The Government of Canada announced that it is now accepting applications for its Oil to Heat Pump Incentive Program. Low- and middle-income Canadian households that heat their homes with oil can apply for up to C$10,000 ($7,413) in advance payments toward the purchase and installation of a new, electric, air source heat pump.
Low- and middle-income households currently heating their homes with oil can now apply for an upfront payment of up to C$10,000 ($7,413) to purchase and install a new electric cold-air heat pump. This includes up to CAD 5,000 from the Canada Greener Homes Grant (CGHG).
The rebate scheme does not specify what qualifies as a cold climate heat pump, but the OHPA website states that “cold climate air source heat pumps are designed to operate at lower temperatures well below freezing and can now operate in temperatures down to -30C. ” The Canadian government estimates that homeowners who switch from oil to cold-climate heat pumps could save between C$1,500 and C$4,700 a year on energy bills.
“Electricity is a cheaper, greener and more reliable way to heat your home,” said Seamus O’Regan, Canada’s Minister of Labour. “We want more people to switch from oil to electric heat pumps so their heating bills are lower – that’s why we’re helping to cover the cost.”
The grant also covers the cost of installation services, such as electrical and mechanical upgrades, removal of oil tanks and installation of backup heating systems. The funding can be combined with additional financial assistance from other existing federal, provincial, territorial and utility programs, according to OPHA’s website.
Residents of Alberta, British Columbia, Manitoba, Newfoundland and Labrador, Northwest Territories, New Brunswick, Nunavut, Ontario, Quebec, Saskatchewan and Yukon can apply here. Residents of Nova Scotia and Prince Edward Island must apply for their provincial programs.