Federal Government Announces Climate Action Incentive Fund, Solar Energy Eligible
The Federal Minister of Environment and Climate Change, Catherine McKenna, announced this morning the launch of the Climate Action Incentive Fund (CAIF) to create jobs, grow the economy, help businesses save money, and fight climate change.
Under the CAIF program, small- and medium-sized enterprises (SMEs) in Ontario, Saskatchewan, Manitoba, and New Brunswick - the four provinces where the federal price on pollution applies - could be eligible to receive up to 25 percent of their energy efficiency project costs with funding ranging between $20,000 and $250,000. Eligible projects include building retrofits, improved industrial processes, cleaner transportation, fuel switching, and the production of renewable energy, including solar energy projects. According to the Federal Government, the fund will be open for applications in the upcoming weeks.
Funds available through the CAIF for SMEs in 2019-2020 will come to a total of $150 million, based on the percentage of carbon revenues collected within each province:
- $102 million in Ontario
- $30 million in Saskatchewan
- $13 million in Manitoba
- $5 million in New Brunswick
"In communities across Canada, small and medium-sized businesses are proving that taking action on climate change is good for business," commented Catherine McKenna, Federal Minister of Environment and Climate Change. "To build on their leadership and ensure more small and medium-sized businesses have the means to take action, we are helping business owners invest in new equipment and retrofits to be more energy efficient, cut pollution and save money."
"The federal government is once again proving that taking steps to clean our environment can also help strengthen our economy," said Wesley Johnston, CanSIA President and CEO. "The Climate Action Incentive Fund will help to create jobs, grow the economy, and help small and medium businesses save money on their energy bills by helping them adopt solar energy."
These funds would be in addition to tax benefits from the Accelerated Capital Cost Allowance changes the federal government announced in 2018, that allows businesses to immediately write off the full cost of specified clean energy equipment, including solar energy and energy storage equipment.
To access the Federal Government News Release, click here. Shared via CanSIA.