Tax Credit Available on Yanmar Gas Heat Pumps Ends in 2024

Yanmar GHP System

We want to remind everyone that the Gas Heat Pump (GHP) systems manufactured by Yanmar qualify for the 30% tax credit, as well as for direct payments to tax-exempt entities, under the Inflation Reduction Act (IRA).  This tax benefit only applies to systems installed by December 31, 2024.  Due to equipment timing and scheduling we highly recommend that you start the ordering and installation process immediately in order to complete installation by the December deadline. The project must be installed under specific requirements and may require prevailing wage and apprenticeship requirements depending on the size of the project and other specific considerations.

Yanmar GHP is considered a mechanical cogeneration product and should be treated as “Combined Heat and Power system property” (CHP)  for purposes of Internal Revenue Code Section 48, under the Investment Tax Credit (ITC). 

Please consult with your tax professional for additional requirements, information and to verify your qualifications.

GHP is a great solution for upgrading HVAC systems in historical buildings with older electrical systems, minimal electrical load, or where there isn’t the opportunity to upgrade the electrical system for newer high-efficiency traditional HVAC systems. Gas systems require less electricity therefore sometimes making it the best option for converting older buildings. Additionally, they are perfect when only single-phase power is available or when electrical systems can’t be updated due to delays, cost, or availability.

In calculations, the Gas Heat pump systems saved 25-30% on cooling and 50% on heating as compared to an electric heat pump system.

Don't hesitate to call or email for more information about GHP or a custom energy solution for your facility. We are always happy to do a walk-through of your facility and make suggestions on the more efficient way to upgrade your HVAC.