The Media Room
2009/43 (a)
BACKGROUNDER
The Clean Energy Fund
The Clean Energy Fund
The Clean Energy Fund (CEF), part of the Government of Canada's Economic Action Plan (Budget 2009), will invest a total of $1 billion over five years in research, development and demonstration projects to advance Canadian leadership in clean energy technologies.
Expected outcomes of the CEF include the availability of a suite of clean energy technologies, knowledge to ensure uptake of the technologies; involvement and collaboration of the research community and key stakeholders; awareness and understanding of technologies and processes associated with reducing greenhouse gas emissions; a capability to develop new and improved energy systems and technologies that contribute to clean air objectives; and market opportunities for Canadian companies.
Allocation of Funding
A total of $850 million of the Fund will be allocated to the development and demonstration of clean technologies.
Of this amount, $650 million will support large-scale carbon capture and storage (CCS) projects in real-world applications. In order to build on the progress realized through development and demonstration projects supported by measures such as the ecoENERGY Technology Initiative, and to better coordinate federal investment with public and private sector partners, Natural Resources Canada will solicit proposals for large-scale CCS projects.
A request for proposals has been issued for $200 million in smaller-scale, demonstration projects of renewable and alternative energy technologies and systems, with a maximum of $50 million for an individual project.
A further $150 million will support research initiatives, ranging from basic research to pre-demonstration pilot projects.
Funding for research and development will be for technological breakthroughs needed for renewable clean energy; for hydrogen and fuel cells; for lowering the costs of carbon capture and better knowledge on geological storage potential; and for technologies to address the environmental challenges in the oil sands.
Eligible recipients for R&D projects will be for-profit and non-profit organizations legally incorporated or registered in Canada; industry associations; research associations; utilities; universities; and provincial, territorial, regional and municipal governments; their departments and agencies.
Request for Project Proposals
Proposals will be evaluated according to how well they address the specific requirements of the Request for Project Proposals, including specific technical criteria and technical merit; the capacity of the proponent to deliver the project; and the potential contribution to emissions reductions in the future.
Funding of successful proposals will be contingent on the proponent entering into a contribution agreement acceptable to Natural Resources Canada.
Details of the requirements for proposals are available on the Natural Resources Canada Web site at http://cef-fep.nrcan.gc.ca.
Media may contact:
Jasmine MacDonnell
Director of Communications
Office of the Honourable Lisa Raitt
Ottawa
613-996-2007
Or
Media Relations
Natural Resources Canada
Ottawa
613-992-4447
NRCan's news releases and backgrounders are available at www.nrcan.gc.ca/media/index-eng.php.