Provincial and Federal Funding Programs for Bioenergy Projects (Biomass for Combustion Energy, Biogas and Biofuels) - July 2011



Provincial Programs
Program Name Description Funding/Incentives Details Contact Information

New Directions Research Program

Ontario Ministry of Agriculture, Food and Rural Affairs (OMAFRA)

The program funds research leading to new and alternative products and technologies that help the agri-food industry expand into new markets at home and abroad.

The research fund is open to universities, research institutes, industry, governments, organizations or partnership networks.

Grants up to $200,000 per project may be available for the entire project duration.

Tel:
1-888-466-2372
ext. 64554

Email

Website

Ontario's Alternative Renewable Fuels 'Plus' Research and Development Fund

Ontario Ministry of Agriculture, Food and Rural Affairs

The research program provides funds for exploration of new markets and uses for bioproducts, alternative renewable fuels and their co-products and contributes to the long term sustainability of Ontario's agri-food, energy and rural sectors.

The research fund is open to universities, research institutes, industry, governments, organizations or partnership networks.

Grants up to $200,000 per project may be available for the entire project duration.

Tel:
1-888-466-2372
ext. 64554

Email

Website

Ontario Ministry of Agriculture, Food and Rural Affairs and University of Guelph Research Agreement

Ontario Ministry of Agriculture, Food and Rural Affairs

The OMAFRA/University of Guelph partnership funds research under seven theme areas including Bioeconomy- Industrial Uses, Environmental Sustainability, Production Systems, Agricultural and Rural Policy, Product Development and Enhancement through Value Chain and Emergency Management.

Other universities, corporations, research institutes, all levels of governments, and rural organizations may partner with the University of Guelph for this funding, but the principal researcher must be from the University of Guelph.

The grant amount varies but may cover up to $150,000 per project per year.

Tel:
519-826-3827

Email

Website

Rural Economic Development (RED) Program

Ontario Ministry of Agriculture, Food and Rural Affairs

The RED program assists with the costs of projects that benefit rural Ontario. The priorities of the RED program are:

  • Supports the food processing sector
  • Community revitalization
  • Improves access to skills training and enhancement

The program encourages eligible applicants to form strategic alliances among individuals, businesses, organizations. The emphasis is on funding projects that result in creation and retention of long-term jobs and economic development.

Projects are cost-shared. In most cases, the provincial government invests up to 50 per cent of the project's eligible costs.

Intakes are ongoing.

Tel:
1-888-588-4111

Email

Website

Innovation Demonstration Fund (IDF)

Ontario Ministry of Research and Innovation

IDF supports the commercialization and initial technical demonstration of globally competitive, innovative green technologies, processes and/or products.

The IDF is focused on environmental, alternative energy, bio-products, hydrogen and other globally significant technologies at the pilot stage of development.

Financial support covers up to 50 per cent of eligible costs.

Potential funding available ranges from $100,000 to a maximum of $4 million per approved project.

Tel:
416-326-8458

Email

Website

Ontario Network of Excellence (ONE)

Ontario Ministry of Research and Innovation

ONE is a collaborative network of organizations across Ontario designed to connect innovators, technology-based businesses, entrepreneurs and researchers with services and programs to help them innovate and gain a competitive advantage.

Funding available under ONE research and commercialization programs varies.

Website

Ontario Emerging Technology Fund (OETF)

Ontario Capital Growth Corporation (OCGC)

OETF is a $250 million direct investment that co-invests alongside Qualified Investors into innovative, high-growth, private, Ontario companies in three key sectors:

  • Clean technologies
  • Life sciences and
  • Advanced health technologies
  • Digital

OCGC initial investment in an investment company is a maximum of $5 million and does not exceed $25 million over the lifetime of the investment.

Tel:
1-877-422-5818

Email

Website

Ontario Venture Capital Fund (OVCF)

Ontario Capital Growth Corporation

The $205 million OVCF is a joint initiative between the Government of Ontario and leading institutional investors to invest primarily in Ontario-based and Ontario-focused venture capital and growth equity funds that support innovative, high growth companies. Ontario has committed $90 million to the fund, with the balance coming from partner institutions.

OVCF is structured as a "fund of funds" with the primary objective of generating attractive returns for its investors. The OVCF is managed by Northleaf Capital.

Tel:
1-877-422-5818

Email

Website 1

Website 2

Eastern Ontario Development Fund (EODF)

Ontario Ministry of Economic Development and Trade

EODF is a grant program that helps businesses create new jobs and invest in new technologies (e.g. green technologies), equipment or skills training for workers. The goal is to attract or retain investment in Eastern Ontario.

