Province launches ‘most generous’ incentives for home heating, cooling upgrades

The Manitoba government hopes to encourage homeowners to upgrade their heating and cooling systems, lauding a new incentive program as the “most generous offer” the province has ever introduced.

The affordable home-energy program will help cover the cost of installing ground-source heat pumps for eligible homeowners.

Switching from electrical heating to a geothermal system could save people who qualify for the program up to $1,000 annually and reduce their energy bills by up to 30 per cent, the province said Tuesday.

“We know that this a big shift from traditional heating systems and that’s why we’re backing this program with some of the most generous financial supports Efficiency Manitoba has ever offered,” Environment and Climate Change Minister Mike Moyes told reporters as he announced the program.

Moyes said the heat pumps are among the most efficient way to heat and cool residential homes because they use less than half the energy required of a typical electric furnace.

The province has set a target of converting 5,000 homes to the geothermal pumps, which will mitigate Manitoba’s peak energy demands and reduce emissions, he said.

“In Manitoba, we’re committed to being a net zero province by 2050 and exploring renewable and sustainable energy sources is part of that goal,” Moyes said.

Ground-source heat pumps circulate a heat transfer fluid through a network of underground pipes. The fluid absorbs heat from the earth and then pumps it into the home via a fan or radiator system. The process is reversed when cooling a home, extracting the heat from inside and redistributing it underground.

The system is designed to work even in cooler temperatures.

The amount people enrolled in the program will save on pump installation is determined by which incentive level they qualify for. The savings tiers are based on various factors, including household income, said Colleen Kuruluk, CEO of Efficiency Manitoba.

“When designing our offers, we recognize that every household is different and the needs of Manitobans are certainly unique. This ranges from the size of the home to the number of occupants to their income and ability to invest in energy efficiency,” she said.

“Participants don’t need to pay anything up front. We pay the contractor directly, and the monthly cost is conveniently added to their energy bill.”

Some homeowners could see up to 75 per cent of the installation cost covered by the incentive program. They will be expected to repay the remaining expense via monthly payments added to their heating bills, Kuruluk said.

Despite the repayment cost, most homeowners will spend less overall on their monthly energy bills, allowing them to immediately realize the savings, she said.

Efficiency Manitoba expects to spend about $10 million annually on the program, although the overall budget could be higher, depending on the popularity of the program, Kuruluk said.

More options are available for multi-unit residential buildings. Additional information is available on the Efficiency Manitoba website.

tyler.searle@freepress.mb.ca