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Lower your energy costs and reduce greenhouse gas emissions that contribute to climate change by working with Natural Resources Canada’s Office of Energy Efficiency. The Energy Innovators Initiative (EII) can help with Energy Retrofit Assistance funding for projects in commercial and institutional organizations, or ERA (3).
If considering an energy retrofit project, EII members could receive up to $7.50 per gigajoule (1 GJ = 277.8 equivalent kilowatt hours) of annual energy savings or up to 25 percent of eligible costs – whichever amount is less – to a maximum of $250,000.
Aboriginal, Northern, rural, remote or complex projects may receive special considerations or be eligible for additional funding.
To certify energy savings, you will require the signature of a Professional Engineer (P. Eng.) at several stages of the project. Professional and administrative fees may exceed funding for smaller projects.
Eligible Organizations
- Commercial businesses that own, manage or lease buildings in sectors such as retail, hospitality, office and multi-unit residential
- Public institutions that own, manage or lease buildings in sectors such as education, health care, non-profit, provincial/territorial governments and municipalities
Most industrial, federal government and new facilities are not eligible. Energy consultants, contractors and utilities cannot receive funding, but can work with the EII as allies.
Eligible Costs and Measures
- Project development and management
- Materials and labour
- Monitoring and tracking
- Staff training and awareness
To maximize funding, the EII recommends implementing multiple measures such as efficient lighting systems, building envelope, motors, controls, heating, ventilating, air conditioning and other types of energy retrofits, as well as employee training. Where possible, technologies and equipment that are innovative or that use renewable energy should be considered. Projects with signed contracts or where work has already started are not eligible for funding.
ERA (3) Funding Examples
These examples are for illustration purposes only. Use the Gigajoule Calculator to help you estimate your current energy consumption.
Example 1
- your organization has a portfolio of buildings that consume a total of 100 000 GJ per year (approx. 28 million equivalent kilowatt hours) from all energy sources
- you choose to conduct the retrofit project in all of your buildings
- the total cost of your retrofit project is $900,000
- the estimated savings of your project is 20 000 GJ per year
Then your organization could receive $7.50 per GJ × 20 000 GJ, or $150,000, which is less than 25 percent of $900,000 ($225,000) and the maximum funding of $250,000
Example 2
- your organization has one building that consumes 5000 GJ per year (approximately 1.4 million equivalent kilowatt hours) from all energy sources
- the total cost of your retrofit project is $50,000
- the estimated savings of your project is 1000 GJ per year
- Then your organization could receive $7.50 per GJ × 1000 GJ, or $7,500, which is less than 25 percent of $50,000 ($12,500) and the maximum funding of $250,000
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Payment Schedule
- Payment 1 – 25 percent of the approved funding when costs equal to that payment have been incurred (within three months after signing the agreement)
- Payment 2 – 25 percent upon completion of the project (within 12 months)
- Payment 3 – 50 percent after submitting a final report showing actual energy savings (one year after project completion)
Alternative payment structures may be considered depending on your circumstances.
How to Get Started
To remain eligible for ERA (3), do not sign contracts or start work until funding is approved. Complete all forms fully and accurately for faster turnaround times. Applications are reviewed on a first-come, first-served basis.
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