A company should currently employ at least 10 people (FTEs). Businesses that invest $500,000 or more in qualified projects that create at least 10 jobs over five years are eligible.

Individual businesses can receive up to 15 per cent of total expenditures to a maximum grant of $1.5 million per approved project.

Tel:
1-866-909-9951

Email

Website

Northern Ontario Heritage Fund Corporation (NOHFC)-Northern Energy Program

Ontario Ministry of Northern Development, Mines and Forests

This program helps eligible northern organizations and businesses invest in clean, renewable energy generation projects in Northern Ontario.

NOHFC provides funding assistance to organizations and businesses for renewable energy planning where a partnership has been established with municipalities and/or First Nations. Projects to establish energy generation projects in Northern Ontario may be led by businesses or not-for-profit organizations. Projects associated with the Feed-in-Tariff Program are not eligible.

For renewable energy planning, the maximum contribution will not exceed 50 per cent of eligible project costs up to a maximum of $100,000.

For energy generation projects, maximum contribution will not exceed 50 per cent of eligible project costs up to a maximum of $250,000.

Tel:
1-800-461-8329

Email

Website

Northern Ontario Heritage Fund Corporation (NOHFC) - Emerging Technology Program

Ontario Ministry of Northern Development, Mines and Forests

The Emerging Technology Program helps both the private and public sectors develop exciting and viable new technologies including biotechnology and life science. Value-added projects should contribute to future northern prosperity.

For private sector projects, maximum investment from the NOHFC will generally not exceed 50 per cent of eligible project costs. Non-repayable contributions of up to $100,000 may be provided on a cost-shared basis for research and pre-competitive development technical projects. Contributions of up to $1 million or up to 50 per cent of eligible project costs, whichever is less, may be provided to capital projects.

Up to half of the NOHFC funding may be in the form of a conditional grant with the remainder in the form of a repayable loan.

Tel:
1-800-461-8329

Email

Website

Feed-in Tariff (FIT)

Ontario Power Authority(OPA)/Ontario Ministry of Energy

Ontario's FIT Program is North America's first comprehensive guaranteed pricing structure for renewable electricity production in Ontario.

The program offers guaranteed prices under long-term contracts for energy generated from renewable sources, including biomass, biogas, landfill gas, on-shore wind, solar photovoltaic (PV) and waterpower. Projects 10 kW or less in size can apply to the microFIT Program.

FIT offers a 20-year contract to developers of renewable energy projects that covers total project costs and provides a reasonable rate of return.

Contract prices as of June, 2011:

  • Biomass: up to 13.8 ¢/kWh
  • Wind: 13.5 ¢/kWh
  • Solar: up to 71.3 ¢/kWh

Tel:
1-888-387-3403

Email

Website 1

Website 2

 

Technology Development Fund

Ontario Power Authority/ Ontario Ministry of Energy

The Technology Development Fund provides support for projects that promote the development and commercialization of technologies or applications having the potential to improve distributed generation, conservation or demand management.

The program is eligible to registered partnerships or corporations.

The Technology Development Fund will consider supporting a maximum of 50 per cent of project costs.

Maximum contribution by the OPA for any one project is $250,000.

Tel:
416-324-5481

Email

Website

Community Energy Partnerships Program (CEPP)

Ontario Power Authority and Government of Ontario

The CEPP is a grant program to support community power in Ontario. It is delivered by a financing organization - Community Power Fund (CPF) - in partnership with Deloitte.

The fund provides technical and financial support to communities working to develop, build and own renewable energy projects.

Grants up to $200,000 per project may be available.

CEPP

Tel:
416-597-2748
or
1-888-907-2377

Email

Website

CPF

Tel:
416-977-3154

Website

Aboriginal Energy Partnerships Program

Ontario Power Authority and Government of Ontario

Two funds are available under the Aboriginal Energy Partnership Program:

1. Aboriginal Renewable Energy Fund (AREF), designed to provide funding for First Nations and Métis communities to develop renewable energy generation facilities. Qualifying aboriginal communities may have a portion of project costs covered as well as the costs of environmental studies, resource assessments, business plans and engineering designs.

2. Aboriginal Community Energy Plan (ACEP) Program, which funds:

  • Education and development of a vision and community profile
  • Carrying out a community baseline study, and
  • Development of a community energy plan.

Aboriginal communities can receive up to $500,000 per project through AREF.

