Are you a homeowner who uses oil to heat your home? Great news! With the NEW Oil to Electric Incentive Program, qualified homeowners can receive an incentive up to $17,000* to help transition their homes from oil to electricity-based heat.
Over 90% of the electricity in Newfoundland and Labrador comes from clean, renewable sources. By switching to an electric heat source, you support a greener future for our province.
We are now accepting applications! We recommend that you complete the application checklist to make sure you have everything you need to get started.
The NEW Oil to Electric Incentive Program is for whole home heating, and is retroactive to April 1, 2023. Requirements have been modified from previous programs, so please review program eligibility carefully. Customers are required to use a participating installer to be eligible for an incentive. Incentives are paid directly to the installer. You’ll find more information about the Oil to Electric Incentive Program below. Still have questions? Email OiltoElectric@TakeChargeNL.ca or call your utility:
Newfoundland Power 1-800-663-2802 or Newfoundland and Labrador Hydro 1-888-737-1296.
This program is delivered through takeCHARGE in partnership with the Federal and Provincial Governments.
How to get started
Incentives can cover up to 100% of the cost of switching from oil to electricity. Your incentive is determined by the technology or technologies you’re installing, your income, and the number of people living in your household. Use the two charts below and follow these five steps to find out how much you could save:
||Pick the technology you’re interested in.
||Find that technology in the Available Incentive Table.
||Find your adjusted net income on the Income Chart. If you aren’t sure, you’ll find it on line 23600 minus line 43500 of your most recent tax assessment.
||Be sure to include the number of people living in your household! Use the Income Chart to determine if you are in the Income-Qualified column or the General column.
||Go back to Available Incentive Table and see how much you could save!
*Homeowners that have already received funding (i.e., completed their journey) through the Canada Greener Homes Grant will have their incentive reduced by the amount of funding already received. For example, if you received $5,000 through the Canada Greener Homes Grant, you will only be eligible for up to $12,000 in grant funding through the Oil to Electric Incentive Program instead of up to $17,000.
Please carefully review the following chart to ensure you meet this program’s income eligibility requirement. Eligibility is based on the number of people living in your household* and the adjusted net income** of you and your spouse or common-law partner.
For customers heated by propane, the incentive to convert to an electric furnace or boiler will correspond to the same incentive for electric boilers and furnaces under the income-qualified stream. When converting from propane to heat pumps, the incentive will align with the general stream amount for the corresponding heat pump technology. If you would like clarification on this point, please email OiltoElectric@TakeChargeNL.ca.
* The number of persons living in the home is defined as the homeowner(s) (a maximum of two) and any other individuals living in the household year-round at the time of application.
** Defined as notice of tax assessment form line 23600 (net income) less line 43500 (tax payable)
Please review the home and project eligibility criteria. This will let you know what steps you’ll need to take and what information you will need to have on hand to apply.
- Home Eligibility
- Project Eligibility
- How to Apply
- You must be the homeowner, and your home must have an active electricity account.
- Eligible rental property owners can receive incentives through the general stream to help transition a maximum of two (2) rental properties from oil to electricity-based heat.
- Your home must be on a permanent foundation, intended as a primary residence in Newfoundland and Labrador, and used year-round. New homes are not eligible.
- Your home must be connected to the island or Labrador’s interconnected electricity grid.
- If your home is heated by oil, a statement or copy of all oil receipts from your oil company for a consecutive 12-month period within three years of your application date that shows a minimum consumption of 1,000 litres of oil.
- If your home is heated by propane, a statement or copy of all propane receipts from your propane company for a consecutive 12-month period within three years of your application date that shows a minimum consumption of 1,500 litres of propane.
Eligible activities include purchasing and installing eligible electricity heating technologies, electrical panel upgrades where necessary, and removing the oil tank.
The following technologies are eligible for an oil to electric incentive.
- Mini-Splits, Multi-Splits, and Central Heat Pumps
- Heat pumps must be listed as eligible equipment for the Oil to Heat Pump (OHPA) grant on Natural Resources Canada’s website.
- Heat pumps must be a cold climate air source heat pump (ccASHP) including mini-split, multi-split or central heat pump that are approved and listed on Natural Resource Canada’s database for the zone in which they are being installed.
- For heat pump systems, there is a requirement for whole-house heating. This will maximize energy savings. The installer will have to sign an attestation confirming installation is in compliance with this requirement to avail of the incentive. Although mini-splits are an eligible technology, the whole home heating requirement effectively means less than 1% of houses can achieve whole home heating with a single mini-split. If your home is of a size that a participating installer believes whole home heating can be achieved with a mini-split, please contact OiltoElectric@TakeChargeNL.ca for further information.
- Electric resistance baseboard and convection heaters are not eligible, except for use as back-up heating in combination with a conversion to a heat pump.
- IMPORTANT! Installing a heat pump without a backup heat source may void your home insurance. Please consult your insurance company before you install your new electric heat source to ensure it meets any requirements they may have. Here’s why: A ductless split heat pump is meant to be used in areas of the home with an existing heat source, such as baseboard heaters or an oil furnace. Since you are removing your current oil system, you will need a backup source if your unit is down or really cold outside. A backup heating source is required when outside temperatures become too cold for the heat pump to extract heat efficiently. Mini and multi-split heat pumps can only heat a portion of your home in the area where the indoor head of the unit is installed.
