What Was Announced
On October 8, 2026, the Prime Minister announced the National Heat Pump Rebate as the centrepiece of a $2 billion federal investment, over eight years, aimed at one million home retrofits across Canada. The rebate is designed to reach up to 820,000 homeowners who switch to an eligible electric cold-climate air-source heat pump.
The program is built around the most common way heating equipment actually gets replaced: when the existing system breaks down or is near the end of its life. It is not built around a home energy audit or a months-long renovation plan.
How Much You Get
- Households below the median income: Up to $10,000
- Other eligible homeowners: $2,000
The exact income threshold for the higher amount has not been published yet. There is one rebate per person: if a landlord takes the rebate for a heat pump in a rental property, that person cannot also take it for their own home.
Federal officials say the rebate can be combined with existing provincial incentives, such as Ontario's Home Renovation Savings heat pump rebates, so a household may be able to stack both on the same installation. Confirm the stacking rules for your province when the program opens.
How It Will Work
- Eligible products list: The heat pump must be on the federal Eligible Products List (more than 100,000 models and configurations suited to the Canadian climate).
- No energy audits: No pre- or post-installation energy audit is required.
- Online portal: Applications go through a federal online portal with a short form (basic personal information plus details of the eligible heat pump).
- Fast approval: The government says approval will be confirmed within 24 hours.
- Payment after installation: After the pre-approved heat pump is installed, you submit receipts through the portal, and payment is approved within five days.
Status: Announced, Not Yet Open
The program was announced on October 8, 2026, and the application portal is not open yet. Federal officials are targeting an early 2027 launch, and full eligibility details (including the income threshold for the $10,000 amount) are still to be published. Ottawa has signalled the program may be made retroactive to fall 2026, but that is not confirmed in the published announcement.
Practical advice for fall 2026: if your furnace or boiler fails before the portal opens, do not count on this rebate for that replacement. Check the provincial and utility programs in this directory instead - several pay heat pump rebates today. If your system is aging but still running, getting quotes now means you can move quickly when applications open.
Expected Savings
The government estimates that households switching from oil, propane, or electric resistance heating (electric furnaces and baseboards) save more than $1,400 a year on energy bills on average, and a heat pump also provides air conditioning in summer. Your actual saving depends on your current fuel, local electricity and fuel prices, and how well your home holds heat.
Program details can change before launch - verify the current rules on the official announcement page before relying on them.