New Home Construction Program

The New Home Construction program is designed to encourage home builders and renovators to construct energy-efficient homes in Ontario.

Build energy efficiency into your new home construction project from day 1

7 in 10 new homebuyers pay for GREEN FEATURES!

A survey of homebuyers found that 70 percent of buyers purchased energy-efficient options when the features were offered by builders. (Source: The 2009 EnerQuality Energy Efficiency/Green Building Survey.)

The New Home Construction program provides home builders and renovators with design assistance and a prescriptive range of incentives for defined electricity-saving measures that can be installed in the home, including:

All Off

ENERGY STAR® Certified
Central Air Conditioners

Lighting Control

ENERGY STAR Certified Indoor Light
Fixtures (hard-wired) and Niche Lighting

Who can apply?

Home builders and renovators can choose to implement Prescriptive, Performance-Based or Custom measures, or a combination of all three.

Homeowners who are managing their own renovation, and can provide proof of purchase for any equipment that is eligible for an incentive, can also apply for the three different streams in the initiative.

What incentives are available?

Prescriptive Measures

Measure Description Incentive

All Off Switch

Master switch that controls multiple electrical sockets in multiple locations in the home (hard-wired)


ENERGY STAR® Certified Central Air Conditioner (CAC)

Minimum 15 SEER and 12.5 EER as identified by the IESO*


Lighting Control Products

  • Hard-wired indoor and outdoor timers and motion sensors
  • Hard-wired dimmer switches


ENERGY STAR Certified Niche Lighting

  • ENERGY STAR Certified recessed lighting – must have GU24 replacement
  • ENERGY STAR Certified under-the-counter lighting
  • ENERGY STAR Certified LED lighting


ENERGY STAR Certified Indoor Light Fixtures (hard-wired)

  • 1 or 2 sockets / 3 or more sockets

$3 / $10

* Please see IESO eligible CAC list here. All CACs are eligible as long as they have a minimum SEER of 15 and minimum EER of 12.5, as identified by the AHRI Certification Directory.

Performance-Based Measures

Measures for new homes that achieve: Incentive

EnerGuide 83 or 84 rating or is certified ENERGY STAR for New Homes


EnerGuide 85 or higher rating


† In order to qualify for the incentive, the subject home has to have a final performance rating of 83, 84, 85 or better, as demonstrated by a submitting a copy of the EnerGuide Energy Efficiency Evaluation Report signed by a qualified energy advisor confirming such rating along with the Final Application.

†† As evidenced by a copy of the ENERGY STAR® v12.3 Certified New Home Certificate signed by a qualified energy advisor.

Custom Measures

This funding stream is exclusively for innovative, cost-effective, energy-efficiency building projects that do not qualify under either the Prescriptive or Performance-Based funding streams. Incentives for Custom measures are provided on a savings basis. Incentives are the greater of $800/kW for First Year Demand Savings, or $0.10/kWh for First Year Energy Savings. The total dollars available for Custom measure incentives are capped at 50 percent of the total Project Cost. To determine if your Custom measure is eligible, please email This email address is being protected from spambots. You need JavaScript enabled to view it.

Is your project eligible?

Any home builder or renovator can enroll in the initiative if their new construction, or their extensive renovation to an existing building, requires a building permit and meets the additional criteria below:

Eligible Houses Extensive Renovations Ineligible Houses

Newly-constructed dwellings, the buildings have to comply with Part 9 of the Ontario Building Code, which specifies:

  • Three or fewer storeys,
  • Area not exceeding 600 m² and
  • Classified as residential occupancies.

Eligible renovation projects must also comply with Part 9 of the Ontario Building Code, and must meet the following additional criteria:

  • The existing interior walls, ceiling or floor assemblies within the renovated area of the existing building are substantially removed;
  • New interior walls or floor assemblies are installed;
  • One or more systems (such as the framing, exterior cladding, roofing, windows, heating ventilation or air conditioning, foundation, flooring or plumbing systems) are replaced;
  • The area under renovations is greater than 50 m²; and
  • The renovation of the area results in it being unoccupiable for a minimum of 30 days; and
  • The renovated building is connected, or will be connected once the new construction project is installed, implemented or undertaken and completed, to the local hydro company's Distribution System.

Ineligible Houses Include:

  • Manufactured homes with a chassis, or
  • Residential buildings with four or more floors, or
  • Homes with a footprint larger than 600 m².

Need help with your application? Email This email address is being protected from spambots. You need JavaScript enabled to view it.

Learn more about the New Home Construction program