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Green Freight Program — Assess and Retrofit - Canada

Green Freight Program — Assess and Retrofit

Last Update: July 4, 2025
Canada
Supports energy-efficient retrofits for Canadian freight fleets

Green Freight Program — Assess and Retrofit at a glance

Eligible Funding
  • Max. $250,000
  • Up to 75% of project cost
Timeline
  • Open Date : December 12, 2022
  • Closing date : March 31, 2027
Financing Type
Grant and Funding
Eligible Industries
  • Transportation and warehousing
Grant Providers
  • Natural Resources Canada (NRCan)
Status
Open

Overview of the Green Freight Program — Assess and Retrofit program

The Green Freight Program — Assess and Retrofit provides grants of up to $250,000 per applicant to enhance energy efficiency in the freight transportation sector through third-party fleet energy assessments and truck/trailer equipment retrofits. The program supports the adoption of energy-saving measures specifically tailored to operational needs.

Financing terms and conditions

  • Grant funding up to a maximum of $250,000 per Applicant per fiscal year for eligible activities, including Third-Party Fleet Energy Assessments and/or Truck/Trailer Equipment Retrofits.
  • Basic Third-Party Assessment: 50% of the assessment cost up to a maximum of $20,000; Enhanced Third-Party Assessment: 50% up to $40,000.
  • For individual retrofit devices, funding covers 20% to 50% of eligible costs per device, with maximum grant amounts specified (e.g., up to $2,500 for certain aerodynamic retrofits, up to $10,000 for auxiliary power units, and other device-specific caps).

Eligible projects & activities

  • Third-Party Fleet Energy Assessments.
  • Truck/Trailer Equipment Retrofits.
Examples of admissible projects:

$ 250,000

Retrofit heavy-duty trucks with fuel-saving technologies

$ 250,000

Fleet retrofit to enhance energy efficiency and sustainability

$ 250,000

Energy audit and retrofit for a transportation fleet

Eligibility criteria of the Green Freight Program — Assess and Retrofit program

  • The applicant must conduct activities in Canada.
  • Eligible are: businesses, industry associations, research associations, standard development organizations, Indigenous organizations and communities, Canadian universities, as well as provincial, territorial, regional, or municipal governments and their departments or agencies.
  • The applicant's vehicle fleet must include one or more heavy vehicles for professional use that are authorized and insured in Canada.
  • Vehicles or trailers must be in service and belong to acceptable weight classes.
  • Eligible are cargo vans, cutaway trucks or step vans for commercial use, and all-terrain vehicles used for the transport of goods or equipment on undeveloped surfaces.
  • Leased vehicles are eligible if the lessee has a valid lease agreement and is legally authorized to modify the vehicle.
  • Not eligible: softwood lumber companies and their vertically integrated subsidiaries, all-terrain vehicles for recreational use, newly purchased vehicles already equipped with the proposed modernization devices.

Who is eligible?

  • Companies operating in Canada
  • Industry associations
  • Research associations
  • Standards organizations
  • Indigenous and community groups
  • Canadian academic institutions
  • Provincial, territorial, regional, or municipal governments or their departments or agencies where applicable

Who is not eligible

  • Softwood lumber companies.
  • Companies vertically integrated with softwood lumber companies.

Eligible expenses

  • Purchase and installation of fuel-saving devices for trucks and trailers, including aerodynamic devices such as rear aerodynamic devices for trailers, side and top kits for trailers, trailer fairings, and trailer body skirts.
  • Diesel and electric refrigeration units for trailers.
  • Telematics devices for real-time data collection.
  • Low rolling resistance tires for dual configurations and automatic tire inflation systems.
  • Tire pressure monitoring systems.
  • Diesel or conventional auxiliary power units and their installation.
  • Wheel covers to improve overall energy efficiency.
  • Telematics device for collecting real-time data.
  • Coolant heaters and cabin heating and cooling radiators.

Eligible geographic areas

  • Entities operating in Canada.

How to apply to the Green Freight Program — Assess and Retrofit program

1
Review eligibility criteria
  • Review the eligibility criteria for applicants and vehicles
  • Ensure your business and fleet meet Green Freight Program requirements
2
Review eligible funding activities
  • Examine the eligible funding activities (Third-Party Fleet Energy Assessments or Equipment Retrofits)
  • Confirm your planned project aligns with the program’s eligible activities
3
Obtain Fleet Energy Assessment
  • Conduct or purchase a Fleet Energy Assessment if not already available
  • Ensure the assessment meets NRCan's Assessment Criteria and Guidelines
4
Gather supporting documents
  • Gather required documents such as the Applicant’s Attestation, Device Purchase and Installation Table (if applicable), Fleet Energy Assessment, invoices, and proof of payment
  • Prepare information on the fleet, project description, and timelines
5
Complete the online application
  • Access the Transportation and Fuels Decarbonization Programs portal
  • Download and complete the online application form and relevant documents
6
Submit your application
  • Submit a complete application package via the portal, including all required documentation and a signed attestation by a duly authorized officer
  • Ensure all information is accurate and complete to avoid rejection
7
Receive confirmation and track status
  • Receive confirmation of application receipt from NRCan within five business days
  • If needed, submit another application without waiting for prior approval

Additional information

  • All application communications must be conducted by a representative of the applicant entity, ensuring confidentiality and avoiding conflicts of interest.
  • NRCan reserves the right to amend the Applicant Guide with three months' notice, and these changes will affect only subsequent applications.
  • The Truck/Trailer Equipment Retrofit Grant requires a Fleet Energy Assessment before purchasing new devices.
  • Natural Resources Canada may reallocate funding amounts after a three-month notice.
  • Applicants must disclose all funding sources, including those from other government levels and industry, upon application submission.

Contact Natural Resources Canada (NRCan)

freightassessment-evaluationdeflotte@nrcan-rncan.gc.ca

Apply to this program

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