Funding & Incentives

A summary of funding and incentive programs available for biogas developers.

Canadian Agricultural Partnership

The Canadian Agricultural Partnership is a five-year, $3 billion investment by federal, provincial and territorial governments to strengthen the agriculture and agri-food sector. Federally-funded activities and programs to support sector growth focus on three key areas: Growing trade and expanding markets - $297 million; Innovative and sustainable growth in the sector - $690 million; and Supporting diversity and a dynamic, evolving sector - $166.5 million Federal program details and application forms are now available. Two programs are accepting applications until July 12th, 2021 in Alberta, which represents a federal - provincial investment of $406 million in strategic programs and initiatives for the agricultural sector. The Value-added Program supports growth of Alberta’s Value-added food and bio-industrial processors. The On-farm Value-added Program is a new pilot program within CAP exclusively for primary producers who are adding value past primary production.

Agricultural Clean Technology Program

On June 4, 2021, the Government of Canada announced the new $165-million Agricultural Clean Technology Program. Under the program, farmers and food processors will have access to funding to help develop and adopt the latest clean technologies to reduce greenhouse gas (GHG) emissions and enhance their competitiveness. This is an important opportunity for the biogas industry. The program has a dedicated carve-out for clean energy projects ($10M over the next two years) under the Adoption Stream that will extend over five years from 2021 to 2026. The Research and Innovation Stream will also provide up to $50M in funding over seven years from 2021 to 2028.

Clean Fuels Fund

On June 21, 2021, the Honourable Seamus O’Regan, Minister of Natural Resources officially launched the $1.5-billion Clean Fuels Fund with a call for proposals for projects that increase Canada’s capacity to produce clean fuels. Through this fund, Natural Resources Canada is supporting the production of clean fuels across the country, establishing sustainable biomass supply chains and addressing gaps in essential codes and standards. Not-for-profit and for-profit organizations are eligible to received funding through conditionally repayable contribution agreements of up to 30 percent of the total eligible project costs, to a maximum of $150 million, per project. The minimum production capacity for eligible RNG projects is 50,000 GJ. The Fund is now accepting applications and all proposals must be received no later than September 29, 2021 (23:59 Eastern Daylight Time).

Green Municipal Fund Accepting Biogas Project Proposals

The Federation of Canadian Municipalities are accepting biogas project proposals through the Green Municipal Fund. Any communities that are interested in funding for a biogas project (or companies partnering with communities) can review funding opportunities on the FCM website: Funding opportunities | FCM. Depending on the nature of the project and anticipated benefits the project may qualify in the Waste / Energy / Water sectors.

Smart Renewables and Electrification Pathways Program

The Smart Renewables and Electrification Pathways Program (SREPs) provides up to $964 million over four years for smart renewable energy and grid modernization projects. This program will significantly reduce greenhouse gas emissions by encouraging the replacement of fossil-fuel generated electricity with renewables that can provide essential grid services while supporting Canada’s equitable transition to an electrified economy. SREPs will provide direct financial support to eligible renewable energy and grid modernization projects during the construction phase. Projects must use market ready technologies and apply workplace equity, diversity, and inclusion components. The Request for Project Registrations under the Smart Renewables and Electrification Pathways Program is now open.

Tax savings for Canadian Renewable and Conservation Expenses

Under Classes 43.1 and 43.2 certain businesses and organizations also have an accelerated capital cost allowance on certain types of eligible equipment. This credit aims to make renewable energy projects, including biogas, more attractive. The deduction rate obtained can go up to 50%, depending on the case. Consult the technical guide for more information on the requirements.

Quebec’s Biomethanation and Composting Organic Matter Treatment Program (PTMOBC)

PTMOBC supports municipalities and businesses in the installation of infrastructures for biomethanation and composting of organic materials. It aims to reduce the amount of organic matter eliminated in Quebec and the GHG emitted during this process. The program is extended until 2022.

ECO Employment Programs - Training & Wage Subsidies for Environmental Jobs

As the steward for the Canadian Environmental workforce across all industries, ECO Canada offers employment programs that stimulate environmental career pathways, skill development, business growth, workforce support and workforce advancement through wage and training funding. These programs help employers attract new talent, while saving initial wage and training costs. Best of all, young practitioners and students will be able to kickstart their career journey and gain meaningful work experience. Thanks to our funding partners, ECO Canada has several programs available. Each program has unique eligibility requirements for employers and job candidates.

NRC-IRAP Youth-Green Program

The National Research Council (NRC) of Canada’s Industrial Research Assistance Program (IRAP) is making available up to $10,000 to employ Canadian youth between 15-30 years of age. Companies eligible for this program must be considered “Green” by having their business align with the green economy sectors of industries. The companies need to be incorporated and have 1 to 500 full-time employees. These Green companies must use the hired Youth to produce an environmental benefit. For further information or to determine if you qualify, please contact NRC-IRAP at 1-877-994-4727. Please also visit the NRC website and refer to the Youth-Green Program.

BioTalent’s Science and Technology Internship Program – Green Jobs

BioTalent Canada is an organization created to support the development of Canada’s bio-economy and provides opportunities for employers, associations, students, academic institutions, and service providers to grow their network, strengthen job ready skills and provides opportunities such as wage subsidies to employers. The Science and Technology Internship Program – Green Jobs is a wage subsidy program for STEM career placement opportunities in the natural resources sector linked to the green economy. The subsidy covers the cost of a new hire’s salary by 75% to a maximum of $22,500/year and $30,000/year for youth furthest from employment. These funds help employers hire the talent they need and help youth initiate a career. Please visit BioTalent’s website for more information.