
Open
Capital project: Organic Waste-to-Energy
Last Update: January 22, 2026
Canada
Funding for municipal organic waste-to-energy system construction and commissioning
Grant and Funding
Loans and Capital investments
At a glance
Funding available
Financing goals
No objectives are currently available
Eligible Funding
- Up to 80% of project cost
Timeline
- Unspecified
Eligible candidates
Eligible Industries
- Utilities
- Administrative and support, waste management and remediation services
- Public administration
Location
- Canada
Legal structures
- Non-profit
- Public or Parapublic institution
- For-profit business
Annual revenue
- All revenue ranges
Organisation size
- All organization sizes
Audience
- Indigenous Peoples
- Rural or Northern Residents
Non-profit candidates
Sector of operation
- All industries
Target groups
- All the groups
Revenue structures
- All structures
Scope
- All dimensions
Overview
Provides a combined GMF loan and grant of up to 80% of eligible costs, to a maximum of $10 million, to help municipalities and their partners construct, commission, and begin operating an organic waste-to-energy system. Eligible activities include capturing and using biogas from anaerobic digestion or landfill gas, and recovering energy (including heat) from wastewater, composting, or landfill (geothermal) sites to generate renewable energy and reduce GHG emissions.
Activities funded
- Constructing, commissioning and beginning operation of an organic waste-to-energy system that captures biogas from anaerobic digestion of local organic waste.
- Constructing, commissioning and beginning operation of a landfill gas (LFG) capture and energy recovery system (upgrading or direct use).
- Constructing, commissioning and beginning operation of an energy recovery system that harnesses heat from wastewater, composting or landfill sites (geothermal).
Eligibility
- The applicant must be a Canadian municipal government or an eligible municipal partner (e.g., private sector entity, municipally-owned corporation, NGO, not-for-profit organization, research institute such as a university).
- If the lead applicant is not a municipal government, the project must be delivered in partnership with a Canadian municipal government (with evidence of municipal support).
- An Indigenous community may apply as the lead applicant if partnering with a Canadian municipal government on an eligible project, or if it has a shared service agreement with a Canadian municipal government related to municipal infrastructure, climate change or adaptation.
- The project must be a capital project to construct, commission and begin operation of an organic waste-to-energy system, and it must build on a completed feasibility study assessing technical and financial feasibility and environmental, social and economic impacts.
- The project must generate energy from landfill gas use/upgrading, anaerobic digestion of local organic waste, or energy recovery from composting, wastewater or landfill (geothermal), and it must deliver a net greenhouse gas emissions reduction and a net energy benefit compared to the current baseline.
Who is eligible?
- Canadian municipal governments (e.g., towns, cities, regions, districts and local boards)
- Private sector entities (as municipal partners)
- Municipally-owned corporations
- Regional, provincial or territorial organizations delivering municipal services
- Non-governmental organizations, not-for-profit organizations and research institutes (e.g., universities) (as municipal partners)
Who is not eligible
- Organizations that are not Canadian municipal governments and are not applying in partnership with a Canadian municipal government.
- Energy generation projects designed to power multiple buildings through district energy systems (these may be eligible under GMF’s Community Energy Systems offer instead).
- Projects involving combustion of waste (high oxygen systems).
- Projects relying on feedstocks that would otherwise be recycled or reused to generate higher-value end products.
- Agricultural or forestry biomass producers where biomass is grown or harvested specifically for the purpose of producing energy.
Eligible expenses
- Costs to prepare the GMF application (including completing the Project Workbook) incurred up to 90 days before the full application is received (up to $5,000).
- Costs for required assessments relevant to the GMF application completed within 90 days before the full application is received (up to $25,000).
- Project-specific administrative costs incurred after the application is received (e.g., project-required permits/certifications, outside printing/photocopying, project-only document acquisition, document translation, project-related communications).
- Project-essential advertising and public communication/evaluation costs (e.g., website development, media distribution, public surveys, advertising development fees).
- Third-party financial audit costs for the capital project, if required by FCM; and third-party environmental audit costs for the triple bottom line results report.
- Capital costs (e.g., acquiring/developing/constructing/modernizing/leasing systems such as equipment, hardware, software; construction/renovation/modernization materials and installation costs).
- Equipment and tool rental directly related to the project.
- Costs for meetings and public gatherings to communicate the project and collect feedback (e.g., facility and audiovisual rentals; accessibility supports such as interpretation, shuttle service, babysitting; food/drinks only when part of a specific cultural protocol; honoraria and costs for local cultural protocols where applicable).
