Updated CEE Electric HVAC Specification
Criteria Finalized for 2025 Federal Tax Credit Qualification
On October 10th, the Consortium for Energy Efficiency (CEE) released the newly revised Residential Electric HVAC Specification, effective January 1, 2025. This voluntary specification is used by utilities to set energy efficiency programs, and as of 2023, is the basis of eligibility for the 25C federal tax credit under the Inflation Reduction Act.
Notable aspects of the updated criteria include:
- Introduction of “Path A or B” choice for split heat pumps
- Shift to unified national set of requirements, eliminating North/South and Ducted/Ductless distinctions
- Preserved lower SEER2 for heat pumps and packaged products
- Demand response certification deferred until 2026
Rheem Government Affairs continues to work closely with CEE to provide input on future specifications.
2025 Highest-Tier Requirements by Equipment Type:
| Equipment Type | Level | SEER2 | EER2 | HSPF2 | COP at 5° F | Capacity Ratio |
|---|---|---|---|---|---|---|
| Split AC | Tier 1 | ≥ 17.0 | ≥ 12.0 | |||
| Packaged AC | Tier 1 | ≥ 16.0 | ≥ 11.5 | |||
| Split Heat Pumps | Tier 1 – Path A | ≥ 16.0 | ≥ 9.8 | ≥ 8.5 | ≥ 1.75 | ≥ 60% at 5°F/47°F |
| Tier 1 – Path B | ≥ 16.0 | ≥ 11.0 | ≥ 8.0 | ≥ 1.75 | ≥ 45% at 5°F/47°F | |
| Packaged Heat Pumps | Tier 1 | ≥ 15.2 | ≥ 10.0 | ≥ 7.2 | ≥ 1.75 | ≥ 45% at 5°F/47°F |
*For 2026: Eligible systems must also comply with AIHRI 1380 to demonstrate load management capability
Key Takeaways
- CEE sets new efficiency criteria for residential AC and heat pumps, effective 1/1/2025
- The updated spec raises efficiency requirements for AC and heat pumps and simplifies to a unified national set of criteria
- IRA 25C tax credit is based on CEE highest tier, not including Advanced Tier
For the full specification, visit the CEE resources page
Get the original PDF 2025 CEE UPDATED TIERS