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Today in Canada > News > Federal greener homes program returns with focus on affordability
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Federal greener homes program returns with focus on affordability

Press Room
Last updated: 2025/09/12 at 4:04 PM
Press Room Published September 12, 2025
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Ottawa is reviving its program to help Canadians make home retrofits — this time with a focus on those who can’t afford them, it says.

Unlike the previous version, called the Greener Homes Grant, the new program also helps renters and doesn’t come with upfront costs.

Rebranded the Canada Greener Homes Affordability Program (CGHAP), it is now described as “a new initiative that will help low- to median-income households reduce their energy bills and greenhouse gas emissions through no-cost home retrofits,” according to the news release.

The federal government states the CGHAP will use a “direct-install” approach. Selected organizations “will handle all the logistics and costs associated with planning and delivering home retrofits to reduce energy bills.”

Insulation, air sealing, heat pumps, solar panels, windows and doors qualify for the program.

Provinces and territories will deliver the updated program instead of the federal department, Natural Resources Canada.

On Friday, Ottawa announced that Manitoba, through its Crown corporation Efficiency Manitoba, will deliver the program to Manitobans. It’s receiving $29.8 million in federal funding through 2030, and the province is matching that contribution.

The announcement was short on specifics but Efficiency Manitoba directed people to its website.

Natural gas heating systems, according to Efficiency Manitoba’s website, are not eligible. It adds that the program will work with the existing provincial-federal program to provide heat pumps to households transitioning from oil furnaces and install them at no cost.

“We have seen time and time again that it is local delivery that allows Canadians to access these programs,” said federal Energy and Natural Resources Minister Tim Hodgson.

“So as we expand the program across the country, we will continue to work with territorial and provincial partners.”

Manitoba Minister of the Environment and Climate Change Mike Moyes said the program helps fulfil the provincial government’s promise to reduce energy bills and lower emissions.

Moyes noted the province has one of the cleanest electricity grids in the country, with more than 99 per cent of the power it generates coming from renewable sources.

“To get the most out of this clean electricity, Manitobans can make home retrofits like insulation and heat pump installation at no cost,” Moyes said.

The Greener Homes Grant program, first launched by the federal government in 2021, provided homeowners with up to $5,000 for energy-efficiency retrofits and home energy evaluations, as well as up to $600 to help cover the cost of these evaluations.

Homeowners were required to spend the money and then be reimbursed.

The $2.6-billion program was supposed to last until 2027, or until funds were depleted. The program closed in early 2024, and the government promised to bring it back.

Ottawa took heat from homeowners and the retrofitting industry over promising a program that would last for several years and then allowing it to lapse for more than a year.

Greenhouse gas emissions from buildings accounted for 13 per cent of Canada’s total emissions in 2023 — about 83 megatonnes — making it the third-highest source of emissions after oil and gas production and transportation.

Canada has vowed to slash emissions from buildings by 37 per cent by 2030 and achieve net zero by 2050.

Those targets were set under former prime minister Justin Trudeau, and his successor has been asked several times whether he is committed to meeting them.

Prime Minister Mark Carney and Environment and Climate Change Minister Julie Dabrusin have opted to say that they are striving to meet their 2030 and 2035 climate goals and will provide an update on their emissions reduction plan soon.

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