Which program fits your home
Programs open, close and change often, so treat this as a starting point and confirm the details with the program before you sign a contract. As of November 2026:
| Your home today | Where to look |
|---|---|
| Heated mainly with oil | takeCHARGE’s Oil to Electric program, for any income (higher amounts if your income qualifies) |
| Any heating type, and your household income qualifies | takeCHARGE Greener Homes, which can cover a mini-split heat pump and insulation |
| Electric baseboard heat, income doesn’t qualify | No takeCHARGE heat pump rebate. Newfoundland Power on-bill financing, and the new federal rebate expected in 2027 |
| A brand-new home | Usually not eligible for the takeCHARGE programs |
Oil to Electric
The Oil to Electric Incentive Program helps homeowners replace oil heat with electric heat. It’s run by takeCHARGE with provincial and federal funding, and it can cover up to the full cost of the project. As of 2026, the maximum amounts were:
| New heating system | Income-qualified | Everyone else |
|---|---|---|
| Electric furnace or boiler | up to $10,000 | up to $5,000 |
| Mini-split heat pumps | up to $18,000 | up to $6,500 |
| Central heat pump | up to $22,000 | up to $9,000 |
Income limits depend on household size and are set by the program. Check takeCHARGE for the current amounts and limits.
- The home has to be your year-round primary residence, mainly heated with oil, with oil statements showing at least 500 litres over 12 months.
- The whole home must be heated by the new system. One mini-split on its own rarely qualifies.
- The oil tank must come out. Removing it is part of the project and counts toward the incentive. Photograph the tank’s tag before it goes.
- Recent buyers who don’t have a year of oil statements should contact their utility before applying.
For more on oil tanks themselves, see our oil tanks guide.
takeCHARGE Greener Homes (income-qualified)
The takeCHARGE Greener Homes program is for households whose income qualifies, whatever their current heat. It can cover up to the full cost of energy assessments, a single-head mini-split heat pump, insulation, air sealing and an air exchanger (HRV), paid directly to the contractors.
- It’s for existing homes that don’t already have a heat pump. New homes aren’t eligible.
- Landlords can apply for a rental unit if the tenant’s income qualifies and they agree.
- Funding is limited and is released in rounds, so apply early.
The federal heat pump rebate
In October 2026 the federal government announced a national heat pump rebate: up to $10,000 for households at or below median income and $2,000 for others, with no energy audit required. Applications are expected to open in early 2027. The government says some heat pumps installed from November 1, 2026 may qualify once it opens, but funding isn’t guaranteed until an application is approved. Check the federal page for the current rules before you count on it.
Paying for it on your power bill
Newfoundland Power offers on-bill financing for heat pumps. You repay it on your monthly power bill, over up to five years. The interest rate is reset every three months, so check the current rate. You need to own the home and be a Newfoundland Power customer.
If you sell: any balance is yours, not the buyer’s. It can move to your new Newfoundland Power account, or it’s due on your final bill.
Choosing and installing a heat pump
- Pick a cold-climate model. Some heat pumps keep heating well at −25°C; others give little heat at −10°C. takeCHARGE suggests an HSPF rating of 10 or more for a mini-split, and the rebate programs require equipment on Natural Resources Canada’s eligible list.
- Use a qualified installer. takeCHARGE recommends a certified refrigeration and air conditioning mechanic plus a licensed electrician working under permit. A poor installation can void the warranty, and the rebate programs require a participating installer.
- Keep backup heat. A mini-split heats the area around it, not the whole house, so keep your baseboards or another heat source as backup. Central systems usually have backup heat built in.
- Talk to your insurer first. takeCHARGE warns that a heat pump with no backup heat source could affect your home insurance.
- Get pre-approval for any rebate before the work starts. Most programs won’t pay for work done first.
takeCHARGE says mini-splits start at about $3,000 installed, and central ducted systems can cost $20,000 or more. A heat pump typically lasts 10 to 15 years.
Buying a home with a heat pump
- Ask how old it is, and for the make and model. With a 10-to-15-year lifespan, age matters when you compare homes.
- Ask for the paperwork: the installation invoice, any warranty and whether it transfers to a new owner, and service records.
- Check the backup heat and ask your insurer whether they need to know about the heating setup.
- Have your home inspector look at it. They can note its condition and whether it’s been maintained.
- Know that rebates don’t pass to you. The previous owner got any rebate, and a home that already has a heat pump usually can’t get another one through takeCHARGE Greener Homes.
If you’re planning to add a heat pump after you buy and your mortgage is CMHC-insured, CMHC’s Eco Improvement program refunds 25% of your mortgage insurance premium when you spend at least $20,000 on qualifying energy-saving renovations, including a heat pump, within two years. See CMHC for the full requirements.
Selling a home with a heat pump
- Gather the details: the year it was installed, the make and model, the installer’s invoice, the warranty and any service records. Buyers and their inspectors will ask.
- Settle any on-bill financing or plan to move it to your new account, so it doesn’t hold up closing.
- Tell us what’s been upgraded. A heat pump, new insulation or a removed oil tank are all worth mentioning in the listing.
