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Heat Pump vs Pellet Stove: Which Is Best for Toronto Homes?

For Toronto homeowners searching for affordable and eco-friendly heating, pellet stoves and heat pumps are often compared. Both are cleaner than traditional fossil fuels, but they work very differently. Let’s see how they stack up with expert insights from Temperature Care.

How Do They Work?

Pellet Stove:

Burns compressed wood pellets made from sawdust or biomass
Provides radiant heat and warm airflow into a single room or small area
Requires storage for pellets and regular cleaning

Heat Pump (Air-Source):

Uses electricity to move heat in or out of your home
Provides both heating in winter and cooling in summer
Can serve an entire home (ducted) or specific rooms (ductless mini-split)

Learn more: ENERGY STAR – Heat Pumps

Efficiency & Cost Comparison

Feature	Heat Pump	Pellet Stove
Heating & Cooling	Yes (dual function)	Heating only
Efficiency	200–350% (COP 2–3.5)	70–90%
Operating Cost	Very low (electric)	Moderate (pellet supply needed)
Maintenance	Annual service, minimal	Frequent cleaning, pellet loading
Rebates	Substantial, available	Not common

Heat pumps multiply the value of electricity, saving money long-term.
Pellet stoves can be cost-effective if pellets are affordable, but require more effort.

Compare: Clean Energy Canada – Heat Pump Savings

Comfort & Air Quality

Heat pumps:
- Provide steady, even warmth and year-round cooling
- Filter and circulate air for healthier indoor quality
- Very quiet
Pellet stoves:
- Cozy, radiant heat with the feel of a fireplace
- Can create hot spots in one room, leaving others cold
- Smoke or dust may affect air quality indoors

Environmental Impact

Heat pumps: Extremely low emissions, especially in Ontario’s clean electricity market.
Pellet stoves: Renewable biomass-based, but still release particulates and require wood processing.

US DOE – Wood & Pellet Heating

Installation & Rebates

Heat pumps:
- Installed by professionals, ducted or ductless
- Eligible for generous rebates:
  - Canada Greener Homes Grant
  - Enbridge Home Efficiency Rebate Plus
Pellet stoves:
- Require venting (chimney or direct-vent) and pellet storage
- No major HVAC rebates available

See Temperature Care’s heating services

Which Should You Choose?

Choose a heat pump for energy efficiency, year-round comfort, and government rebates.
Choose a pellet stove for ambiance, supplemental heating, or backup during outages.
Some homeowners combine both—using a heat pump for primary heating and a pellet stove for coziness.