Keep furnace replacements profitable as heating changes

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Running a furnace company in British Columbia

BC is the province where a gas-furnace company most needs a whole-home heating position. Gas still heats more homes than anything else, but provincial rebates reward switching away from it, and the coast and Interior behave like two different markets.

Written by Ali Sedighi, MBALast updated:

British Columbia is the hardest province to run a pure gas-furnace company in, and one of the easiest to run a flexible heating company in. Gas still heats more BC homes than any other energy, but provincial programs reward homeowners who switch to heat pumps, and the climate changes enormously between the coast and the Interior. The business answer is usually a whole-home heating position with the furnace as one of several honest options.

The BC heating market in numbers

In 2023, natural gas was the main heating energy for 42% of BC households and electricity for 36%, according to Statistics Canada. That is a close race by Canadian standards. Your replacement base is large, but a big share of homes already heat with electricity and are natural heat-pump prospects, not furnace prospects.

For a furnace-led company, the buyers break into three groups:

  • Gas homeowners replacing an old furnace who want the simplest like-for-like swap.
  • Gas homeowners open to switching, often prompted by a rebate they read about.
  • Electric-baseboard or electric-furnace homes looking at a heat pump, which a furnace company can only win if it sells heat pumps credibly.

Coast and Interior are two seasons

Vancouver and Victoria get soft, rainy winters; travel inland or north and the cold arrives earlier, cuts deeper and stays longer. That changes the business in practical ways. On the coast, demand spikes are short and heat pumps carry a lot of the load. In Kelowna, Prince George or the Kootenays, a cold snap drives a real no-heat rush and dual-fuel systems make obvious sense to homeowners.

If you serve both, run two capacity plans. A Burnaby crew and a Kamloops crew don't see the same January.

Programs that shape the comparison

As of October 2026, these programs affect what a BC homeowner compares when their furnace fails:

  • CleanBC Better Homes Energy Savings Program. Income-qualified rebates for heat pumps and related upgrades. The program page says its Level 3 rebates apply only to ground-oriented homes switching from natural gas, propane or oil to an electric heat pump, and new requirements apply to invoices dated on or after 2026-07-06.
  • Canada Greener Homes Affordability Program in BC. Under the federal agreement announced 2026-06-29, BC Hydro expands no-cost retrofits for close to 6,000 lower-income households, and FortisBC expands programming that includes dual-fuel heating for about 1,000 households.

The FortisBC stream is worth a furnace company's attention: it signals that dual-fuel is a supported path in BC, not a compromise. Confirm all terms with the administrators before you put them on a proposal.

Regulators to know

Gas and electrical contractors in BC are licensed by Technical Safety BC. Trade certification runs through SkilledTradesBC, and WorkSafeBC covers workplace safety. We link these so you know who's who; any licensing or compliance question goes to them and your licensed staff.

How we'd approach a BC furnace company

  1. Margin first. Coastal companies often discount furnaces to compete with heat-pump quotes. The margin review tells you whether that discount is affordable.
  2. A three-option sheet. Like-for-like gas, dual-fuel and heat pump, with dated program links, built into your repair-or-replace process.
  3. A care plan that covers both systems. Members with a heat pump and a furnace backup need service on both, which makes the plan more valuable.
  4. Regional positioning. Lead with heat pumps on the coast if your crews are strong there; lead with furnace and dual-fuel expertise in the Interior.

Our case study GasBoilers.ca, a gas-boiler division serving 26+ BC communities, shows how a fuel-specific brand can sit inside a broader heating company. See the results page for more.

Frequently asked questions

Is it still worth selling gas furnaces in BC?

In many BC markets, yes, because gas remains the most common main heating energy. But a company that only sells gas furnaces will lose comparison quotes to heat-pump and dual-fuel competitors, so the furnace offer should sit alongside those options.

Do BC rebates apply to gas furnaces?

The provincial Energy Savings Program we checked in October 2026 focuses on heat pumps, including higher-income rebates only for ground-oriented homes switching from natural gas, propane or oil. Confirm current terms with Better Homes BC before quoting anything to a customer.

Who regulates gas work in BC?

Technical Safety BC licenses gas contractors and oversees gas safety. Your licensed staff deal with them directly; we only link to them.

Should a Kelowna company position differently from a Vancouver one?

Usually, yes. Colder Interior winters keep furnaces and dual-fuel systems more relevant, while on the mild coast heat pumps can carry more of the load. The positioning decision should follow your actual service area.

Sources

  1. Statistics Canada Table 38-10-0286-01 (2026-10-23)
  2. Better Homes BC: Energy Savings Program (2026-10-23)
  3. Natural Resources Canada: CGHAP backgrounder for Quebec, BC, Nova Scotia and PEI (2026-06-29) (2026-10-23)
  4. Technical Safety BC (2026-10-23)