Western Economic Diversification Canada | Diversification de l'économie de l'Ouest Canada

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Western Diversification Program

What is the Western Diversification Program?
What are the Objectives of the WDP?
Who is Eligible for Assistance?
What Activities are supported by the WDP?
What Costs are Eligible?
How to Apply?
What does the Contribution Agreement look like?


What is the Western Diversification Program?

The Western Diversification Program (WDP) is a tool for working with western Canadians to make strategic investments designed to enhance and strengthen the economy in Western Canada. The aim of the program is to facilitate innovation, promote a competitive and expanded business sector and develop sustainable communities. Increasingly, the WDP is used to partner with other levels of government to create sub-programs or agreements (i.e., Western Economic Partnership Agreements, Urban Development Agreements) designed to respond to economic priorities in Western Canada.

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What are the Objectives of the WDP?

The underlying objective of the WDP is to create a stronger West and a stronger Canada. Several guiding principles are used to help assess how initiatives contribute to this objective, including:

  • A strengthened western Canadian innovation system, which connects western research with industry's commercialisation focus,
  • An improved business climate in Western Canada, fostering increased competitiveness in global markets and sustained growth,
  • Increased economic activity that improves the viability, prosperity, and quality of life for individuals and communities across Western Canada
  • Increased economic research in the areas of sustainable communities, innovation and entrepreneurship to provide a sound base for economic development in areas of importance to Western Canada.

Other elements that are considered when determining the relative merit of proposals include: the measurable impact on the western Canadian economy, viability and sustainability, long-term benefits, and the participation of other stakeholders.

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Who is Eligible for Assistance?

Funding is normally only provided to not-for-profit organizations and may include:

  • Industry associations, community and/or economic development organizations & research organizations
  • Post-secondary institutions, health organizations/regions engaged in research
  • Indian bands, as represented by their Chief and Council
  • Provincial or municipal governments, agencies, and crown corporations.

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What Activities are supported by the WDP?

Funding under the WDP may support the following activities:

  • Applied research & development leading to commercialization
  • Community innovation & capacity building
  • Cross industry collaboration
  • Developing and increasing participation in domestic and international markets
  • Improving business productivity
  • Supporting community adjustments to economic changes
  • Supporting investment in skills, knowledge, and competencies development to support WD's strategic objectives

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What Costs are Eligible?

Incremental operating and capital costs that are incurred by the recipient and which are required to achieve the desired outcomes are eligible for consideration and may include:

  • Personnel & professional consultation costs
  • Purchases, leases and acquisitions of equipment, supplies, or proprietary process
  • Information management and information technology acquisitions
  • Other costs specified in the project agreement that are reasonable, incremental, and directly attributable to activities necessary to achieve desired results

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How to Apply?

Before submitting a proposal, or for additional information on the Western Diversification Program, please contact the WD office nearest you, or call us at 1 888 338 -WEST (9378).

Proponents are encouraged to first contact the regional WD office or submit a 1-2 page summary of the proposal. If the project fits with departmental priorities, a more detailed proposal would be required and should include the following elements:

  • Contact information, details of the legal status of the organization, details of its membership/ownership and financial position
  • Description of how the proposed project will contribute to WD's objectives
  • Key phases of the project and milestones for each phase
  • Project outcomes and when they will occur
  • Potential risks related to implementation, financing and physical environment
  • Organization's capacity to carry out the project
  • Partners involved in the project
  • Total project costs, total funding requested from WD, detailed itemization of capital and non-capital costs and a cash flow for the project
  • Contributions from other organizations or partners
  • Revenue to be generated from the project and future funding requirements

All proposals are subject to approval and available funding in a given year. For additional information on the Western Diversification Program, please contact the WD office nearest you at, or call us at 1 888 338 -WEST (9378).