Stellarton, NS — Households looking to move from oil heating to an electric heat pump can apply for a new grant, which could put up to $5,000 back in their pockets. The federal government announced a $250 million investment in the Oil to Heat Pump Affordability (OHPA) Grant.
Starting in early 2023, the OHPA Grant will be available through the Canada Greener Homes Initiative Portal.
“Heating and cooling our homes more efficiently — with technology like electric heat pumps — costs Canadians less money and reduces pollution. We’re pleased to help Canadians do just that,” said Jonathan Wilkinson, minister of natural resources.
The new OHPA Grant focuses on providing help to low-to-moderate-income households across Canada. On average, homeowners who switch from oil to cold-climate heat pumps save between $1,500 and $4,700 per year on home energy bills, according to the government of Canada.
Homeowners would receive the grant prior to the installation of the heat pump. Canadian households may be eligible for the grant if:
- Their household has an after-tax income at or below the median household after-tax income, as defined by Statistics Canada’s Low Income Measure Threshold (for example, $53,140 after-tax for a family of four);
- Their home is oil-heated as of January 2023 (this must be demonstrated with copies of their oil fuel bills from the 12 months preceding their application); and
- They are the primary resident and owners of the home.
Eligible homeowners will be able to combine OHPA Grants with funding from existing federal, provincial, territorial and utility programs. The OHPA Grant will provide up to $5,000, which would cover costs including purchasing and installing an eligible heat pump, electrical upgrades required for the new heat pump, and the safe removal of the oil tank.