County to loan homeowners funds for energy retrofits
Loans ranging from $10,000 to $80,000 will support upgrades including electric heat pumps, solar panels, EV chargers, insulation
MAPLETON – “Wellington County is facing increasing challenges associated with rising energy costs, greenhouse gas emissions and more frequent and severe weather events, including extreme rainfall, flooding, heat waves and other climate-related risks.”
That’s according to a report from Mapleton and Centre Wellington climate change coordinator Martin Tamlyn.
It is part of the reasoning behind the county’s new Home Energy Retrofit Financing Program, he stated, which is an “initiative designed to help homeowners reduce energy use, lower greenhouse gas emissions, improve home comfort and increase resilience to a changing climate.”
It is meant to reduce barriers to improving homes’ energy efficiency and resilience by providing loans towards up-front costs for upgrades, Tamlyn told Mapleton council on Oct. 13.
Eligible projects include electric heat pumps, solar panels, electric vehicle charging infrastructure, insulation, sump pumps, rain gardens and water-efficient toilets.
The loans, which will range from $10,000 to $80,000, will be repaid through the property tax system over an extended period that aligns with the lifespan of building improvements.
Repayment is attached to the property rather than the homeowner, meaning owners can complete significant upgrades even if they do not intend to stay in the home for the length of the repayment period.
“By reducing household carbon emissions, communities can also play an important role in addressing climate change and advancing shared global net-zero objectives,” Tamlyn’s report states.
The potential for participant default on payments is low, according to the report, because municipal tax systems typically have very high collection rates and program eligibility requires good standing on property tax payments.
“Program administration is expected to be delivered primarily through a third-party administrator, minimizing impacts on county and local municipal staff,” the report continues.
“Municipal responsibilities will largely be limited to program oversight, reporting, funding administration, property tax billing and collection activities.”
Administrative costs will be recovered through participant-paid fees, the report notes.
Program development and financing was provided by the Federation of Canadian Municipalities (FCM), and the county will establish final financing terms, including interest rates, through its funding agreement with the FCM.
