Shrink your utility bill with a heat pump

Heat pumps work by collecting heat from the air, ground or water outside your home and concentrating it for use inside your home. The units consist of a heat exchanger, which extracts heat from the source to warm your home, and a compressor, which uses a refrigerant to remove heat from the air to cool your home.¹

There are three main types of home heat pumps.²

• Air source: extract heat from outdoor air
• Ground source: extract heat from ground — geothermal
• Water source: extract heat from nearby body of water

In each case, you can either choose a heat pump that circulates air through ductwork — a good choice if you already have existing ductwork — or opt for a ductless version that’s mounted on an interior wall.

Economical

While a heat pump costs more to buy up-front than a furnace and air conditioner, it can save you a substantial amount over time in terms of energy costs. Studies show they use half to a third as much energy as electric baseboards or a gas furnace.³

Eco-friendly

Heat pumps are climate friendly. They reduce household carbon emissions by about 38 to 53% over a gas furnace.⁴ Put another way, that’s estimated to be about the same amount as not driving your car for 9 months of the year.⁵

Efficient

Heat pumps are designed to efficiently maintain a set temperature.⁶ There’s no need to shiver through a chilly night in an attempt to save energy. Turning the thermostat down at night may cause them to use even more energy to return to room temperature.

Healthy

Because heat pumps generate heat and cooling without the burning of fossil fuels, they are a healthy way to reduce greenhouse gas emissions.⁷ Their air filtration system can also help improve indoor air quality by capturing contaminants such as dirt, dust and allergens.

Energy efficiency rebate programs

Current government rebate programs can help cover the cost of installing a heat pump. You could qualify for up to $5,000 in rebates for the installation of a heat pump with the Canada Greener Homes Grant Opens a new window.. Plus, additional cost savings may be available through provincial programs such as Ontario’s Home Efficiency Rebate Plus Opens a new window.. Check with your local contractor for information on incentive programs in your area.

Looking for more smart ways to make your home more energy efficient and find opportunities to save more? Check out our CIBC guide to home energy savings. To discuss financing options, connect with your financial advisor.