Kern County has rapidly become a leader in heat pump water heater adoption thanks to TECH Clean California incentives and contractor support. After rebates, the median homeowner paid just $130, and per-capita installation rates outpaced Los Angeles County by roughly sixfold. Heat pumps delivered average household savings of about $304 per year (more than $500 in the hottest areas), improved cooling access, and reduced pollution — though program leaders warn continued progress depends on sustained state funding.
Rural Kern County Becomes a Heat Pump Hotspot — Water Heaters for As Little As $130
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Rural Kern County, one of California's hottest regions, has quietly emerged as a national model for affordable heat pump adoption. With strong incentives and contractor support, many homeowners there are paying little or nothing to replace older, inefficient water heaters.
Rapid adoption driven by local support. Data from TECH Clean California show that 45 contractors in Kern County have completed more than 1,790 heat pump water heater installations. After federal, state and local incentives, the median out-of-pocket cost for homeowners was only $130, and some households paid nothing. On a per-capita basis, Kern’s installation rate was roughly six times higher than Los Angeles County’s.
How TECH Clean California helped. Much of the county’s growth came through TECH Clean California, a state program that subsidizes heat pump water heaters for residents while offering contractors training, technical assistance and access to equipment. Those combined consumer and workforce supports appear to be a key reason adoption accelerated so quickly.
Big savings and added cooling benefits. Replacing an older furnace-and-air-conditioning setup with a heat pump delivered average household utility savings of about $304 per year, and more than $500 annually in the hottest neighborhoods where summer temperatures regularly top 110°F. Homes that switched from gas water heating to heat pump water heaters saved an average of $97 per year. For households that previously had no AC, adding a heat pump provided reliable cooling during dangerous heat waves while increasing the typical annual energy bill by only about $35.
Health and climate wins. Beyond bill savings, heat pumps can reduce indoor and outdoor air pollution and cut carbon emissions that drive climate change.
Program scale and contractor capacity. Since 2021, TECH Clean California has supported more than 80,000 heat pump HVAC and water-heating projects across 54 counties. Surveys indicate growing contractor competence: between 2022 and 2024 the share of TECH-enrolled contractors who reported gaining heat pump water heater experience despite starting with no prior knowledge rose by 12%. TECH’s analysis also found counties with the largest contractor networks had average project costs $1,031 lower than counties with less participation.
High customer satisfaction — and a funding warning. Customer satisfaction was strong: 90% of heat pump water heater customers and 91% of heat pump HVAC customers reported being satisfied. But program leaders warn progress depends on continued public funding. Chris Burmester, chief strategy officer at Energy Solutions and chair of the California Efficiency + Demand Management Council, cautioned in Capitol Weekly that without additional support the program could be at risk of shutting down.
"This is what market transformation looks like: skilled workers gaining new business opportunities, consumers gaining access to better technology, and costs declining as adoption grows," Burmester wrote.
Policy implications. Kern County’s experience suggests that coordinated incentives for consumers plus training and equipment access for contractors can rapidly scale clean technologies, lower costs, and boost local workforce capacity — but sustained funding is essential to preserve those gains.
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