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The Initiative for Sustainable Aviation Technology (INSAT)
Last Update: March 3, 2026
Canada
Funding to accelerate sustainable aviation technology innovation in Canada
Partnering and Collaboration
Grant and Funding
Overview
The Initiative for Sustainable Aviation Technology (INSAT) is a $350 million joint industry-government funding program to accelerate the green industrial transformation of Canada’s aerospace sector through cross-industry collaboration and innovation. It supports projects in hybrid and alternative propulsion, aircraft architecture and systems integration, transition to alternative fuels, and aircraft support infrastructure and operations.
At a glance
Funding available
Financing goals
- Integrate new technologies
- Develop strategic partnerships
- Develop a new product
Eligible Funding
- No Condition
Timeline
- Open continuously
Eligible candidates
Eligible Industries
- Manufacturing
- Transportation and warehousing
- Professional, scientific and technical services
Location
- Canada
Legal structures
- Public or Parapublic institution
- For-profit business
Annual revenue
- All revenue ranges
Organisation size
- All organization sizes
Audience
- Canadians
- Startups
Activities funded
- Collaborative development of hybrid and alternative aircraft propulsion technologies (e.g., electric powertrains, battery systems, hydrogen fuel cells, new thermal cycles).
- Joint projects to improve aircraft architecture and integrate new systems to increase efficiency and performance (e.g., aerodynamic designs, lightweight structures, AI-enabled flight control, onboard smart microgrids).
- Partnership projects enabling the transition to alternative aviation fuels and related certification readiness (e.g., adapting aircraft technologies for high-blend sustainable aviation fuel, hydrogen combustion solutions, onboard cryogenic storage systems).
- Development of aircraft support infrastructure and operational solutions (e.g., airport hydrogen distribution/storage/refuelling technologies, digital twins, advanced manufacturing processes for next-generation aircraft).
Documents Needed
- Letter of Intent (LOI)
Eligibility
- The applicant must submit a Letter of Intent (LOI) to apply for funding through the INSAT program.
- The project must support the development of sustainable aviation technologies and contribute to Canada’s aerospace industry.
- The project should align with at least one of INSAT’s focus areas: hybrid and alternative propulsion; aircraft architecture and systems integration; transition to alternative fuels; or aircraft support infrastructure & operations.
- The project must undergo evaluation by the INSAT Project Evaluation Committee and review by the Board of Directors.
- The applicant must be able to enter into a contribution agreement, including finalizing Intellectual Property (IP) arrangements among partners.
Who is eligible?
- Companies and organizations in the Canadian aerospace / aeronautics sector.
- Transport companies involved in the development of sustainable aeronautical technologies.
- Companies in the energy sector working on solutions related to alternative propulsion and substitute fuels.
- Information technology companies contributing to innovation (e.g., systems integration, AI, digital twins) for sustainable aeronautics.
Eligible geographic areas
- Canada (supports the growth of Canada’s aerospace industry).
How to apply
1
Submit letter of intent
- Submit a Letter of Intent (LOI) to apply for funding through INSAT
- Once the LOI is received, you will be matched with an INSAT Program Manager to guide you through the application process
2
Committee review
- Your project application is evaluated by the INSAT Project Evaluation Committee
3
Receive feedback
- The Board of Directors reviews the committee recommendations
- Any input from the Board is communicated to applicants for potential amendments
4
Negotiate agreement terms
- Begin contract negotiations after necessary approvals
- Finalize Intellectual Property (IP) arrangements among partners
5
Sign and start project
- Sign the contribution agreement
- Start the project once the agreement is reached
Processing and Agreement
- Your application is evaluated by the INSAT Project Evaluation Committee.
- The Board of Directors reviews the Committee’s recommendations.
- INSAT communicates the Board’s input and any considerations to applicants for potential amendments.
- After approvals, contract negotiations begin, including finalizing Intellectual Property (IP) arrangements among partners.
- Once an agreement is reached, the contribution agreement is signed and the project starts.
Additional information
- INSAT was announced in 2023 with a $350 million investment by the Ministry of Innovation, Science and Industry to accelerate the green industrial transformation of Canada’s aerospace industry.
- The program emphasizes cross-industry collaboration to drive sustainable aviation innovation in Canada.
- INSAT is supported through a joint industry-government initiative with industry leaders (e.g., Pratt & Whitney, Ballard, Bombardier, CAE, Thales, Safran).
- Key program resources are available, including the INSAT Program Guide (17/04/2025) and the INSAT IP Strategy (23/01/2026).
