AC or Heat Pump? Which is Best for your Alberta Home?

Air Conditioning, Heat Pumps

It’s hard to say whether an AC or heat pump is better without considering your home, its layout, and your overall goals and budget. Either choice should give you reliable cooling solutions through Alberta’s summer.

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Posted by Glenn | July 16, 2025

It's hard to say whether an AC or heat pump is better without considering your home, its layout, and your overall goals and budget. However, we can help you make the decision yourself. Keep reading for a complete comparison of ACs and heat pumps, including:

Key differences between ACs and heat pumps
Energy efficiency and year-round functionality
Performance in Alberta’s climate
Installation and operating costs
Which system is right for your home?

Either choice should give you reliable cooling solutions through Alberta's summer. However, we can help if you're still unsure which to choose.

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Key Differences Between ACs and Heat Pumps

People chiming in on the AC or heat pump comparison debate often have a strong preference for one or the other. The truth is that both can be valid choices in Alberta.

Despite looking similar, heat pumps and ACs work slightly differently. Both cool your home by removing heat and releasing it outside. However, heat pumps have a reversing valve that allows them to switch from cooling to heating your home. They replace the need for a furnace or alternative source of primary heating.

Energy Efficiency and Year-Round Functionality

Heat pumps provide year-round comfort thanks to their dual functionality. They keep your home warm and cool while still providing energy efficiency. In cooling mode, heat pumps and ACs typically have similar efficiency.

During spring and fall in Alberta, heat pumps often outperform a heater or AC. In well-insulated homes, heat pumps usually provide reduced energy bills.

In Alberta, the AC vs. heat pump debate depends on your needs. If you already have an efficient heating system you're happy with, an AC may be just fine for summer-only cooling. However, if you need heating and cooling for year-round use, a heat pump may be more cost-effective in the long run.

Performance in Alberta's Climate

Choosing between an AC and a heat pump in Alberta isn't as simple as just looking at the climate. In the past, heat pumps typically weren't recommended in cold climates because they couldn't operate as efficiently. Today, modern cold-climate heat pumps handle sub-zero temperatures, especially in well-insulated homes.

If you're trying to decide whether a heat pump or AC is better in Canada, consider factors like your overall goals. If you want overall energy efficiency, a heat pump wins, but they aren't always as energy-efficient during the winter as in other climates. If you choose an AC, you'll need an extra heating source to stay warm, and heat pumps tend to outperform furnaces.

With that said, opting for a hybrid system is still recommended across most of Canada. These utilize a heat pump with a backup furnace for extreme cold. For the best results and to determine if backup heating is necessary, consider getting a professional consultation for sizing and system design.

Installation and Operating Costs

Typically, ACs cost less to install than heat pumps. However, heat pumps often reduce energy bills, which can help offset the difference in upfront costs. You must also factor in the cost of running a furnace alongside your AC in winter. If you convert from an oil furnace to an electric heat pump, you get a significant boost in energy efficiency that can further reduce overall costs.

Rebates and incentives can also reduce the final price tag. Speak to your technician to learn about rebates and incentives, such as the Oil to Heat Pump Affordability Program, that can reduce costs.

Which System Is Right for Your Home?

Overall, the best system for you is the one that meets your needs. Decide based on overall budget, home size, insulation, and desired uses. A new AC may make more sense if you recently installed an energy-efficient furnace but need something to run in the summer. A heat pump likely suits your needs for an energy-efficient, all-in-one solution.

Even in Alberta's climate, cold-climate or hybrid heat pumps can work well. If you still can't decide between an AC vs. a heat pump, contact Always Plumbing & Heating for professional recommendations to suit your needs.

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