Closed
Independent Electricity System Operator (IESO) - Grid Innovation Fund
Funding for innovative electrification projects in Ontario
Last Update: May 15, 2026
Funding available
$ 1,000,000 - $ 4,750,000
Timeline
- Closing date : July 21, 2024
Location
Ontario, Canada
Overview
The Grid Innovation Fund provides up to $4.75M per project to support innovative electrification and demand management projects in Ontario. It funds EV and space, water heating and cooling initiatives that improve grid flexibility, reliability, and affordability.
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Opportunity Score
Moderate potential, but conditions must align.
At a glance
Funding available
Financing goals
- Increase performance through digital transformation
- Develop strategic partnerships
- Conduct research and development activities
Eligible Funding
- Maximum amount : 4,750,000 $
- Minimum amount : 1,000,000 $
- Up to 50% of project cost
Timeline
- Closing date : July 21, 2024
Eligible candidates
Eligible Industries
- Utilities
- Transportation and warehousing
Location
- Ontario
Legal structures
- For-profit business
- Non-profit
Annual revenue
- All revenue ranges
Organisation size
- All organization sizes
Audience
- 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
- Electric vehicle flexibility projects, including managed charging, vehicle-to-home/building, and vehicle-to-grid
- Space and water heating projects with thermal storage and load control
- Large-scale heating systems with thermal storage for major customers
- Aggregation and automation of non-residential HVAC loads
- Tools and programs that provide grid flexibility and system integration
Documents Needed
- Completed proposal templates
- Applicant certificate of incorporation
- Most recent audited financial statements
- Signed letters of support from project partners
- Project team CVs
Eligibility
Who is eligible?
- Incorporated non-profit organizations
- Incorporated for-profit businesses
- Electricity distributors
- Technology companies
- Fleet owners and operators
- Academic institutions and public sector organizations
Who is not eligible
- Individuals, including incorporated individuals
- Sole proprietorships
- Trusts
- Joint ventures
Eligible expenses
- Project-specific equipment, materials, products, and services
- Software integration and licensing
- Eligible EV and heating equipment costs within program rules
- Monitoring, verification, data collection, and analysis
- Staff, professional, engineering, technical, management, and contracting services directly tied to the project
Ineligible Costs and Activities
- Purchase of personal-use light-duty electric vehicles
- Stand-alone residential heat pumps without thermal storage
- Smart thermostats
- Costs incurred before approval or after project completion
- Real estate purchases, hospitality, travel, and overhead costs
Eligible geographic areas
- Ontario
Processing and Agreement
- Proposals are screened for eligibility first.
- Eligible proposals are reviewed and scored by an internal committee, with external experts if needed.
- Highly ranked applicants may be invited to refine their proposal.
- Selected applicants receive executive approval and then enter a Contribution Agreement.
- Funding is released on a milestone basis after deliverables are completed and accepted.
Additional information
- The IESO may request project presentations for lessons learned after completion.
- Successful applicants must enter into a non-negotiable Contribution Agreement.
- The IESO may share submitted proposals with the Ontario Energy Board on a non-confidential basis for regulatory support.
Contacts
Frequently Asked Questions about the Independent Electricity System Operator (IESO) - Grid Innovation Fund Program
Here are answers to the most common questions about the Independent Electricity System Operator (IESO) - Grid Innovation Fund. 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.
What is the Independent Electricity System Operator (IESO) - Grid Innovation Fund?
The Grid Innovation Fund provides up to $4.75M per project to support innovative electrification and demand management projects in Ontario. It funds EV and space, water heating and cooling initiatives that improve grid flexibility, reliability, and affordability.
How much funding can be received?
Independent Electricity System Operator (IESO) - Grid Innovation Fund Funds up to 50% of admissible expenses, capped at $4,750,000 per project.
Who is eligible for the Independent Electricity System Operator (IESO) - Grid Innovation Fund program?
To be eligible for the Independent Electricity System Operator (IESO) - Grid Innovation Fund program, you must:
Ontario-based project
Incorporated applicant
Eligible project stream
What expenses are eligible under Independent Electricity System Operator (IESO) - Grid Innovation Fund?
Electric vehicle flexibility projects, including managed charging, vehicle-to-home/building, and vehicle-to-grid
Space and water heating projects with thermal storage and load control
Large-scale heating systems with thermal storage for major customers
Aggregation and automation of non-residential HVAC loads
Tools and programs that provide grid flexibility and system integration
Who can I contact for more information about the Independent Electricity System Operator (IESO) - Grid Innovation Fund?
You can contact Ontario Power Authority (OPA) by email at GridInnovationFund@ieso.ca.
Where is the Independent Electricity System Operator (IESO) - Grid Innovation Fund available?
The Independent Electricity System Operator (IESO) - Grid Innovation Fund program is available the province of Ontario.
Is the Independent Electricity System Operator (IESO) - Grid Innovation Fund a grant, loan, or tax credit?
Independent Electricity System Operator (IESO) - Grid Innovation Fund is a Grant and Funding