September 14, 2025

Ottawa Relaunches Greener Homes Program with Focus on Affordability

Ottawa

Ottawa, The Gulf Observer: The federal government has announced the revival of its home retrofitting program, this time redesigned to prioritize low- and middle-income households and renters who cannot afford upfront costs.

Rebranded as the Canada Greener Homes Affordability Program (CGHAP), the initiative will help reduce household energy bills and greenhouse gas emissions through no-cost retrofits. Unlike the previous Greener Homes Grant, which required homeowners to pay first and be reimbursed, the new program adopts a “direct-install” model. Partner organizations will manage logistics and cover all expenses related to retrofits.

Eligible upgrades may include insulation, air sealing, heat pumps, solar panels, windows, and doors. Program delivery will be handled at the provincial and territorial levels rather than by Natural Resources Canada.

On Friday, Ottawa confirmed that Manitoba will be the first province to implement CGHAP, with delivery managed by its Crown corporation, Efficiency Manitoba. The federal government is contributing $29.8 million in funding through 2030, matched by the province.

Efficiency Manitoba has clarified that only insulation, air sealing, and heat pumps will be eligible under CGHAP in the province, while solar panels are excluded. Natural gas heating systems are also not covered by the federally funded program, though provincial alternatives remain available.

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

Manitoba’s Minister of the Environment and Climate Change Mike Moyes welcomed the program, noting its alignment with provincial commitments to reduce energy costs and emissions. “To get the most out of this clean electricity, Manitobans can make home retrofits like insulation and heat pump installation at no cost,” he said, pointing out that more than 99 per cent of the province’s electricity is generated from renewable sources.

The original Greener Homes Grant, launched in 2021, provided up to $5,000 for home retrofits and $600 for energy evaluations. The $2.6 billion program, which was expected to run until 2027, closed in early 2024 after funding ran out, sparking criticism from homeowners and the retrofit industry.

Buildings accounted for 13 per cent of Canada’s greenhouse gas emissions in 2023 — about 83 megatonnes — making the sector the third-largest emitter after oil and gas production and transportation. Canada has pledged to reduce building emissions by 37 per cent by 2030 and to achieve net-zero emissions by 2050.

While those commitments were set under former prime minister Justin Trudeau, Prime Minister Mark Carney and Environment Minister Julie Dabrusin have reiterated that the government remains focused on meeting its 2030 and 2035 climate goals, with an updated emissions reduction plan expected soon.