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Energy-efficient home in Canada with rooftop solar panels and a heat pump in autumn

The Canadian government is putting $66.3 million into making homes greener, cheaper to run and more comfortable — backing 162 energy-efficiency projects across the country to deliver more energy-efficient homes, through the Federation of Canadian Municipalities’ Green Municipal Fund.

The announcement was made on October 2, 2026, in Toronto, Ontario, by Julie Dabrusin, Minister of the Environment, Climate Change and Nature, alongside Jennifer McKelvie, Member of Parliament for Ajax and Parliamentary Secretary to the Minister of Housing and Infrastructure.

What the $66.3 million for energy-efficient homes will fund

The money flows through two Green Municipal Fund initiatives: Community Efficiency Financing and Sustainable Affordable Housing. Municipalities and local delivery partners will use it to make it easier for homeowners to pay for energy-saving upgrades such as improved insulation, high-efficiency windows, heat pumps and other retrofit measures.

Officials say the projects will reduce energy consumption, lower household costs, strengthen community resilience and support the long-term infrastructure Canada needs for a cleaner, more competitive economy.

Heat pump being installed at a Canadian home — an energy-efficient homes retrofit supported under Canada's Green Municipal Fund
A heat pump being installed at a Canadian home — one of the energy-efficient upgrades supported under the new funding.

Projects across every region

The announcement includes projects in every region of the country, including Sustainable Affordable Housing projects in Peel Region, Markham, Toronto, Ottawa, Montréal, Winnipeg, Vancouver, Halifax and Fredericton, Community Efficiency Financing feasibility studies and program development in Markham and Richmond Hill, and a Sustainable Affordable Housing project in Nunavut supporting energy-efficient and low-carbon housing solutions in northern communities.

According to the funding breakdown, 12 projects are in Atlantic Canada, 36 in Quebec, 39 in Ontario, 36 across the Prairies, 38 in British Columbia and one in Nunavut.

Key facts

$66.3 million announced for home energy-efficiency projects across Canada.

162 projects funded through Community Efficiency Financing and Sustainable Affordable Housing.

Announced October 2, 2026 in Toronto by Ministers Julie Dabrusin and Jennifer McKelvie.

Typical upgrades: insulation, high-efficiency windows, heat pumps and other retrofit measures.

Coverage: projects in every region, including a northern housing project in Nunavut.

What it means for sustainable living

Energy efficiency is an affordability solution, said Carole Saab, CEO of the Federation of Canadian Municipalities, adding that the investment shows what strong federal-municipal partnership can deliver: practical solutions that improve people’s lives and can be scaled in communities across the country.

FCM President Tim Tierney said affordable housing providers and homeowners will get the tools and support they need to reduce energy costs while improving home comfort and gaining greater protection from price shocks. For more on how people are making their everyday lives greener, see Watan News’ English coverage of sustainable living.

Conclusion

By helping Canadians improve the efficiency of their homes, the program aims to cut emissions and energy bills at the same time — turning sustainable living from an aspiration into a practical, financed reality for thousands of households from coast to coast to coast.

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