New Construction Electrification Program

Overview

The New Construction Electrification Program will provide housing developers and homeowners with incentives to build all-electric housing. Housing projects must be built to all-electric standards for all energy utility needs including but not limited to water heating, space heating, and cooking appliances. Incentives are determined on a per unit basis and will be provided “downstream” to developers and homeowners upon successful completion of the project.

What Projects Are Eligible?

• Affordable Housing Developments
• Farmworker Housing
• Market-rate Housing
• Accessory Dwelling Units (ADUs)
• Single-family Disaster Rebuilds

Applications for projects completed between August 1, 2025 and July 31, 2026 must be submitted by September 30, 2026. 

Applications for projects completed between August 1, 2026 and September 30, 2026 can be submitted either:  

1. By September 30, 2026 for the program design and under the terms and conditions relevant at the time of application submission. 

2. Or between October 1, 2026 and September 30, 2027 for the program design and  under the terms and conditions that are relevant at the time of application submission.  

Applications are processed in the order they are received and are subject to available funding. 3CE reserves the right to change program design, including eligibility and rebates, at any time. Please read the program Terms and Conditions for full details.  

Program design is expected to change on October 1, 2026. 3CE will provide more information on the website in late September 2026. 

Benefits

• All-electric housing is cheaper and safer to build. 
• Building occupants benefit from cleaner indoor air and ultra-high efficiency appliances that provide greater safety and comfort.
• All electric housing reduces greenhouse gas emissions and criteria air pollutants by eliminating natural gas.

Eligibility

Rebates

Project Type	Incentive Amount	Incentive Limit
Affordable Housing	$3,000/unit	Up to $250,000 per project
Farmworker Housing	$3,000/unit	Up to $250,000 per project
Market-rate Housing	$2,000/unit*	Up to $200,000 per project
Accessory Dwelling Unit	$5,000/unit	Up to $10,000 per project
Single-family Disaster Rebuild	$15,000/unit	Up to $15,000 per project

Steps

• To apply, click the Application tab.
• Applications for enhanced incentives for disaster rebuild projects must provide proof that the previous structure was Red Tagged as a result of a natural disaster.
• Applications will be submitted upon project completion. The application will be reviewed by 3CE staff and funds distributed if the application meets the following conditions:
  • 3CE staff confirms the building/s are or will be enrolled in 3CE electricity service.  
  • Applicant submits the following documents indicating that the development was completed as an all-electric building:
    • Certificate of Occupancy -OR- Notice of Completion   -AND- Written notice from the applicable Building Inspector confirming that no gas infrastructure was built throughout the building and construction site. 

Resources

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Terms & Conditions

Effective Date: 10/1/2026

Definitions:
APPLICANT – references the 3CE homeowner, property owner, and/or lawful residential tenant, residing in the 3CE service territory, who is applying for the NCEP program.

CONTRACTOR – references the individual and/or company completing the construction of the new home or development, including installation of appliance(s) and invoicing the APPLICANT

If the APPLICANT’s CONTRACTOR is submitting the application on the APPLICANT’s behalf and/or serving as the rebate recipient, the CONTRACTOR certifies APPLICANT understands and has approved all of the terms and conditions.

By submitting this application, APPLICANT agrees to the following terms and conditions:

1. APPLICANT agrees to follow and be contractually bound by all terms and conditions herein.
2. APPLICANT must be a 3CE residential or commercial customer. APPLICANT confirms that housing address incentivized by 3CE is enrolled in 3CE service.
3. APPLICANT agrees to release, indemnify, defend, and hold harmless 3CE and its agents, employees, or representatives from all claims, demands, and liabilities, including bodily injury claims arising out of or in connection with the APPLICANT’s participation in the Program. Neither 3CE nor APPLICANT shall be liable to the other for incidental, special, punitive or consequential damages.
4. Submittal of this Application does not commit 3CE to any financial obligation to any APPLICANT. 3CE will only commit to award funds to APPLICANT upon written confirmation that all program eligibility conditions are met and all required documents and information pertaining to this Application have been provided to 3CE. The Program is on a first-come, first served basis until funding is depleted.
5. 3CE reserves the right to change the program’s design, eligibility, rebates, requirements and/or due dates as may be necessary.
6. 3CE reserves the right to discontinue the New Construction Electrification Program at any time for any or no reason and remove all available, non-reserved funds.
7. 3CE reserves the right to consider factors other than those specified within this Application and to request additional information from APPLICANT that are pertinent to the Program.
8. 3CE reserves the right to change the requirements and/or due dates as may be necessary.
9. 3CE reserves the right to reject any or all applications received in relation to the New Construction Electrification Program for any reason.
10. 3CE does not issue an IRS 1099 for the rebate and 3CE cannot offer tax advice of any kind. It is APPLICANT’S responsibility to contact a tax professional regarding the taxability of the provided rebate.
11. APPLICANT agrees to provide 3CE and/or its agents with access to and, if necessary, escort through APPLICANT’s grounds and/or facilities incentivized for the purposes of evaluating that Program eligibility terms and conditions are met.
12. APPLICANT agrees to remain enrolled as a 3CE customer for a minimum of 24 consecutive months following customer’s receipt of the incentive. Applicant understands the rebate may be revoked if Applicant unenrolls the utility account in 3CE service before 24 consecutive months.
13. Any dispute arising out of or relating to these Terms shall be governed by and construed under the laws of the State of California, without reference to its conflicts of law provisions. Any dispute, or claim arising out of relating to this Agreement, or breach thereof shall be venued in Monterey County.
14. These terms may be modified at any time in accordance with any legal or regulatory directive.
15. APPLICANT certifies that all information provided as part of this Application, including any attachments, are true and correct.
16. APPLICANT certifies the following: I confirm that the incentivized project was built to all-electric standards for all energy utility needs including but not limited to water heating, space heating, and cooking appliances.
17. APPLICANT certifies that they have obtained all necessary local permits and construction was completed by a state licensed contractor.
18. APPLICANT understands that by participating in the program, 3CE may publicly share aggregate data about the program which will include APPLICANT’s project, rebate, and/or installation contractor. 3CE will not release the APPLICANT’s personal and/or identifiable information without APPLICANT’s written consent.
19. By participating in this program, APPLICANT agrees and understands that 3CE may publicly share APPLICANT’s development photo(s), which may include employees and customers, the use and release APPLICANT authorizes. 3CE will remove any personally identifiable information before sharing photos, unless otherwise provided permission by APPLICANT. 3CE will not release the APPLICANT’s personal and/or identifiable information without APPLICANT’s written consent.
20. APPLICANT certifies that APPLICANT has disclosed to 3CE any additional funding anticipated or received to fund the electrification project. Eligible costs include cost of electrification equipment, cost of installation labor, and any additional eligible costs stated in the rebate eligibility guidelines. APPLICANT understands that the final rebate amount issued can be up to but not exceeding 100% eligible project costs, minus any current or prospective financial incentives or rebates from additional funding sources (“Net Eligible Cost”).
21. APPLICANT authorizes the release of information related to the contents and status of the APPLICANT’s rebate application to the CONTRACTOR listed in the application. Data may include name of applicant, rebate amount, and application status. If APPLICANT wishes to revoke authorization, APPLICANT must contact 3CE with written instructions to revoke access.