Ontario: net metering vs the HRSP solar rebate

Ontario homeowners going solar now face a real choice. You can take an upfront rebate through the Home Renovation Savings Program, or you can use net metering to bank credits for the power you send to the grid. You can't do both on the same solar system, so it is worth understanding each.

The Home Renovation Savings Program

The Home Renovation Savings Program (HRSP) launched on January 28, 2025. It is delivered by Save on Energy and Enbridge Gas.

For rooftop solar and batteries, the rebates are:

So a 5 kW system could qualify for up to $5,000, and a larger system is still capped at $5,000.

The catch: load displacement only

Systems that take the HRSP solar rebate must be sized for on-site use. This is called load displacement. The goal is to power your own home, not to export a surplus to the grid.

These systems can't use net metering. Any power you export is not credited the way it would be under a net metering agreement. That changes how you should size the system and whether a battery makes sense.

Net metering in Ontario

Under net metering, the power you export is credited against your electricity bill. In summer, a well-sized system often produces more than the home uses during the day. Those exports become credits.

Credits roll over for up to 12 months. That means surplus from June and July can help offset bills in darker months. This banking is a large part of why net metering suits Canadian seasons, as explained in solar in Canadian winters.

There is no upfront cheque with net metering. The value arrives gradually, through lower bills over the life of the system.

Who each option suits

The rebate tends to suit

• Homes that want a smaller system that covers daytime use without a large surplus.
• Homes adding a battery, especially on the Ultra-Low Overnight (ULO) plan, where a battery can store solar or cheap overnight power and use it during the expensive 4 to 9 pm weekday window.
• Homeowners who value cash back now over credits later.

Without net metering, solar energy you produce but don't use right away has little value to you. A battery helps capture it. Our guides on batteries and Ontario rate plans explain why ULO and batteries pair well.

Net metering tends to suit

• Larger systems on good roofs that will export a meaningful summer surplus.
• Homes with high annual use, such as those with electric heating or an electric vehicle, that want to offset as much of the year as possible.
• Homeowners who don't want a battery and want every exported kWh to count.

A simple way to think about it

The rebate rewards a system that fits your daytime use closely. Net metering rewards a system that may produce more than you need on sunny days, because the surplus still has value.

If most of your production would be used in your home anyway, the rebate is extra money. If a large share would be exported, losing net metering may cost more over the years than the rebate is worth.

There is no single right answer. It depends on your roof, your usage pattern, your rate plan and whether you want a battery.

Things to check before you decide

• Confirm current HRSP eligibility rules and required steps with Save on Energy before you sign anything. Program rules can change.
• Ask your installer which path they are designing for. A system designed for net metering and one designed for load displacement can look quite different.
• Make sure the quote shows the price before and after any rebate, so you can see the true cost.

What SolarMyBill does

For every Ontario home, SolarMyBill models both paths: a load displacement system with the HRSP rebate, and a net metered system. We show you the estimated cost, savings and payback for each side by side, using your rate plan. You can also review current programs on our incentives page.

Next step

See which path looks better for your home: check your roof.

Sources

• City of Toronto: Solar financing and incentives