Manitoba has permanently entrenched tax credits for the purchase of energy equipment related to geothermal, solar thermal or biomass systems. The newly released 2023-24 provincial budget announces the ongoing extension of the rebates, which had been scheduled to expire June 30, 2023.

Tax credits for geothermal heat pump and solar thermal systems apply on both residential and commercial installations. The program offers tax credits equivalent to 7.5 per cent of the cost of geothermal heat pumps manufactured in Manitoba and 15 per cent of other related capital costs if the installer is certified by the Manitoba Geothermal Energy Alliance.

Refundable tax credits are available for 10 per cent of the capital costs of specified active solar water or gas heating equipment, including: solar collectors; solar energy conversion equipment; solar water heaters; energy storage equipment; control equipment; and equipment that interfaces with other solar or non-solar heating equipment. Swimming pool water heating systems and air-source heat pumps are not eligible.

The 15 per cent tax credit for the capital cost of biomass energy systems applies only for equipment that is used in a business.