Climate Incentives You Should Know in 2026

Introduction
Federal Carbon Rebate (formerly CAIP) payments were eliminated in early 2025 as the carbon tax was phased out. However, new green home financing programs and rebates stay firmly in place—offering buyers and homeowners fresh opportunities.

What Has Ended

• The Climate Action Incentive Payment and federal carbon fuel charge ended by March 2025; no carbon rebates in 2026

What’s Still Available

• Canada Greener Homes Loan: Up to $40,000 interest-free for energy upgrades
• Federal and provincial home-efficiency rebates and tax credits, including CMHC mortgage insurance premium reductions for green homes

How It Helps Ottawa Buyers/Homeowners

• Offset upfront retrofit costs (heat pumps, insulation, windows) with low or zero-interest loans
• Qualify for 25% CMHC insurance premium refunds by buying or renovating for energy efficiency
• Added comfort and utility savings—enhancing your home’s long-term value and affordability

Brokers’ Role in 2026

• Walk clients through loan-rebate-insurance combos for purchase or renovation
• Include retrofit savings and benefits in mortgage pre-approval and affordability projections
• Promote energy-efficient properties as a value-add investment

Conclusion
While federal carbon rebates are gone, green home finance options remain strong in 2026. Ottawa brokers can help clients reduce both home costs and environmental impact through strategic mortgage structuring.