The National Heat Pump Rebate: What Ontario Homeowners Need to Know
The federal government has announced a rebate of $2,000, or up to $10,000 for lower-income households, for installing an eligible cold climate heat pump. Installations done on or after November 1, 2026 may qualify when applications open in early 2027. Here is the plain-English version, from your local HVAC contractor.
Request a heat pump quoteCall 647-657-2977Ontario’s provincial rebate: Home Renovation Savings
Separate from the federal rebate, Ontario homeowners can apply for the Home Renovation Savings program, delivered by Save on Energy and Enbridge Gas with support from the Ontario government. For a heat pump installed as a single upgrade, no home energy assessment is required. Aurora Star Tech is a registered participating contractor, so we can submit your pre-installation application for you.
Rebate amounts for cold climate and ground source heat pumps
The amount depends on your home’s existing primary heating source.
| Your home’s primary heating | Cold climate air source heat pump | Ground source heat pump |
|---|---|---|
| Natural gas (Enbridge Gas customer) | $500 per ton, up to $2,000 | $3,000 |
| Electricity, oil, propane or wood | $1,250 per ton, up to $7,500 | $2,000 per ton, up to $12,000 |
Air source amounts are calculated from the heat pump’s minimum rated heating capacity at 8.3°C (47°F). Ground source amounts for closed loop systems are calculated from closed loop capacity. Terms and conditions apply. Source: homerenovationsavings.ca, checked November 2, 2026.
How the provincial program works
- Confirm your eligibility on the official program site.
- Choose a participating HVAC contractor. We help you pick the right size and submit your pre-installation application.
- Install only after pre-approval.
- Your contractor completes the post-installation application, and the rebate cheque arrives by mail, typically within 60 days.
Who qualifies
- You own the home. For a rented home, the owner must apply.
- You are an Enbridge Gas residential customer heating with natural gas, or connected to Ontario’s electricity grid and heating with electricity, oil, propane or wood.
- The home is a single detached, semi-detached, row or townhome, or a mobile home on a permanent foundation. New builds occupied for six months or less do not qualify.
- The project is a new heat pump installation. Replacing an existing heat pump with a new one is not eligible.
- The heat pump must be on the Natural Resources Canada qualified products list for cold climate air source units (ground source units have their own lists).
Federal and provincial: can you get both?
The official federal and Ontario program pages do not say whether the two rebates can be combined, and we will not guess. The federal portal opens in early 2027. Once the final rules are published, we will update this page and confirm in writing, before your install, what you can claim.
Official sources: Home Renovation Savings: heat pumps · Save on Energy · Government of Canada: National Heat Pump Rebate
Last updated: November 2, 2026. Program details are still being finalized by the Government of Canada and may change. This page is general information, not a guarantee of funding. Always confirm current rules on the official Government of Canada page.
The short version
- The Government of Canada is investing $2 billion to support up to 820,000 households that install a cold climate heat pump.
- Rebates are $2,000 for most households, or up to $10,000 if your after-tax household income is at or below the median for your province and household size.
- You apply online through a federal portal expected in early 2027. The program is expected to run until March 2034.
- No energy audit is required before or after installation.
- Heat pumps installed from November 1, 2026 onward may be eligible for a retroactive rebate once the portal opens. No payments are made until the program launches and your application is approved.
Who is eligible?
Based on the current program information, to qualify for a rebate during the retroactivity period:
- The heat pump must be on the program’s eligible product list, identified by its AHRI number. We install any brand that appears on that list.
- It must be purchased from and installed by an HVAC contractor.
- You live in Canada and own the home you are applying for. It does not have to be your primary residence, so a rental property can qualify.
- No federal funding has previously been provided for a heat pump at that address.
- Only one rebate is available per household, even if you own more than one property.
- Both planned and emergency installations are accepted. You do not have to prove your old system failed, and you do not have to remove it.
The rebate is available to households currently heating with electricity (including electric furnaces and baseboards), natural gas, heating oil, propane, diesel, coal or wood.