- Electric Furnace
- Electric Boiler
- Where space heating is the primary load.
- Baseboard heaters and convection heaters cannot be primary heating source. In some circumstances, purchasing and installing electric hot water boilers may be eligible.
If you install two technologies, eligible customers will receive one incentive for the higher-cost technology.
To be eligible for an incentive, their installer must be on the participating installer list for the Oil to Electric Incentive Program. Heat pump installers must be Journeyman Refrigeration and Air Conditioning Mechanics or have received certification from a manufacturer to install, service, and undertake warranty work for heat pumps sold by that manufacturer. Installers can directly invoice the Utilities for pre-approved customers, rather than the homeowner for costs incurred within established incentive limits.
If the installer you are interested in hiring does not appear on the participating installer list, the installer can contact OiltoElectric@TakeChargeNL.ca. These lists are continuously updated, and installers are being added frequently. Installers must meet eligibility requirements.
Homeowners that have already received funding (i.e., completed their journey) through the Canada Greener Homes Grant will have their incentive reduced by the amount of funding already received. For example, if you received $5,000 through the Canada Greener Homes Grant, you will only be eligible for up to $12,000 in grant funding through the Oil to Electric Incentive Program instead of up to $17,000. For customers who have, your Canada Greener Home rebate amount will be verified to determine your eligible incentive through this Oil to Electric Incentive Program. For additional information, please email OiltoElectric@TakeChargeNL.ca.
How to Apply
You’ll need the following documentation and information to proceed with your application. Your request will not be processed if you do not have all the required documents. Once you receive a quote from a participating installer* and you have obtained the following documents and information, you will be prepared to apply.
- A copy of your quote from a participating installer. The quote must include a complete breakdown of all itemized costs including technology model number(s), electrical costs, labour and materials.
- The name, company name, phone number and address of your participating installer.
- A statement or copy of all oil receipts from your oil company for a consecutive 12-month period within three years of your application date that shows a minimum consumption of 1,000 litres of oil.
- A photo of your oil tank HOST tag number. (IMPORTANT! Before your tank is disposed of, please take a picture of the HOST tag number off of your tank – you will need to attach this picture to your application. The HOST tag number can be found on the small brass tag attached to the tank’s vent pipe.)
- Your electricity utility account number.
- If you have a spouse or common-law partner, you will also require their name, Social Insurance Number and their declaration signature.
- Allow up to 6-8 weeks for processing from date of submission.
- If you are pre-approved, a rebate will be held in your name for 180 days from the pre-approval date. You will have 180 days from this pre-approval date to install the eligible product, properly remove the existing oil tank, provide proof of the oil tank removal and forward all final documents as required. No extensions will be given.
- The incentive will be paid directly to the participating installer once they have submitted the required paperwork.
- Newfoundland Power and Newfoundland and Labrador Hydro may visit your home and confirm the installation at any time within 24 months from the date the incentive was processed.
*The credentials of participating installers have been verified prior to listing. However, this information is provided on an “as is” basis without warranty of any kind, whether express or implied. Newfoundland Power and Newfoundland and Labrador Hydro (the “Utilities”) do not endorse any one specific individual or company and we make no guarantee or warranty regarding the completeness of this list. The Utilities make no representation or warranty, and assume no liability with respect to the quality, safety, or performance of work performed by installers or the equipment or appliances installed, and expressly disclaim any such representation, warranty or liability. The Utilities reserve the right to modify this list with no obligation to provide notice of such changes.
Things to know when removing an oil tank
Oil Tank Removal
Please follow the provincial guidelines when removing your oil tank.
- Empty system of all liquid;
- Where the system is
- Underground: the tank top shall be accessed and opened, any sludge and heating oil remaining in the tank shall be removed and the system shall be dismantled, removed from the ground and disposed of.
- Above Ground: the tank shall be opened, any sludge and heating oil remaining in the tank shall be removed and the system shall then be dismantled and disposed of.
- Where underground piping is involved, the piping shall be removed from the ground, or emptied of heating oil and the ends shall be permanently sealed by capping; and,
- Clean the affected area and restore the environment.
Sale of Used Oil Tank
Prior to selling, or giving, a heating oil tank to an individual, the current owner should ensure that the tank is permitted to be installed/used. The Department of Environment and Climate Change may be emailed at PetroleumStorage@gov.nl.ca to help with that determination. Please include a photo of the tank’s ULC label in that email.
For proper removal and disposal, we recommend you can contact the company that originally installed your tank or a certified hazardous waste management company. Tanks can be disposed of at metal recyclers or waste management sites. Please note that disposal sites may have their own requirements regarding tank\oil disposal.
More Ways to Save
*Must meet eligibility.
We reserve the right to change or terminate the Oil to Electric Incentive Program at any time. Incentive levels may change depending on annual federal and provincial budget appropriations. If there is a difference between our printed materials and our website, please refer to the website for the most up-to-date program information.