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Energy Retrofit Loans (ERL)
Low-interest financing for energy-efficient building retrofits in Toronto
Last Update: March 4, 2026
Funding available
Up to 100% of project cost
Timeline
- Open continuously
Location
Toronto, Ontario, Canada
Overview
The Energy Retrofit Loans (ERL) program provides up to 100% financing of project costs with fixed, long-term, low-interest loans to support low-carbon, energy-efficient building retrofits in Toronto. Eligible activities include upgrades such as heat pumps, HVAC systems, building envelope improvements, lighting, renewable energy systems, and other decarbonization measures.
/100
Opportunity Score
Moderate potential, but conditions must align.
At a glance
Funding available
Financing goals
- Increase performance through digital transformation
- Reduce environmental footprint
- Renovate or expand facilities
Eligible Funding
- Up to 100% of project cost
Timeline
- Open continuously
Eligible candidates
Eligible Industries
- Manufacturing
- Retail trade
- Real estate and rental and leasing
- Professional, scientific and technical services
- Educational services
- Health care and social assistance
- Accommodation and food services
- Other services (except public administration)
- Public administration
Location
- Toronto
- Ontario
Legal structures
- Non-profit
- Public or Parapublic institution
- Social economy enterprise
- For-profit business
Annual revenue
- All revenue ranges
Organisation size
- All organization sizes
Audience
- All groups
Non-profit candidates
Sector of operation
- All industries
Target groups
- All the groups
Revenue structures
- All structures
Scope
- All dimensions
Next Steps
1
Determine your project
2
Validate your eligibility
Activities funded
- Upgrading buildings with low-carbon, energy-efficient retrofits.
- Installation of renewable energy systems such as solar panels or geothermal systems.
- Implementing advanced building automation and control technologies.
- Replacing existing systems with high-efficiency heating, cooling, and ventilation solutions.
- Comprehensive building envelope improvements to enhance energy conservation.
Eligibility
Who is eligible?
- Commercial, retail, and industrial buildings
- Multi-family residential buildings
- Condominium (common areas only)
- Social housing facilities
- Hospitals and long-term care institutions
- Schools, colleges, and universities
- Not-for-profit organizations
- Hospitality sector buildings
Eligible expenses
- Purchase and installation of heat pumps
- Acquisition and installation of high-efficiency boilers, chillers, and HVAC systems
- Building envelope improvements
- Building automation systems and controls
- Lighting upgrades
- Procurement and installation of renewable energy systems
- Energy and battery storage systems
- Fuel switching costs
- Other retrofit measures or technologies contributing to energy efficiency and decarbonization
Eligible geographic areas
- Buildings located in Toronto
Additional information
- Funds are advanced at the start of the project, allowing immediate initiation of retrofit activities.
- Unsecured loans may be available for eligible applicants.
- Applicants may receive support to access additional utility incentives and federal grant programs.
- Up to one year of interest-free and payment-free period is available at the start of the loan.
Contacts
Frequently Asked Questions about the Energy Retrofit Loans (ERL) Program
Here are answers to the most common questions about the Energy Retrofit Loans (ERL). This section explains what the program is, how much funding is available, eligibility requirements, application deadlines, and other important details to help you determine if this grant is right for your business.
What is the Energy Retrofit Loans (ERL)?
The Energy Retrofit Loans (ERL) program provides up to 100% financing of project costs with fixed, long-term, low-interest loans to support low-carbon, energy-efficient building retrofits in Toronto. Eligible activities include upgrades such as heat pumps, HVAC systems, building envelope improvements, lighting, renewable energy systems, and other decarbonization measures.
How much funding can be received?
Energy Retrofit Loans (ERL) Funds up to 100% of admissible expenses.
Who is eligible for the Energy Retrofit Loans (ERL) program?
To be eligible for the Energy Retrofit Loans (ERL) program, you must:
Must own a building located in Toronto
Includes commercial, industrial, multi-family residential, condominium (common areas), social housing, healthcare, educational, not-for-profit, and hospitality sectors
Authorized third-parties may apply on behalf of building owners
What expenses are eligible under Energy Retrofit Loans (ERL)?
Upgrading buildings with low-carbon, energy-efficient retrofits.
Installation of renewable energy systems such as solar panels or geothermal systems.
Implementing advanced building automation and control technologies.
Replacing existing systems with high-efficiency heating, cooling, and ventilation solutions.
Comprehensive building envelope improvements to enhance energy conservation.
Who can I contact for more information about the Energy Retrofit Loans (ERL)?
You can contact City of Toronto by email at bbp@toronto.ca.
Where is the Energy Retrofit Loans (ERL) available?
The Energy Retrofit Loans (ERL) program is available the province of Ontario.
Is the Energy Retrofit Loans (ERL) a grant, loan, or tax credit?
Energy Retrofit Loans (ERL) is a Loans and Capital investments