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Northern Energy Advantage Program (NEAP) - Sudbury - ON - Canada

Northern Energy Advantage Program (NEAP)

Last Update: May 13, 2025
Sudbury, ON
Rebates for Northern Ontario industrial electricity consumers

Northern Energy Advantage Program (NEAP) at a glance

Eligible Funding
  • No Condition
Timeline
  • Open Date : April 1, 2022
  • Closing date : March 31, 2027
Financing Type
Grant and Funding
Eligible Industries
  • Mining, quarrying, and oil and gas extraction
  • Manufacturing
Grant Providers
  • Government of Ontario
Status
Open

Overview of the Northern Energy Advantage Program (NEAP) program

The Northern Energy Advantage Program (NEAP) offers a rebate of two cents per kilowatt-hour to Northern Ontario's largest industrial electricity consumers to reduce energy costs, capped at their 2017 to 2020 average consumption levels. The program aims to enhance competitiveness and sustainability by encouraging improvements in electrical efficiency and sustainability measures, such as creating and implementing an Energy Management Plan.

Financing terms and conditions

This grant provides a rebate program to assist large industrial electricity consumers in Northern Ontario with stable electricity cost management. The financing modalities are focused on providing predictable electricity cost rebates based on consumption.
  • Rebate of two cents per kilowatt-hour of electricity consumed by qualifying industrial participants.
  • Annual rebates are subject to facility-specific caps based on the average annual electricity consumption from April 1, 2017, through March 31, 2020.
  • Overall annual rebate limits at the level of the qualifying participant, aggregating all eligible facilities' caps.
  • Transfers of rebate caps are possible under certain conditions, requiring approval from the Ministry.
  • Quarterly disbursement of rebates, contingent upon fulfilling program requirements including reporting.
  • No entitlement; rebates are non-guaranteed and contingent on compliance with program rules.
  • Eligible electricity must be verified through approved metering installations from recognized electricity providers.

Eligible projects & activities

This grant specifically targets activities that bolster energy efficiency, sustainability, and innovation within eligible industrial sectors in Northern Ontario. Projects should emphasize reducing electricity consumption and enhancing operational competitiveness while aligning with provincial strategic priorities.
  • Implementation of energy management plans that focus on continuous improvement in electrical efficiency.
  • Projects developing and implementing energy-saving measures, such as machinery upgrades and process optimization.
  • Participation in energy conservation and demand management programs.
  • Incorporation of clean technologies into existing operations to reduce environmental impacts.
  • Support for transformational capital investments that align with government priorities, including decarbonization.

Eligibility criteria of the Northern Energy Advantage Program (NEAP) program

To be eligible for the Northern Energy Advantage Program, a facility and its parent company must meet specific criteria related to location, consumption, industry sector, and purchasing arrangements.
  • The facility must be located in Northern Ontario.
  • The facility must be directly owned and controlled by the applicant.
  • The facility must be a production or processing site consuming a minimum of 50,000 megawatt hours (MWh) of electricity per year.
  • The facility must be classified within the mining and oil and gas extraction sector, manufacturing sector (excluding certain exceptions like Sawmills and Wood Preservation), or within other industries aligned with or complementary to eligible industries such as the battery supply chain or clean technologies.
  • The facility must be a market participant purchasing electricity from the Independent Electricity System Operator (IESO) administered market or from a local distribution company, including Hydro One.

Who is eligible?

This program provides rebates for Northern Ontario's large industrial electricity consumers to maintain competitive electricity rates and operational sustainability. Applicants must fulfill specific operational and locational criteria.
  • Located in Northern Ontario.
  • Directly owned and controlled by the applicant.
  • A production or processing facility consuming at least 50,000 MWh of electricity per year.
  • Falling within specified NAICS industry sectors, mainly mining, oil, gas, and manufacturing, with room for other industries aligned with eligible sectors.
  • Purchasing electricity from the IESO market or a local distribution company.

Who is not eligible

The Northern Energy Advantage Program (NEAP) specifies certain limitations on eligibility for companies and industries. These restrictions are intended to focus assistance on strategic sectors that align with the program's goals.
  • Facilities classified under the NAICS as Sawmills and Wood Preservation (3211).
  • Companies not directly owning and controlling their facilities.
  • Facilities consuming less than 50,000 megawatt hours of electricity annually.
  • Entities purchasing electricity elsewhere than from the Independent Electricity Service Operator or a local distribution company, including Hydro One.

Eligible expenses

The grant covers specific expenses directly related to the improvement of electricity efficiency and sustainability in facilities participating in the NEAP.
  • Implementation costs associated with energy management plans.
  • Costs related to improving electrical efficiency and sustainability in facilities.
  • Eligible electricity consumption costs at approved facilities.
  • Approved metering installation costs for measuring electricity use.

Eligible geographic areas

Eligible facilities for the Northern Energy Advantage Program must be located within specific districts in Northern Ontario. These areas are strategically chosen to support the region's industrial electricity consumers.
  • Kenora District
  • Rainy River District
  • Thunder Bay District
  • Cochrane District
  • Algoma District
  • Sudbury District
  • Timiskaming District
  • Nipissing District
  • Manitoulin District
  • Parry Sound District

How to apply to the Northern Energy Advantage Program (NEAP) program

1
Verify Eligibility
  • Ensure your facility is located in Northern Ontario and meets the minimum energy consumption.
  • Read the program rules to confirm alignment with NAICS sectors and other eligibility criteria.
2
Prepare Energy Management Plan
  • Create an Energy Management Plan detailing methods for improving efficiency and sustainability.
  • Include baseline information and forecast data for 2022-2027 in the plan.
3
Complete Application Form
Download and fill out the application form provided on the NEAP website.
4
Compile Required Documentation
  • Gather all necessary documentation, including financial statements and forecast data.
  • Ensure the application package is complete with the Energy Management Plan and supporting documents.
5
Submit Application
  • Submit the completed application by email or mail to the specified contact.
  • Send to: Martin Rondeau, Northern Energy Advantage Program, Ministry of Northern Development, Willet Green Miller Centre, 933 Ramsey Lake Road, 4th floor, Sudbury, Ontario, P3E 6A5 or via email at Martin.Rondeau@ontario.ca.

Additional information

Here are additional relevant details for this grant:
  • REBATES: Rebates disbursed on a quarterly basis are contingent upon meeting all terms and conditions, including quarterly reporting requirements.
  • TRANSFER OF CAPS: Facility Annual Caps are non-shareable but may be transferable to another entity at the Ministry's discretion, subject to terms and conditions imposed by the Ministry.
  • ONGOING SOLVENCY: Participants must demonstrate ongoing solvency or operational viability throughout the program duration to remain eligible.
  • ENERGY MANAGEMENT PLAN: Participants must submit an Energy Management Plan (EMP) detailing proposed steps and methods for improving electrical efficiency and sustainability.
  • SPECIAL CONSIDERATION: The program offers the Investor Class Stream for significant capital investments, which could provide additional flexibility with program parameters for certain projects aligning with government priorities.
  • QUARTERLY REPORTING: Participants are required to submit quarterly reports detailing progress, achievements, and forecasts, which are critical for ongoing eligibility and rebate disbursement.
  • RETROACTIVE REBATES: Retroactive rebates may be possible for electricity consumed prior to entering a NEAP Agreement, subject to conditions outlined in the agreement.
  • CANCELLATION AND AMENDMENTS: The ministry reserves the right to cancel any part or all of the program at any time or amend the program rules at its discretion, without prior notice.

Contact Government of Ontario

Martin.Rondeau@ontario.ca
705-507-1648

Apply to this program

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