How much will you get? Ontario income thresholds
To receive the higher rebate (up to $10,000), your after-tax household income must be at or below the amount for your province and household size. For Ontario, the median after-tax household income used by the program (2025 dollars) is:
| Household size | Ontario threshold |
|---|---|
| 1 person | $46,981 |
| 2 people | $92,884 |
| 3 people | $119,850 |
| 4 people | $146,217 |
| 5 or more people | $158,202 |
To work out your household after-tax income, take line 23600 (net income) minus line 43500 (total taxes payable) from your 2025 tax return. If you have a spouse or common-law partner, add their figure too. When the portal opens, you will apply for the higher amount by providing your Social Insurance Number, which is securely sent to the Canada Revenue Agency to verify your income. The actual amount also depends on the cost of the equipment installed.
What your contractor’s receipt must include
You must submit your receipts within 6 months. The program requires that your contractor’s receipt includes:
Your details
The name and address of the person who will apply for the rebate.
Installer
The name of the company that installed the heat pump.
Equipment
Make, model and AHRI number of the installed equipment, plus the number of heat pumps installed.
Total project cost
The full cost of the installation, including directly related work such as ductwork and electrical upgrades.
Aurora Star Tech can prepare your invoice with these details so you have what you need when the portal opens. Keep your paperwork somewhere safe.
Is a heat pump right for your home?
A heat pump moves heat instead of generating it, so it heats and cools with one system and can use electricity very efficiently. The government also notes that for homes currently heated with natural gas, switching may not lower your heating bill, depending on your region, the system you choose and other factors.
That is why we start with a proper assessment: a heat-loss calculation, your ductwork, electrical capacity and how you want to use a backup heat source. The program encourages you to confirm that the system is sized to heat your whole home. Learn more on our heat pump installation and repair page, or read Furnace vs. Heat Pump: Which Heating System Is Right for You?
Frequently asked questions
When can I apply for the National Heat Pump Rebate?
The online application portal is expected to open in early 2027. Heat pumps installed on or after November 1, 2026 may be eligible for a retroactive rebate if you meet the criteria and apply once the portal is open.
How much is the National Heat Pump Rebate?
Eligible households may receive $2,000. Households with after-tax income at or below the median for their province and household size may receive up to $10,000, depending on income and the cost of the equipment installed.
Do I need an energy audit to get the rebate?
No. The program does not require an energy audit before or after installation.
Can I get the rebate if my furnace broke down and I need an emergency replacement?
Yes. Both emergency and planned heat pump installations are accepted, and you do not need to show that your existing system has broken down.
Does the heat pump have to be on an approved list?
Yes. Your heat pump must be on the program’s eligible product list, identified by its AHRI number. We install any brand on the list, and we will confirm the AHRI number of any system we quote before you commit.
Can landlords and owners of rental properties apply?
The home does not need to be your primary residence, so a property you rent out can qualify. Only one rebate is available per household, even if you own more than one property.
Is the rebate guaranteed?
No. Program rules are still being finalized and funding is not guaranteed until your application is approved. No payments are made until the program launches and applications are received and approved.
Can I combine the rebate with financing?
The rebate is administered separately by the federal government and is paid after your application is approved, so many homeowners look at financing to cover the installation cost up front. See our HVAC financing options and ask us what makes sense for your project.
Where does Aurora Star Tech install heat pumps?
We serve the Greater Toronto Area, including Vaughan, Richmond Hill, Markham, Aurora, Newmarket, Brampton, Mississauga, Toronto and nearby communities. See our services for the full list.
Thinking about a heat pump before the portal opens?
Tell us about your home and we will give you a clear quote that includes the equipment details the rebate requires.
Request a quoteCall 647-657-2977Source: Government of Canada, National Heat Pump Rebate program information, as published November 2026. Aurora Star Tech is not affiliated with the Government of Canada. Rebate eligibility, amounts and timelines are set by the federal program and may change.