By Melissa Shin

Since heating and cooling costs account for up to 56 per cent of your home energy bill, reducing consumption makes both economic and environmental sense. And with thousands of dollars in rebates available for energy-efficient heating options, you can warm your house and heart knowing the government is paying you to go green.

First steps

According to Live Green Toronto, the easiest and most inexpensive way to lower your heating costs is to add insulation to the attic and unfinished areas of your house, as well as to seal windows and doors with weather stripping or caulking.

Tweak the temperature

Using a programmable thermostat can save 15 to 25 per cent on your heating bill. New units are eligible for a $15 rebate from Enbridge Gas Distribution and a $25 rebate from the Ontario Power Authority when installed by a participating contractor. Toronto-based ecobee produces the “iPod of programmable thermostats”: the Smart Thermostat allows you to easily program your home’s temperature from either its touch screen or the internet. While it retails for $469 USD, new time-of-use pricing by Toronto Hydro means this device could soon pay for itself.

Get audited

The Government of Ontario will pay half (up to $150) for a certified ecoENERGY Home Energy Audit, performed by companies like GreenSaver and Energuy. You have 18 months to complete some or all of the improvements suggested by the audit to qualify for government rebates (and possibly increase your home’s value). After another, post-retrofit audit, you’re eligible for up to $5,000 in rebates from the Governments of Ontario and Canada. Go to http://www.homeenergyontario.ca for more details.

Harness the sun

You can purchase and install a solar hot water heater for 57 per cent less than the suggested retail price of $10,000, thanks to Bullfrog Power, Enbridge Gas Distribution, Enerworks, and government rebates. If you live in Ward 29, 30, 31 or 32, you’re eligible for an additional $1,000 rebate through the Solar Neighbourhood Program. Your solar water heater must be installed by the end of 2010. Go to http://bullfrogpower.ca/solar for more details.

Go tankless

Tankless water heating heats your water on demand through a heat exchanger, which is much more energy efficient than a traditional unit. Also, you’ll never run out of hot water during showering marathons. A tankless system can cost as little as $40/month and net you $730 in government grants—plus, it takes up less space.

Give some back

Through the OPA’s micro FIT Program, you can develop a small renewable electricity generation project (10 kilowatts or less) on your property and be paid a guaranteed price for the electricity produced for at least 20 years. Visit http://microfit.powerauthority.on.ca for more details.

For more rebates and energy-saving information, visit http://everykilowattcounts.ca and http://showmethegreen.ca.

Melissa Shin is the Managing Editor of Corporate Knights Magazine, the Canadian magazine for responsible business.

Bullfrog Power, ecoENERGY, Enbridge Gas Distribution, Energy Conservation, Live Green Toronto, Melissa Shin, microFIT, Ontario Power Authority, Programmable Thermostats, Smart Meters, Solar Water Heaters, Tankless Hot Water Heaters, Toronto Hydro