Innovation and Business Development Fund
NL, Canada
Financing for oil and gas projects in NL
grant_single_labels|summary
grant_single|eligibleFinancing
- grant_single|projectCostPercent
grant_single|deadlines
- grant_single|openingDateJuly 09, 2024
grant_single|financingType
Grant and Funding
grant_single|eligibleIndustries
- Mining, quarrying, and oil and gas extraction
- Utilities
grant_single|grantors
- Department of Natural Resources and Energy Development
- Government of Newfoundland and Labrador
grant_single|status
grant_card_status|open
grant_single_labels|preview
Get a non-repayable financial contribution that covers up to 50% of eligible costs of a project that helps grow and diversify the province's oil and gas supply and service capabilities, including supply chain collaboration as well as export and diversific
grant_single_labels|projects
Yes, there are several project activities eligible for this grant:
- Labour costs, including incremental wages and salaries for technical, supply chain, or market development expertise.
- Operating costs for strategic supply chain initiatives, industry-wide promotion, export readiness, market entry strategies, and emerging technologies demonstration.
- Capital costs for specialized equipment, building renovations, and purpose-built supply and service infrastructure.
grant_single|admissibleProjectsExample
$100,000
Vancouver
Implementation of an industry-wide promotion campaign for oil and gas services
$150,000
Calgary
Establishment of an export readiness program for local oil and gas suppliers
$200,000
Toronto
Development of a new supply chain management software for oil and gas industry
$250,000
Edmonton
Upgrade of a laboratory to support oil and gas emerging technologies
$300,000
Halifax
Construction of a new facility for oil and gas equipment maintenance
$350,000
Ottawa
Pilot program for commercial development of green technologies in the oil and gas sector
grant_single_labels|admissibility
Eligible applicants include both non-commercial and commercial entities involved in the energy sector within Newfoundland and Labrador.
- Non-commercial: industry associations, business development organizations, indigenous organizations, post-secondary education institutions, and other support groups in Newfoundland and Labrador involved in energy.
- Commercial: registered businesses, primarily small-and-medium sized enterprises (SMEs), with operations in Newfoundland and Labrador.
grant_eligibility_criteria|who_can_apply
Yes, there are eligible types of companies for this grant. Eligible applicants include both non-commercial and commercial entities with specific criteria.
- Non-commercial: industry associations, business development organizations, indigenous organizations, post-secondary education institutions, and other support groups in Newfoundland and Labrador involved in energy.
- Commercial: registered businesses, primarily small-and-medium sized enterprises (SMEs), with operations in Newfoundland and Labrador.
grant_eligibility_criteria|who_cannot_apply
Companies that are primarily excluded from this grant application are those not registered in Newfoundland and Labrador or not involved in the energy sector.
- Companies not registered in Newfoundland and Labrador
- Companies not involved in the energy sector
grant_eligibility_criteria|eligible_expenses
Yes, there are eligible expenses for this grant. Eligible costs include labor, operating costs, and specific capital expenditures.
- Labor costs (incremental wages and salaries)
- Strategic initiatives in support of supply chain opportunities
- Industry-wide promotion of capabilities
- Export readiness and market entry strategies
- Commercial development and demonstration of emerging technologies
- Specialized equipment
- Building renovations
- Purpose-built supply and service infrastructure
grant_eligibility_criteria|zone
The eligible geographic zones for this grant are focused within Newfoundland and Labrador.
- Newfoundland
- Labrador
grant_single_labels|criteria
Yes, this grant has evaluation and selection criteria to ensure the projects that align with the program's objectives receive funding. Below are the specific criteria used to evaluate and select proposals for this grant:
- Relevance to energy sector objectives and the IBDF’s goals.
- Demonstrated need or opportunity for innovation and business development.
- Extent of collaboration within the energy sector supply chain.
- Potential for local supply, export, and diversification opportunities.
- Capacity to attract inward investment, addressing gaps in innovation, technology, and supply chain capabilities.
- Impact on energy sector competitiveness, including cost reduction in exploration, development, and operations.
