Water Heating Rebates

Get rebates from $225 to $300 on ENERGY STAR® certified tankless and condensing storage tank water heaters.

New Mexico Gas Company offers rebates from $225 to $300 when you have a licensed and insured participating contractor install a high efficiency, ENERGY STAR certified tankless or condensing water heater with an Uniform Energy Factor (UEF) of .87 or an Energy Factor (EF) of .90 or greater in your home.

Visit the ENERGY STAR website for a list of eligible models. Qualifying water heaters installed between April 1, 2020 and March 31, 2021 are available for rebates with our 2020 program. Rebate application and additional information is provided below.

Why choose an ENERGY STAR certified water heater?

  • Energy and money savings. With a tankless water heater, you could cut your water heating costs up to 30% and save as much as $50 per year on gas bills compared to a standard model. Or, save up to $100 per year with a condensing unit. 
  • Continuous hot water. Tankless water heaters provide a continuous flow of hot water, and condensing units are so efficient that the tank heats up almost as quickly as it fills, so even the last one out of bed gets a hot shower!
  • Space-saving design. Small and wall-mounted, tankless water heaters can save a closet’s worth of space in your home.
  • Improved technology. Condensing units extract extra heat from exhaust gases for better efficiency than standard units.
  • Rebates available. Save from $225 to $300 with a rebate on your purchase when you use a licensed and insured participating contractor. Only customers who receive natural gas service from New Mexico Gas Company, as evidenced by the New Mexico Gas Company residential customer account number, are eligible.
  Water Heaters Uniform Energy Factor (UEF) Rebate Amount
Existing Home Tankless or Condensing Tank .87 or higher $300 Rebate
New Home Tankless or Condensing Tank .87 or greater $225 Rebate


How to Participate


  1. Contact a participating contractor.
  2. Have your contractor install your new ENERGY STAR tankless or condensing storage tank water heater.
  3. Submit your completed Rebate Application, along with a copy of your invoice and AHRI certificate, for processing.
  4. Get your rebate check in six to eight weeks.

Are You a Contractor?

All licensed and insured contractors are encouraged to register as a NMGC participating contractor.

Registration Instructions

Contractor's Toolbox

Download rack cards, door hangers, yard signs and other materials to help you market your participation in this program.

General Marketing Materials

Door Hanger

(With Crop Marks | Without Crop Marks)

Yard Sign

(With Crop Marks | Without Crop Marks)

Water Heating Creative Materials

Rack Card

(With Crop Marks | Without Crop Marks)


(With Crop Marks | Without Crop Marks)

Learn More About AHRI

The Air-Conditioning, Heating, and Refrigeration Institute (AHRI) is the trade association representing manufacturers of HVACR and water heating equipment. Contractors can look up the AHRI numbers for water heaters on the AHRI website.

Additional Rebate Applications

NMGC Logo Usage Guidelines