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Energy experts and advocates are welcoming the Ford government’s huge new energy efficiency initiative but question its partnership with Enbridge Gas, warning the initiative may contain measures to keep Ontarians on fossil fuels.
A key part of the program funds the switch to heat pumps, which can save energy costs. But the program doesn’t specify which kind — and some, known as hybrid heat pumps, rely on gas to boost their power. A spokesperson for the Ontario Independent Electricity System Operator (IESO), which runs the programs, confirmed that all types of heat pumps, including hybrid systems, are eligible under the Home Renovation Savings Program to give consumers choice.
However, Keith Brooks, programs director at Environmental Defence, told Canada's National Observer that Enbridge has been pushing hybrid heat pumps that use gas as a backup on extremely cold days, and they will probably promote them as part of this program, too.
“Ontarians should know that the greatest savings come from ditching gas altogether,” Brooks said.
The government Save on Energy website confirms the efficiency program is in partnership with Enbridge Gas to “help Ontarians improve their home efficiency and comfort.”
On Tuesday, the Ford government announced its $10.9-billion investment aimed at helping families and businesses lower costs through home retrofits.
Stephen Lecce, minister of Energy and Electrification, said as energy demand in Ontario is rising more rapidly than expected, the initiative is designed to relieve pressure on the grid and avoid billions in investments in new energy generation infrastructure.
Much of the details of these programs are not yet available and are expected to be released by the end of this month.
Enbridge is investing heavily in expanding the natural gas network in Ontario, which critics argue “doesn’t even make economic sense” given the urgent need to transition away from fossil fuels.
“The government’s goal is to reduce stress on the electricity system. It probably will have a preference for heat pumps that use gas as a backup,” Brooks said. That’s likely because, on the coldest days, if heat pumps with an electric backup are used, they turn to electric heating to keep homes warm, which increases electricity demand. “They [the government] likely want to avoid that.”
Brooks said homeowners who heat with propane, oil, and gas should be encouraged to switch to fully-electric heat pumps. “That's where the climate benefits really lie, and where the cost savings are as well,” Brooks said. Hybrid heating, which uses gas and electricity, is the highest cost pathway, especially as the gas system goes into structural decline and more people transition away from gas, leaving a smaller customer base on the hook for maintaining the gas network, he added. “It’s the most expensive option.”
Heather McDiarmid, a research associate at the University of Waterloo and principal at McDiarmid climate consulting, says hybrid heat pumps, while more efficient than traditional gas furnaces, are less efficient than fully-electric heat pumps and prolong dependence on gas.
“From a climate perspective, hybrid heat pumps are not the ideal solution,” McDiarmid said.
In a hybrid system, the heat pump provides all the cooling — eliminating the need for an air conditioner — and the heating, up to a certain crossover point. Typically, the system switches to gas heating when the heat pump becomes less efficient at moving heat as outdoor temperatures drop.
McDiarmid said Enbridge has positioned itself as the utility in Ontario capable of rolling out these kinds of programs. While it must follow the provincial government’s rules, Enbridge also runs programs that incentivize hybrid heat pumps and even gas-powered heat pumps, offering significant incentives to make them more cost-effective, she added.
Canada’s National Observer reached out to Enbridge for comments but did not receive a response in time for publication. However, on its website, in a program partnered with the provincial government’s initiative for heat pumps, the company also advocates for hybrid heat pumps.
McDiarmid noted a preference for fully-electric solutions but acknowledged that hybrid heat pumps are popular and widely supported by many installers.
Accessibility and equity concerns
Another critical question is whether the program adequately addresses the needs of renters and low-income homeowners. Covering 30 per cent of costs may still leave many unable to afford the upfront investment required for energy-efficient upgrades.
“This can’t just be about handing money over to wealthy homeowners, while the people who are really facing energy poverty and struggling with everyday affordability are left out in the cold, so to speak,” Brooks said.
Programs like these often fail to reach the people who need them most. For low-income Canadians or those facing energy poverty, the program should ideally provide free heat pumps tailored to the type of home, electrical source, and region, Brooks said.
IESO says it offers free air source heat pumps to “income-eligible” households, but only for those that rely on electric heating.
Compared to the cancelled federal Greener Homes Grant, which provided $2.6 billion over several years for the entire country, both McDiarmid and Brooks welcomed Ontario’s new clean energy investment, noting that it allocates more money over a longer period for a single province, making it a positive step for Ontario.
