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State guide

Heat Pump Water Heaters in Louisiana

C
Heat pumps make financial sense in Louisiana. Estimated savings: $477/yr vs a standard electric tank.
$477/yr savings/5.0 yr payback/1 rebate program/13.0¢/kWh (28% below avg)
Utility rebates available now. IRA HEAR has not launched in Louisiana yet.
Score breakdown: 54/100
Savings
29/55
Rebates
4/20
Climate
15/15
Install
6/10

RatingPlate Score. Based on EIA energy prices, ENERGY STAR data, state rebate programs, and permit research. Not a government rating or purchasing recommendation. FAQ

Louisiana electricity is 28% below the national average. Here's what that means for heat pump operating costs.

Running cost in Louisiana

At Louisiana's 13.0¢/kWh electricity rate, the most efficient heat pump water heater saves an estimated $477 per year compared to a standard electric tank.

Louisiana electricity
13.0¢
per kWh (EIA, 12-month avg. through Aug 2026)
US average
18.0¢
per kWh
Best HP annual cost
$108
A. O. Smith HPTS-50-2
Electric resistance
$586
~4,500 kWh/yr baseline
Warmer inlet water (68°F annual average) means heat pump efficiency may exceed rated UEF in Louisiana. Less temperature rise needed, lower energy consumption.

Heat pump vs gas tank in Louisiana

At Louisiana prices (13.0¢/kWh electricity, $1.68/therm gas), a heat pump costs about $180 less per year to run than a standard gas tank, on the same DOE rated hot water load. See replacing a gas water heater in 2026 and all 50 states compared.

Heat pump
$111/yr
855 kWh/yr (median 50-gal)
Gas tank
$291/yr
173 therms/yr (UEF 0.64)
Difference
$180/yr
heat pump cheaper

Both use the DOE medium draw test load (55 gallons a day). Gas price: EIA, 12-month avg. through Aug 2026. Replacing gas with a heat pump also means adding a 240V circuit (or choosing a 120V model) and a condensate drain, and the federal HEAR rebate no longer covers gas replacements.

Why Louisiana changes the call

01Energy cost
Louisiana electricity is 28% below the national average. That directly affects how much a heat pump saves compared to a standard electric tank.
02Climate impact
Incoming water averages 68°F annually and drops to about 58°F in winter. Colder water means the heat pump works harder and real efficiency is slightly lower than rated.
03Available incentives
State and utility rebates can significantly change the payback period. Check what's currently available before finalizing your decision.

Rebates in Louisiana

Louisiana has 1 rebate program as of November 2026.

The federal $2,000 tax credit (IRA Section 25C) expired December 31, 2025. State and utility rebates listed below may still be available. Verify current status at the links provided.

Entergy Solutions Residential Retail and Products Program

Up to $400
Who: Entergy Louisiana (Entergy Solutions)
Eligibility: ENERGY STAR certified heat pump water heater. Entergy Louisiana residential customer. Rebate or instant discount through participating retailers.
https://www.entergylouisiana.com/energyefficiency/residential/retail

IRA HEAR Rebate (Point-of-Sale)

Not yet available in Louisiana as of November 2026. Up to $1,750 for income-qualified households when available. Under federal guidance effective May 29, 2026, this rebate covers replacing an existing electric water heater (or new construction). Replacing a gas, propane, or oil water heater no longer qualifies.
Louisiana has not launched its IRA Home Energy Rebates. As of October 2026, the state energy office says implementation is in progress through a planned partnership with the Office of Community Development Disaster Recovery Unit. Entergy Louisiana offers a heat pump water heater rebate of up to $400.

Install requirements in Louisiana

Electrical

Dedicated 240V, 30A circuit (most models). Some newer 120V plug-in models exist but most residential units require 240V. Check the unit's nameplate for exact requirements.

Condensate drain

Heat pump water heaters produce condensate during operation. A condensate drain line to an approved location (floor drain, condensate pump, or exterior) is required.

Air space

Approximately 700 cubic feet of surrounding air (roughly a 10x10x7-foot room). The heat pump extracts heat from surrounding air. Insufficient air volume reduces efficiency and can cause the unit to underperform. Some manufacturers allow ducting to supplement air supply in smaller spaces.

Noise

Heat pump water heaters produce operational noise similar to a window AC unit (45-55 dB). Consider placement away from bedrooms.

Best fits for Louisiana

Common questions: Louisiana

Is a heat pump water heater worth it in Louisiana?
Yes. Louisiana scores C on RatingPlate's analysis, with estimated savings of $477 per year compared to a standard electric tank. Payback on the higher upfront cost is roughly 5.0 years before rebates.
What rebates are available for heat pump water heaters in Louisiana?
Louisiana has 1 rebate program. The IRA HEAR program has not launched in Louisiana yet. Verify amounts and eligibility at the links in the rebates section above.
How much does a heat pump water heater cost to run in Louisiana?
At Louisiana's electricity rate of 13.0 cents per kWh, the most efficient heat pump water heater costs about $108/yr to run. A standard electric tank costs about $585 per year.
Do I need a permit for a heat pump water heater in Louisiana?
Louisiana does not have unusual state-level requirements beyond standard plumbing and mechanical permits. Check with your local building department for jurisdiction-specific rules.
What is the payback period for a heat pump water heater in Louisiana?
Without rebates, the payback period in Louisiana is approximately 5.0 years based on $477 in annual savings versus a standard electric tank. With available rebates, payback could be significantly shorter.

Your next click

Sources

Electricity and natural gas rates: U.S. Energy Information Administration, residential sector (EIA, 12-month avg. through Aug 2026).

Rebate data compiled from state energy offices, utility program pages, DSIRE, and ENERGY STAR. Rebate amounts and eligibility change frequently. Verify at listed program URLs.

Inlet water temperatures estimated from NOAA climate normals using the Burch-Christensen mains water temperature model (NREL).

Model specifications from ENERGY STAR certified product data and manufacturer spec sheets.

Page updated November 1, 2026. Data freshness varies by source.

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