After food and labour, energy is one of a restaurant's largest costs, and the kitchen uses the most of it. Exhaust fans run all day, whether the kitchen is busy or quiet. Dining-room lighting stays on from the start of prep until closing, and gas appliances do most of the cooking. As of July 2026, four Ontario programs may help offset the cost of new lighting, ventilation and gas equipment. They differ in size and in who delivers them, but the biggest difference is timing: when you are allowed to start, and when each program's deadline falls.
No-cost basics: Save on Energy Small Business Program
The Small Business Program offers direct-install energy-saving measures at no cost to qualifying businesses with 50 or fewer employees. As of July 2026 it covers up to $3,000 in lighting improvements and up to $2,500 in select non-lighting measures, installed by program-approved contractors. Tenants may participate, but they need landlord consent before installation. For a dining room still running halogen or fluorescent fixtures, this is usually the best place to start, because it costs you nothing and can lower your electricity bills.
Larger projects: Save on Energy Retrofit program
The Retrofit program supports bigger custom and prescriptive projects at up to 50% of eligible costs. Two rules matter most. First, pre-project approval is strict: equipment installed before approval is generally not eligible, so nothing should be purchased or installed until the application is approved in writing. Second, program incentive rates change on a schedule, so check your quotes and application with the rates that will apply to your project before you commit.
Kitchen ventilation: Enbridge DCKV Installation Program
Demand-control kitchen ventilation (DCKV) adjusts exhaust fan speed to match real cooking activity instead of running at full power all day, which saves both gas and electricity. As of June 2026, Enbridge's DCKV Installation Program covers the installed cost per unit up to a cap set by exhaust tier: up to $12,480, $20,225 or $25,375 depending on the size of the system. The program targets independently owned businesses that cook with natural gas, and installation must be completed by November 27, 2026. For a busy kitchen with long hood runtimes, this is one of the largest per-unit incentives on this list.
Other gas measures: Enbridge Prescriptive Incentive Program
Enbridge's Prescriptive Incentive Program (renamed from the Fixed Incentive Program) pays set amounts for listed equipment. As of June 2026 that includes DCKV at $2,000 to $10,000 per unit and heat or energy recovery ventilation (HRV/ERV) at $200 to $8,000, with incentives capped at 50% of project cost and $100,000 overall. The application must be submitted before purchase, so plan for this program before you buy, not after the invoice arrives.
What to have ready before any application
- Twelve months of electricity and gas bills, which establish the baseline most programs ask about.
- A simple equipment inventory: hood and exhaust details, lighting types and counts, HVAC age and model numbers.
- Your lease or proof of ownership and, if you rent, your landlord's consent.
- Contractor quotes that name the exact equipment, since prescriptive incentives pay set amounts for specific models and specs.
Timing, fuel and paperwork rules
- Apply first, buy second. The Retrofit program and both Enbridge programs expect approval or a submitted application before purchase or installation.
- Match the program to the fuel: Save on Energy programs address electricity, while Enbridge programs address natural gas equipment.
- Tenants should talk to their landlord early, since landlord consent is required for direct-install work.
- Watch the calendar: Retrofit program rates change on a schedule, so re-check the current rate before you commit, and DCKV installations must finish by November 27, 2026.
- Keep every quote, spec sheet and invoice; completion paperwork decides whether approved incentives are actually paid.
A practical path for most independent restaurants starts with the no-cost direct-install assessment, then prices a DCKV project if the kitchen cooks with gas and the hoods run long hours, and finally considers a Retrofit application for anything larger. Eligible equipment lists, incentive amounts and stacking rules all shift over time, so confirm current rules directly with Save on Energy and Enbridge before starting work or purchasing equipment. BBN Labs helps you find and check these incentives. The program administrator makes every funding decision, based on program rules and available funding.
Energy incentives are only one type of restaurant funding. For the full list, see every funding program for restaurants.