Dual Fuel Heat Pump Systems in Ottawa
A cold-climate heat pump and a high-efficiency gas furnace, working together as one hybrid heating system
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A cold-climate heat pump and a high-efficiency gas furnace, working together as one hybrid heating system
- Free estimates on new installations
- Financing from $49/month (OAC)
- All makes and models serviced

What is a dual fuel (hybrid) heating system?
A dual fuel system, also called a hybrid heating system, uses two heat sources on the same ductwork: an electric heat pump outside and a gas furnace inside. The thermostat decides which one runs, based mainly on the outdoor temperature.
The heat pump takes the place of your central air conditioner. In summer it cools exactly like an AC. In spring, fall and the milder part of winter it runs in reverse, moving heat from the outdoor air into the house.
When the deep cold arrives, the furnace takes over. You get heat pump efficiency on most heating days and the strong, hot air of a 96–98% AFUE furnace on the −25 °C nights Ottawa gets most winters.

How the switchover temperature works
The switchover point, sometimes called the balance point or lockout temperature, is the outdoor temperature at which the system stops using the heat pump and fires the furnace. It is set in the thermostat or equipment controls and can be changed later.
- Comfort balance point. The temperature below which the heat pump can no longer keep up with your home’s heat loss on its own. A cold-climate heat pump in a tight home may carry the house well below −15 °C; a draftier older house reaches that point sooner.
- Economic balance point. As it gets colder, a heat pump’s efficiency drops. At some temperature, burning Enbridge gas costs less per unit of heat than running the compressor on Hydro Ottawa power. That point moves with energy prices and your rate plan.
| Outdoor conditions | What runs |
|---|---|
| Above the switchover temperature | Heat pump only; the furnace stays off |
| Near the switchover, house falling behind | The thermostat hands off to the furnace; the two do not run together |
| Below the switchover (down to −30 °C) | Furnace only; the heat pump is locked out |
| Heat pump defrost cycle | The furnace fires briefly so you do not feel cool air from the vents |
Many Ottawa systems are set somewhere between −5 °C and −15 °C. We choose the setting from your home’s heat loss and current rates, and can fine-tune it after the first winter.
Why a hybrid heating system suits Ottawa
Ottawa's climate is close to ideal for dual fuel: long heating seasons with many mild hours, and short spells of serious cold.
Most heating hours are mild
The heating season runs from October to April, but many of those hours are between −10 °C and +10 °C, where a cold-climate heat pump works efficiently.
Full heat on the coldest nights
At −25 °C to −30 °C the furnace delivers hot air without relying on electric resistance strips, so comfort does not drop off in a cold snap.
Uses what you already have
Most homes with a furnace and central AC already have the ducts, gas supply and outdoor pad space a hybrid system needs.
Flexibility on energy prices
With two fuels, the switchover can be moved if gas or electricity prices change, so you are not locked into one.
Lower gas use
The furnace runs far fewer hours each winter, which cuts gas use and the home's emissions while keeping gas heat for when you need it.
Replaces an ageing AC
If your air conditioner is near the end of its life, a heat pump does the same cooling job in July and heats for much of the year.
Learn more →Dual fuel heat pump cost in Ottawa
If your furnace is in good shape, a dual fuel upgrade means adding a ducted cold-climate heat pump, a matching indoor coil and a compatible thermostat, typically $9,000 to $18,000 installed.
| Item | Typical installed range (CAD, before rebates) |
|---|---|
| Ducted cold-climate heat pump (with existing ducts) | $9,000 – $18,000 |
| High-efficiency gas furnace replacement (96–98% AFUE), if needed | $4,500 – $8,500 (variable-speed/modulating up to ~$10,500) |
| Central air conditioner replacement, for comparison | $4,000 – $8,000 |
| Smart thermostat installed | $250 – $600 |
The fair comparison is against a new air conditioner, since you would be replacing the AC at some point anyway. If the furnace is also near the end of its life, replacing both together lets us match the blower, coil and controls, and we quote the two as one job.
The final price depends on your home, the equipment and the venting and ductwork involved. Oria gives free estimates on new installations, and financing from $49/month is available on approved credit. Rebates may be available for cold-climate heat pumps. Oria will check current programs for your home; see HVAC rebates. For a deeper breakdown, read our heat pump cost guide.
Thermostats and controls for dual fuel
The thermostat is the brain of a dual fuel system. It has to know the outdoor temperature, what equipment is connected and when to lock one source out.

Outdoor temperature input.
A wired outdoor sensor or the outdoor unit itself reports the temperature, so the switchover happens at the right point.
Correct dual fuel setup.
On a standard system the heat pump coil sits above the furnace, so the two must never run at the same time. Hot furnace air across a running heat pump coil drives refrigerant pressure too high.
Matched equipment.
Lennox and other brands offer communicating systems where furnace, heat pump and thermostat share data. Oria is a Lennox authorized dealer and also installs Goodman and other major brands.
Sensible schedules.
Many smart thermostats support dual fuel when wired and configured correctly. Avoid deep night setbacks: a big morning recovery can bring on the furnace even on a mild day.
We set up and test the controls as part of every installation. See our smart thermostat installation page for compatible models.

