Understanding Costs
Budgeting for your home upgrades
As you transition to a more efficient, fully electric home, being clear on electrical service expenses helps you avoid hidden costs, make informed budget decisions, and ensure safe, code-compliant installations.
Every home is different, and switching from gas to energy-efficient electric appliances can vary in cost depending on the specifics of your home – like wiring needs, appliance size, or whether an electrical panel upgrade is required.
These cost summaries are not quotes or guarantees – they’re here to help you compare quotes and better understand what an average installation might cost.
Average Upgrade Costs
Explore common costs for upgrading your home
Reference the appliance tables below to get an overview of average costs for common home upgrade projects–including equipment, electrical services, and permits.
These numbers are averages based on thousands of real installations for converting gas appliances to electric. Actual costs will vary by contractor and your home’s electrical infrastructure requirements.
We recommend getting an itemized quote from your contractor before installation to avoid any unnecessary surprises. Note that significant incentives are available for HPWH and HP HVAC that reduce the upfront cost.
Average Costs
Heat pump water heater
These averages are based on real rebate data submitted by 1508 residential customers between January 2021 – April 2025.
Costs vary based on equipment, labor, electrical services like circuitry, and permits required for the individual home.
- Heat pump water heater averages are based on real rebate data submitted by 1508 residential customers between January 2021 – April 2025.
- Includes: PCE Exclusive $2,500 Rebate + Federal Tax Credit. Additional rebates may be available, which are searchable through our Incentive Finder.
- Source: Data from contractor interviews (Mar 2025), Tankless costs from Bay Area Air District / Rincon – Installation Costs for Zero-NOx Space and Water Heating Appliances
Upgrade
Heat pump water heater (50 gallon)
Price
$6,400
PCE Rebate + Tax Credits²
$-4,500
Cost after rebate
$1,900
*Averaged from 619 project submissions
Upgrade
Heat pump water heater (65 gallon)
Price
$7,200
PCE Rebate + Tax Credits²
$-4,500
Cost after rebate
$2,700
*Averaged from 591 project submissions
Upgrade
Heat pump water heater (80 gallon)
Price
$7,500
PCE Rebate + Tax Credits²
$-4,500
Cost after rebate
$3,000
*Averaged from 289 project submissions
Equivalent gas appliance cost³
Gas with tank
$2,500-3,500
Gas tankless
$5,200
- Heat pump water heater averages are based on real rebate data submitted by 1508 residential customers between January 2021 – April 2025.
- Includes: PCE Exclusive $2,500 Rebate + Federal Tax Credit. Additional rebates may be available, which are searchable through our <Incentive Finder>.
- Source: Data from contractor interviews (Mar 2025), Tankless costs from Bay Area Air District / Rincon – Installation Costs for Zero-NOx Space and Water Heating Appliances
Personalized Support
Let us help plan your project
Get help with planning and budgeting from one of our expert advisors–at no cost to you. We can answer your technical questions, help you compare quotes, and find money-saving rebates.
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Get help with your home upgrade project
As your community-choice, not-for-profit source of clean, renewable electricity, our goal is to support you and our community in getting the most out of the benefits of an electric home.
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