Ontario HVAC Rebates by Service Type, 2026
What each kind of install actually earns in 2026: heat pump, hybrid furnace, standalone AC, and water heater, with the eligibility checklist to work through before you book. Amounts depend on your heating fuel. For the full program list and how we file, see the Ontario heat pump rebates hub.
Looking for an AC rebate?
There is no Ontario rebate for a standalone central air conditioner in 2026. A cold-climate heat pump cools your home the same way, heats it in winter too, and qualifies for the Home Renovation Savings rebate:
- Up to $2,000 if your home heats with natural gas
- Up to $7,500 if it heats with electricity, oil or propane
We confirm which applies to your home, and your net cost after the rebate, in a written quote.
Looking for a furnace rebate?
There is no Ontario rebate for a new gas furnace in 2026 (the Enbridge HER+ program closed December 31, 2025). A heat pump does qualify for the Home Renovation Savings rebate, including a hybrid that keeps your furnace as backup:
- Up to $2,000 if your home heats with natural gas, including a hybrid with a gas furnace backup
- Up to $7,500 if you replace an electric, oil or propane furnace with a cold-climate heat pump
We confirm which applies to your home, and your net cost after the rebate, in a written quote.
Some programs from 2024 and 2025 have closed or changed. The table below lists only what new applicants can claim today. See what closed and what replaced it
2026 Ontario HVAC Rebate Programs
| Program | Eligibility | What it covers | Max amount |
|---|---|---|---|
| HRS air-source heat pump | All Ontario homeowners | Cold-climate heat pump install | $2,000 gas / $7,500 non-gas |
| HRS geothermal heat pump | All Ontario homeowners | Ground-source heat pump install | $3,000 gas / $12,000 non-gas |
| Save on Energy Energy Affordability | Income-qualified homes heated by electricity or oil | No-cost heat pump (CGH Affordability is not offered in Ontario) | No-cost |
| Smart Thermostat | Any HRS HVAC upgrade | Smart thermostat install | $125 |
| HRS Heat Pump Water Heater | HPWH install | Heat pump water heater | $500 (with a home energy assessment and at least one other upgrade) |
| HRS Insulation Bundle | Comprehensive insulation upgrade | Attic, walls, basement, air sealing | $7,700 |
Rebate amounts current as of October 2026. Programs and amounts may change. We verify current eligibility during your free in-home assessment.
Rebates by Service Type
The number depends on what goes in and how the house is heated. If you are combining programs, our guide to stacking heat pump rebates walks through the order that maximises the total.
Heat Pump Installation
Up to $7,500
HRS pays up to $7,500 for a cold-climate air-source heat pump in an electric, oil, or propane-heated home, or up to $2,000 in a natural-gas home. Geothermal pays up to $12,000 (non-gas). Add the $125 smart thermostat rebate on top.
Hybrid Furnace + HP
Up to $2,000
In a dual-fuel install, the heat pump qualifies for the HRS air-source rebate for a natural-gas home: up to $2,000. Pair it with the $125 smart thermostat rebate for the easiest stack.
Standalone AC
$0 direct
No active rebate for standalone central AC in 2026. Switching to a cold-climate heat pump (same equipment footprint, same install day) unlocks the HRS air-source rebate: up to $2,000 if your home heats with natural gas, or up to $7,500 if it heats with electricity, oil or propane.
Heat Pump Water Heater
$500
HRS HPWH rebate. Stacks with the main heat pump install if you bundle into one project. Standard tankless and condensing gas units no longer have a rebate.
Get a written quote with your rebate and net cost.
Common Rebate Scenarios
Three real-world combinations for the most common Ontario HVAC upgrade paths. Numbers assume the full eligible rebate at each tier; your stack may vary slightly with equipment choice.
