BRITISH COLUMBIA – The Federal government has announced an investment of up to $103.7 million from Canada’s Low Carbon Economy Fund (LCEF) and the Oil to Heat Pump Affordability (OHPA) program to support climate action in B.C. and help low- and middle-income British Columbians reduce their energy costs.
The province of BC also announced an investment of up to $151 million toward this initiative.
Funding from Environment and Climate Change Canada and Natural Resources Canada will be used by British Columbia to provide grants to enable residents to switch their home heating systems from oil, propane, or natural gas to cleaner heating and cooling options. Funding will also enable building upgrades for low- and middle-income homeowners and tenants through the CleanBC Better Homes Energy Savings Program, which aims to support low- and middle-income households installing heat pumps and reducing their energy bills.
As part of the Oil to Heat Pump Affordability program, low- and middle-income applicants could receive a rebate of up to $16,000 to switch to high-efficiency heat pumps in homes currently heated with oil. With the support of the Low Carbon Economy Fund, these changes will also apply to homes heated with natural gas and propane.
This is an increase in support of approximately 70 percent from British Columbia’s existing rebate program. Those who are eligible and living in northern British Columbia can access up to an additional $3,000 toward the installation of a heat pump. Homes that require an electrical system upgrade can also qualify for a rebate of up to $5,000 to complete this work.
The funding announced could help applicants receive a total of up to $24,000 to cover the costs of a heat pump installation, including electrical upgrades.
“British Columbia’s provincial rebate programs empower residents and businesses to transition to energy-efficient heat pumps, reducing reliance on fossil fuels and lowering carbon emissions. These incentives not only cut energy costs, but also stimulate local economies by driving demand for installation services and manufacturing of green technologies. Ultimately, they foster a sustainable future while benefitting both individuals and businesses through improved comfort, affordability, and environmental stewardship,” said Chelsea Brandt, General Manager of RedBlue Heating and Refrigeration.
On average, homeowners who switch from oil to cold-climate heat pumps to heat their homes save between $1,500 and $4,700 per year on home energy bills.
The number of households in British Columbia with heat pumps has increased by approximately 80 percent since 2017, from an estimated 142,000 to 254,000. In 2022, for the first time ever, the number of heat pumps shipped to British Columbia (37,800) exceeded the number of natural gas furnaces shipped to British Columbia (30,700).
Business Examiner Staff