Who dual fuel suits, and who it doesn’t
A dual fuel heat pump is usually a strong choice if:
- You have natural gas, a ducted forced-air system and room for an outdoor unit.
- Your air conditioner is ageing, or your furnace and AC are both nearing replacement.
- You want to cut gas use without giving up gas heat on the coldest days.
- Your home is older or draftier, so an all-electric heat pump would lean heavily on backup heat.
It may not be the best fit if:
- Your home has no ducts. Ductless mini-splits are the usual route for boiler or baseboard homes.
- You live in Gatineau on Hydro-Québec power, where low electricity rates often favour an all-electric setup.
- Your furnace and AC are only a few years old; it usually makes sense to wait.
Rural homes on propane are often good candidates, because propane usually costs more per unit of heat than natural gas, so the heat pump carries more of the load. Still deciding? Compare options in gas furnace or heat pump and do heat pumps work in Ottawa winters.
How we install a dual fuel system
- 1
Home assessment
We look at your furnace, ducts, electrical panel and outdoor space, and calculate heat loss for Ottawa's −25 °C design temperature. The estimate is free.
- 2
Equipment match
We choose a cold-climate heat pump with the right capacity and HSPF2 rating, and confirm the indoor coil and furnace blower are compatible.
- 3
Outdoor unit
The heat pump goes on a raised stand or wall bracket above typical snow depth, with room for defrost water to drain away.
- 4
Indoor coil and line set
The coil is installed on the furnace, refrigerant lines are run and pressure-tested, and the system is evacuated and charged.
- 5
Controls and switchover
We wire the thermostat and outdoor sensor, configure dual fuel lockouts and set your switchover temperature.
- 6
Commissioning
Both heating modes and cooling are tested, and we show you how to read the thermostat and adjust the switchover.
Gas and refrigeration licences on every technician
- Both halves of a hybrid system installed and serviced by one team
- Lennox authorized dealer; we install Goodman and all major brands
- 5.0 stars on Google from 396 reviews
- Call (613) 866-1869 for a free estimate
Frequently Asked Questions
Straight answers from licensed Ottawa technicians. Still have a question? Call us any time.
What temperature should a dual fuel heat pump switch to gas?
Most dual fuel systems in Ottawa switch to the gas furnace somewhere between −5 °C and −15 °C. The best setting depends on how well your home holds heat, the heat pump’s cold-weather capacity and the current prices of gas and electricity. A tight home with a cold-climate heat pump can run lower. The setting can be adjusted later in the thermostat.
How much does a dual fuel system cost in Ottawa?
Adding a ducted cold-climate heat pump to a working gas furnace typically costs $9,000 to $18,000 installed in Ottawa, before rebates. If the furnace also needs replacing, a high-efficiency model adds $4,500 to $8,500, or up to about $10,500 for variable-speed. The final price depends on the home, equipment and ductwork, and Oria gives free estimates on new installations.
Is dual fuel better than an all-electric heat pump in Ottawa?
For most Ottawa homes that already have natural gas and a furnace, dual fuel is the more practical choice. The heat pump handles mild weather efficiently, while the furnace covers −25 °C nights without expensive electric resistance backup. An all-electric heat pump makes more sense in homes without gas, very well insulated homes, or where electricity is unusually cheap, such as Gatineau.
Can I add a heat pump to my existing furnace?
Usually, yes. A heat pump can be added to most gas furnaces in good condition, replacing the central air conditioner. The installer needs to confirm the furnace blower can move enough air for the heat pump, that the indoor coil fits, and that the thermostat supports dual fuel. Very old or single-speed furnaces are sometimes worth replacing at the same time.
Are there rebates for dual fuel heat pumps in Ontario?
Rebates may be available for cold-climate heat pumps installed in Ontario homes, including in dual fuel setups, but programs and amounts change. Eligibility often depends on the equipment model, your heating fuel and completing the program’s required steps in the right order. Oria will check the current programs that apply to your home before you commit to an installation.
Can the heat pump and furnace run at the same time?
On a standard dual fuel system, no. The heat pump’s indoor coil sits on top of the furnace, so hot furnace air passing over a running heat pump coil would drive refrigerant pressure too high. The thermostat or control board locks out one source when the other runs. During a defrost cycle, the furnace briefly fires so the vents don’t blow cool air.
Does dual fuel work with propane?
Yes. A heat pump can be paired with a propane furnace in the same way as a natural gas furnace. Because propane usually costs more per unit of heat than natural gas, the heat pump often carries more of the heating load and the switchover temperature can be set lower. This makes dual fuel worth a look for rural homes around Ottawa.
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