On-road Transportation Decarbonization — Demonstration Projects
Highlights
This program is designed specifically for businesses like yours, offering substantial financial support for innovative projects. You can receive up to $1,500,000 for research and development (R&D) projects and up to $5,000,000 for demonstration projects. This funding is non-repayable, meaning you won't need to pay it back, which is a significant advantage over traditional loans.
Key Benefits:
- Non-repayable contributions: Up to 75% of total project costs for R&D and 50% for demonstration projects.
- Extended project duration: Funding is available for projects lasting up to five years.
- Indigenous applicants: Eligible for up to 100% of total project costs.
By securing this funding, your business can advance in developing and demonstrating cutting-edge technologies, positioning you as a leader in the transportation sector. The application process is straightforward, starting with an Expression of Interest (EOI), making it easier for you to qualify and benefit from this opportunity.
Financing Details
Funding Details:
Type of Financing: Non-repayable contributions up to $5 million for demonstration projects.
Repayment Term: No repayment required for the funding provided.
Interest Rates: Not applicable as it is a non-repayable contribution.
Eligible Expenses: Expenses incurred for demonstration projects that address barriers to zero-emission on-road vehicles or improve transportation system efficiency.
Use of Funds:
- Up to $5 million available for eligible expenses.
- Specific allocations for different project needs.
Fees: No fees associated with the program, as it is a non-repayable contribution.
Qualifications
- Must be a legal entity incorporated or registered in Canada.
- Eligible entities include:
- For-profit and not-for-profit organizations (e.g., electricity and gas utilities, companies, industry associations, research associations, standards organizations).
- Community groups.
- Canadian academic institutions.
- Provincial, territorial, regional, and municipal governments and their departments and agencies.
- Indigenous communities, for-profit and not-for-profit businesses and organizations with Indigenous ownership and controlling interests, First Nations (bands or councils under the Indian Act), tribal councils, and Inuit organizations.
The proponent must be the majority owner of any assets purchased with funding provided by NRCan.
Disqualifications:
- Projects that consist solely of purchasing commercially available zero-emission vehicles (ZEVs) or the supporting infrastructure.
- Projects focusing on off-road vehicles (e.g., mining, forestry, agriculture, construction) or their supporting infrastructure.
- Projects focusing on other modes of transportation (e.g., air, rail, marine) or their supporting infrastructure.
- Projects focusing on battery supply chain, manufacturing, or "inside-the-cell" components.
- Projects focusing on energy storage.
- Projects focusing on grid-side solutions that are asset-agnostic (e.g., distributed energy resources management systems, virtual power plant models, electricity rate trials, or other incentives).
- Projects using hydrogen produced from unabated fossil fuels.
Description
This program offers non-repayable contributions up to $5 million for demonstration projects. These projects should address barriers to the uptake of zero-emission on-road vehicles or improve the overall transportation system efficiency.
Funding Details:
- Demonstration Projects: You can receive between $1,000,000 and $5,000,000, covering up to 50% of total project costs.
- R&D Projects: You can receive between $500,000 and $1,500,000, covering up to 75% of total project costs.
Special Considerations:
- Indigenous Applicants: Eligible for contributions covering up to 100% of total project costs.
Usage of Funds:
- Demonstration Projects: Funds can be used for installing pre-commercial technology, modifying existing systems, and supporting infrastructure.
- R&D Projects: Funds can be used for developing, testing, and integrating innovative equipment, vehicle components, and methodologies.
This program is a great opportunity to innovate and grow your business while contributing to a greener future.
Program Steps
Complete and Submit an Expression of Interest (EOI):
- Visit the Applicant Portal.
- Fill out the EOI form with required details about your business and project.
- Submit the EOI by the specified deadline.
Prepare Documentation:
- Gather necessary documents including:
- Business registration or incorporation documents.
- Financial statements.
- Project proposal detailing objectives, activities, and expected outcomes.
- Budget breakdown and funding sources.
- Technology readiness level (TRL) assessment.
- Any relevant permits or licenses.
- Gather necessary documents including:
EOI Evaluation:
- Your EOI will be reviewed by a technical expert panel.
- Await notification of EOI results from NRCan.
Submit Full Project Proposal (FPP) (If Invited):
- If your EOI is successful, you will be invited to submit an FPP.
- Complete the FPP form with detailed project information.
- Submit the FPP by the provided deadline.
FPP Evaluation:
- Your FPP will be reviewed by a technical expert panel.
- Await notification of FPP results from NRCan.
Due Diligence Assessment:
- If selected, undergo a due diligence assessment.
- Provide additional information as requested, including financial, technical, and regulatory details.
Negotiate and Sign Contribution Agreement:
- Work with NRCan to draft and finalize a contribution agreement.
- Ensure all terms and conditions are clear and agreed upon.
- Sign the agreement to formalize funding.
Project Implementation and Reporting:
- Begin project activities as outlined in your proposal.
- Submit quarterly and yearly reports to NRCan on project progress and outcomes.
- Continue reporting for up to five years post-project completion to track long-term impacts.
Final Review and Outcome Reporting:
- Upon project completion, submit a final report summarizing achievements and lessons learned.
- Provide ongoing data collection and assessment as required by NRCan.