Last updated: October 2026 · Reviewed by Xolar
Ontario homeowners can get up to $7,500 back on a cold-climate air-source heat pump, or up to $12,000 on a ground-source system, through the province’s Home Renovation Savings Program. The catch most articles skip: those top amounts are only for homes that heat with electricity, oil, propane or wood. If your home heats with Enbridge natural gas, like most Ontario homes, the rebate is up to $2,000. This guide covers what you can actually get, who qualifies, and the steps that decide whether you get paid.
How much is the Ontario heat pump rebate?
The Home Renovation Savings Program is run by Enbridge Gas and Save on Energy. The rebate depends on what heats your home today and is paid per ton of heat pump capacity, up to a cap:
| How your home is heated now | Cold-climate air-source | Ground-source (geothermal) |
|---|---|---|
| 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 | Up to $3,000 |
| Rented heat pump (any fuel) | $500 per ton, up to $2,000 | $3,000 |
Because it’s paid per ton, the maximum takes a large system. A 3-ton air-source heat pump in an electrically heated home earns $3,750; you’d need 6 tons to reach $7,500. In a gas-heated home, the same 3-ton system earns $1,500. For air-source units the program uses the rated heating capacity at 8.3°C.
Who qualifies?
- Homeowners only. Tenants can’t apply on the owner’s behalf. The home doesn’t have to be your primary residence; you can apply for each property you own, one heat pump rebate per home.
- Your current heating: either an Enbridge Gas residential customer heating mainly with a gas furnace or boiler, or a home heated by oil, propane, wood or electric baseboard on Ontario’s IESO grid. Cornwall Electric customers are excluded.
- Home type: detached, semi-detached, row houses and townhomes, mobile homes on a permanent foundation, and individual units of a stacked townhouse, duplex or triplex.
- Not eligible: new homes occupied for six months or less, and homes that already heat with a heat pump (replacing one doesn’t qualify).
Lower-income households may qualify for something better: Save on Energy’s Energy Affordability Program installs a cold-climate heat pump for free in eligible electrically heated homes (owners and renters) and, for a limited time, oil-heated homes with an above-ground tank. Income limits start at $48,220 for a one-person household.
How to claim the rebate, step by step
- Pick a participating contractor. Your installer must be on the program’s list of participating HVAC contractors. Rebates for installs by anyone else aren’t paid.
- Get pre-approved. Your contractor submits a pre-installation application and you wait for written approval.
- Install. No home energy assessment is needed for a heat pump rebate.
- Claim it. The post-installation application is due within 30 days of installation. The program says to expect your cheque about 60 days after approval.
The one mistake to avoid: installing first and applying after. Pre-approval is mandatory, and installations done before approval don’t get a rebate.
Which heat pumps qualify?
- Air-source: the model must be on Natural Resources Canada’s list of eligible cold-climate heat pumps. It must be variable-capacity and keep working efficiently at -15°C (a COP of at least 1.8 and at least 70% of its capacity). Ducted, partially ducted and ductless mini- and multi-split systems all qualify, and up to three units can count toward the rebate.
- Ground-source: water-to-water units must be ENERGY STAR certified. Direct-exchange (DX) ground-source systems aren’t eligible.
- Not eligible: air-to-water heat pumps.
- Whole-home: the system has to heat the entire home, basement included, and be sized to the program’s requirements.
- Switching from oil: the oil tank must be removed by a TSSA-registered contractor.
Can you combine it with other rebates?
You can’t collect another Enbridge, Save on Energy or Ontario-government incentive for the same heat pump. Other funding, like a municipal loan, can be combined as long as the total doesn’t exceed what the project cost. The same program also pays separate rebates for other upgrades to the same home, including insulation, windows and smart thermostats, plus up to $10,000 for solar and battery storage (see below).
Some cities also offer long-term financing: Toronto’s Home Energy Loan Program (HELP) and Better Homes Ottawa both lend up to $125,000 for energy upgrades, repaid over time. Check each program’s current rate before you apply.
Programs that have closed
If you’ve read older articles, some of the programs they mention are gone:
- Canada Greener Homes Grant: closed. The final Ontario deadline passed on December 1, 2025.
- Canada Greener Homes Loan: closed to new applications on October 1, 2025.
- Oil to Heat Pump Affordability (OHPA): closed to new applications on July 31, 2026.
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What a heat pump costs after the rebate
Xolar’s typical installed prices are $6,000–$10,000 for a cold-climate ductless system and $12,000–$18,000 for a central ducted heat pump, depending on the home. Two examples:
- Electrically heated home, 4-ton central heat pump: a $5,000 rebate brings $12,000–$18,000 down to about $7,000–$13,000. Baseboard homes usually also see the biggest drop in heating bills.
- Gas-heated home, 3-ton central heat pump: a $1,500 rebate brings it to about $10,500–$16,500, and the heat pump also replaces your air conditioner.
Your exact rebate depends on the system size your home needs, which we confirm in your quote.
Pair your heat pump with solar
A heat pump replaces gas, oil or baseboard heat with an efficient electric system, so your electricity use goes up. Solar panels cover that new load with power from your own roof. You have two ways to fund them: the same program pays up to $5,000 for solar and $5,000 for a battery ($10,000 combined), but rebated solar must be sized for your own use and can’t be on net metering; or you skip the solar rebate and use net metering, where summer production earns bill credits that offset winter heating. Which comes out ahead depends on your home, and we run both in your quote. We cover the combination in Solar + heat pumps: the power duo, and Ontario’s electricity plans in Ontario electricity rates explained.
Frequently asked questions
How much is the heat pump rebate in Ontario?
Up to $7,500 for a cold-climate air-source heat pump and up to $12,000 for ground-source, if your home heats with electricity, oil, propane or wood. Enbridge gas-heated homes get up to $2,000 (air-source) or $3,000 (ground-source). Rebates are paid per ton of capacity.
Do I need an energy audit to get the heat pump rebate?
No. A home energy assessment isn’t required for the heat pump rebate. You do need a participating contractor and pre-approval before installation.
Can I get the rebate if I heat with natural gas?
Yes, if you’re an Enbridge Gas residential customer, but the amount is lower: $500 per ton up to $2,000 for air-source, or up to $3,000 for ground-source.
Can I get the rebate if I already have a heat pump?
No. Homes that already heat with a heat pump aren’t eligible, so replacing an existing heat pump doesn’t qualify.
Can tenants apply?
Not for the Home Renovation Savings rebate, which is for homeowners. Renters in electrically heated homes may qualify for a free heat pump through Save on Energy’s income-based Energy Affordability Program.
Is the Canada Greener Homes Grant still available?
No. The Greener Homes Grant and Loan have both closed, and the federal Oil to Heat Pump Affordability program closed to new applicants on July 31, 2026.
Talk to Xolar
Xolar designs and installs cold-climate heat pumps and solar for Ontario homes. See our heat pump service or get a free quote, and we’ll go through the incentives that fit your project with you. For every program by province, see our rebates page.