Electric / oil / propane furnace → cold-climate air-source heat pump
up to $7,625 in grants
- HRS (air-source HP, non-gas home)$7,500
- HRS thermostat$125
Natural-gas furnace → cold-climate air-source heat pump
up to $2,125 in grants
- HRS (air-source HP, gas home)$2,000
- HRS thermostat$125
Income-qualified home heated by electricity or oil → heat pump (via Save on Energy Energy Affordability)
no-cost for income-qualified homes heated by electricity or oil
- Save on Energy Energy Affordabilityno-cost heat pump for eligible homes heated by electricity or oil
Get a written quote with your rebate and net cost.
How EcoFrost Handles Your Rebate, Step by Step
Free in-home assessment
We measure heat load, inspect electrical service, review insulation, and pre-screen every rebate program for your eligibility. No cost, no obligation.
HRS portal pre-registration
We register your project on the IESO HRS portal before equipment ships. Pre-registration protects your rebate against program changes and queue caps. For the insulation bundle (and only that), we coordinate a Registered Energy Advisor pre-audit.
Pre-approval and quote
Once eligibility is confirmed, we issue a flat-rate written quote showing list price, expected rebate amount, and net cost. You sign off knowing exactly what arrives at the end.
Equipment install and commissioning
Permits filed, install completed, all systems tested and balanced. We document AHRI certifications, model and serial numbers, and energy ratings for the rebate submission.
Post-install documentation and submission
Rebate submission filed within 14 days of install. Tracking number provided so you can follow progress through the IESO program portal.
Rebate paid directly to you
The HRS program pays rebates directly to the homeowner by cheque, not through EcoFrost, within 60 days after the post-installation application is approved.
Rebate Eligibility Checklist
Use this quick checklist to estimate your rebate before booking an assessment.
Standard HRS heat pump rebate (everyone):
- Primary residence in Ontario
- Detached, semi-detached, townhouse, or row house
- Installing a heat pump on NRCan's cold-climate heat pump qualified products list
- HRS portal pre-registration before equipment ships
- Licensed contractor on the IESO contractor list
Bonus stacking opportunities:
- Non-gas home (electric, oil, propane): full $7,500 air-source rebate vs $2,000 for gas homes
- Income-qualified home heated by electricity or oil: no-cost heat pump via Save on Energy Energy Affordability
- Adding insulation in the same project (+HRS bundle up to $7,700)
- Adding smart thermostat (+$125 HRS rebate)
- Adding heat pump water heater (+$500 HRS rebate, with an assessment and one other upgrade)
Check Your 2026 Rebate Eligibility Today
Free in-home assessment. We pre-screen every available rebate, confirm the amount for your home's heating fuel, and give you a written quote with the rebated net cost. EcoFrost handles all paperwork end-to-end.
Recently Closed Programs
For transparency. If a contractor quotes you a rebate from one of these, ask which current program they are actually applying for.
Canada Greener Homes Loan
Closed October 1, 2025
Instead: No federal replacement. Ask about standard equipment financing.
Oil to Heat Pump Affordability Program
Closed July 31, 2026, federally run provinces only (not Ontario)
Instead: Ontario: still open to income-qualified oil homes as a no-cost install via Save on Energy
Canada Greener Homes Grant
Closed February 5, 2024
Instead: In Ontario: HRS, or Save on Energy's Energy Affordability Program if income-qualified
Enbridge Home Efficiency Rebate Plus (HER+)
Closed December 31, 2025
Instead: Home Renovation Savings Program (no assessment required for heat pumps)
Applications already approved under these programs are not affected.
Frequently Asked Questions
Got questions about HVAC services in the GTA? We've got answers.
The main active program is the Home Renovation Savings Program (HRS). It pays up to $7,500 for a cold-climate air-source heat pump in an electric, oil, or propane-heated home, or up to $2,000 in a natural-gas (Enbridge) home. Geothermal pays up to $12,000 (non-gas) or up to $3,000 (gas). HRS also covers a $125 smart thermostat and, with a home energy assessment and at least two upgrades, a $500 heat pump water heater and an insulation bundle up to $7,700. Income-qualified households heated by electricity or oil can get a no-cost heat pump through Save on Energy's Energy Affordability Program. The federal Canada Greener Homes Loan and the Oil-to-Heat-Pump grant have both closed to new applicants.
