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XLerate Program
Pay-for-performance funding for large-scale Ontario energy-efficiency projects
Last Update: March 16, 2026
Funding available
$ 15,000,000
Timeline
- Open continuously
Location
Ontario, Canada
Overview
The Save on Energy XLerate Program supports large-scale energy-efficiency projects in Ontario’s industrial, municipal, institutional, and healthcare sectors, offering up to $15 million per project to reduce electricity use. Eligible activities include completing feasibility studies (50% cost share) and implementing commercially available energy-efficiency improvements to industrial processes delivering at least 600 MWh/year in electricity savings.
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Opportunity Score
Moderate potential, but conditions must align.
At a glance
Funding available
Financing goals
- Increase performance through digital transformation
- Optimize production processes
- Reduce environmental footprint
Eligible Funding
- Maximum amount : 15,000,000 $
- Up to 75% of project cost
Timeline
- Open continuously
Eligible candidates
Eligible Industries
- Manufacturing
- Health care and social assistance
- Public administration
Location
- Ontario
Legal structures
- For-profit business
- Non-profit
- Public or Parapublic institution
Annual revenue
- All revenue ranges
Organisation size
- All organization sizes
Audience
- Canadians
Non-profit candidates
Sector of operation
- All industries
Target groups
- All the groups
Revenue structures
- All structures
Scope
- All dimensions
Next Steps
1
Determine your project
2
Validate your eligibility
Activities funded
- Large-scale energy-efficiency projects for industrial processes
- Project feasibility studies for eligible energy-saving opportunities
- Measurement and verification of verified electricity savings
Documents Needed
- Application Workbook
- Measurement and Verification Plan
- Waiver and Release Form
- PFS or equivalent project documentation
Eligibility
Who is eligible?
- Industrial organizations
- Municipal organizations
- Institutional organizations
- Healthcare organizations
Who is not eligible
- Organizations located outside of Ontario.
- Businesses or organizations that do not own/manage a non-residential facility and do not have third-party authority to implement a project in a non-residential facility.
- Businesses whose project does not aim to improve energy efficiency applied to, or in support of, an industrial process.
- Businesses whose project uses technology that is not commercially available or is excluded by the program's eligibility rules.
Eligible expenses
- Project feasibility study costs
- Eligible project costs for design, selection, procurement, implementation, and metering
- Professional, engineering, technical, and management services
- Equipment, products, software, and data collection services
- Travel, printing, permits, license fees, environmental assessments, and technical studies
Ineligible Costs and Activities
- Costs already covered by other government funding or manufacturer rebates
- HST
- Financing, leasing, and borrowing costs
- Costs related to LDC infrastructure investments or efficiency measures
Eligible geographic areas
- Ontario (Canada).
Processing and Agreement
- Applications are reviewed and approved by the IESO.
- Approved projects receive a Letter of Approval.
- PFS reports and project deliverables are reviewed by the IESO and the Technical Reviewer.
- Payments are issued after approval of the required M&V reports and supporting documentation.
Additional information
- The program uses a streamlined, pay-for-performance approach for large-scale energy-efficiency projects.
- The program is supported by the Ontario government.
- Comprehensive support services are available to guide participants from initial scoping through to implementation and measurement and verification (M&V).
- Existing participants of the Industrial Energy Efficiency Program (IEEP) can access the XLerate program portal.
Frequently Asked Questions about the XLerate Program Program
Here are answers to the most common questions about the XLerate Program. 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 XLerate Program?
The Save on Energy XLerate Program supports large-scale energy-efficiency projects in Ontario’s industrial, municipal, institutional, and healthcare sectors, offering up to $15 million per project to reduce electricity use. Eligible activities include completing feasibility studies (50% cost share) and implementing commercially available energy-efficiency improvements to industrial processes delivering at least 600 MWh/year in electricity savings.
How much funding can be received?
XLerate Program Funds up to 75% of admissible expenses, capped at $15,000,000 per project.
Who is eligible for the XLerate Program program?
To be eligible for the XLerate Program program, you must:
Located in Ontario.
Owner/operator of a non-residential facility.
Or third-party applicant authorized to implement the project at a non-residential facility.
What expenses are eligible under XLerate Program?
Large-scale energy-efficiency projects for industrial processes
Project feasibility studies for eligible energy-saving opportunities
Measurement and verification of verified electricity savings
Who can I contact for more information about the XLerate Program?
You can contact Independent Electricity System Operator (IESO).
Where is the XLerate Program available?
The XLerate Program program is available the province of Ontario.
Who are the financial supporters of the XLerate Program?
XLerate Program is funded by Independent Electricity System Operator (IESO), Save on Energy (SOE)