Are you eligible for a new furnace rebate?

Which fuel and equipment does the program cover?

Start with what you are replacing and what you are buying. A program may pay for a high-efficiency furnace only when it replaces a lower-efficiency one, only when it replaces oil or electric resistance heating, or not at all because it targets heat pumps. Some include a minimum efficiency rating or a list of approved models. Write down your current fuel, the age of the system, the efficiency rating of the furnace you plan to buy, and ask each program whether that combination is on its list.

If a heat pump is an option, check that side too. Many programs treat a furnace as a secondary item and reward the heat pump, so the better question may be which system is eligible. The guide to checking furnace rebates shows where to look, and the furnace and heat pump comparison explains the running-cost side.

Do your home, income or location matter?

They can. Programs differ on whether they cover owner-occupied homes only, include rental properties, apply to detached houses, row houses or apartments, and require the home to use a particular fuel. Some programs are income-qualified: households under a stated income level may receive more support or qualify when others do not. Others apply to everyone in a province or utility area.

Location sets the menu. Provincial energy ministries, municipal governments and utilities each run their own offers, and your postal code and your utility decide which apply. Ask the program for its eligibility rules in writing, and check them against your home instead of relying on a summary. A home that has had a recent energy assessment may already have the paperwork the program needs, as the EnerGuide rating guide describes.

Do you need approval before you buy?

This question costs people more rebates than any other. Many programs require registration, a pre-work energy assessment or pre-approval before equipment is purchased or installed. A few allow claims after installation if you submit the right receipts. The rules differ, so look for words such as pre-approval, pre-retrofit, registered contractor and claim deadline.

Put these questions on your list for each program:

• Does the work need approval first, and how long does approval take?
• Must the installer be registered or licensed under the program?
• What documents are required: invoice, model and serial numbers, permit, proof of payment?
• Is there a claim window, and is funding limited?
• Can this rebate be combined with another program?

Do not let the heating season force a purchase before you have answers. If the furnace fails in winter, ask the program whether emergency replacements are treated differently. The winter heating emergency guide covers the practical side.

Are there tax credits or financing instead of rebates?

Sometimes. Alongside rebates, governments and lenders have offered tax-based or loan-based support for efficient home heating, such as low-interest financing or credits on tax returns. Availability changes, and these work differently from a rebate, for example in who can claim and when the benefit arrives. Check the Government of Canada energy-efficiency pages, the Canada Revenue Agency for tax questions, your province and your utility.

Whatever the incentive, compare the total cost. A cheaper furnace without a rebate can beat a pricier one with it, and the cost drivers guide shows what is in a quote.

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