- Professional and technical consultant/contractor fees.
- Transportation, shipping and courier costs essential to delivering project materials/services.
- Necessary travel and accommodation for the applicant and its consultants (within Treasury Board of Canada guidelines), including travel for FCM-led capacity-building activities related to the project (up to $10,000 or 10% of eligible costs, whichever is lower).
- Non-rebatable portion of applicable taxes.
- Staff remuneration for time actually worked on project implementation (direct salaries and certain eligible benefits, prorated as applicable).
Eligible geographic areas
- Canada (Canadian municipal governments).
Selection criteria
- Greenhouse gas (GHG) reduction impact — 45% (capital projects).
- Environmental multi-solving benefits — 24% total (capital projects): sustainable materials management (12%) and biodiversity & ecological benefits (12%).
- Other benefits — 31% total (capital projects): socio-economic benefits (10%), engagement strategy (10%) and financial analysis (11%).
- Implementation requirements (pass/fail) (capital projects): teams and partners, workplan, budget, and risk management.
How to apply
- Step 1: Confirm eligibility (internal review)
- Review the eligibility requirements, required outcomes and targets for the “Capital project: Organic Waste-to-Energy” offer on the GMF website.
- If you have questions about alignment or how to apply, contact GMF by email (gmfinfo@fcm.ca) or phone (1-877-417-0550).
- Step 2: Prepare pre-application package (form + key documents)
- Complete the pre-application form.
- Prepare the required supporting documents to attach to the pre-application (as applicable to your situation and project), including municipal support documentation where required.
- If you are a municipality or municipal corporation from Quebec, ensure the pre-application is submitted and approved by the Ministère des Affaires municipales et de l’Habitation (MAMH).
- Step 3: Submit pre-application (online submission + attachments)
- Submit the completed pre-application form with all required attachments.
- Ensure the designated application contact submits the form (consultants cannot sign or submit on behalf of eligible applicants).
- Step 4: Eligibility determination (GMF review)
- Wait for GMF to review the pre-application and determine whether the organization and initiative can proceed.
- GMF staff aim to respond within 15 business days from receipt of the pre-application.
- Step 5: Prepare full application package (full form + workbook + supporting documents)
- Once invited, complete the full application form (pre-application answers will be pre-populated and can be updated).
- Complete the GMF project workbook provided by your outreach officer or advisor.
- Organize and attach all required supporting documents for a capital project (as listed in the application guide’s required supporting documents section and appendices).
- Develop and document key full-application sections as required in the form (e.g., project team, budget/workplan, engagement strategy, climate resilience documentation where applicable, environmental benefits documentation, socio-economic benefits information, and financial analysis).
- Use GMF guidance to ensure the application is complete and references relevant sections/pages in supporting documents where possible.
- Step 6: Submit full application (online submission + attachments)
- Submit the full application form, project workbook, and all required supporting documents.
- Ensure the application contact submits the form (only the application contact can submit; consultants cannot sign or submit).
- Step 7: GMF project officer review (completeness and follow-ups)
- After submission, a GMF project officer reviews the application for accuracy and completeness.
- Respond to any GMF requests for clarifications or revisions to strengthen the file before it proceeds.
- Step 8: Peer review and internal review (assessment process)
- Undergo external expert peer review (capital projects are evaluated by a peer review panel).
- GMF completes internal analysis to support a funding recommendation.
- Step 9: Funding decision (FCM governance approval)
- Funding recommendations made by the GMF Council are overseen by FCM’s Board of Directors.
- For capital projects, the average time for a funding decision is four to six months after submission of the full application form.
Additional information
- Applications are accepted year-round until annual funds are allocated; if annual funding is fully allocated, new applications are deferred to the following fiscal year beginning April 1.
- For capital projects, the average time for a funding decision is four to six months after submission of the full application form.
- GMF reserves the right to reduce, amend or eliminate funding amounts if projects deviate from the approved scope of work.
- For approved capital projects, the lead applicant must keep invoices, receipts and backup documents for seven years after the final FCM disbursement.
Contacts
gmfinfo@fcm.ca
1-877-417-0550
Canada
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Frequently Asked Questions about the Capital project: Organic Waste-to-Energy Program
Here are answers to the most common questions about the Capital project: Organic Waste-to-Energy. This section explains what the program is, how much funding is available, eligibility requirements, application deadlines, and other important details to help you determine if this grant is right for your business.
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Are Indigenous Peoples eligible for the Capital project: Organic Waste-to-Energy program?
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