Smarter Buildings, Lower Bills: Sustainability for Ontario Rentals | Ontario | Central Rentals
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Smarter Buildings, Lower Bills: Sustainability for Ontario Rentals

Ontario's Energy and Water Reporting and Benchmarking (EWRB) rules are expanding — stay compliant, cut costs, and attract quality tenants. Central Rentals Canada makes it simple.

Ontario landlords are entering a new era of accountability. The province's EWRB regulation already requires large commercial and multi-residential buildings to benchmark and disclose energy and water use annually, and thresholds are steadily lowering to capture more properties each year. Whether you own a high-rise in Toronto or a mid-size apartment block in Ottawa, building energy benchmarking in Ontario is no longer optional — it's a competitive advantage when done right.

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Why now

The case for action this year

  • EWRB reporting thresholds continue to drop in Ontario, pulling more multi-residential buildings (including those 10+ units) into mandatory annual disclosure — non-compliance carries Ministry of Energy fines.
  • Federal carbon pricing under the Greenhouse Gas Pollution Pricing Act keeps rising, making gas-heated buildings more expensive to operate every single year and eroding net operating income.
  • Ontario's clean electricity grid (just 0.03 kg CO₂/kWh) means electrifying heating and hot water delivers outsized carbon and cost savings compared with almost any other province.
  • Tenants and lenders increasingly scrutinize ENERGY STAR scores and EUI benchmarks — higher-rated Ontario rental properties command lower vacancy rates and better CMHC financing terms.
Regulations

What you must comply with in Ontario

Ontario's Energy and Water Reporting and Benchmarking (EWRB) regulation (O. Reg. 506/18) requires owners of eligible buildings to track energy and water consumption using ENERGY STAR Portfolio Manager and submit annual reports to the Ministry of Energy by July 1 each year. The program began with buildings over 50,000 sq ft and has progressively expanded; multi-residential buildings of 10 units or more are now within scope for many municipalities. Reported data can be disclosed publicly, making your building's performance visible to prospective tenants, buyers, and financiers. Layered on top is the federal Greenhouse Gas Pollution Pricing Act, which levies a carbon charge on natural gas consumption — a charge that increases annually and directly inflates operating costs for Ontario landlords still relying on gas boilers or furnaces. Together, these two frameworks create a clear financial and legal imperative to benchmark accurately and invest in efficiency upgrades without delay.

  • Ontario EWRB (Energy and Water Reporting and Benchmarking)
  • Federal carbon pricing exposure (Greenhouse Gas Pollution Pricing Act)
Top retrofits

Where the money is

Smart thermostats & building automation
1.2 yr payback
Annual savings: $4,200

Programmable and WiFi-enabled thermostats paired with basic BAS controls typically cut heating and cooling energy by 10–15% with minimal capital outlay. The IESO and many Ontario local distribution companies offer prescriptive rebates of $50–$100 per unit, slashing payback to well under 18 months.

LED lighting & occupancy sensors
1.5 yr payback
Annual savings: $3,800

Upgrading common-area and parking lighting to LED with occupancy controls can reduce lighting electricity consumption by up to 70%. Ontario's Save on Energy program (administered through the IESO) provides incentives for commercial and multi-residential retrofit projects that dramatically shorten payback periods.

Building envelope air-sealing & insulation
3.5 yr payback
Annual savings: $6,500

Addressing air leakage and adding attic or wall insulation in Ontario's cold climate can cut space-heating loads by 20–30%, directly reducing carbon-priced natural gas consumption. The Canada Greener Homes Grant (up to $5,000) and the Canada Greener Homes Loan (interest-free, up to $40,000) can fund a significant portion of the work.

Heat-pump retrofit (space heating & cooling)
5.5 yr payback
Annual savings: $9,800

Replacing gas boilers or electric resistance heating with cold-climate air-source heat pumps leverages Ontario's ultra-clean grid (0.03 kg CO₂/kWh) to slash both carbon costs and energy bills simultaneously. Combined federal Greener Homes incentives and potential IESO Custom Incentive Program funding can cover $8,000–$15,000 per system.

Heat-pump water heaters (domestic hot water)
6 yr payback
Annual savings: $5,200

Switching from gas or electric-resistance water heating to heat-pump water heaters cuts domestic hot water energy use by up to 60% and eliminates ongoing carbon pricing exposure on gas. Ontario's Canada Greener Homes program and select utility on-bill financing programs make the upfront cost manageable for multi-unit landlords.

Water efficiency upgrades (low-flow fixtures & sub-metering)
7 yr payback
Annual savings: $3,100

Since EWRB requires water reporting alongside energy, improving water efficiency directly strengthens your benchmarking score while reducing municipal water and sewer charges. Individual suite sub-metering (permitted under Ontario Regulation 394/08) shifts consumption costs to tenants and typically yields a 15–20% reduction in building-wide water use.

FAQs — Ontario

Quick answers

Does Ontario require energy reporting?

Yes — Ontario's EWRB regulation (O. Reg. 506/18) mandates that eligible building owners submit annual energy and water benchmarking reports to the Ministry of Energy via ENERGY STAR Portfolio Manager by July 1 each year, with non-compliance subject to provincial fines. The covered building list continues to expand, so even if your property wasn't required last year, it may be this year.

What's the typical EUI for rentals in Ontario?

Multi-residential buildings in Ontario typically report a site Energy Use Intensity (EUI) of 150–250 ekWh/m²/year, heavily influenced by vintage, heating fuel, and envelope quality — older gas-heated buildings in colder Ontario climates tend to sit at the higher end. Benchmarking through ENERGY STAR Portfolio Manager will show how your property compares against the national median and flag the biggest opportunities for improvement.

Are there rebates available for Ontario rental properties?

Absolutely — Ontario landlords can access the federal Canada Greener Homes Grant (up to $5,000) and interest-free Canada Greener Homes Loan (up to $40,000) for insulation, heat pumps, and windows, as well as IESO-administered Save on Energy incentives for lighting, HVAC, and custom retrofits available through local utilities like Toronto Hydro, Hydro One, and Alectra. Stacking federal and provincial programs is possible and can cover 30–50% of project costs.

How fast can we improve our ENERGY STAR band in Ontario?

With a focused retrofit plan — typically starting with smart controls and LED lighting in year one, followed by envelope improvements and heat-pump upgrades — most Ontario rental buildings can improve their ENERGY STAR score by 15–25 points within 24 months, potentially moving from a below-median rating into the certified 75+ range. Central Rentals Canada can arrange a benchmarking baseline assessment and prioritized capital plan to get you there on the fastest realistic timeline.