It depends on how your home is heated. A home heated by electricity, oil, propane, or wood gets up to $7,500 for an installed cold-climate air-source heat pump on NRCan's cold-climate heat pump qualified products list ($1,250 per ton), or up to $12,000 for a ground-source/geothermal system. A natural-gas (Enbridge) home gets up to $2,000 for an air-source heat pump ($500 per ton) or up to $3,000 for geothermal. The full amount is paid for a true cold-climate ASHP (Lennox MLA, Mitsubishi Hyper-Heat, Daikin Aurora, Bosch IDS, Carrier Greenspeed). There is no household income test for the heat pump rebate, and the previous HER+ requirement for a pre/post energy assessment has been removed.
The large federal stacking programs have closed. The Canada Greener Homes Loan (0% financing) closed October 1, 2025; in Ontario the federal Oil-to-Heat-Pump funding now reaches only income-qualified oil-heated homes, as a no-cost install through Save on Energy, so the big stacked totals from 2024-2025 are no longer available to new applicants. Today the standard combination is the HRS heat pump rebate plus the HRS smart thermostat rebate ($125), and, if you add insulation in the same project, the HRS insulation bundle up to $7,700. Income-qualified households heated by electricity or oil can instead get a no-cost heat pump through Save on Energy.
Standalone high-efficiency furnace upgrades are no longer the focus of Ontario or federal rebate programs in 2026. HRS rewards switching to a heat pump (which provides both heating and cooling) rather than a like-for-like gas furnace replacement. If you replace your furnace with a hybrid heat pump system (heat pump + gas furnace backup), the heat pump qualifies for the HRS air-source rebate for a natural-gas home: up to $2,000, plus the smart thermostat rebate.
Yes. The HRS program pays $500 for a heat pump water heater (HPWH) install, with a home energy assessment and at least one other upgrade. Standard tankless and condensing gas water heater rebates from Enbridge ended with HER+. There is no active rebate for conventional tankless or gas storage water heaters in 2026.
Standalone central AC units do not qualify for HRS rebates. However, a cold-climate heat pump provides AC plus winter heating and qualifies for the HRS air-source rebate (up to $7,500 in a non-gas home, up to $2,000 in a gas home, or up to $12,000 for geothermal). If your AC is at end of life, the math often favours switching to a heat pump rather than replacing the AC and keeping the furnace separately.
In Ontario, yes for income-qualified oil-heated homes. The program is delivered here through Save on Energy's Energy Affordability Program, which installs a cold-climate heat pump at no cost (up to $25,000 in federal and provincial funding, plus a $250 bonus cheque). The July 31, 2026 deadline and the $10,000 upfront cheque applied only where Ottawa ran the program directly (Alberta, Manitoba, NWT, Quebec and Saskatchewan). We check your eligibility during the free assessment.
HRS pays the homeowner by cheque within 60 days after the post-installation application is approved. We submit all paperwork on your behalf and provide tracking updates as confirmations arrive through the IESO program portal.
Yes. EcoFrost handles end-to-end rebate paperwork at no extra charge. This includes pre-installation eligibility verification, IESO HRS portal registration before equipment ships, post-installation documentation with photos and AHRI certificates, and rebate submission. You sign the application and provide ID; we handle the rest. Final rebate payment goes directly from the program to you, not through us.
Enbridge HER+ closed December 31, 2025 and was replaced by Ontario's HRS program (no assessment requirement for heat pumps). The federal Canada Greener Homes Grant stopped taking new applicants February 5, 2024; income-qualified Ontario households now use Save on Energy's Energy Affordability Program (the federal Canada Greener Homes Affordability Program is not offered in Ontario). The federal Canada Greener Homes Loan (0% financing up to $40,000) closed to new applications October 1, 2025 once funding was committed. Pre-registered or already-approved applications under the closed programs are still being honoured.
Still have questions? We are here to help.