Ottawa to provide $2B in rebates for homeowners who install heat pumps

Peter Zimonjic · CBC News

· Posted: Oct 08, 2026 11:57 AM EDT | Last Updated: 11 minutes ago

The federal government is launching a $2-billion rebate program that it says will help homeowners in Canada lower their annual heating costs while reducing emissions when they install heat pumps in their homes. 

The funding will provide rebates for up to 820,000 homeowners over the next eight years, saving them an average of $1,400 a year on their heating bills when they replace existing heat pumps or heating systems, officials speaking on background said Thursday.

"Homeowners can apply quickly for the rebate when their existing heating system breaks down and they decide to replace it with a new heat pump system," a background document said. 

"They can also apply as their existing heating system approaches end of life, and they want to make the transition before a breakdown occurs."

The federal government said it will also work with the Canada Mortgage and Housing Corporation (CMHC) to provide low-interest financing for apartment building owners to retrofit more than 280,000 homes over the next eight years. 

"Today, we are helping one million more Canadian households make energy-efficient retrofits. We are lowering costs, reducing emissions and building a stronger and more sustainable economy for all,” Prime Minister Mark Carney said in a statement.

More to come