Going Solar in Ontario
Ontario is one of Canada's largest solar markets, with hundreds of thousands of homes already powered by solar energy. Ontario homeowners benefit from favorable net metering rules and no HST on residential solar installations.
Note: The federal Canada Greener Homes Grant (closed February 2024) and Canada Greener Homes Loan (closed October 2025) are no longer accepting new applications. Ontario homeowners can still benefit from the HST exemption on solar, Hydro One net metering, and local distribution company programs.
Below are the Ontario solar incentives and rebates that may benefit you.
Ontario Solar Incentives, Rebates, And Benefits
Canada Greener Homes Grant (Closed Feb 2024)
The Canada Greener Homes Grant closed to new applications in February 2024 (program ran May 2021–February 2024). No new applications are being accepted. Existing approved applicants may still complete their claims. Visit NRCan.gc.ca for information on any successor federal programs.
Canada Greener Homes Loan (Closed Oct 2025)
The Canada Greener Homes Loan closed in October 2025 (final application deadline was January 20, 2026). No new applications are being accepted. Visit NRCan.gc.ca for information on any successor federal financing programs.
No HST on Residential Solar
The federal government exempts residential solar PV systems from GST/HST, effectively providing a 13% tax saving on the full system cost in Ontario. This exemption applies to equipment and installation, making it one of the most valuable automatic incentives for Ontario solar buyers.
Net Metering Through LDCs
Ontario's Local Distribution Companies (LDCs) including Hydro One, Toronto Hydro, and others all offer net metering for residential solar owners. Excess generation is credited at the commodity price, rolling forward monthly to offset future consumption.
Ontario Net Metering
Ontario's net metering regulation requires all licensed electricity distributors to offer net metering to residential customers with solar systems up to 500 kW. Excess generation credits accumulate monthly and are settled at the end of the 12-month billing period. Ontario has one of the most established net metering frameworks in Canada.
Additional Ontario Solar Programs
Ontario Electricity Rebate
Ontario's Electricity Rebate reduces electricity bills for all residential customers, but solar owners who reduce their grid consumption benefit most since they pay the effective post-rebate rate on any net consumption while generating their own power.
Time-of-Use Rate Optimization
Ontario's time-of-use electricity pricing can be strategically combined with solar generation. By shifting consumption to off-peak periods and using solar during on-peak hours, Ontario homeowners can maximize savings beyond simple net metering alone.
Ontario Solar Incentives — At A Glance
Ontario offers an excellent solar environment with established infrastructure, HST exemption, and province-wide net metering. Average payback periods for Ontario homeowners range from 8 to 12 years, after which electricity is effectively free.