Industry Energy Research & Development Program

The Program

Canadian companies engaged in energy efficiency research and development can receive financial assistance for their work under the Government of Canada's Industry Energy Research and Development Program (IERD). The program is aimed at promoting the development of products, processes or systems that will increase the efficiency of energy use throughout industry, and at encouraging use of the technology developed under the program.

Projects that have received support under the program include the development of energy efficient fireplaces and space heaters, the development of large, highly efficient industrial electric motors, a process for recycling used crankcase and lube oils, radio frequency drying of lumber and the production of high performance automotive parts using powder metallurgy.

IERD, funded by the Program on Energy Research and Development (PERD), is administered by the CANMET Energy Technology Centre of Natural Resources Canada.

Level of Assistance

IERD may provide repayable financial assistance up to 50 per cent of the total estimated allowable cost of an approved project. Repayment is conditional upon the commercial success of the project. The cost-sharing ratio will depend on the degree of risk, the magnitude of potential energy savings, and the degree to which the technology developed can be used by other companies.

Allowable Costs

Direct labour

• Overhead related to employee benefits;
• Direct material;
• Test and laboratory equipment;
• Specialized equipment, prototypes, and pilot plants for research and development;
• Subcontracts and consultants;
• Other costs (e.g. Travel related to technology development, testing services and patents);
• Capital costs for buildings are not allowable.

Title to Results

Equipment, technical data, designs or process reports resulting from a project will be vested in the company and remain its property. The company will be required to promote the widest possible commercial use of the technology in Canada through product sale, process licensing, or publication of information.

Who is Eligible?

All companies established in Canada, formal or informal groupings of companies or individuals, trade and research organizations, and consulting firms are eligible for assistance from IERD.

The following major criteria should be met by those who apply:

• Availability of appropriate scientific and technical personnel;
• Availability of suitable research facilities either in-house or by subcontract to another company, nonprofit organization, university, or other institution;
• Adequate financial resources to carry out the project and exploit the results.

Project criteria include:

• A sound technical basis and a reasonable chance of success;
• A significant amount of development work;
• General applicability of the technology to one or more industrial sectors;
• Sufficient potential energy savings, considering all possible areas of application, to justify the Crown's investment;
• Objectives consistent with the Government of Canada's energy efficiency and sustainable development aims.

How to Apply

To determine your project's eligibility under IERD, to obtain instructions for making an application, and for detailed information, contact:

IERD Secretariat
CANMET Energy Technology Centre - Ottawa
Natural Resources Canada
1 Haanel Drive
Nepean, Ontario
K1A 1M1
Tel: (613) 995-2698
Fax: (613) 995-7868
E-mail: kbryson@nrcan.gc.ca

revision #31901