Last updated: October 9, 2026. We'll update this when the program page and application portal open.
On October 8, 2026, Prime Minister Mark Carney announced a new National Heat Pump Rebate. It is the first federal heat pump grant open to most homeowners since the Canada Greener Homes Grant closed. Here is what has been confirmed, what is still unknown, and how it fits with Ontario's existing rebates.
What was announced
The federal backgrounder sets out the main numbers:
- Up to $10,000 for households below the median income.
- $2,000 for other eligible homeowners.
- $2 billion over eight years, aimed at up to 820,000 homeowners.
- Equipment must be an electric cold-climate air-source heat pump on the program's "Eligible Products List", which the government says includes over 100,000 options.
- No energy audits before or after installation.
The application process is meant to be quick. You apply online with basic personal information and details of the heat pump you plan to buy. The government says approval will be confirmed within 24 hours. After the heat pump is installed, you upload your receipts through the portal and payment is approved within five days, by direct deposit.
The program is not open yet. Ottawa has not published a launch date, a program page or the equipment list. Canadian Press reporting from the announcement says the program will launch in early 2027.
Who qualifies: what we know and what we don't
Confirmed so far:
- The rebate is for homeowners, and only one rebate is issued per person. The backgrounder gives an example: a landlord who installs a heat pump in a rental property cannot also claim one for their own home.
- You can apply when your heating system breaks down, or when it is nearing the end of its life and you want to switch before it fails.
- The heat pump must be on the Eligible Products List.
Not yet published:
- How "median income" is defined. The government has not said whether it is household or individual income, whether it adjusts for household size, or which tax year it uses.
- Whether ground-source (geothermal) systems qualify. The backgrounder only mentions cold-climate air-source heat pumps.
- Whether the full $10,000 depends on the size or cost of the system.
- The equipment list itself.
Install now or wait?
This is the question most homeowners are asking, and the honest answer is that the rules are not final.
News reports, including Canadian Press and the Globe and Mail, say the program will be retroactive to fall 2026. That would mean a heat pump installed this fall could still qualify once the portal opens. However, the official news release and backgrounder do not mention retroactivity or give a start date. They also describe applying for approval before you buy, then submitting receipts for the "pre-approved heat pump". How a retroactive claim would fit into that process has not been explained.
If your furnace or boiler has failed, or you need heat this winter, waiting months for a portal is rarely practical. If you do install before the program opens:
- Choose a cold-climate air-source heat pump on Natural Resources Canada's qualified products list. The federal Eligible Products List has not been released, so this is the closest guide available, not a guarantee.
- Keep your invoice, proof of payment, installation date, and the outdoor and indoor unit model numbers.
- Get Ontario's provincial pre-approval before installation (see below), because that one is mandatory.
If your current system is working well, there is less risk in waiting for the official program page, the equipment list and the retroactive date in writing.
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How it combines with Ontario programs
The federal release says both rebate levels "can be combined with existing provincial programs." In Ontario, the main program is the Home Renovation Savings Program, run by Enbridge Gas and Save on Energy. Its current published amounts for heat pumps are:
| Your home's main heating | Cold-climate air-source | Ground-source |
|---|---|---|
| Electricity, oil, propane or wood | $1,250 per ton, up to $7,500 | $2,000 per ton, up to $12,000 |
| Enbridge natural gas | $500 per ton, up to $2,000 | $3,000 |
Two things to know about the Ontario program:
- Pre-approval is mandatory. The program states that installations done before approval are not eligible.
- You must use a participating HVAC contractor, and the unit must be on Natural Resources Canada's qualified products list.
How the federal and provincial amounts interact (for example, any cap on combined rebates) has not been published yet. For a full breakdown of the Ontario program, see our Ontario heat pump rebate guide, or check every current program on our rebates page.
What happened to Greener Homes and Oil to Heat Pump?
- Canada Greener Homes Grant: closed. Government officials described the new rebate as its successor, according to Canadian Press.
- Oil to Heat Pump Affordability program: July 31, 2026 was the last day to apply. Existing participants have until January 31, 2027 to upload final receipts and the attestation form.
- Canada Greener Homes Affordability program: this no-cost retrofit program is delivered through provincial partners. Ontario is not currently listed as a participating province.
The new rebate is different from Greener Homes in two ways that matter: no energy audits, and approval in about a day instead of weeks.
Getting a quote
Xolar installs cold-climate heat pumps across Ontario. If you are weighing whether to replace your heating now or wait for the federal portal, we can quote a system, confirm which provincial rebate your home qualifies for, and keep the model numbers and paperwork you will need for a federal claim. See our heat pump pricing and get a free quote.
FAQ
How much is the new federal heat pump rebate?
The National Heat Pump Rebate pays up to $10,000 to households below the median income and $2,000 to other eligible homeowners. It applies to electric cold-climate air-source heat pumps on the program's Eligible Products List.
When does the federal heat pump rebate open?
No official launch date has been published as of October 9, 2026. Canadian Press reports the program will launch in early 2027 through an online portal.
Is the federal heat pump rebate retroactive?
News reports say the rebate will be retroactive to fall 2026, but the official release and backgrounder do not mention retroactivity or a start date. Keep your receipts and model numbers if you install before the program opens, and check the program page once it is published.
Can I combine the federal rebate with Ontario's Home Renovation Savings Program?
Yes, the federal government says both rebate levels can be combined with existing provincial programs. In Ontario, Home Renovation Savings pays up to $7,500 for a cold-climate air-source heat pump in homes heated by electricity, oil, propane or wood, or up to $2,000 for Enbridge gas-heated homes, and it requires pre-approval before installation.
Do I need an energy audit for the federal rebate?
No. The federal government says no energy audits are required before or after installation, unlike the old Canada Greener Homes Grant.
How fast is the federal heat pump rebate paid?
Approval is promised within 24 hours of applying, and payment is approved within five days of uploading receipts, by direct deposit. Those timelines apply once the portal opens.