comfortable temperature can be expensive. A typical household’s energy bill is around $1,900 annually, and almost half of that goes to heating and cooling! So making smart decisions about a home’s heating, ventilating, and air conditioning system can have a big effect on utility bills — and comfort.

Replacing your old heating and cooling equipment with new, energy-efficient models is a great start. But to make sure that you get the best performance, the new equipment must be properly installed. In fact, improper installation can reduce system efficiency by up to 30 percent – costing you more on your utility bills and possibly shortening the equipment’s life.

Air Source Heat Pumps (ASHP)

An air source heat pump (ASHP) can be installed and connected to the conventional forced-air ductwork system that is typical of most American homes. ASHPs that earn the ENERGY STAR label are independently certified to save energy, save money, and protect the climate. Electric ASHPs use the difference between outdoor air temperatures and indoor air temperatures to cool and heat your home. Because heat pumps move heat rather than converting it from fuel, as combustion heating systems do, an ASHP is so efficient that it can deliver up to three times more heat energy to a home than the electrical energy it consumes. ASHPs are also a smart investment year-round, as heat pumps serve double duty by also providing cooling in the summer months.

An ENERGY STAR certified ASHP provides highly efficient heating and cooling by extracting heat from outside into the home in the winter and pulling the heat out of your home in the summer. They also:

  • Lower energy bills by switching from electric resistance, propane, and oil to heat pumps.
  • No combustion means better indoor air quality because there are no direct emissions such as NOx, carbon dioxide, or carbon monoxide.
  • No fuel storage or risk of running out of fuel.

Air source heat pumps that earn the ENERGY STAR are eligible for a federal tax credit up to $2,000. This tax credit is effective for products purchased and installed between January 1, 2023, and December 31, 2032. Click here to learn more about the Inflation Reduction Act.


Different gas furnace efficiency requirements and labels are used for different regions of the country.

  • Certified gas furnaces in the southern half of the U.S., where homes require less heat, will be labeled with a unique “U.S. South” ENERGY STAR logo. These furnaces will be up to 11% more efficient than standard models and can save an average of $30 in energy costs each year.
  • Certified gas furnaces in the northern half of the U.S. will be labeled with the standard ENERGY STAR logo. These furnaces will be up to 15% more energy efficient than baseline models and can save $80 a year, in energy costs.
  • Certified oil furnaces are up to 4% more energy efficient than baseline models and can save about $70 in energy costs per year.