The South Coast Air Quality Management District Governing Board approved $60 million in additional funding Friday for a program offering rebates to replace gas-powered furnaces and water heaters with zero-emission heating systems.
The additional funding for the GO ZERO Incentive Program follows an initial $21 million pilot program launched in September 2025, according to the agency.
South Coast AQMD said the pilot has helped more than 3,000 single-family homes and 700 multifamily units replace gas furnaces and water heaters with heat pumps for space and water heating.
Funding for multifamily properties was fully reserved within two weeks of the program’s launch, while funding for single-family homes was exhausted in less than six months, according to the agency.
“GO ZERO has shown just how eager our communities are to move away from polluting gas appliances when we make it more affordable to do so,” South Coast AQMD Governing Board Chair Michael A. Cacciotti said in a statement. “This expansion lets us build on that momentum and provides this opportunity for more residents across our region.”
Under the expansion, $20 million will be allocated for single-family rebates and $20 million for multifamily rebates, with another $20 million available for either category based on demand.
Rebates for most single-family households will range from $500 to $1,000 depending on the type and size of the system, with rebates ranging from $1,000 to $2,000 available in communities identified by the agency as overburdened.
Multifamily rebates will range from $500 to $1,000 per unit, with a $300,000 limit per property. At least 75% of rebate funding for single-family and multifamily properties will continue to be prioritized for applicants in overburdened communities, according to South Coast AQMD.
The expanded program will also make solar water-heating systems eligible for rebates and provide incentives for smaller systems, including mini-split and window heat pumps.
Qualifying units installed on or after Sept. 4 will be eligible for the new round of rebate funding, according to the agency.
South Coast AQMD said applications and information about when the application portal will reopen will be available at aqmd.gov/gozero.