- Potential for long-term job creation and economic growth in Newfoundland and Labrador.
- Applicant’s project management capabilities and track record.
- Evidence of market pull and industry support.
- Financial viability and sustainability of the project, and leveraging of non-provincial funding sources.
grant_single_labels|register
- Step 1:
- Get familiar with the IBDF Guidelines and Applicant Guide to understand the program objectives, target areas, eligibility, and assessment criteria.
- Step 2:
- Contact an IET office in your region to discuss the proposal and seek any necessary clarifications or guidance.
- Step 3:
- Develop a detailed project proposal following the recommended format, including all required sections such as the Executive Summary, Introduction, Purpose and Objectives, Description of Proposed Project, Project Management, Budget/Financial, etc.
- Step 4:
- Gather required documentation such as financial statements, qualifications/resumes of key project management personnel, letters of support, cost estimates, permits, licenses, environmental approvals, contracts, and any other relevant supporting materials.
- Step 5:
- Complete the application form as required by the IBDF guidelines.
- Step 6:
- Submit the detailed project proposal, completed application form, and all required documentation to the Department of Industry, Energy & Technology (IET).
- Step 7:
- Engage with program delivery staff for any follow-ups or additional information that may be requested during the assessment process.
- Step 8:
- Await the decision and be prepared to provide further information or modifications if required by the IBDF review committee.
grant_single_labels|otherInfo
This guide outlines how to develop a proposal for the Innovation and Business Development Fund (IBDF), aimed at enhancing Newfoundland and Labrador's energy sector.
- IBDF funding typically will not exceed 50% as a non-repayable contribution.
- Multi-year commitments may be considered based on the business case and available budget.
- Other operational costs can include strategic initiatives, industry-wide promotions, and commercial development.
- Certain costs like proposal development and administrative support are ineligible.
- For multi-year projects, additional approval requirements may apply.
Apply to this program
Innovation and Business Development Fund (IBDF) Summary
The Innovation and Business Development Fund (IBDF), managed by the Government of Newfoundland and Labrador, aims to bolster the province's energy sector by fostering collaboration, facilitating inward investment, and promoting local business diversification. This fund provides financial assistance to eligible applicants, including SMEs and non-commercial entities, supporting labor, operating, and capital costs essential for innovation and growth in the energy industry.
Detailed Explanation of the Innovation and Business Development Fund (IBDF)
In an effort to position Newfoundland and Labrador as a global leader in energy development, the Government of Newfoundland and Labrador has introduced the Innovation and Business Development Fund (IBDF). Administered by the Department of Industry, Energy & Technology, the IBDF is a key mechanism designed to facilitate necessary collaboration, investment, and industry growth, particularly focusing on the province's oil and gas supply and service capabilities. The fund also seeks to diversify capacities in other energy sectors, fostering long-term job creation and economic growth.
Program Objectives
The primary objectives of the IBDF are multifaceted, targeting various aspects of the energy sector to ensure comprehensive development. These objectives are:
- Facilitate energy sector supply chain collaboration.
- Expand local supply, export, and diversification opportunities.
- Attract inward investment to fill innovation, technology, and supply chain capability gaps without duplicating other funding programs.
- Improve energy sector competitiveness by reducing costs related to exploration, development, and operations.
- Contribute to long-term job creation and economic growth in Newfoundland and Labrador.
By focusing on these goals, the IBDF aims to make Newfoundland and Labrador a preferred location for energy development, both locally and globally.
Eligibility Criteria
Eligible Applicants
The fund is open to a range of applicants categorized into non-commercial and commercial entities:
- Non-commercial entities: These include industry associations, business development organizations, indigenous organizations, post-secondary education institutions, and other support groups based in Newfoundland and Labrador involved in the energy sector.
- Commercial entities: Registered businesses, primarily small-and-medium sized enterprises (SMEs), with operations in Newfoundland and Labrador qualify under this category.
Eligible Activities
The IBDF supports various activities essential for project completion and innovation, which include:
- Labour costs: Incremental wages and salaries, encompassing new technical, supply chain, or market development expertise required for the project that are not funded by other programs.
