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Source verified March 4, 2026
Future Fuels Challenge
Canadian funding for low-emission fuel innovation
Latest source updateLast Update: June 27, 2026Latest change: The Future Fuels Challenge now shows its 2026 timeline, application portal, funding range, cost-share terms, and a narrower project scope.View change
Latest source update
Last Update: June 27, 2026
Latest change: The Future Fuels Challenge now shows its 2026 timeline, application portal, funding range, cost-share terms, and a narrower project scope.
Future Fuels Challenge updated
The Future Fuels Challenge now shows its active 2026 call details instead of the earlier spring-launch notice: the call launched April 22, 2026, the EOI deadline is June 10, 2026 at 5 p.m. MDT, and funding decisions are expected in December 2026. The page also adds new funding and process details: applicants may request $1 million to $10 million per project, funding covers up to 50% of eligible expenses, projects require a minimum 1:1 match, and disbursements are milestone-based after a contribution agreement is executed. The application flow now includes an EOI evaluation stage, a short-listing process, an APPLY NOW portal link, a new info email address, and posted program documents including the program guidelines and eligible expenses/cost guidelines.
Funding available
Varies by project
Deadline
June 10, 2026
Location
Canada
Overview
The Future Fuels Challenge is an annual competitive funding call under the Fuel Innovation Fund, administered by ERA, for Canadian projects advancing low-emission fuel technologies and measurable greenhouse gas reductions. Eligible activities include energy efficiency, carbon capture, co-processing, and production of low-carbon-intensity fuels.
/100
Opportunity Score
Moderate potential, but conditions must align.
At a glance
Funding available
Financing goals
- Increase performance through digital transformation
- Develop strategic partnerships
- Develop a new product or service
Eligible Funding
- Varies by project
Funds Providers
Eligible candidates
Eligible Industries
- All industries
Location
- Canada
Legal structures
- For-profit business
- Non-profit
- Public or Parapublic institution
Annual revenue
- All revenue ranges
Organisation size
- All organization sizes
Audience
- Indigenous Peoples
- Canadians
Non-profit candidates
Sector of operation
- All industries
Target groups
- All the groups
Revenue structures
- All structures
Scope
- All dimensions
Next Steps
1
Determine your project
2
Validate your eligibility
Activities funded
- Energy efficiency, optimization, electrification, fuel switching, and new processes at refineries and fuel production facilities
- On-site clean electricity and heat production within the fuels sector
- Reduction of upstream emissions in the fuel supply chain, including methane emissions reduction
- Carbon capture, utilization and storage (CCUS) at refineries or fuel production facilities
- Co-processing of biogenic feedstocks at refineries
Documents Needed
- Program Guidelines
- Eligible Expenses and Cost Guidelines
Official resources
Eligibility
Who is eligible?
- Regulated fuel suppliers
- Industry innovators
- Technology developers
Eligible expenses
- Not explicitly stated in the scraped content.
Ineligible Costs and Activities
- Costs associated with negotiating funding agreements with FIF or to arrange project financing
- Costs to hire personnel
- Costs to obtain regulatory approvals
- Expenses incurred prior to eligible expense date in Contribution Agreement
- Costs for the use of existing capital assets
Selection criteria
- Strength and readiness of the technology or process
- Business case and market potential
- Project readiness and implementation plan
- Greenhouse gas emissions reductions and carbon intensity improvements
- Economic, environmental, and broader benefits
How to apply
- Submit an Expression of Interest using ERA’s online portal.
- Short-listed applicants submit a Full Project Proposal for additional due diligence.
- Short-listed applicants present their proposals to the Fuel Innovation Fund’s evaluation committee.
Processing and Agreement
- Successful applicants will enter into a Contribution Agreement outlining milestones, deliverables, and reporting obligations.
- Funding is disbursed based on milestone completion, following execution of a contribution agreement.
- All funded projects must enter into a Contribution Agreement with FIF and will be subject to both public and confidential reporting and data collection requirements.
Additional information
- The program launched on April 22, 2026.
- An informational webinar was held on May 4, 2026, 10-11 a.m. Mountain Daylight Time (UTC-6h).
- Applicants are encouraged to connect with the Fuel Innovation Fund team to discuss project alignment and eligibility before applying.
Frequently Asked Questions about the Future Fuels Challenge Program
What is the Future Fuels Challenge?
The Future Fuels Challenge is an annual competitive funding call under the Fuel Innovation Fund, administered by ERA, for Canadian projects advancing low-emission fuel technologies and measurable greenhouse gas reductions. Eligible activities include energy efficiency, carbon capture, co-processing, and production of low-carbon-intensity fuels.
Who is eligible for the Future Fuels Challenge program?
To be eligible for the Future Fuels Challenge program, you must:
The project must be implemented in Canada.
The project must demonstrate clear benefits to the Canadian transportation fuel sector.
The project must include robust measurement, monitoring, and reporting of emissions reductions.
What expenses are eligible under Future Fuels Challenge?
Energy efficiency, optimization, electrification, fuel switching, and new processes at refineries and fuel production facilities
On-site clean electricity and heat production within the fuels sector
Reduction of upstream emissions in the fuel supply chain, including methane emissions reduction
Carbon capture, utilization and storage (CCUS) at refineries or fuel production facilities
Co-processing of biogenic feedstocks at refineries
Who can I contact for more information about the Future Fuels Challenge?
You can contact Emissions Reduction Alberta (ERA).
Where is the Future Fuels Challenge available?
The Future Fuels Challenge program is available across Canada.
Is the Future Fuels Challenge a grant, loan, or tax credit?
Future Fuels Challenge is a Grant and Funding
Who are the financial supporters of the Future Fuels Challenge?
Future Fuels Challenge is funded by Emissions Reduction Alberta (ERA)