MassCEC granted awards to businesses installing qualifying variable refrigerant flow (VRF) systems, which provide highly efficient heating and cooling.

This program is part of MassCEC’s $48 million Clean Heating and Cooling program, which supports technologies that provide customer cost savings and environmental benefits while maintaining a high level of comfort and reliability.  Due to funding constraints, MassCEC is no longer accepting applications for the VRF program.

Current grantees installing a variable refrigerant flow (VRF) system should read the instructions for the VRF Heat Pump Program.

Designers and installers should visit the installer resources page.

Milestone Completion for Variable Refrigerant Flow Projects

  1. Once a project has been awarded, the applicant parties will have two years, if an existing building, and three years, if new construction, to install the VRF system.
  2. Once the applicant parties complete system design and order equipment, they can submit the Milestone #1 Completion Documents. MassCEC will pay 30% of the grant.  The grantee may opt to forgo this step and submit all documents at Milestone #2. The Milestone #1 completion documents are:
    • Milestone Completion Form (Milestone #1 section)
    • Invoice documenting outdoor and indoor VRF models and quantities ordered
    • Revised Application Documents, reflecting revised design and/ or budget (if applicable)
    • If the installer was not selected at the time of the application and has not signed up to participate in the program, that entity must sign and submit the installer agreement.
  3. The applicant parties complete project construction and manufacturer-assisted startup.  To receive payment, the applicant parties submit the Milestone #2 Completion Documents. MassCEC will then pay the remaining 70% of the grant. Applicant parties must submit the following documents at Milestone #2:
    • Milestone Completion Form (Milestone #2 section)
    • Photos of installed outdoor compressors
    • Demonstration of system start-up
    • Electric Bill (if new construction)

Please read the VRF Heat Pump Program Manual for full details on program eligibility requirements, awards, and processes.

How do VRF systems operate? 

Please visit our Learn About Air-Source Heat Pumps page to read about how air-source heat pumps operate. 

How do I find a designer or installer for a VRF system? 

MassCEC has a list of designers and installers who signed up for our VRF program on our Finding a Designer and Installer page.

Construction is finished on my project, how do I receive payment for my award?

For grantees, once construction is complete, please submit your Milestone Completion Documents to  Detailed instructions can be found under "How Do I Submit Milestone Completions?"

Why did the VRF program close? 

In June 2018, MassCEC committed $4,000,000 for the VRF program.  As of June 2019, all program funding was full subscribed.

Are there other incentives available for VRF systems?

Yes, there are other incentive programs that you may be eligible for.  Please visit our Learn About Air-Source Heat Pumps for links to additional incentive programs in Massachusetts.

The Air-Source Heat Pump program is one in a suite of MassCEC’s Clean Heating and Cooling programs. MassCEC has authorized $48 million in funding for these programs, starting in 2015. Funding for the VRF program is fully subscribed as of June 2019.

For questions about VRF systems and incentives, please contact us at or 617-315-9300.