Open
Source verified July 11, 2026
XLerate Program
Pay-for-performance funding for large-scale Ontario energy-efficiency projects
Latest source updateLast Update: May 24, 2026Latest change: The XLerate program updated its funding rules and application materials, including removal of the higher constrained-area incentive and a new release/consent requirement.View change
Latest source update
Last Update: May 24, 2026
Latest change: The XLerate program updated its funding rules and application materials, including removal of the higher constrained-area incentive and a new release/consent requirement.
XLerate program terms updated
The XLerate program has updated its funding structure and participant materials. The higher constrained-area incentive tier was removed, the project incentive text now reflects a $300/MWh rate, and a new Release, Waiver & Consent requirement was added to the application package. Several supporting documents and instructions were also adjusted, including the program requirements, guide, and terms and conditions. Contact and portal details appear largely unchanged, and no major timeline shift is visible.
Funding available
$ 15,000,000
Deadline
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.
/100
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
Eligible candidates
Eligible Industries
- All industries
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
- Tab 2: PFS Application Form, submitted in both PDF and Excel workbook formats
- Scope of Project Feasibility Study document
- Tab 4: Project Application Form, submitted in both PDF and Excel workbook formats
- Project Feasibility Study Report or equivalent, or a Project Scope Document if you do not have a Project Feasibility Study funded by the XLerate Program
- Measurement & Verification Plan, IPMVP compliant
Official resources
Program guide
Application form
Eligibility
Who is eligible?
- Owners and/or operators of a non-residential facility
- Third-party applicants with the authority to implement a project at a non-residential facility
Who is not eligible
- Third Party Participants are not eligible to participate and receive a PFS Funding Amount.
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
Selection criteria
- The IESO reviews each application individually to confirm cost-effectiveness.
- The IESO considers project cost-effectiveness when deciding whether to fund multiple studies at the same facility.
How to apply
- Submit the complete Project Feasibility Study Incentive Application to xlerate@ieso.ca.
- Complete Tab 2: PFS Application Form, have it signed by a binding authority in PDF format, and provide both the PDF version of the form and the Excel workbook.
- Submit a scope of Project Feasibility Study document containing the minimum required items: project description, scope and deliverables, baseline data plan, study cost breakdown, third-party consultant information, high-level schedule, methodology for quantifying non-energy benefits, and any real or perceived conflicts of interest.
- Submit the complete Project Incentive Application to xlerate@ieso.ca.
- Complete Tab 4: Project Application Form, have it signed by a binding authority in PDF format, and provide both the PDF version of the form and the Excel workbook.
- Submit a Project Feasibility Study Report or equivalent, or a Project Scope Document if you do not have a Project Feasibility Study funded by the XLerate Program, along with an IPMVP-compliant Measurement & Verification Plan.
Processing and Agreement
- The technical reviewer supports participants in developing M&V plans and reports and reviews these deliverables for approval.
- The M&V plan must be reviewed and approved before the project letter of approval is issued.
- For PFS funding, payment follows acceptance of the PFS Report by the IESO.
- For project incentives, payment follows approval of Q1 and Y1 M&V Reports, provided performance thresholds are met.
Additional information
- An Incentive Application must be submitted before entering into any binding purchase commitment, such as issuing a purchase order.
- You are recommended to wait for approval of your application before entering into such commitments.
- All documents are available at saveonenergy.ca/xlerate.
- Technical support is available to assist with M&V Plan development; contact xlerate@ieso.ca to discuss your needs.
Contacts
Frequently Asked Questions about the XLerate Program Program
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:
The applicant must be located in Ontario.
The applicant must be the owner/operator of a non-residential facility, or a third-party applicant with the authority to implement a project at a non-residential facility.
The project must involve an energy-efficiency improvement applied to, or in support of, an industrial process, use commercially available technology, and propose at least 600 MWh of electricity savings per year.
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) by email at XLerate@ieso.ca or by phone at none.
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)