Today, Mayor Olivia Chow and Jana Mosley, President and CEO of Toronto Hydro, announced a new furnace upgrade program to help more homeowners save money and help the planet.
As part of the City of Toronto’s BetterHomesTO initiative, this program supports residents in making homes more energy efficient and climate resilient. Electric heat pumps can provide a cleaner home heating solution, helping residents lower greenhouse gas emissions at home, save on energy bills and access improved indoor comfort year-round Electric heat pumps can also provide cooling benefits during warmer seasons.
Making the switch to an electric heat pump is a great way for Toronto residents to contribute to the City’s ambitious goal of Net Zero by 2040 as greenhouse gas emissions from buildings account for more than 56 per cent of total citywide emissions today.
Energy coaching service
In partnership with Toronto Hydro, residents can now access free energy coaching services to help them navigate what programs, services and offers are available to them, including grants provided by other levels of government. This includes guidance on heating and cooling technology options and access to qualified contractors, service providers and professionals through Toronto Hydro’s Cleantech Services Directory.
Financial supports
In addition to supporting residents in getting the proper equipment installed by a qualified contractor, the City also offers low-interest loans through the Home Energy Loan Program to make this equipment more affordable. The City’s 2025 Budget included an extra $20 million for low interest loans for heat pumps.
Expanded support for residents
In 2026, the BetterHomesTO Furnace Upgrade program will further expand to include heat pump installation services, and targeted incentives for low-to-moderate-income households.
More information about energy-efficient upgrades, incentives and how to connect with an energy coach is available on the City’s BetterHomesTO webpage.
Residents can sign up for updates about new programs and services offered on the City’s e-updates page.
Quotes:
“We’re making it easier for residents to heat and cool their homes with heat pumps, which means smart upgrades that can lower energy bills each month and less environmental impact. I encourage homeowners to take full advantage to save money on heating and cooling, and reduce emissions, when it’s time to replace your furnace.”
– Mayor Olivia Chow
“Toronto Hydro is proud to support the City’s efforts to accelerate access to cleaner, electric home heating and cooling technologies. By offering energy coaching and connecting residents with qualified local contractors, we are helping homeowners make informed, confident choices as they work to lower emissions and improve year-round comfort.”
– Jana Mosley, President & CEO, Toronto Hydro
Toronto is home to more than three million people whose diversity and experiences make this great city Canada’s leading economic engine and one of the world’s most diverse and livable cities. As the fourth largest city in North America, Toronto is a global leader in technology, finance, film, music, culture and innovation and climate action, and consistently places at the top of international rankings due to investments championed by its government, residents and businesses. For more information visit the City's website or follow us on X, Instagram or Facebook.