How much funding can be received?

Non-repayable contributions up to $1.5 million for research and development projects that will help decarbonize the transportation sector by addressing technical and market innovation barriers in Canada.

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This grant is open to legal entities incorporated or registered in Canada, ensuring broad national eligibility. Organizations from various provinces and territories within Canada can apply, aligning with national innovation and decarbonization goals.

Legal entities incorporated or registered across Canada.
Entities operating within Canadian provinces and territories.

grant_single|admissibleProjectsExample

$1,320,000

Vancouver

Development of efficient electric powertrains for medium-duty delivery trucks

$1,250,000

Toronto

Development of residential EV charging solutions

$1,500,000

Winnipeg

Integration of smart transportation systems to improve energy efficiency

$1,450,000

Montreal

Development of low-cost hydrogen fuel cell technology for heavy-duty vehicles

$1,480,000

Calgary

Demonstration of battery electric buses for public transport

$1,500,000

Edmonton

Energy-efficient battery development for Class 8 heavy-duty vehicles

grant_single_labels|admissibility

Eligibility for this grant requires applicants to meet specific criteria related to the type of entity and ownership structure.

Applicants must be legal entities incorporated or registered in Canada, including for-profit and not-for-profit organizations, community groups, and academic institutions.
Applicants may include provincial, territorial, regional, and municipal governments and their departments and agencies.
Indigenous applicants must clearly demonstrate ownership and controlling interests by Indigenous groups, including bands, councils, and Indigenous organizations.
The proponent, or entity that will enter into a contribution agreement with NRCan, is expected to be the majority owner of any assets purchased with the funding.

grant_eligibility_criteria|who_can_apply

This grant targets research and innovation entities in Canada focusing on the decarbonization of on-road transportation systems, including both low- and zero-emission vehicles and their supporting infrastructure.

Legal entities incorporated or registered in Canada, such as for-profit and not-for-profit organizations, companies, utilities, industry associations, research associations, and standards organizations.
Community groups and Canadian academic institutions.
Provincial, territorial, regional, and municipal governments and their agencies, where applicable.
Indigenous applicants, including Indigenous communities, organizations, First Nations, Inuit organizations, and Métis individuals or groups.

grant_eligibility_criteria|who_cannot_apply

This grant does not exclude specific companies or industries, but there are restrictions on the types of projects eligible for funding. The focus is on strategic sectors aiming to decarbonize transportation.

Projects that primarily involve the purchase of commercially available zero-emission vehicles (ZEVs) or supporting infrastructure.
R&D or demonstration projects focusing on off-road vehicles or their supporting infrastructure.
Projects related to other modes of transportation such as air, rail, or marine.
Activities focusing on battery supply chain, manufacturing, or "inside-the-cell" components.
Projects emphasizing energy storage or non-vehicle-centric grid-side solutions.
Using hydrogen produced from unabated fossil fuels.
Efforts focused on existing codes and standards without innovative technology development.

grant_eligibility_criteria|eligible_expenses

This grant supports research and development (R&D) and demonstration projects to help decarbonize the transportation sector, focusing on technical and market innovation barriers in Canada. Eligible projects target low- and zero-emission vehicular technologies and the infrastructure supporting them.

Development, assessment, testing, and integration of novel and innovative equipment, vehicle components, software, and methodologies for medium- and heavy-duty vehicles (MHDVs).
Pre-demonstration field trials for new technologies to identify further R&D needs before proceeding to commercialization demonstrations.
Installation of pre-commercial technology to demonstrate its operation in intended settings, modifying existing processes to accommodate innovative technology, or supporting multiple technology demonstrations.
Operation and performance testing of pre-commercial equipment to assess innovation performance in its intended environment.
Projects focusing on reducing the cost/performance ratio of electrical powertrain components outside battery cells for classes 2B to 8 MHDVs.
Demonstrating novel use cases for battery electric and hydrogen fuel cell on-road class 8 heavy-duty vehicles.
Reduction of greenhouse gas emissions of on-road internal combustion engine class 8 HDVs through hybridization, heat harvesting, or vehicle optimization for low-carbon fuels.
Improving energy efficiency of on-road MHDVs via lightweighting with advanced materials.
Developing infrastructure for affordable charging solutions and improving zero-emission vehicle uptake in rural, remote, and northern communities.
Addressing barriers specific to infrastructure supporting zero-emission fleets and MHDVs, such as placement, power requirements, and grid impacts.
Improving transportation system energy efficiency through innovative infrastructure solutions like intelligent transportation systems or multi-modal charging hubs.

grant_eligibility_criteria|zone

The grant covers specific expenses directly related to the implementation and conduct of the project.

Salaries and benefits for employees on the proponent’s payroll, for actual time spent by the employees on the project.
Professional, scientific, technical, and contracting services.
Reasonable travel costs, including meals and accommodation, based on National Joint Council Rates.
Capital expenditures for the purchase, installation, testing, and commissioning of qualifying equipment, materials, and products, including diagnostic tools and Original Manufacturer equipment warranty.
Laboratory and field supplies, and materials.
Printing services and translation.
Data collection services, including processing, analysis, and management.
Facility costs for seminars, conference room rentals, etc.
Licence fees and permits.
Capacity building and training.
Field testing services.
For Indigenous proponents, costs associated with an Indigenous ceremony (excluding hospitality) and honoraria for Elders.
Overhead expenses directly related to the conduct of the project, not to exceed 15% of eligible expenditures.

