Canada’s Oil to Heat Pump Affordability Program

Canada’s Oil to Heat Pump Affordability Program: 2025 Guide

Canada’s Oil to Heat Pump Affordability Program (OHPA) is a game-changer for homeowners looking to ditch costly oil heating systems and transition to cleaner, more efficient heat pumps. Part of the federal Canada Greener Homes Initiative, this program offers grants of up to $10,000 to help households reduce energy bills and carbon footprints. In this guide, we’ll break down how OHPA works, who qualifies, and how to apply for your heat pump upgrade.

What is the Oil to Heat Pump Affordability Program?

The OHPA is a federal initiative designed to help low-to-median-income households replace oil-powered heating systems with energy-efficient heat pumps. With heating oil prices soaring and climate goals in focus, this program provides financial relief while promoting sustainable home upgrades.

Key Benefits:
✅ Up to $10,000 in Grants: Covers heat pump installation, electrical upgrades, and safe oil tank removal.
✅ Lower Energy Bills: Heat pumps use 50% less energy than traditional oil systems.
✅ Reduce Carbon Emissions: Cut your household’s greenhouse gas output by up to 3.2 tonnes annually.

Who Qualifies for OHPA Grants?

To claim OHPA funding, homeowners must meet these criteria:

  1. Primary Residence: The property must be your main home (rentals/secondary homes excluded).
  2. Oil Heating System: Your current heating source must be oil-based.
  3. Income Eligibility: Household income must fall below regional thresholds (e.g., under $124,100 for a family of 4 in most provinces).
  4. Pre- and Post-Installation Evaluations: An EnerGuide evaluation is required before and after upgrades.

Pro Tip: Combine OHPA with provincial rebates (e.g., Energize Nova Scotia or BC Hydro Rebates) for even greater savings!

Which Provinces and Territories Does OHPA Apply To?

The Oil to Heat Pump Affordability Program is a federal initiative, meaning it’s available to eligible homeowners in all provinces and territories across Canada. However, income eligibility thresholds vary slightly by region due to cost-of-living differences.

Provincial Breakdown:

  • Atlantic Canada (NS, NB, PEI, NL): Lower income thresholds (e.g., $53,600 for a single-person household).
  • Central Canada (ON, QC): Moderate thresholds (e.g., $58,500 for a single person in Ontario).
  • Western Canada (BC, AB, SK, MB): Higher thresholds in some areas (e.g., up to $67,000 for a single person in Alberta).
  • Northern Territories (YT, NT, NU): Adjusted thresholds to reflect higher living costs.

Important:

  • Quebec residents may need to apply through provincial partners like Rénoclimat.
  • Always confirm your province’s exact income limits via the OHPA eligibility tool.

How to Apply for the OHPA Grant

  1. Check Eligibility: Confirm your household income and heating system qualify.
  2. Book an EnerGuide Evaluation: A certified advisor will assess your home’s energy use.
  3. Get Quotes: Work with a licensed contractor for heat pump installation and oil tank removal.
  4. Submit Your Application: Apply through the Canada Greener Homes Portal with proof of income, quotes, and evaluations.
  5. Claim Your Grant: Receive reimbursement after upgrades are verified.

Why Switch to a Heat Pump?

Heat pumps are the #1 heating upgrade for Canadian homes, and here’s why:

  • Year-Round Comfort: Provide heating in winter and cooling in summer.
  • Energy Efficiency: Transfer heat instead of generating it, slashing energy use.
  • Government Incentives: OHPA grants cover up to 100% of costs for eligible households.

FAQs About the Oil to Heat Pump Program

Q: How long does the application process take?
A: Allow 4–6 weeks for evaluation approvals and 2–3 months for installation.

Q: Can I combine OHPA with other grants?
A: Yes! Pair it with the Canada Greener Homes Loan for 0% interest financing on larger retrofits.

Q: Are there income caps for OHPA?
A: Yes. For example, a single-person household must earn under $58,500 annually.

The Oil to Heat Pump Affordability Program is a golden opportunity to lower your energy bills, boost home comfort, and contribute to Canada’s net-zero goals. With grants covering most (or all) costs for eligible families, there’s never been a better time to make the switch.

Ready to Act?
Visit the official Canada Greener Homes Initiative page to start your application or contact a certified energy advisor today!

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