Upgrade your home insulation today and you could be eligible to receive up to $1,000

The City of Toronto is pleased to offer HEAT – Home Energy Assistance Toronto – a new incentive program designed to help you save money and the environment.

Make your home more energy efficient with new insulation, and receive up to $1,000.

Eligible homes include low-rise residential properties, such as detached, semi-detached or town homes.

Just follow these 3 easy steps to apply:

1. Assess your home for energy leaks
Book a certified energy advisor to evaluate your home‘s energy efficiency. Learn ways to improve your insulation, and other measures to reduce your energy use.

2. Renovate your home
Upgrade your insulation and receive up to $1,000 from the City, plus another $7,500 in federal and provincial rebates. Improve other items, such as your heating and cooling system, windows and doors, and leverage even more funds – up to a combined $11,000!

3. Measure your energy savings and be rewarded!
Book your advisor to verify your home improvements and submit your grant application, which will be used by all three governments. No additional paperwork is required. Simply wait for your cheques to arrive.

Visit www.livegreentoronto.ca or call 311 for more information.

RBC: Bank of Canada -- committed to low rates

SOURCE: RBC ECONOMICS

The Bank of Canada left the overnight rate at 0.25% this morning and maintained its assessment of risks to the outlook as being balanced based on macro considerations. The Bank removed the statement about risks being "tilted slightly to the downside" because policy is operating at the effective lower bound and did not allude to its ability to use alternative measures to provide additional easing when the policy rate is at the effective lower band. The central bank, however, reiterated its conditional commitment to keep the policy rate at its current level "until the end of the second quarter of 2010" in order to ensure that inflation stays on course to meet the medium-term target.

The Bank acknowledged that the economy was "slightly" stronger than expected in the fourth quarter of 2009 although it reiterated that the "persistent" strength in the Canadian dollar and weak U.S. demand continues to provide downside risks for Canada's recovery going forward. On the other hand, the Bank cited "vigorous" domestic spending and rebounding exports as providing support to the economy in the final quarter of last year. The Bank pointed to stronger than expected global and domestic demand as providing upside risks to the outlook.

On inflation, the Bank highlighted that the core rate "has been slightly firmer than projected" pointing to both transitory factors and the faster pace of economic growth. Going forward, the Bank presented upside and downside factors for the inflation outlook citing the strength in domestic demand as well as the abundant slack in the economy and weakening wage growth.

Two key changes were made to the statement that indicates that the Bank is edging its way toward removing the extraordinary level of monetary policy stimulus. The Bank removed the statement that the overall risks to the outlook are "tilted slightly to the downside" as a result of policy operating at the lower bound. As well, the Bank did not repeat that it retains "considerable flexibility" in the conduct of policy at lower rates suggesting that the need for additional easing of policy has become increasingly unlikely. The stronger than expected report on the fourth quarter and improved labour market are consistent with a gradual removal of the accommodation being supplied to the economy. The winding down of its liquidity support programs is already underway and the first step toward removing monetary policy stimulus.

We expect that Canada's economy will grow at an average 3.6% pace in the first half of 2010 although the large output gap generated during the recession means that the core inflation rate will remain below the Bank's 2% target until late 2011. This will allow the Bank to proceed slowly with rate increases in order to ensure that the economy's positive momentum is not disturbed. We expect the Bank to increase the overnight rate by 100 basis points in the second half of the year as it begins the process of adjusting monetary policy toward a more neutral stance.