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The evaluation and selection of projects for this grant are based on specific criteria to ensure alignment with the grant’s objectives and priorities.

Support for departmental priorities such as regional balance in Canada.
Advancing inclusion, diversity, equity, and accessibility (IDEA) in the natural resources sector.
Consideration of socio-economic impacts in the proposed projects.
Collaboration and leveraging of funds from non-government sources for additional points in evaluation (except for Indigenous applicants who can receive up to 100% funding).

grant_single_labels|register

Here are the steps to submit an application for this grant:

Step 1: Determine Eligibility
- Review the Applicant’s Guide to ensure your organization meets the eligibility criteria.
Step 2: Expression of Interest (EOI) Submission
- Complete and submit an EOI through the Applicant Portal by the specified deadline.
- Ensure your submission is fully completed and submitted by 11:59 p.m. PT on July 20, 2023.
Step 3: EOI Evaluation
- Your EOI is reviewed by a technical expert panel.
Step 4: EOI Results Notification
- Receive notification from NRCan regarding the results of your EOI evaluation.
- If successful, be invited to submit a Full Project Proposal (FPP).
Step 5: Full Project Proposal (FPP) Submission
- Submit a detailed FPP if invited, by the deadline communicated by NRCan.
- Prepare all supporting documents as required for the FPP phase.
Step 6: FPP Evaluation
- The FPP is reviewed by a technical expert panel.
Step 7: Project Selection and Notification
- Receive notification on the selection outcome of your project.
Step 8: Due Diligence
- Undergo a due diligence assessment if your project is selected for funding.
Step 9: Negotiation and Signing of Contribution Agreements
- Negotiate and sign a contribution agreement following successful due diligence.

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Here are additional relevant details for this grant:

Indigenous applicants can request a contribution covering up to 100% of total project costs, subject to maximum funding limits.
All applicants are encouraged to disclose all sources of funding, including non-government sources, as collaboration and leveraging are considered in the selection criteria.
Quarterly and yearly progress reports are required post-funding to ensure project targets and objectives are met.
Projects will be required to provide ongoing data collection and assessment for five years following project completion.
The Clean Growth Hub offers assistance across federal departments/agencies to help applicants explore associated funding opportunities.
NRCan reserves the right to modify anticipated timelines for the call at its discretion.

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On-road Transportation Decarbonization — R&D Projects

Apply to this program

Funding Innovative Projects in Transportation Sector Decarbonization

This grant aims to financially support projects that focus on revolutionizing the transportation sector by promoting low- and zero-emission vehicles. The program seeks to address both technical and market innovation barriers to advance Canada's decarbonization goals.

Understanding the Energy Innovation Program's On-road Transportation Decarbonization Call

The Energy Innovation Program's On-road Transportation Decarbonization Call provided a significant platform for catalyzing advancements in the transportation industry, particularly focusing on reducing emissions. Although the call is closed, its framework aims at supporting research and development (R&D) projects, as well as demonstration projects that focus on innovative solutions for medium- and heavy-duty vehicles (MHDVs) and the infrastructure that supports zero-emission vehicles (ZEVs).

The strategic focus of this initiative involves two pivotal areas: low- and zero-emission on-road MHDVs and infrastructures supporting these vehicles, alongside overall improvements in transportation system efficiency. Successful projects were expected to offer solutions that tackle existing barriers in technology and market deployment, ensuring that the Canadian transportation sector moves decisively towards a sustainable future.

For eligibility, the grant was open to various legal entities, including for-profit and not-for-profit organizations, academic institutions, and government departments. Indigenous communities and related organizations played a crucial role and were given the opportunity to request up to 100% support for their projects. The initiative aimed not just to reduce emissions but also to encourage innovation across a plethora of transportation and related infrastructure projects, excluding those centered around off-road vehicles, energy storage, and certain other aviation or marine projects.

The structured funding for the projects aimed to provide non-repayable contributions, facilitating amounts ranging from $500,000 to $1.5 million for R&D projects or $1 million to $5 million for demonstration projects over a period of up to five years. By focusing on financial backing and strategic project alignment, the grant underscores Canada's commitment to supporting technological advances that propel the nation towards its long-term decarbonization objectives.

Projects that make it through the rigorous selection process had to clearly delineate their path toward developing technologies with higher technology readiness levels (TRLs). This assured that every funded project not only contributed to immediate technological advancements but also laid a solid foundation for long-term sustainable solutions.

The grant mechanism encouraged collaboration, leveraging additional funding sources, particularly prioritizing non-government contributions except for Indigenous applicants, to enhance project viability and impact. The program's review process was comprehensive, critically evaluating proposals based on feasibility, innovation, impact, and alignment with strategic objectives.

Although the application window for this particular call is closed, the framework established an enduring interest in project sustainability and innovation. The call for proposals echoed a broader intent to reduce greenhouse gas emissions, affirming Canada's role as a leader in addressing climate change through pioneering transportation solutions.

This grant initiative not only fueled the development of zero-emission technology but also emphasized the importance of addressing infrastructure gaps that could hinder widespread adoption. By integrating diverse technologies, from battery advancements to hydrogen fuel optimization, and improving system efficiencies, the grant fostered an ecosystem of innovation pivotal for achieving Canada's net-zero goals.