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July 1, 2025

Are There Any Rebates and Incentives for Insulation in Arizona?

If you’re a homeowner or property manager in Arizona looking to improve your home’s energy efficiency, you may be wondering: Are there any rebates and incentives for insulation? The good news is—yes, there are multiple opportunities for Arizona residents to reduce the cost of insulation upgrades through rebates, tax credits, and utility-sponsored incentives.

At Koala Insulation of North and West Phoenix, we’re passionate about helping our clients maximize both their energy savings and financial incentives. In this blog, we’ll break down the current insulation rebates and incentives available in Arizona, how to qualify, and why now is the perfect time to invest in better insulation.


Why Insulation Is a Smart Investment in Arizona

Arizona’s extreme heat makes proper insulation not just a luxury, but a necessity. When your home is well-insulated, it reduces heat transfer from your attic, walls, and crawl spaces, allowing your air conditioning system to work more efficiently. This leads to:

  • Lower energy bills
  • Improved indoor comfort
  • Reduced HVAC wear and tear
  • Increased home resale value

By taking advantage of available insulation rebates, you can enjoy these benefits at a lower upfront cost—and enjoy a faster return on your investment.


Federal Energy Efficiency Tax Credits

Let’s start with the federal tax credit, which applies nationwide, including Arizona homeowners.

As of 2023 (and extended through at least 2032), the Energy Efficient Home Improvement Credit allows you to claim up to 30% of the cost of qualified insulation materials and installation, up to $1,200 per year.

What qualifies:

  • Fiberglass batts or rolls
  • Blown-in cellulose or fiberglass
  • Spray foam insulation
  • Rigid foam board
  • Radiant barriers (if installed as part of an air-sealing package)

How to claim it:

  • Insulation must meet IRS energy efficiency standards.
  • Keep all receipts and documentation.
  • File IRS Form 5695 with your federal tax return.

At Koala Insulation of North and West Phoenix, we can help you select eligible materials and provide the necessary documentation to claim your tax credit.


Utility Company Rebates in Arizona

Many Arizona utility providers offer rebates to encourage homeowners to improve energy efficiency. Here’s a breakdown of the most prominent insulation rebate programs currently available:

1. SRP (Salt River Project) Rebates

If you’re an SRP customer, you may qualify for rebates when you upgrade your home’s insulation and air sealing.

  • Attic Insulation Rebate:
    Up to $600 when upgrading insulation to meet SRP program standards.
  • Air Sealing Rebate:
    Up to $250 for professionally sealing leaks around windows, doors, ducts, and penetrations.

Eligibility Requirements:

  • Must be an SRP residential customer.
  • Work must be performed by an SRP-approved contractor.
  • Home must be built before 2011.

Koala Insulation of North and West Phoenix is familiar with SRP’s rebate process and can ensure your project meets all the necessary criteria.

2. APS (Arizona Public Service) Rebates

APS also offers rebates for energy-efficient upgrades, including insulation and duct sealing:

  • Home Performance with ENERGY STAR® Program:
    Includes a comprehensive home energy audit and potential rebates up to $1,000 for recommended upgrades such as insulation, duct sealing, and air sealing.

Eligibility Requirements:

  • Must be an APS customer.
  • Work must be completed by a participating contractor.
  • Home must pass a post-installation test for air tightness and performance.

We can help guide you through APS’s program to make the most of these savings.


Local and Regional Programs

Depending on your location within the Phoenix metro area, additional programs may be available through local municipalities or co-ops. While these are less common, some cities or counties may partner with local energy organizations to offer seasonal rebates.

Stay updated by checking your city’s official website or speaking with your insulation contractor. Koala Insulation of North and West Phoenix regularly monitors new rebate programs and helps clients apply as opportunities arise.


Manufacturer Promotions and Financing Offers

In addition to government and utility incentives, many insulation material manufacturers and installers offer seasonal promotions or financing options to lower your out-of-pocket costs. These may include:

  • Rebates on qualifying spray foam or fiberglass products
  • 0% interest financing for 6–12 months
  • Package discounts when combining insulation and air sealing services

Ask our team at Koala Insulation of North and West Phoenix about current offers—we’re happy to help you find the best value for your project.


How to Get Started with Rebates and Incentives

  1. Schedule a Free Insulation Evaluation
    Our team will assess your home’s current insulation levels and identify areas of improvement.
  2. Review Your Eligibility
    We’ll determine which rebates, tax credits, or utility incentives you may qualify for.
  3. Choose the Best Solution
    Based on your goals and budget, we’ll recommend the most effective insulation type—such as spray foam, blown-in, or batt—and guide you through rebate paperwork.
  4. Enjoy Long-Term Savings
    After installation, you’ll start to feel the difference with better comfort, lower utility bills, and improved indoor air quality.

Why Choose Koala Insulation of North and West Phoenix?

We’re more than just insulation installers—we’re energy efficiency experts who care about helping our customers make smart, cost-effective improvements. Our services include:

  • ✅ Attic insulation upgrades
  • ✅ Spray foam, batt, and blown-in insulation
  • ✅ Radiant barrier installation
  • ✅ Air sealing and duct sealing
  • ✅ Rebate and tax credit assistance

We serve homeowners and businesses across North and West Phoenix, offering dependable service, high-quality materials, and transparent pricing.


Call Us Today for a Free Estimate

If you’re ready to upgrade your insulation and take advantage of valuable rebates and incentives, Koala Insulation of North and West Phoenix is here to help. We’ll walk you through the process, handle the installation, and ensure your project meets all requirements for available programs.

📞 Call us today at (602) 899-1264
💻 Or visit https://koalainsulation.com/north-and-west-phoenix to schedule your free estimate.

Don’t miss your chance to save on insulation while making your home more energy efficient and comfortable—reach out today!

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