Stay connected AREF funding is available for three phases of project development:

1. Pre-Feasibility Phase: 80 per cent of actual costs.

2. Design and Development Phase: 60 per cent of actual costs.

3. Regulatory Approvals Phase: 40 per cent of actual costs.

Aboriginal communities meeting the criteria, may receive up to $70,000 each to complete the

ACEP Program.

Tel:
1-888-471-2377

Email

Website 1

Website 2


Federal/Provincial Programs
Program Name Description Funding/Incentives Details Contact Information

Farm Innovation Program (FIP)

Agricultural Adaptation Council (AAC)/Ontario Ministry of Agriculture, Food and Rural Affairs (OMAFRA), Agriculture and Agri-Food Canada (AAFC)

The FIP is a $12 million program aimed at boosting agricultural research, competitiveness and productivity in Ontario's agricultural sectors.

Eligible recipients must be Canadian legal entities and may include non-supply managed organizations designated by the Ontario Agricultural Commodity Council (OACC). Individual farmers or groups of farmers may access FIP funding but must apply in partnership with a non-supply managed organization.

Up to 100 per cent of total project costs can be funded towards project activities based on cost-sharing and other leverage support.

Tel:
519-822-7554

Email

Website


Federal Programs
Program Name Description Funding/Incentives Details Contact Information

Canadian Agricultural Adaptation Program (CAAP)

Agricultural Adaptation Council/Agriculture and Agri-Food Canada

The CAAP is a five-year (2009-2014), $163 million program with the objective of facilitating the agriculture, agri-food, and agri-based products sector's ability to seize opportunities, to respond to new and emerging issues, and to pathfind and pilot solutions to new and ongoing issues in order to help it adapt and remain competitive.

Applicants must be Canadian legal entities including organizations and associations, cooperatives, marketing boards, aboriginal groups, for-profit companies and individuals.

The amount of funding for any single eligible applicant over the five year term of CAAP shall not exceed a cumulative total of $3 million for all projects approved.

The maximum level of total government funding (federal, provincial, territorial and municipal funding) for projects under CAAP will generally not exceed 85 per cent.

Tel:
519-822-7554

Email

Website

Canadian Agricultural Loans Act (CALA)

Agriculture and Agri- Food Canada

CALA is a loan guarantee program that provides loans to farmers and agricultural co-operatives. On behalf of AAFC, participating financial institutions administer loans under the CALA.

Farmers eligible for a CALA loan guarantee include:

  • existing farmers
  • beginning/start-up farmers (less than six years of farming)
  • farmers taking over the family farm
  • agricultural co-operatives with a majority (50 per cent plus one) farmer membership.

The maximum loan is:

  • $500,000 for land and the construction or improvement of buildings
  • $350,000 for all other loan purposes

The maximum aggregate loan limit for any one borrower is $500,000 and $3 million for agricultural cooperatives, with the Minister's approval.

The maximum term for loans is 10 years, with 15 years for loans on land purchases.

Interest to be paid on a floating rate is the lender's prime rate plus a maximum of one per cent.

Interest to be paid on a fixed-term rate uses a formula based on the lender's residential mortgage rate plus a maximum of one per cent.

Tel:
1-888-346-2511

Email

Website

Agricultural Processing Initiative (API)

Agriculture and Agri. Food Canada

The API, part of the federal Agricultural Flexibility Fund, is a five year, $50 million initiative designed to enhance the competitiveness of the agri-processing sector in Canada.

The company or cooperative must be incorporated and operating a manufacturing facility in Canada that uses agricultural commodities or ingredients and has reported one year employment expenses prior to their application.

API may provide repayable contributions of up to $2 million per project, or up to 50 per cent of eligible costs, whichever is less, towards the cost of purchasing and installing new-to-company machinery and equipment in Canadian facilities.

Tel:
1-877-246-4682

Email

Website

Green Infrastructure Fund (GIF)

Infrastructure Canada

This fund focuses on green priorities such as green energy generation and transmission infrastructure, building and upgrading wastewater treatment systems, and improving solid waste management.

Eligible recipients include provinces, territories, local or regional governments; other public sector bodies, non-profit organizations and private companies, either alone or in partnership with a province, territory or a government.

Funding will be allocated based on merit to support green infrastructure projects on a cost-share basis.

Tel:
1-877-250-7154

Website

Industrial Research Assistance Program (IRAP)

National Research Council (NRC)

IRAP helps Canadian small and medium-sized enterprises (SMEs) develop innovative technologies and successfully commercialize them in a global marketplace by providing technical and business advisory services and financial assistance.

Canadian small or medium-sized incorporated businesses (500 employees or less) are eligible for support.

IRAP provides financial support for research and development activities on cost-shared basis.

