America cleaned out its garages with Cash for Clunkers now the government is hoping to remodel some kitchens, spur the economy and save energy with a similar cash for appliances program.

The government has set aside $300 million of the stimulus bill to give rebates to consumers who buy energy-efficient appliances like refrigerators, freezers, dishwashers and air conditioners, according to an MSNBC.com report.

States wishing to participate had to send letters by Aug. 15 to the Department of Energy saying they wanted to be a part of the program. Then the states must submit a plan, due to the government by Oct. 15, that would include which products qualify and how much the rebates will be worth.

The full $300 million will be awarded to the states by the end of November, but the program won’t begin in stores until later this year or early next year. Iowa can expect $2.88 million for its rebate program, according to KCCI.com.

Consumers should expect to see rebates of between $50 and $200, according to the Association of Home Appliance Manufacturers (AHAH), and although this particular program is new, the group estimated that 25 states already have a similar program in place.

Appliance sales have been struggling during the recession. Shipments of new appliances to retailers are down 15 percent after dropping 10 percent in 2008, MSNBC.com reported.

The government is hoping to stimulate new appliance sales and create a ripple effect throughout the economy by reducing families’ future energy bills. The AHAH said a family could save $78 a year on its electricity bill by replacing an 8-year-old washing machine.

New appliances use less energy, and last year Americans saved more than $19 billion on their utility bills by using Energy Star products, according to MSNBC.com.