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Ottawa announces up to $250M to help Canadians transition to greener home-heating options

Click to play video: 'Feds announce $250 million for home heating affordability across Canada'
Feds announce $250 million for home heating affordability across Canada
WATCH: Feds announce $250 million for home heating affordability across Canada – Sep 15, 2022

Minister of Environment and Climate Change Steven Guilbeault announced that the federal government will invest up to $250 million over four years to help make heating more affordable for families across Canada. Nearly half the amount will be set aside for Atlantic Canadians, he said.

In a press conference Thursday, Guilbeault said that the funding will help homeowners who currently use home heating oil move to more affordable and greener home heating sources, like electric heat pumps.

“We can help Canadians save thousands of dollars on yearly energy bills, all while fighting climate change,” he said.

“We committed to Atlantic Canada that we would come to the table with more help for home energy costs, and today we are delivering on that promise,” the minister added.

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Of the $250 million investment, up to $120 million will be allocated to Atlantic Canada. This money will be provided over four years through the Low Carbon Economy Fund (LCEF), according to the government.

About 30 per cent of homes in Atlantic Canada currently use oil for heating, a press release issued by the government said.

“Allocations by province will be finalized pending final confirmation with each jurisdiction,” the release added.

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Member of Parliament for Kings–Hants and Chair of the Atlantic Liberal Caucus, Kody Blois, who was also at the conference said that, “Atlantic Canadians are particularly vulnerable to global increases in fuel costs, caused by the war in Ukraine and a worldwide disruption in energy markets.”

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“Half of our households in the Atlantic region still use home heating oil, and the cost of transitioning to a new, energy efficient electric heat pump can be really daunting, he added.

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Early estimates indicate that clean energy transitions funded by this new investment could help 10,000 to 25,000 homes nationwide, with over 40 percent of those in Atlantic Canada, said the government, adding that about 30 per cent of homes in Atlantic Canada currently use oil for heating.

The feds said that by taking advantage of a range of funding programs from different levels of government, some households could see up to 100 per cent of their eligible expenses covered, with up to 75 per cent covered through federal programs.

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The four Atlantic premiers wrote to Guilbeault on Sept. 1 seeking an extension to the federal deadline to submit new carbon pricing plans but were turned down.

They submitted plans on the Sept. 2 deadline but requested talks with Guilbeault’s office to address their hopes for a “practical solution” to address the costs of implementing carbon pricing during a time of inflationary pressures.

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It says that by taking advantage of a range of funding programs from different levels of government, some households could see up to 100 per cent of their eligible expenses covered, with up to 75 per cent covered through federal programs.

The four Atlantic premiers wrote to Guilbeault on Sept. 1 seeking an extension to the federal deadline to submit new carbon pricing plans but were turned down.

They submitted plans on the Sept. 2 deadline but requested talks with Guilbeault’s office to address their hopes for a “practical solution” to address the costs of implementing carbon pricing during a time of inflationary pressures.

— with files from The Canadian Press

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