Grant for affordable conversion from oil to heat pump


In January 2023, the Government of Canada announced a new grant program aimed at helping middle- and low-income Canadian and Quebec households change their heating oil system. According to this new subsidy program, this measure will cover, among other things, the cost of replacing the oil heating system you currently have, including the purchase and installation of a new heat pump, the safe removal of the old fuel oil and the upgrade of the electrical supply necessary to operate the central heat pump.

This is great news for homeowners, as amounts eligible for this Affordable Heat Pump Oil Conversion Grant (APHC) can be up to $5,000. In addition, this measure can be combined with other existing programs.

In total, it is an investment of $250 million from the Federal Government of Canada to reduce the financial and ecological impacts of the use of fossil fuels, in addition to encouraging the electrification of heating. In addition, it is a program adapted to the needs of Quebecers, a third of whom use fuel oil as their main source of fuel for heating during the winter.

What are the eligibility criteria for the CMTP grant?

In order to participate in this new program:

  • You absolutely must be the owner and principal resident of the residence in question. Make sure your current address is up-to-date on your government-issued ID.
  • In January 2023, your oil heating system must be operational. You must be able to demonstrate this by providing evidence to the government. For example, copies of heating oil bills for the last 12 months prior to your application are valid proof of this.
  • Your household must have an after-tax income equal to or less than the median after-tax income of Canadian households according to Statistics Canada's Low Income Measure threshold.
  • Unfortunately, you cannot have received financial assistance from the Government of Canada for the grant program Greener Homes.


What is great about this program is that on the one hand, the program can still be combined with funding from existing federal, provincial, territorial programs and services, and on the other hand, no residential energy evaluation is not necessary. Indeed, you do not need to bring in a government technician either before or after the installation. Requesting and obtaining money is therefore easier and faster for Quebecers and Canadians. The CMTP grant money will be available even before the installation of your new central heat pump!

According to Statistics Canada, nearly two-thirds of all energy used by homes in Canada is used for heating and cooling. So, on average, homeowners who switch from an oil heating system to central cold climate heat pumps for heating their home would save between $1,500 and $4,700 per year on their energy bills. It’s a double whammy of savings. You save when buying and installing your ENERGY STAR® mini splirt heat pump, then you save money all year round on your heating bills.

You should also note that the price of fuel oil varies greatly these days. It has even doubled since last winter in Quebec! In some parts of Canada, the price of fuel has even tripled in the past two years, obviously bringing heating costs to very difficult prices for many low-income residents.

Consult the other programs offered by the Government of Canada or the Government of Quebec to ensure that you take full advantage of all the grants and subsidies that are available to you. There are several and the more you inform yourself, the more you will save!