Ottawa relaunches greener homes retrofit program in four provinces, targets low- and middle-income households

The revamped Canada Greener Homes Affordability Program will initially roll out in Quebec, British Columbia, Nova Scotia and Prince Edward Island through partnerships with provincial governments, with further expansion expected as additional agreements are reached, CBC News reported.

Under the programme, eligible homeowners and renters will receive no-cost energy-efficiency upgrades, including heat pumps, insulation, air sealing and other retrofits designed to reduce monthly utility bills while improving home energy performance.

Unlike the previous Canada Greener Homes Grant, which primarily served homeowners, the new initiative also extends eligibility to income-qualified tenants.

The federal government said more than $500 million will be invested in the initial phase of the programme, including about $300 million in federal funding, to help approximately 35,000 low- and middle-income households undertake energy-saving upgrades.

Officials estimate participating households could save between $300 and $1,700 annually on energy costs while reducing greenhouse gas emissions by about 1.5 tonnes per year.

Quebec will receive the largest share of funding, with approximately $243.5 million allocated to retrofit about 25,000 households.

In British Columbia, federal and provincial governments will jointly invest more than $220 million to expand existing retrofit programmes through BC Hydro and FortisBC.

Nova Scotia and Prince Edward Island will also receive funding to expand their provincial home energy-efficiency initiatives.

The relaunch follows the closure of the Canada Greener Homes Grant, introduced in 2021, which provided grants of up to C$5,000 for energy-efficient home improvements before exhausting its funding and closing to new applicants in 2024.

The federal government says the new affordability-focused model shifts delivery to provincial and territorial partners and covers the full cost of recommended retrofits for eligible households, eliminating upfront expenses.

According to Natural Resources Canada, the expanded programme is intended to help Canadians manage rising energy costs while supporting the country's climate objectives by improving residential energy efficiency and reducing emissions.