The federal government announced a $250 million grant program to help Canadians stop heating their homes with oil and switch to electric heat pumps.

Immigration Minister Sean Fraser also told reporters in Stellarton, NS, today that the Oil-to-Heat Affordability Grant will provide up to $5,000 for low- and middle-income homeowners.

Fraser also stated that the funds will cover costs such as installing heat pumps, required electrical upgrades for new equipment, and oil tank removal.

Additionally, the minister said that eligible homeowners will be able to combine the new grant with existing federal and provincial programs that assist with home heating.

In the same context, Fraser added that the grant will be available early next year. The funds announced today are in addition to a $250 million envelope of federal funding over four years, which was announced last September to help people with home heating costs.