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Ontario lifts income threshold for incentives

Ontario lifts income threshold for incentives

Wednesday, April 5, 2023

More Ontario households will qualify for free energy-saving equipment and advice with a newly announced 16 per cent lift to the income threshold for the provincial Energy Affordability Program. This now opens the program to singles earning up to $42,437 annually or couples with a combined annual income of up to $60,014. The previous cut-offs were $36,584 for singles and $51,732 for couples.

The program is one of Ontario’s few remaining conservation and demand management (CDM) incentive offerings for residential electricity customers, and is available to utility account holders with low incomes and social housing providers. Both homeowners and tenants are eligible to participate, but tenants must also obtain consent from their landlord or property manager.

Through the comprehensive stream of the program, trained energy professionals conduct an assessment of participants’ homes and recommend the most appropriate upgrades from a range of potential choices, including:

  • ENERGY STAR certified LED light bulbs
  • High-efficiency showerheads
  • Faucet aerators
  • Drying line for clothes
  • Energy-efficient refrigerator
  • Window air conditioner
  • Smart power strip
  • Additional attic or basement insulation
  • Weatherstripping around doors and windows
  • Smart thermostats

Program administrators estimate that these gratis improvements could help customers lower their electricity costs by $100 to $750 annually depending on the combination of measures installed.

“As the home heating season continues, our government is helping families reduce their energy use and save money on their bills,” maintains Todd Smith, Ontario’s Minister of Energy. “With this update to the Energy Affordability Program, Ontario is ensuring access to free home energy-efficiency upgrades like insulation, smart thermostats, and energy-efficient refrigerators and air conditioners.”

As well, a broader range of households — with annual incomes up to $55,654 for singles or $67,409 for couples — can request a free kit with the following items:

  • LED light bulbs
  • Weather stripping
  • Handheld showerhead
  • Retractable clothesline
  • Faucet aerators
  • LED night light
  • Block heater timer

However, in its mid-term review of the 2021-24 CDM programming, which was released late last year, the Independent Electricity System Operator (IESO) reported that many potential beneficiaries were unaware of the program. “The application process and eligibility qualifications are unclear and create a barrier to participation,” it stated.

The revised income eligibility thresholds follows the IESO’s recommendation that they be reassessed “to determine if adjustments are required to address inflation”. The review also recommended enhanced marketing for the program and adding air-source heat pumps to the list of energy-saving equipment offered through the comprehensive stream of the program.

“Updates to the Energy Affordability Program will provide greater comfort and lower bills for income-eligible Ontarians,” says Chuck Farmer, the IESO’s vice president, planning, conservation and resource adequacy. “Energy efficiency programs like this reduce electricity demand and contribute to the overall reliability of Ontario’s power system.”

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