Austin Energy raises bill credits and rebates for Power Partner smart thermostat enrollment in 2026
Incentives increased ahead of peak-demand season
Austin Energy has increased financial incentives for residential customers who enroll eligible smart thermostats in its Power Partner Thermostat program, a voluntary demand-response offering designed to reduce electricity use during periods of unusually high demand.
The updated incentive package, announced March 9, 2026, includes a higher one-time enrollment credit, a larger annual bill credit for continued participation, and an increased rebate for purchasing and installing an eligible smart thermostat.
What changed: enrollment credit, annual bill credit, and rebate
Enrollment incentive: $75 per enrolled thermostat, up from $50.
Annual recurring bill credit: $30 per thermostat that remains enrolled, up from $25.
Smart thermostat rebate: $50 for customers who buy and install a new eligible thermostat, up from $30 (with the higher rebate amount taking effect Nov. 24, 2025 for qualifying purchases).
Program materials describe the enrollment credit as appearing as an adjustment on a customer bill after approval, typically within one to two billing cycles. The annual credit is generally issued around the enrollment anniversary, also typically within one to two billing cycles, with the timeline subject to potential delays based on monthly payout volume.
How Power Partner events work
Participants agree to allow brief remote thermostat adjustments during designated events intended to reduce peak electricity demand. Austin Energy states that event adjustments can change thermostat settings by up to 4 degrees and may include a short pre-cooling or pre-heating period before the event.
Program descriptions indicate that most events occur in summer for about two hours, typically between 3 p.m. and 6 p.m. from June 1 through Sept. 30. Events may also occur outside that window—between 6 a.m. and 10 p.m.—and may be longer in duration during extreme weather circumstances, including winter conditions. Program limits described by Austin Energy include no more than three events per week and no more than 25 events per year under typical circumstances, with the potential for up to five events per week during extreme weather circumstances.
Customers can override an event at any time by changing the temperature on their thermostat or in the thermostat’s app.
Eligibility, participation limits, and operational requirements
Enrollment requires that customers be served by Austin Energy and have an eligible communicating smart thermostat supported by approved technology and service providers. Program terms and the customer agreement describe requirements that include maintaining an active thermostat account and keeping internet connectivity enabled so the device can receive event signals.
Homeowners and renters are eligible to receive participation bill credits. Landlords may qualify for the purchase-and-installation rebate but are not eligible for the participation bill credit. Austin Energy’s program materials also limit applicants to five thermostats.
Health and notification considerations
Austin Energy’s program page notes that it does not send event notifications directly; notifications, when provided, are handled by thermostat manufacturers and may appear on the thermostat screen or within the manufacturer’s app. Program guidance also states the offering is not recommended if someone in the facility is experiencing serious health problems.
The incentive changes come as Austin Energy continues to expand demand-response participation as a tool to manage peak load and system reliability during periods of high community energy use.