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Heat Pump Rebates in Ontario (October 2026): The Home Renovation Savings Amounts by Heating Fuel, the Per-Ton Rule at 8.3 C, Pre-Approval and Who Does Not Qualify
Heating, Cooling & Ventilation
The Ontario Heat Pump Rebate: What It Pays by Fuel, How the Tons Are Counted, and the One Step That Loses People the Cheque
The heat pump rebate in Ontario is real money, up to $7,500 on a house heated with propane, oil, electricity or wood. It is also easy to lose, because the step that matters happens before anybody installs anything. This page sets out what Home Renovation Savings pays for heat pumps as of October 2026, how the program counts tons, which houses do not qualify, and what to have the contractor put in writing.
The amounts, by what heats the house now
$1,250per ton, cold-climate air-source, non-gas homes
$7,500cap, cold-climate air-source, non-gas homes
$500per ton, cold-climate air-source, gas homes
8.3 Cwhere the tons are measured
| Home heated with | Heat pump | If you qualify, up to | Cap reached at |
|---|---|---|---|
| Enbridge natural gas | Cold-climate air-source | $500 per ton, max $2,000 | 4 tons |
| Enbridge natural gas | Ground-source | $3,000 | flat amount |
| Electricity, oil, propane or wood, on the Ontario grid | Cold-climate air-source | $1,250 per ton, max $7,500 | 6 tons |
| Electricity, oil, propane or wood, on the Ontario grid | Ground-source | $2,000 per ton, max $12,000 | 6 tons, closed-loop capacity |
| Renters | As above | the natural gas amounts |
No energy assessment is needed for the heat pump stream. The amounts are what the program pays afterward, by cheque, if every condition is met. They are never money off the contractor’s price. The program as a whole is on the Home Renovation Savings page.
Why Ontario prices are all over the map: the rebate is fixed; the price it comes off is not. For a cold-climate ducted heat pump, the contractors and price guides we checked ran from a home-services marketplace at $4,500 to $10,000 with existing ducts, through a national HVAC cost guide at $7,000 to $12,000, to a heat pump price guide at $12,000 to $18,000 and up. Some include the line set, electrical and rebate paperwork and some do not, and some quotes are built around the rebate rather than the house. Budget about $13,000 for 3 tons on existing ducts, and get two or three quotes on the same written scope.
How the tons are counted
A ton is 12,000 BTU/h. The catch is which BTU/h. The program pays per ton of the unit’s minimum rated heating capacity at 8.3 C (47 F), not at minus 25 C and not what the brochure calls it. A unit whose minimum rated capacity at 8.3 C is 36,000 BTU/h is 3 tons for the program; one called a “3 ton” in the showroom may not be.
That number tells you nothing about how the unit heats your house in February. What it does at minus 25 C is a different line on the listing, and it is the one that matters for comfort. The cold-climate heat pump page explains how to read it. Size the unit to the heat loss, then see what rebate that size earns. Never the other way round; oversizing for the rebate buys you a short-cycling machine and a few hundred dollars.
The heat pump must be on the Natural Resources Canada qualified products list. For a water-to-water ground-source unit, it is the ENERGY STAR geothermal list. Ask for the exact outdoor and indoor model numbers on the quote and check them yourself.
Worked examples
A propane-heated bungalow near Midland, 3 ton cold-climate ducted heat pump. If the house and the unit qualify: 3 x $1,250 = $3,750. The install at about $13,000 is still $13,000 on the contract. The $3,750 arrives by mail within about 60 days after the contractor’s post-installation application.
The same house heated with Enbridge gas. 3 x $500 = $1,500. A 5 ton unit would work out to $2,500 but stops at the $2,000 cap.
A large oil-heated farmhouse, 7 tons of cold-climate capacity at 8.3 C. 7 x $1,250 = $8,750, capped at $7,500. The cap is reached at 6 tons.
A ground-source system in an electrically heated house, 4 tons of closed-loop capacity. 4 x $2,000 = $8,000, under the $12,000 cap. In a gas-heated house the same system gets the flat $3,000. Geothermal pricing is on the geothermal cost page.
A new house we finished in June, owners moved in four months ago. Nothing. A home occupied six months or less is a new build for the program, and new builds do not qualify. Price new houses without it; the new home HVAC cost page does.
The order of operations
- Pick a participating HVAC contractor. Only a participating contractor can apply. Ask, then check the program site yourself.
- The contractor submits the pre-installation application. This is the step people lose. Installation starts only after approval, and installations done before approval are not eligible, no matter how good the heat pump is.
- Get the approval in writing before the crew books the date. A text that says “we sent it in” is not approval.
- After installation, the contractor submits the post-installation application. The cheque comes by mail within about 60 days.
- Sign a contract priced without the rebate. If the program changes, closes, or rejects the application, you still owe the contract price. A quote that shows the rebate already subtracted is a quote to read twice.
The other offers that sit beside it
Without an assessment: a smart thermostat, $125; attic insulation, up to $1,250; solar panels and battery storage, up to $10,000. With an EnerGuide evaluation and two or more upgrades: a heat pump water heater, $500; insulation up to $7,700; windows and doors $100 per rough opening; air sealing up to $250. The insulation rebate page covers that side. The usual rules apply to all of it: if you qualify, up to the amount, and check the program site before you sign.
Questions people ask
How much is the heat pump rebate in Ontario?
As of October 2026, if you qualify: for a cold-climate air-source heat pump, $1,250 a ton up to $7,500 in a home heated with electricity, oil, propane or wood on the Ontario grid, or $500 a ton up to $2,000 in an Enbridge gas-heated home. Ground-source is $2,000 a ton up to $12,000, or a flat $3,000 in a gas-heated home.
Can I get the rebate if the heat pump is already installed?
No. The contractor has to submit the pre-installation application and get approval first. Installations done before approval are not eligible.
Do I need an energy audit for the heat pump rebate?
Not for the heat pump stream. The assessment path, with an EnerGuide evaluation and two or more upgrades, is for things like the $500 heat pump water heater and the insulation amounts.
Does a new house qualify for the heat pump rebate?
No. New builds are excluded, and a home occupied six months or less counts as a new build.
Why is my rebate less than the tons on the box?
Because the program counts the minimum rated heating capacity at 8.3 C, which can be less than the nominal size the unit is sold as. Ask the contractor for the listed number and the rebate it works out to, in writing.
Work out what the heat pump saves before the rebate
A rebate is a one-time cheque; the fuel bill is every year for 15 years. The heat pump vs gas cost calculator takes your own rates and shows the yearly and 15-year cost both ways. If you have quotes with rebate amounts on them, the $99 review checks the tons, the listing and the paperwork against this page.
Sources and further reading
- Home Renovation Savings: heat pumps: the heat pump rebate by existing heating fuel, the per-ton rule, pre-approval through a participating contractor and the new-build exclusion.
- NRCan Searchable Product List: where you check that the exact outdoor and indoor model numbers on a quote are a listed cold-climate heat pump.
- Home Renovation Savings: the Enbridge and IESO program page: streams, eligibility, participating contractors and current amounts; check it before you sign anything.
