12 October 2021

What and Who Qualifies for the New, Federal, ‘Green’ Home Retrofit Grant

David Thurton · CBC News · Posted: Jun 04, 2021 4:00 AM ET | Last Updated: 1 hour ago

Who is eligible?

Homeowners, obviously. But applicants must also meet some other conditions before applying online:

  • They must prove they live in the house; landlords who live off-site are not eligible.
  • The home must be a single or semi-detached house, a row house, a townhome, an all-season cottage or a certain type of mobile home or houseboat.
  • Although condos generally aren’t eligible, condo owners in low-rise buildings may qualify.
  • First Nation band councils, land claims organizations and Indigenous housing management bodies can apply for the grant.
  • New homes are not eligible.

Which upgrades qualify?

According to Natural Resources Canada (NRCAN), the federal department that administers the program, these are the projects that qualify for the grant:

  • Insulation (up to $5,000)
  • Air-sealing to improve air-tightness (up to $1,000)
  • Replacing windows and doors (up to $5,000)
  • Installing heat pumps and hot water equipment (up to $5,000)
  • Installing solar panels (up to $5,000)
  • Resiliency measures like batteries, foundation waterproofing and roofing membranes (up to $2,625)
  • Installing a smart thermostat (up to $50 but must be combined with another retrofit)

Materials and equipment, Natural Resources Canada (NRCAN) says, must be purchased in Canada or from a Canadian online distributor.

Are there strings attached?

Homeowners won’t receive the money upfront. The grant only arrives after they’ve spent the money — in some cases a considerable amount.
To qualify, a homeowner must first 

  • undergo an energy audit at their own expense,
  • hire contractors,
  • pay for materials and
  • then pass a final follow-up energy audit — again, out of pocket.

Once the upgrades are certified, the government says it will reimburse homeowners and the money should arrive within a month.

But a homeowner isn’t guaranteed the maximum grant of $5,600. The amount of the grant depends on the audit conducted when the work is done.

The Pembina Institute says that the cost of extensive retrofits to cut energy bills and reduce emissions likely would exceed the value of the grant. Such work can range in cost from $30,000 up to $100,000 for a single family home.

“Because the surge in demand for the program is driving up wait times for energy advisers and contractors, applicants probably will have to wait longer than they’d like for repairs to begin.

Greener Homes Grant will be available for the next seven years.

B.C., Quebec and Nova Scotia already offer similar supports, other regions could soon announce their own programs, which could be combined with the federal one.

And sometime over the summer, the federal government is expected to roll out an interest-free retrofit loan program that could provide up to $40,000 in loan capital per household.