- Operating costs: Strategic initiatives for supply chain opportunities, industry-wide promotion, export readiness, and market entry strategies, among other direct project-specific costs.
- Capital costs: Acquisition of specialized equipment, building renovations, and purpose-built supply and service infrastructure.
It’s important to note that any costs incurred before the application submission are not eligible. Specific costs such as proposal development and administrative support are also ineligible.
Financial Assistance
Normally, IBDF provides up to 50 percent of the project cost as a non-repayable contribution. The level of support can vary depending on the project's nature and requirements. It is highly encouraged that applicants consult with program delivery staff during the proposal development phase. Multi-year commitments might be considered based on a strong business case and are subject to budget availability and additional approval requirements.
Proposal Requirements
Developing a comprehensive proposal is crucial for funding approval. The following sections should be included in the proposal:
Title Page
The title page must contain:
- Project title and subtitle if necessary.
- Applicant’s name and address.
- Department name (IET) to which the proposal is being submitted.
- Date of submission.
Executive Summary
The Executive Summary should offer a concise overview of the IBDF project proposal, including:
- Purpose and objectives of the project.
- Identification of the innovation and business development need or opportunity.
- Relevance to the energy sector.
- Implementation strategy and timeline.
- Anticipated impacts on innovation and business development and economic benefits.
- Management capabilities of the applicant.
- Summary of project costs, other funding sources, and IBDF financing request.
Table of Contents
For larger documents, including a table of contents with page numbers for each section is especially helpful.
Introduction
The introduction should provide:
- An overview of the applicant.
- A description of the proposed project.
- Relevant background and historical context.
Purpose and Objectives
This section should clearly illustrate the project’s overall purpose and its innovation and business development objectives. It should wholly demonstrate the need or opportunity, intended outcomes, and benchmarks for evaluating the project's success upon completion. The applicant should:
- Show a need or opportunity to advance innovation and business development.
- List the specific objectives of the project.
- Provide a strong rationale for IBDF support.
Description of Proposed Project
This section should feature a detailed description of the innovation and business development opportunity, major project activities, timelines, and required resources, including:
- Detailed description of all project aspects, methodologies, and work plan with key milestones (e.g., Gantt chart).
- Specific technology or capital requirements.
- Project team members, roles, and responsibilities.
- External expertise or partner involvement.
- Any other project requirements.
Additionally, provide evidence of market pull, addressing industry needs and operator-supplier supply chain collaboration, regulatory requirements, and any linkages to other government strategies.
Project Management
This section must demonstrate the applicant's ability to manage the project, showcasing past successes and organizational structure:
- Company or organization background.
- Current organizational and management structure.
- Completed successful projects to date.
- Project initiative management, including skills and experience of key management personnel.
- Evaluation framework to assess project success in meeting objectives.
Budget/Financial
A clear and detailed financial section is critical, encompassing:
- A strong rationale for IBDF funding.
- Funding leveraged from private, federal, and other external sources.
- Detailed project costs and other financing (confirmation of other financing is required before approval).
- Identification of existing vs. incremental labor costs.
- Sources and amounts of funding committed to the project to date (note: pre-application costs are ineligible for IBDF support).
- Cash flow projections specific to the project.
- Status of all non-IBDF funding sources.
Appendices
Include relevant documentation, such as:
- Latest financial statements (for commercial projects).
- Qualifications/resumes of key project management personnel.
- Letters of support (financial and non-financial).
- Financial projections (for commercial projects).
- Cost estimates for specialized equipment, building renovations, and purpose-built supply and service infrastructure.
- Referenced information or resource materials.
- Required permits, licenses, and/or environmental approvals.
- Relevant contracts and agreements.
- Detailed design work, engineering, or other supporting studies.
Through careful planning and thorough documentation, applicants can effectively position their proposals for successful IBDF funding, driving innovation and business development within Newfoundland and Labrador's vibrant energy sector. Leveraging the financial assistance provided by the IBDF, organizations can significantly contribute to the province's economic growth and establish Newfoundland and Labrador as a global leader in energy development.
