Program Residential New Construction Program
Category Financial Incentive
Implementing sector State
Last Update
State Massachusetts
Administrator ICF International
Website https://www.masssave.com/residential/programs-and-services/new-construction
Sectors Residential

In Massachusetts, the Sponsors of Mass Save offer financial incentives for new all-electric residential construction in sponsoring utility territories that exceeds the Massachusetts Building Energy Code, with enhanced incentives for homes that qualify for ENERGY STAR or Passive House certification. The incentives listed here are for single-family homes of 1 to 4 units; for multi-family buildings of 5 or more units, see the Mass Save website.

Incentives are set by tier and by the number of units in the home:

  • Base tier (all-electric heating, water heating, cooking and clothes drying; at least 15% savings above baseline): $7,500 for 1 unit, $8,750 for 2 units, $10,000 for 3 units, $11,250 for 4 units
  • ENERGY STAR tier (at least 30% savings or HERS 45 or lower, infiltration 1.5 ACH50 or lower, ENERGY STAR SF NH v3.2 plus NextGen): $15,000 for 1 unit, $17,500 for 2 units, $20,000 for 3 units, $22,500 for 4 units
  • Passive House tier (Phius or PHI certification): $25,000 for 1 unit, $30,000 for 2 units, $35,000 for 3 units, $40,000 for 4 units

Market transformation adders are available on top of the tier incentive: $100 per unit for a Wi-Fi connected thermostat (base tier only), $250 per unit for an induction cooktop, $250 per unit for ENERGY STAR v3.2 certification (base tier only), $500 per unit for DOE Zero Ready certification (base and ENERGY STAR tiers), $750 per unit for a split-system heat pump water heater, and $9,000 per unit for an ENERGY STAR certified ground-source heat pump.

Homes must be located within a Sponsor's service territory, must use electricity for space conditioning, water heating, cooking and clothes drying, and must meet a set of electric vehicle charging readiness requirements. In line with the commonwealth's climate policy, the Sponsors have discontinued incentives for homes using equipment powered by natural gas, oil or propane; as of July 1, 2024 new project registrations must meet the electrification requirements. Participants work with an approved certified Home Energy Rating System (HERS) Rater and must enroll the project by the midpoint inspection. Customers are not eligible for individual equipment rebates through the Mass Save Heating & Cooling programs.

Sponsors include Berkshire Gas, Cape Light Compact, Eversource, Liberty Utilities, National Grid and Unitil.

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