Top HVAC Rebates & Energy Incentives Available in Ontario
Thinking about upgrading your HVAC system this year? If you’re a homeowner in Ontario, there are some rebates, incentives, and government-backed programs that reward energy efficiency upgrades, especially when it comes to heat pumps, high-efficiency furnaces, and electrification.
But with multiple programs available through federal, provincial, and utility sources, it can be hard to know what you actually qualify for, and how to apply before funding runs out.
What Types of HVAC Rebates Are Available in Ontario Right Now?
Rebate and incentive programs in Ontario generally fall into three categories:
- Federal Programs – Canada Greener Homes Initiative (limited availability)
- Utility Company Rebates – Offered through Enbridge, Hydro One, etc.
- Municipal or Regional Incentives – Local bonuses and limited-time offers
The most accessible and active program for 2025 is the Home Efficiency Rebate Plus (HER+), run in partnership between Enbridge Gas and Natural Resources Canada (NRCan).
Key Program: Home Efficiency Rebate Plus (HER+)
This is currently the most widely used HVAC rebate program in Ontario. It supports a range of upgrades, including:
- Air-source heat pump installations
- High-efficiency gas furnace replacements
- Improved home insulation
- Air sealing and smart thermostats
To qualify, you must:
- Own a detached, semi-detached, or row house
- Complete a pre-upgrade energy audit (performed by a licensed energy advisor)
- Use approved, licensed HVAC installers
- Complete a post-upgrade audit
Potential HVAC rebates under HER+ include:
| Upgrade Type | Max Rebate |
| Heat pump (cold climate) | Up to $7,800 |
| High-efficiency gas furnace | Up to $1,200 |
| Smart thermostat | Up to $125 |
| Attic insulation | Up to $2,350 |
Other Local and Utility Rebates to Watch For
Depending on where you live in Ontario, you may also find additional incentives such as:
- Hydro One Peak Perks Program – Small rebates for using smart thermostats during peak energy times
- City of Toronto Home Energy Loan Program (HELP) – Financing with low interest for energy retrofits
- Clean Home Heating Initiative (pilot) – Rebates for switching from gas to electric HVAC systems in select zones
You’ll also find some rebate programs that apply specifically to heat pumps, especially if you’re switching from a gas furnace or upgrading an older AC system. If that’s something you’re considering, we’ve put together a guide on where to buy a heat pump in Ontario, it breaks down what to look for, which models qualify for rebates, and how to avoid common mistakes.
How to Qualify for Rebates and Avoid Common Pitfalls
Even if you plan to upgrade your system, you can’t just buy a heat pump and claim the rebate afterward. Here’s what to do instead:
- Book an energy audit first – Required for HER+ eligibility
- Work with a licensed HVAC contractor – Systems must meet eligibility criteria
- Keep your receipts and invoices – Auditors need them to verify installation
- Act early – Some programs have limited funding and close without notice
Why 2025 Is the Right Year to Upgrade
Beyond rebates, there are other reasons homeowners are choosing to make HVAC upgrades this year:
- Lower operating costs with heat pumps and variable-speed systems
- Better home comfort year-round, especially with cold-climate models
- Higher resale value from energy upgrades
- Government pressure to phase out older gas systems in the coming years
For many families in the GTA, upgrading means combining long-term savings with short-term rebates, a win on both sides.
Not sure where to begin?
We can help guide you through available programs, energy audits, eligible models, and installation. Whether you’re comparing options or ready to upgrade, we’re here to help.
Contact our team to find out what rebates your home qualifies for, or explore available heat pump systems here.