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Homeowner Questions · Cold weather and bills

Why did my electricity bill go up after installing a heat pump?

Electricity use should rise when a heat pump replaces oil, propane or gas heat, because the heating energy is now on the hydro bill. The bill becomes a problem when auxiliary heat runs too often, the thermostat uses large setbacks, the system is undersized or poorly controlled, or the comparison month was much colder.

Checked October 26, 2026 · Educational guide, not a quote.

Quick answer

Electricity use should rise when a heat pump replaces oil, propane or gas heat, because the heating energy is now on the hydro bill. The bill becomes a problem when auxiliary heat runs too often, the thermostat uses large setbacks, the system is undersized or poorly controlled, or the comparison month was much colder.

The short version

  • More electricity is expected when heating switches from fuel to a heat pump.
  • Auxiliary heat is the first place to investigate.
  • Weather differences can move a bill sharply.
  • Compare fuel plus electricity over a full season.

Compare the right bills

Compare total home energy cost, not electricity alone. A home that left oil or propane should see delivered-fuel purchases fall while electricity rises. Also compare similar weather: a colder month is not an apples-to-apples test.

Look for aux heat and setbacks

If the thermostat shows auxiliary heat for long periods, or the household uses deep night setbacks and large morning recoveries, the backup may be doing expensive work. Thermostat wiring and staging settings matter.

Other loads can hide in the same bill

A new water heater, EV, hot tub, space heater, well pump problem or more people working from home can all land on the same hydro bill. Separate heating from the rest of the home before deciding the system is at fault.

What to do next

1

Compare the same month's weather and total energy bills.

2

Check the thermostat for auxiliary heat run time.

3

Ask the installer to review balance point and staging.

Read the full guide

This answer connects to How a Heat Pump Works in Winter, where the full topic is covered with the current Ontario figures and the next checker.

Diagnose the bill before changing equipment

Bring the bill, thermostat history and outdoor temperatures together before blaming one component.

Read the winter guide

Questions people also ask

Why did my electricity bill go up after installing a heat pump?

Electricity use should rise when a heat pump replaces oil, propane or gas heat, because the heating energy is now on the hydro bill. The bill becomes a problem when auxiliary heat runs too often, the thermostat uses large setbacks, the system is undersized or poorly controlled, or the comparison month was much colder.

Is a higher first winter bill always a problem?

It can be during very cold weather. Check whether it was a colder month and whether auxiliary heat ran; then compare the total fuel plus electricity picture.

Should I raise the thermostat higher to make it stop?

Do not keep raising it. A large setpoint jump can call auxiliary heat. Set a comfortable steady temperature and investigate if it cannot hold.