Are you still using fossil fuels to heat your home? Maybe you’re thinking of switching your oil and gas furnace setup for a heat pump instead. Did you know that there’s an incentive program offered by the Government of Canada designed to help you with that exact goal?
The Canada Greener Homes Grant Initiative is a range of grants to help eligible homeowners with different retrofits to make homes more energy efficient. As part of the initiative, homeowners have the ability to apply for:
- Grants that range from $125 – $5,000 to help cover the costs of eligible home retrofits
- Up to $600 as a contribution toward the costs of pre- and post-retrofit EnerGuide evaluations
- Interest-free loans of up to $40,000 on a repayment term of 10 years
Heat Pump Installations & Replacements
Heating accounts for over 60% of the energy used in the average Canadian home. Why? Our Canadian winters! By switching to energy-efficient equipment like heat pumps, less energy is used, which means a smaller carbon footprint, and cheaper utility bills.
A heat pump uses air- or ground-source energy and transfers it so it can be used to heat or cool a home. Since heat pumps transfer thermal energy, they are far more energy efficient. Ground source heat pumps are effective in all climates and, although air source heat pumps have primarily been used in more moderate climates, newer cold-climate air source heat pumps have been released as well.
Ground Source Heat Pumps
There are two grants available for ground-source heat pump systems:
- $5,000 for the installation of a full ground source heat pump system that meets Canada’s Energy Efficiency Regulations
- $3,000 for the replacement of a ground source heat pump unit with one that meets Canada’s Energy Efficiency Regulations
Air Source Heat Pumps
For air-source heat pumps and cold climate air-source heat pumps, there are different levels of grants depending on the equipment installed. The grant can go towards a first-time installation or replacement of an existing heat pump system. The heat pump can work as a standalone system or alongside another backup system. Only the heat pump system is eligible for the grant though.
For a mini- or multi-split ducted or ductless system with two warm air supply outlets or indoor heads:
- $2,500 grant for an ENERGY STAR-certified air source heat pump (ASHP) system
- $2,500 grant for a cold climate air source heat pump (ccASHP) setup
For central ducted systems and mini- or multi-split ducted or ductless systems with three or more warm air supply outlets or indoor heads:
- $4,000 grant for an ENERGY STAR-certified air source heat pump (ASHP) system
- $5,000 grant for a cold climate air source heat pump (ccASHP) setup
Heat Pump Water Heaters
In addition to space heating, water heating also accounts for a sizeable portion (over 20%) of energy used in the average home. For heat pump water heaters, there is a $1,000 grant for the replacement of a domestic water heater with an ENERGY STAR-certified domestic heat pump water heater (HPWH).
Additional Resources
Some retrofits under the Canada Greener Homes Grant require you to choose from an approved list of products (in addition to other grant eligibility criteria). Here is a list of eligible:
- Ground source heat pumps(for full system and pump replacement)
- Air source and cold climate air source heat pumps
- Heat pump water heaters
Here are some additional links to check eligibility and learn more about how the grant and loan processes work:
Renew offers energy-efficient heat pump conversions and installations that cover any required panel upgrades and duct configuration or replacement. Contact Renew today to learn how we can help heat and cool your home more effectively!