A Maximum of $150M in Funding Available for Clean Production Projects and Studies

The Clean Fuels Fund (CFF) aims to increase Canada's clean fuels production capacity to support the eventual goal of a net-zero future. The CFF will promote sustainability, increased capacity of clean fuel production, greenhouse gas reduction, and more.

There are three components delivered within this program:  

• Building New Domestic Production Capacity: supports the building of new, and expansion of existing clean fuel production capacity and facility conversions or associated feasibility, engineering and FEED studies, includes two sub-components: 

• • Production Capacity Build-out Projects (Production Projects): for the expansion or conversion of existing facilities, and buildout of new facilities 
  • Production Facility Feasibility Assessments/Studies (Feasibility Projects): for feasibility and front-end engineering design studies 

• Establishing Biomass Supply Chains: supports the establishment of biomass supply chains and associated feasibility assessments 
• Developing Enabling Codes and Standards: supports the development of critical codes, standards, and regulation 

Eligible Applicants

Legal entities validly incorporated or registered in Canada including not-for-profit and for-profit organizations are eligible to apply to the CFF. Such organizations include:  

• Electricity or gas utilities  
• Private sector companies  
• Industry associations 
• Research associations 
• Standards organizations 
• Indigenous organizations and Indigenous communities  
• Canadian academic institutions 
• Provincial, territorial, regional, or municipal governments or their departments or agencies where applicable 

Eligible Projects

• Capital clean fuel production projects that use fuel production technologies in advanced stages of technological readiness and that are designed for commercial deployment 
• Feasibility studies, basic engineering studies and detailed front-end engineering studies to assess the new build or expansion of low carbon fuel production facilities. In addition, feasibility studies to assess the techno-economic feasibility of blending hydrogen into natural gas systems. 
• All projects must be completed and facilities commissioned by March 31, 2026. 

Eligible Costs

Eligible costs under this opportunity include:  

• Salaries and benefits 
• Professional services 
• Reasonable travel costs 
• Capital expenses 
• Retrofitting and upgrading of existing capital assets 
• Rental fees or leasing costs 
• License fees and permits 
• Costs associated with Environmental Impact Assessments 
• GST, PST, and HST net of any tax rebate to which the recipient is entitled 

Funding Details

• Production projects: 
  • The  program may provide eligible recipients with a maximum of 30% of total eligible project costs, up to a maximum of $150M, per project.   
• Feasibility projects:  
  • The program may provide eligible recipients with up to 50% of total eligible project costs, up to a maximum of $5M, per project.