Comments
I converted to a fully electric air source heat pump 2 years ago, and it works perfectly (I'm in south-west Ontario). It has a 'back up' unit (air handler), which is also electric. I was able to completely de-link from gas since I had no other gas appliances (I have an electric water heater, dryer and stove), so I also save on the monthly Enbridge administrative fee - a fee that will likely grow over time as fossil fuels fade away. Most specialists in the field of air source heat pumps, and I've talked to several, say that it's highly unlikely that the back-up unit will ever come on because it doesn't get cold enough for that to happen. Many installers ARE promoting hybrid (electric/gas) systems. I would urge people to do their research so they can make an informed decision - not about switching to a heat pump, but when choosing a system.
unfortunatly you are the exception bc you did your own research. most people rely on contactors, which contractors are brainwashed to push natural gas.
also there is a problem with heat pumps in that they use ghg which is harmful and toxic to the natural world. they can leak or when there is a house fire or tornado that gas is released.
i believe the answer lies is solar for homes, even mini hydro hooked to water mains like seatle is doing, and wind is also being left out aswell. then to heat homes use a electric furnace or base boards. myself I got rid of gas 20 years ago and use infloor heating and wood stove.
the other elephant in the room is houses and buildings are built to be as INEFFICIENT AS POSSIBLE, sure they make them airtight, but then they have laws that say you need to change the air in your house once an hour.. air pumps the cold air into every room now and sucking the warm air out.
imagine building a house to be as effecient as possible. not needing air conditioning or much heat.. by using layers like windows are built.. I upgraded my 1975 mobile home that was built with 3" walls by adding rockwool board to the outside of the house, THEN an 1" air gap before putting the sideing on.
I heard of others using old technology by building an exoskeleton on the house, [extra wall] with an air gap of 2", then opening up the bottom and top so it naturally convects the air in summer to cool it. closing it in the winter to keep the heat in.
but no, the brightest minds have to go for building better bombs tanks and redesigning the ford mustang ICE to have 700hp, and the new Corvettes that are street legal race cars.
it comes down to following the money.. you'll find it leads to corrupt governments subjugated by oil coal and lng capitalists.
Thanks Susan for doing your own research and doing it smartly.
First let me say Enbridge's gas powered heat pumps are a joke. But this story is missing a few things about hybrid cold climate air source heat pumps (ccASHPs) which aren't the same thing.
If you live in Quebec, where your electricity is almost completely carbon free. All electric heat pumps should be the norm. But this is Ontario where electricity emissions are rising because of our increasing reliance on natural gas generation. These plants are less than 60% efficient and by the time the electricity gets to the homeowner even less efficient at producing heat. Natural gas furnaces are 96% efficient or better at producing heat. Backup electric powered by natural gas electricity generation would probably be around 50%.
Natural gas electricity generation will be much more likely to be used at the coldest time of the year when electricity demand is peeking with all electric ccASHPs switching to backup electric resistant heating.
Now there's talk about new nuclear and perhaps some renewables but that's not coming anytime soon. This could change IF Doug Ford loses the next election.
The main thing to remember about heat pumps is SIZING. You want to size the units to avoid backup heating as much as possible whether it's electric or gas backup. The rebate for heat pumps is based on sizing but we don't know the specifics at this time. A properly sized hybrid system can reduce natural gas by 70% to 90%. I know people whose gas furnaces were barely used last year.
The comment was made that hybrid is the most expensive. To homeowners? All electric ccASHPs with backup are more expensive. One of the reasons is you need to replace the furnace with an air handler. The gas furnace blower fan is the electric air handler in a hybrid setup. Also to install electric resistant heat backup, many homeowners need to upgrade their electrical panel which can become expensive. Sometimes there's not enough electrical power in the neighbourhood to do this for everyone. This would require an upgrade to the neighbourhood which isn't inexpensive.
There seems to be this idea that we should strive for perfection. Right now we need to get as many homes to significantly reduce their emissions as fast as possible. The gas hybrid can help us get there with proper sizing. It's not perfect but we're no where near perfection right now.
Finally please stop talking about income inequality with environmental measures. Everyone needs to be incentivized to do this. There are many, many ways governments favour the rich in our society. Why do people focus on environmental incentives? We're in a climate emergency for f... sake.