2024 BC Budget Submission
Nanaimo Climate Action Hub Affordable Heat Pump Committee.
Introduction
The Nanaimo Climate Action Hub surveyed 227 Nanaimo and area residents (full results: nanaimoclimateaction.org/heat-pumps).
86.7% of respondents who do not have a heat pump in their home have considered one.
50.4% of these say cost is the reason they do not have one.
70% are aware of government rebates;
According to survey respondents the average cost of installing a heat pump before February 2022 was $8,173.85, after February 2022 was $11,352.59 - a 39.18% increase.
Recommendation
Take the excess profit out of heat pump installations, thereby making the CleanBC rebates more effective and saving money.
Recommendation Explanation
Making heat pumps available to everyone will reduce energy consumption, combat climate change, and make homes more comfortable. Taking the excess profit out of the installation process will make this possible.
CleanBC’s supply and install requirements for rebates and the high demand for heat pumps, plus a shortage of approved installers, mean there is little incentive for companies to keep their prices affordable. Installers refuse to provide a detailed estimate when quoting on a heat pump installation. It is common to charge $8000 for a system that would cost $2000 or less at a home improvement store and takes one day to install - $6000 for one day's work.
Five ways to fix this:
1. Adopt the Prince Edward Island method. In PEI a qualified consumer who wishes to convert to a heat pump makes an application to the provincial government. The government assigns the job to a contractor. Once the job is done, the government pays the contractor.
2. Make it easy for nonprofits to adopt the Gabriola Island model. More than 950 not-for-profit heat pumps have been installed there in the past thirteen years. Encourage not-for-profit installers by giving them access to the CleanBC rebates. Use CleanBC staff to inspect the installation, if necessary, to ensure the work is done correctly.
3. Establish a Crown Corporation to obtain (or manufacture) and install heat pumps in homes throughout the province, or require BC Housing to establish a division to do this.
4. Eliminate the requirement in the current CleanBC heat pump process that a heat pump be supplied and installed by someone from an approved list of contractors.
5. Require installers to provide fully itemized estimates in order to obtain CleanBC rebates.
Introduction
The Nanaimo Climate Action Hub surveyed 227 Nanaimo and area residents (full results: nanaimoclimateaction.org/heat-pumps).
86.7% of respondents who do not have a heat pump in their home have considered one.
50.4% of these say cost is the reason they do not have one.
70% are aware of government rebates;
According to survey respondents the average cost of installing a heat pump before February 2022 was $8,173.85, after February 2022 was $11,352.59 - a 39.18% increase.
Recommendation
Take the excess profit out of heat pump installations, thereby making the CleanBC rebates more effective and saving money.
Recommendation Explanation
Making heat pumps available to everyone will reduce energy consumption, combat climate change, and make homes more comfortable. Taking the excess profit out of the installation process will make this possible.
CleanBC’s supply and install requirements for rebates and the high demand for heat pumps, plus a shortage of approved installers, mean there is little incentive for companies to keep their prices affordable. Installers refuse to provide a detailed estimate when quoting on a heat pump installation. It is common to charge $8000 for a system that would cost $2000 or less at a home improvement store and takes one day to install - $6000 for one day's work.
Five ways to fix this:
1. Adopt the Prince Edward Island method. In PEI a qualified consumer who wishes to convert to a heat pump makes an application to the provincial government. The government assigns the job to a contractor. Once the job is done, the government pays the contractor.
2. Make it easy for nonprofits to adopt the Gabriola Island model. More than 950 not-for-profit heat pumps have been installed there in the past thirteen years. Encourage not-for-profit installers by giving them access to the CleanBC rebates. Use CleanBC staff to inspect the installation, if necessary, to ensure the work is done correctly.
3. Establish a Crown Corporation to obtain (or manufacture) and install heat pumps in homes throughout the province, or require BC Housing to establish a division to do this.
4. Eliminate the requirement in the current CleanBC heat pump process that a heat pump be supplied and installed by someone from an approved list of contractors.
5. Require installers to provide fully itemized estimates in order to obtain CleanBC rebates.
