Yukon is paying homeowners to make their heat pumps less dependent on the grid. The Government of Yukon launched the Dependable Grid Program on April 15, 2026 (news release 26-105), with its largest rebates going to dual-fuel systems: a heat pump paired with a backup heat source that does not run on electricity. Details here are as of October 2026; confirm current terms with the territory before quoting.
Why the program exists
The territory's problem is peak demand on an isolated grid, not annual energy use.
The release says forecasts show peak demand growing by about 40 megawatts by 2030, mostly from new electrically heated homes. The government describes the territory's grid as already strained and isolated, and prolonged cold snaps are the moments it worries about most. The program is meant to lower electricity use at those critical moments and to diversify home heating. Energy, Mines and Resources Minister Ted Laking is quoted in the release, and the government ties the program to its commitment to a Winter Reliable Energy Plan.
What the rebates pay
The backgrounder lists rebates for existing homes and new construction.
| Measure | Existing homes | New homes |
|---|---|---|
| Dual-fuel heating (heat pump plus non-electric backup) | 50% up to $15,000 | flat $15,000 |
| Secondary non-electric heating | 50% up to $5,000 | flat $3,000 |
| Primary non-electric heating (switch from electric) | 50% up to $15,000 | flat $15,000 |
| Non-electric water heating | 50% up to $1,250 | flat $1,250 |
| Backup power transfer switch | 25% up to $2,000 | flat $2,000 |
Very efficient new homes get $12,500 at Tier 5 and $2,000 at Tier 4. Workplaces get $100 per smart vehicle outlet, and households can earn sign-up bonuses and annual incentives for off-peak electric vehicle charging and for joining Yukon Energy's Peak Smart Home program.
The release adds that a typical household replacing electric baseboards or an electric furnace with a dual-fuel system could save up to $1,900 a year, by the government's estimate. Secondary heaters installed through the program are paired with transfer switches so they can run during an outage.
Who it is aimed at
The rebates target homes already heated with electricity, and new homes under construction.
Eligible secondary heaters named in the release include wood stoves, pellet stoves, oil monitors and propane fireplaces. For dual-fuel systems, the release describes a heat pump with a wood, propane or oil backup for use in extreme cold. Applications go through the territory's Good Energy rebates page.
Analysis: what this means for heat pump contractors
This section is our analysis, not the Government of Yukon's.
In most provinces, heat pump messaging is about leaving fossil fuels. In Yukon, the winning message for this program is resilience: a heat pump for most of the winter, and a backup that keeps the house warm when the grid is stretched.
- Partner across trades. A dual-fuel job needs a heat pump installer and, often, a gas or wood-heat specialist. Gas work in the territory requires a Yukon licence, administered through Building Safety and Standards. Joint offers should make clear who does which part.
- Show the math on 50%. On a $24,000 dual-fuel project in an existing home, 50% would be $12,000, under the $15,000 cap. On a $34,000 project, the rebate stops at $15,000. Worked examples like these, labelled with the program date, help buyers decide faster.
- Market to builders, too. New homes get flat amounts, so builders can price them in. A builder-facing page is a different piece of content from a homeowner page.
- Keep it short and local. Whitehorse and the surrounding communities are a small market where word of mouth matters. Our territories page explains how we approach northern marketing.
See program landing pages for how we present rebates like this one, or call, text or email us to talk it through.
How this differs from other provinces
Most Canadian heat pump programs pay homeowners to leave fossil fuels. Yukon's pays some of them to add a non-electric backup.
Elsewhere, for example in BC's income-qualified program, rebates often require removing gas or oil equipment. Yukon's priority is the grid's winter peak, so a heat pump with wood, propane or oil backup is the favoured design. Installers working across jurisdictions should not reuse messaging from one to the other.
What to watch next
The program is new, and terms documents get revised.
The territory's consolidated terms for energy incentive programs are updated from time to time, so check the current version before quoting. For other northern and provincial updates, browse the newsroom.
Frequently asked questions
How much does the Dependable Grid Program pay for a dual-fuel heat pump?
As of the April 15, 2026 release, 50% of the cost up to $15,000 for an existing home, or a flat $15,000 for a new home, for a heat pump paired with a non-electric backup heat source. Confirm current terms with the Government of Yukon before quoting.
Why is Yukon paying for non-electric backup heat?
The government says peak electricity demand is forecast to grow by about 40 megawatts by 2030, mostly from new electrically heated homes. Backup heat that is not electric lowers demand on the isolated grid during long cold snaps.
What other rebates are in the program?
Secondary non-electric heaters, primary non-electric systems, very efficient new homes, non-electric water heating, backup power transfer switches, smart vehicle outlets and rewards for off-peak charging and Yukon Energy's Peak Smart Home program.
Where do homeowners apply?
The release points applicants to the Government of Yukon's Good Energy rebates page. Installers should check the current program terms there, because they can change.