Free Heat Pump Program

Islanders with an annual household net income of $75,000 or less may be eligible for a free heat pump for their home. To be eligible, you must own your home, it must be your principle residence, and the property must be valued at $300,000 or less (tax assessed value).

How do I apply?

You can apply for a free heat pump online by clicking the blue button at the bottom of this page.

If you would like help with your application, you can book an appointment to visit your local Access PEI where staff will help you verify your income and help you submit your application. Book an appointment online or by calling 1-833-734-1873. 

Getting ready to apply - proof of income

You will need to provide proof of your household income at your appointment or when you apply online.  The Canada Revenue Agency (CRA) can provide you with a proof of income statement, which is a simple generic version of your tax assessment. 

You can request this document by calling CRA at 1-800-267-6999. Ask for copy of your proof of income to be mailed to you. You will receive it within 10 days. Before calling, you must have the following information:

• Social Insurance Number
• Full name and date of birth
• Your complete address
• Information from your most recent tax assessment

You can also access our proof of income online through the CRA's My Account for Individuals. 

If you do not have a proof of income document, the following alternate documents are accepted:

• GST Credit Notice showing your address, family net income, marital status and province of residence
• Current Canada Child Benefit Statement from the CRA
• Most recent CRA Notice of Assessment for each member of your household over age 18

Getting ready to apply - property value

Your property must be valued at $300,000 or less (tax assessed value) to be eligible. Your tax assessed value may be different than the market value of your house, so if you are unsure, we can check your tax assessed property value for you at your appointment.

If you choose to apply online, you will need to know your taxed assessed property value before you apply. A property tax bill will contain this information. This bill is mailed to property owners in May of each year. If you are a property owner and you do not receive a property tax bill in May contact Taxation and Property Records.

What happens after I apply?

After you apply, staff will review your application to make sure it is complete and you are eligible for the program. If there is any missing information, staff will contact you directly. If you are eligible, you will receive an approval email outlining the next steps.

Staff will then connect you with a contractor who will do the installation of the heat pump. Staff will notify you when this happens and they will provide you with the contractor's name and contact information. 

You can expect two visits from your contractor.

First, they will visit your home to determine where your heat pump will be installed. Your contractor will have a list of eligible heat pumps under this program, so you should discuss your heating needs with your contractor to help them determine what model to install.

Second, the contractor will return to install your free heat pump. After installation, government will pay the contractor for your heat pump.

After your heat pump is installed, government may conduct a quality assurance inspection to make sure an eligible heat pump was installed. If this inspection is required, government will contact you to arrange a time for this inspection.

What about insulation and electric hot water heaters?

This application form may also be used to apply for free insulation and a free electric hot water heater. Your annual household income must be $55,000 or less to receive free insulation or a free electric hot water heater. Simply check off which upgrades you are interested in. There is no need to apply more than once. 

Oil to Heat Pump Affordability Program

Prince Edward Island and the Government of Canada are working together to help low- and median-income Canadian households who are currently heating their homes with oil to make the transition to electric cold-climate heat pumps. The new federal Oil to Heat Pump Affordability Program provides up to $5,000 for eligible households to make this switch and may be combined with funding available under the provincial Free Heat Pump Program as well as other federal programs, including up to $5,000 from the Canada Greener Homes Grant.

The Government of Prince Edward Island is working to finalize agreements with the Government of Canada to deliver the Oil-to-Heat Affordability Program (OHPA).  If you have already received a free heat pump, you may still be eligible for Government of Canada funding and an application will be online in the coming weeks. Please check back.

Meanwhile, you can still apply for a free heat pump using the blue button below.