Tel:
1-877-994-4727

Email

Website

Scientific Research Experimental Development Tax Incentive Program (SR&ED)

Canada Revenue Agency (CRA)

The SR&ED program is a federal tax incentive program to encourage Canadian businesses of all sizes and in all sectors to conduct research and development in Canada that will lead to new, improved, or technologically advanced products or processes.

In general, work that qualifies for SR&ED includes experimental development, basic research, applied research and support work.

Canadian-controlled private corporations (CCPC) can earn an investment tax credit (ITC) of 35 per cent up to the first $3 million of qualified expenditures for SR&ED carried out in Canada, and 20 per cent on any excess amount.

Other Canadian corporations, proprietorships, partnerships, and trusts can earn an ITC of 20 per cent of qualified expenditures for SR&ED carried out in Canada.

Tel:
1-800-959-5525

Website

Technology Development Program

FedDev Ontario

The Technology Development Program provides financial support to encourage research and innovation organizations, the private sector, post-secondary institutions and not-for-profit organizations to work together to accelerate the development of large-scale, advanced technologies that will result in new market opportunities for southern Ontario businesses.

Established not-for-profit organizations (e.g. innovation and commercialization organizations) or post-secondary institutions located in southern Ontario may apply. Recipients must be working with at least one private sector entity to develop market-driven, large-scale advanced technology projects.

Non-repayable contributions will be available for up to 50 per cent of direct eligible costs incurred by recipients for eligible project activities. The remaining 50 per cent of direct costs must be provided by the private sector or other non-governmental sources.

Tel:
1-866-593-5505

Website

Investing in Business Innovation

FedDev Ontario

Investing in Business Innovation provides funding to boost private sector investment in start-up businesses to accelerate the development of new products, processes and practices and bring them to market faster to further develop southern Ontario's economy.

Start-up businesses in Southern Ontario with no more than 50 employees that are planning to undertake commercialization activities and have a signed draft term sheet from a recognized angel or venture capital investor can apply.

Incorporated not-for-profit angel investor networks located or representing angel investors in southern Ontario and start-up businesses will be eligible for repayable contributions up to $1 million for no more than one third (33⅓ percent) of total eligible and supported project costs.

Angel investor network applicants (not-for-profit) may request one-time non-repayable funding of up to $50,000 to help them attract new investors.

Organizations representing southern Ontario angel networks may request non-repayable funding of up to $2 million to support investment attraction activities.

Tel:
1-866-593-5505

Website

ecoAgriculture Biofuels Capital Initiative (ecoABC)

Agriculture and Agri- Food Canada

The ecoABC is a $200 million federal program that provides repayable contributions for the construction or expansion of transportation biofuel production facilities.

Eligible applicants include corporations, individuals and partnerships using agricultural feedstock to produce biofuel.

ecoABC can provide a repayable contribution towards an individual project of up to $25 million or 25 per cent of eligible project costs, whichever is less.

Tel:
1-877-246-4682

Email

Website

ecoEnergy for Biofuels

Natural Resources Canada (NRCanada)

The ecoEnergy for Biofuels program supports the production of renewable alternatives to gasoline and diesel and encourages the development of a competitive domestic industry for renewable fuels.

The initiative provides operating incentives to producers of renewable alternatives to gasoline and diesel based on production levels and market conditions. It makes investment in production facilities more attractive by partially offsetting the risk associated with fluctuating feedstock and fuel prices.

Financial incentives are provided for the number of litres produced in Canada and sold, based on fixed declining incentive rates established by the program and as agreed upon in each Contribution Agreement.

Tel:
613-943-1481

Website

NextGen Biofuels Fund

Sustainable Development Technology Canada

The NextGen Biofuels und supports the establishment of first-of-kind commercial scale demonstration facilities for the production of next-generation renewable fuels (i.e. cellulosic ethanol or next-generation biodiesel) and co-products.

Eligible projects must have demonstrated their technology on a pilot scale.

The fund will support up to 40 per cent of eligible project costs (capped at $200 million per project). Total government assistance cannot exceed 60 per cent of eligible project costs.

Tel:
613-943-1481

Email

Website


Useful links for government funding/grants/loans/incentives

The information is believed to be accurate and current as of the publication date. The programs are subject to frequent changes and the list is also not exhaustive. Please consult the contacts listed and the links provided for the specific programs.


For more information:
Toll Free: 1-877-424-1300
E-mail: ag.info.omafra@ontario.ca
Author: OMAFRA Staff
Creation Date: 16 August 2011
Last Reviewed: 21 January 2014