The Austin Energy residential Cooling & Heating rebate is one of the few Texas utility programs that names ductless mini-splits directly — its official rebate table lists 'heat pumps and mini-split systems' together under the same tiers. The rebate is a flat amount per system, set by efficiency: $650 at Tier 1 (SEER2 15.2 / HSPF2 7.8), $750 at Tier 2 (SEER2 16.0 / HSPF2 8.0), and $950 at Tier 3 (SEER2 17.0 / HSPF2 9.0). A well-specified inverter mini-split can reach the higher tiers, so the efficiency you buy directly moves the rebate.
Delivery is contractor-applied, which shapes how you shop. You cannot file this rebate yourself — an Austin Energy participating contractor with a valid Texas Department of Licensing and Regulation (TDLR) HVAC license submits the application on your behalf, typically crediting the amount against the project. So the first step is selecting a participating contractor, not buying equipment and claiming afterward.
Two eligibility rules catch people. First, both the home and the equipment being replaced generally must be at least 10 years old, and the rebate is built around a full system change-out rather than adding a head to an existing setup. Second, eligibility follows the Austin Energy meter: much of the Austin metro outside the city limits is served by Pedernales Electric Cooperative or other providers and does not qualify. The participating contractor must submit within 90 days of install, so don't let the paperwork window lapse. The federal 25C tax credit that once added up to $2,000 for a heat pump ended for systems placed in service after December 31, 2025, which makes a utility rebate like this one the main offset left for most Austin buyers in 2026.