Understanding SEER2, HSPF2 & AFUE

Shopping for a new HVAC system in the Bay Area can feel like alphabet soup: SEER2, HSPF2, AFUE. Let's decode this.

The Four Main Ratings

AFUE (Annual Fuel Utilization Efficiency)

Used for: Gas furnaces

AFUE measures how efficiently a furnace converts fuel (gas) into heat for your home.

• 95% AFUE means 95% of the fuel energy heats your home; 5% is lost
• Standard efficiency: 78–82% AFUE
• High efficiency: 90–95%+ AFUE
• Best available: 97–98.5% AFUE

SEER2 (Seasonal Energy Efficiency Ratio 2.0)

Used for: Air conditioners and heat pump cooling mode

SEER2 measures cooling efficiency using more realistic real-world measurements than the old SEER standard.

• Standard efficiency: SEER2 13–15
• High efficiency: SEER2 16–18
• Best available: SEER2 20+

HSPF2 (Heating Seasonal Performance Factor 2.0)

Used for: Heat pumps in heating mode

HSPF2 measures heating efficiency for heat pumps using more realistic standards.

• Standard efficiency: HSPF2 8–9
• High efficiency: HSPF2 9–10
• Best available: HSPF2 10+

Which Ratings Get You Rebates?

TECH Program (California)

The TECH program offers rebates for high-efficiency heat pump installations:

• Minimum HSPF2: 8.0–9.0
• Minimum SEER2: 14–15
• Rebate amounts: $1,000–$5,000+ depending on system size

Utility Company Rebates

Vary by utility but typically require:

• SEER2 ≥ 15 for AC systems
• HSPF2 ≥ 9 for heat pumps
• AFUE ≥ 95% for furnaces

Federal Tax Credit

• Minimum HSPF2: 8.0
• Minimum SEER2: 14
• Tax credit: $3,200–$5,000

What Should You Choose?

For Bay Area homes:

• For cooling: Choose SEER2 ≥ 15 to qualify for rebates
• For heating (heat pump): Choose HSPF2 ≥ 9
• For furnace: Choose AFUE ≥ 95%

Contact Galaxy Heating & Air Conditioning to learn which efficiency ratings qualify for rebates in your area.