Canadians know that climate change is costly – not just for the environment, but for their pocketbooks. They also know that we must prioritize affordability while fighting the worst possible impacts of climate change to ensure a strong economy and clean air for our communities.
Today, the Honourable Bernard Davis, Minister of Environment and Climate Change for the Government of Newfoundland and Labrador; and the Honourable Gudie Hutchings, Federal Minister of Rural Economic Development and Minister responsible for the Atlantic Canada Opportunities Agency, on behalf of the Honourable Steven Guilbeault, Minister of Environment and Climate Change, and the Honourable Jonathan Wilkinson, Minister of Energy and Natural Resources; provided an update on federal-provincial investments for energy efficiency initiatives for Newfoundlanders and Labradorians.
The Government of Canada and the Government of Newfoundland and Labrador have already collaborated on several initiatives designed to help reduce greenhouse gas emissions and energy bills. Building on that momentum, today the federal and provincial governments announced a $24-million agreement through the Low Carbon Economy Fund to boost the Newfoundland and Labrador Oil to Electric Incentive Program. The funding announced today will help cover the average cost of a heat pump and enable the provincial Government to transition 3,000 homes to cleaner, more affordable heating options in the coming year.
The agreement supports the recently announced strengthened Oil to Heat Pump Affordability Program (OHPA). This program allows eligible Newfoundlanders and Labradorians to receive up to $22,000 in support for switching to a heat pump, electric furnace, or electric boiler. The $22,000 funding includes up to $15,000 from the Government of Canada’s OHPA program and another up to $7,000 from the Government of Newfoundland and Labrador and other federal funds.
To date, 2,065 Newfoundland and Labrador households have applied to the OHPA and the Newfoundland and Labrador Oil to Electric Incentive Program to make the switch from an oil tank to a new electric heat source. This builds on the success of the Government of Canada’s Greener Homes Grant which has led to the installation of 4,481 heat pumps in homes across Newfoundland and Labrador.
As Canada continues its efforts to build a low-carbon future, it will continue to provide Canadians with the tools and support needed to heat their homes cleaner and more affordably. This includes supporting projects across Newfoundland and Labrador such as:
- Enabling the switch from oil heating to electric heat pumps.
- Energy-efficiency improvements in low-income homes, schools, hospitals, and long-term care facilities.
- Power grid projects that ensure electricity is reliable, clean and affordable in every home.
Quotes
“We are pleased to continue to work with the Government of Canada to reduce reliance on fuel oil and enhance energy affordability for homeowners. Our provincial Oil to Electric Incentive Program, supported by the federal Low Carbon Economy Fund and Oil to Heat Pump Affordability Program, will help in the transition to a lower carbon economy, and reduce overall living costs. We are pleased to see the uptake and encourage more residents to avail of this program.”
Honourable Bernard Davis
Minister of Environment and Climate Change
“People should be able to make the switch to electric and save on their energy bills. But the start up costs have been getting in the way for many households. So we’re stepping in, and helping cover the costs for even more of those who need it.”
Honourable Seamus O’Regan
Minister of Labour and Seniors, Government of Canada
“Newfoundlanders and Labradorians are ready to make the switch from expensive and polluting oil heat, to cheaper, cleaner, and more efficient electric heating systems. An electric heat pump will reduce monthly heating bills, while lowering emissions. It is a win-win for your wallet, and the environment.”
Honourable Gudie Hutchings
Minister of Rural Economic Development and Minister responsible for the Atlantic Canada Opportunities Agency, Government of Canada
“Installing a heat pump in your home is simultaneously a good way to save on your monthly energy bills and reduce the pollution causing climate change. Our government is coming to the table with substantial funds to help Newfoundlanders and Labradorians make the transition off oil, in close partnership with the Provincial Government.”
Honourable Steven Guilbeault
Minister of Environment and Climate Change, Government of Canada
“The federal government knows that Canadians want a cheaper and cleaner way to heat their homes. That’s why we are making historic investments in Newfoundland and Labrador, and across the country, to ensure that families can move from home heating oil to a heat pump. Thousands of families across the country are eligible to make this switch, which could save them thousands of dollars on their bills every year.”
Honourable Jonathan Wilkinson
Minister of Energy and Natural Resources, Government of Canada
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Learn more
Oil to Electric Incentive Program
Oil to Heat Pump Affordability Program
2030 Emissions Reduction Plan—Canada’s Next Steps for Clean Air and a Strong Economy
Budget 2022—A Plan to Grow Our Economy and Make Life More Affordable
Making Home Heating More Affordable for Atlantic Canada and Other Regions
Budget 2023: A Made-in-Canada Plan: Strong Middle Class, Affordable Economy, Healthy Future
2030 Emissions Reduction Plan: Clean Air, Strong Economy
Canada Greener Homes Initiative
Making Home Heating More Affordable for Canadians While Fighting Climate Change
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