Through the Energy Retrofit Loan program, the City offers fixed, long-term, low-interest financing to enable building owners to invest in low-carbon, energy-efficient capital improvements.

Highlights include:

  • Financing for up to 100 per cent of project costs is available at a rate equal to the City’s cost of borrowing, with repayment terms up to 30 years for qualifying projects.
  • Funds are advanced at project start
  • Unsecured loans may be available
  • Up to one-year interest free and payment free
  • Support to access utility incentives and Federal grant programs

All buildings located in Toronto are eligible, including:

  • Commercial, Retail and Industrial
  • Multi-family Residential
  • Condominium buildings (common areas only, not individual units)
  • Social Housing
  • Hospitals and Long-term Care
  • Schools, Colleges and Universities
  • Not-for-profit
  • Hospitality

Third-parties are eligible to apply on behalf of the building owner. Funds will be dispersed to the building owner.

Eligible measures/technologies include:

  • Heat pumps
  • High-efficiency boilers, chillers and HVAC
  • Building envelope improvements
  • Building automation systems and controls
  • Lighting retrofits
  • Renewable energy systems
  • Energy/battery storage
  • Fuel switching
  • Other retrofit measures/technologies

To begin the application process, download and complete the Expression of Interest Form and submit it to

Step 1: Submit an Expression of Interest

To submit an EOI with basic details about your project, please download and complete the ERL Expression of Interest form and submit it to

Step 2: Detailed Application and Supporting Documents

Eligible applicants will be invited to complete a detailed application to verify the project energy and carbon savings and create a business case.

Minimum documentation requirements include:

  • Two years of audited financial statements
  • Detailed project summary including:
    • Estimated energy saving calculations
    • Estimated emission savings
    • Project costs
  • Feasibility or engineering study including:
    • Equipment details
    • Facility description
    • Spec sheets (if available)
    • Cost estimates
    • Project management timeline
  • Other documents, as required

Step 3: Technical and Financial Review

City staff will review your application and develop a business case to determine funding eligibility.

Step 4: Funding Agreement

Once your detailed application is approved, the City will create a Funding Agreement that sets out the terms of the agreement between the building owner(s) and the City of Toronto. The Agreement must be signed by both parties.

The interest rate specified in the Agreement will be valid for a period of 60 days, after which the rate will be updated to reflect the City’s current cost of borrowing.

Sample agreements can be made available for relevant projects.

Step 5: Fund Disbursement

Funds will be disbursed to the building owner, as outlined in the Funding Agreement.

The City offers fixed-rate financing for up to 100 per cent of project costs for terms up to 30 years. Funding limits will be determined by a business case assessment.

The interest rate will reflect the City’s cost of borrowing. As the City’s cost of borrowing varies daily, the actual interest rate cannot be confirmed until the loan is approved.

For questions or to obtain the current rate, please contact us at

The City of Toronto’s Energy Retrofit Loan can support your client’s low carbon or energy efficiency investment and enable deeper retrofits. Through the ERL your clients can avoid the large upfront cost of building improvements and repay the loan over time as they save on energy.

To request brochures, posters, presentation materials or to schedule a call, please email