New York is committing $17.5 million to expand the use of advanced heat pump technology in residential buildings, aiming to cut energy costs and reduce emissions as part of its broader climate strategy.
Gov. Kathy Hochul announced the funding April 10, with $10 million allocated for field demonstrations of window heat pumps and $7.5 million awarded to manufacturers developing through-wall systems designed for multifamily housing.
The initiative, administered by the New York State Energy Research and Development Authority, focuses on “plug-and-play” heating and cooling solutions that can be installed without major building upgrades. State officials say the approach is intended to make energy-efficient systems more accessible, particularly in older apartment buildings.
Under the program, selected manufacturers will test window-based heat pump systems in multifamily buildings through 2027, while five companies have each received $1.5 million to develop and demonstrate through-wall units capable of operating in cold climates. Building owners in upstate New York are eligible to host demonstrations, with incentives of up to $20,000 per apartment.
Officials said the effort is designed to address a major challenge in the state’s climate goals—reducing emissions from buildings—while also lowering energy demand and costs for residents. Nearly half of the state’s roughly three million residential units were built after 1940 and may be suitable for through-wall installations, while many older buildings could adopt window-based systems.
The program is part of a broader push that has already directed more than $5.6 billion toward building decarbonization and energy efficiency projects statewide, funded in part through the Regional Greenhouse Gas Initiative.
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