Heat pumps & heating

What is a hybrid heating system (heat pump plus furnace)?

Answered by the Canadian Energy Standard team · Updated September 13, 2026 · 4 min read

Quick answer

A hybrid, or dual-fuel, system pairs an electric heat pump with a furnace. The heat pump handles most of the heating and all of the cooling, and the furnace takes over when it's too cold for the heat pump to work well. With a furnace backup, the two run one at a time rather than together.1

How the switching works

Natural Resources Canada lists a furnace or boiler as one supplementary heat option for air-source heat pumps, noting that in these hybrid systems the two operate sequentially, not simultaneously.1 A control or smart thermostat decides when to switch based on outdoor temperature.

Why homeowners choose it

  • Keep the furnace you have. A working furnace becomes the backup for the coldest days.
  • Replace an air conditioner. The heat pump cools in summer the same way an air conditioner does.
  • Smaller heat pump. With backup covering peak cold, the heat pump can be sized for most of the season rather than the coldest night.1

Rebates in Ontario

Home Renovation Savings pays heat pump rebates by size. For homes heated with Enbridge natural gas, cold-climate air-source heat pumps qualify for $500 per ton, up to $2,000. Pre-approval is mandatory and only participating contractors can offer the rebate.2

Good to know: gas furnaces themselves aren't a listed upgrade in the Home Renovation Savings program; the rebate is for the heat pump.

Common follow-up questions

Do I need a new furnace for a hybrid system?

Not always. If your furnace is in good condition and compatible with the controls, it can act as the backup.

Does a hybrid system cool my home?

Yes. The heat pump provides air conditioning in summer.

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Sources

Answers are general information as reported by the sources listed on the date shown, not personal financial or technical advice. Programs, prices and rules change. Canadian Energy Standard is an independent company, not affiliated with any government, utility or program named here.

  1. Natural Resources Canada, Heating and cooling with a heat pump
  2. Home Renovation Savings, Heat pumps
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