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The Initiative for Sustainable Aviation Technology (INSAT)
Funding to accelerate sustainable aviation technology innovation in Canada
Last Update: March 3, 2026
Funding available
Varies by project
Timeline
- Open continuously
Location
Canada
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.
/100
Opportunity Score
Moderate potential, but conditions must align.
At a glance
Funding available
Financing goals
- Increase performance through digital transformation
- Develop strategic partnerships
- Develop a new product or service
Eligible Funding
- Varies by project
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
Next Steps
1
Determine your project
2
Validate your eligibility
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
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).
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).
Frequently Asked Questions about the The Initiative for Sustainable Aviation Technology (INSAT) Program
Here are answers to the most common questions about the The Initiative for Sustainable Aviation Technology (INSAT). 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 The Initiative for Sustainable Aviation Technology (INSAT)?
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.
Who is eligible for the The Initiative for Sustainable Aviation Technology (INSAT) program?
To be eligible for the The Initiative for Sustainable Aviation Technology (INSAT) program, you must:
Applicants must submit a Letter of Intent (LOI).
Projects must develop sustainable aviation technologies within INSAT’s pillars.
What expenses are eligible under The Initiative for Sustainable Aviation Technology (INSAT)?
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).
Where is the The Initiative for Sustainable Aviation Technology (INSAT) available?
The The Initiative for Sustainable Aviation Technology (INSAT) program is available across Canada.
Is the The Initiative for Sustainable Aviation Technology (INSAT) a grant, loan, or tax credit?
The Initiative for Sustainable Aviation Technology (INSAT) is a Partnering and Collaboration
Who are the financial supporters of the The Initiative for Sustainable Aviation Technology (INSAT)?
The Initiative for Sustainable Aviation Technology (INSAT) is funded by Strix