CanREA Disappointed by Abrupt Closure of Canada Greener Homes Loan Program
October 6, 2025
The cancellation of the federal interest-free loan program leaves many clean energy businesses and Canadian homeowners in the lurch, with no long-term solution in sight.
The Canadian Renewable Energy Association (CanREA) is disappointed by the abrupt cancellation of the Canada Greener Homes Loan (CGHL) program and is advocating for a long-term program to accelerate the transition to renewable energy solutions.
The interest-free loan program, created in June 2022 as part of the larger Canada Greener Homes Initiative, offered 10-year interest-free loans ranging from $5,000 to $40,000 to help homeowners pay for energy-efficient retrofits, including rooftop solar panels and battery energy storage systems. The federal government announced the application closure in mid-September, giving Canadians only nine business days’ notice before the October 1st final application deadline.
“Even without the CGHL, solar energy makes economic sense in Canada, but the sudden loss of the program will have a significant negative impact on one of the key industries needed to deliver clean energy at the pace and scale required to achieve Canada’s future goals of affordable, reliable and sustainable energy,” said Phil McKay, CanREA’s Senior Director of Member Programs. “The companies most affected are the ones taking the time to build relationships with customers and educate them on the accessibility of solar and energy storage from coast to coast to coast.”
With the shuttering of the CGHL, most Canadians no longer have a program that can help them save money on their energy bills and reduce their emissions, despite this government having made these priorities a cornerstone of its mandate. It is important that all Canadians and businesses have a long-term signal to go solar or adopt other energy- and emissions-saving technologies. Businesses have investment tax credits, and low-income Canadians have grant and affordability programs, but the large majority of Canadians now have nothing. This programming vacuum slows the industry’s ability to deliver clean energy solutions and hinders progress toward the government’s own goals.
CanREA commends the federal government for its leadership and its administration of one of Canada’s most ambitious solar and storage adoption programs to date. This is why it befuddles our team that this program was allowed to run out. During his leadership campaign, Prime Minister Carney pledged to replace the consumer carbon tax with incentives to reward people for greener choices—like installing solar panels on their roofs.
As the Association’s members on the front lines of deploying behind-the-meter solar and storage solutions now scramble to overhaul business plans and protect workers, CanREA is committed to finding a path forward. It urges the federal government to prioritize long-term loan programs to continue to advance the transition to renewable energy solutions and achieve Canada’s climate goals.
“For years, we have advocated for long-term, stable policies that can provide steady growth for the industry and avoid the boom-bust cycles of fast-ramping incentive programs,” explained Fernando Melo, CanREA’s Senior Director of Federal Policy and Public Affairs. “CanREA will continue to push for the conditions under which Canadians can confidently invest in solar and storage and do their part to strengthen and decarbonize our national electricity networks.”
