Otter Tail Power Company - Residential and Commercial Energy Efficiency Rebate Program

November 08, 2023


Otter Tail Power Company offers incentives to all residential customers in South Dakota to install energy efficient equipment in residences. Rebates are available for geothermal and air source heat pumps and electric water heaters, as well as a variety of other efficient products. 

Program Overview

Implementing Sector: Utility
Category: Financial Incentive
State: South Dakota
Incentive Type: Rebate Program
Web Site:
Administrator: Otter Tail Power Company
Start Date:
Eligible Renewable/Other Technologies:
  • Geothermal Heat Pumps
  • Water Heaters
  • Lighting
  • Furnaces
  • Boilers
  • Heat pumps
  • Air conditioners
  • Programmable Thermostats
  • Other EE
  • LED Lighting
  • Level-2 Electric Vehicle Service Equipment
Incentive Amount: Heating and Cooling
Electric Plenum Heater on dual fuel or RDC rate: $500 (9 kW to 5 kW system); $20/kW (systems larger than 25 kW)
Electric Boiler on dual fuel or RDC rate: $500 (9 kW to 5 kW system); $20/kW (systems larger than 25 kW)
Electric Furnace on dual fuel or RDC rate: $500 (9 kW to 5 kW system); $20/kW (systems larger than 25 kW)
*Baseboard, Cove Heat, Radiant Ceiling, or Non-Storage Floor-Warming Heat: $15/kW
Smart Thermostats: $35 - $150
Thermal Storage (up to 500 kW): $40/kW
Water Heaters: $300

Heat Pumps
Air-to-water systems: $400/ton
Ductless Cold-Climate systems: $400 - $500/ton
Ducted Cold-Climate systems: $600 - $700/ton
Geothermal Systems: $1,200/ton (residential); $1,000/ton (commercial)

Other Incentives
Lighting: In-store rebates at select retailers. Rebates for Hardwired and New Construction lighting available.
Level-2 EV charging station: $400
Maximum Incentive: Rebates greater than $10,000 require prior approval.


Name: Rebates Department
Organization: Otter Tail Power
Address: P.O. Box 496
Fergus Falls MN 56538
Phone: (800) 493-3299

This information is sourced from DSIRE; the most comprehensive source of information on incentives and policies that support renewables and energy efficiency in the United States. Established in 1995, DSIRE is operated by the N.C. Clean Energy Technology Center at N.C. State University.