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2010/87 (a)

Backgrounder

Clean Energy Fund Renewable Energy and Clean Energy Systems Demonstration Projects


The Clean Energy Fund, part of the Government of Canada’s Economic Action Plan (Budget 2009), will invest $795 million over five years in research, development and demonstration projects to advance Canadian leadership in clean energy technologies.

This includes large-scale carbon capture and storage demonstration projects as well as these smaller-scale demonstration projects of renewable and alternative energy technologies. Three carbon capture and storage projects have already been announced, totalling $466 million from the fund.

Close to twenty successful projects have been selected in response to a call for proposals under the Renewable and Clean Energy portion of the Clean Energy Fund. Up to $146 million will be invested over five years in these projects to support renewable, clean energy and smart grid demonstrations with evidence of collaboration among partners and the potential to reduce barriers to technology implementation.

The Government of Canada is working with the project proponents to negotiate formal contribution agreements to set the conditions under which funding will be delivered. The funding amounts are expected to range from $2.5 million to $20 million for each project. However, until a written contribution agreement is signed by both parties, no commitment or obligation exists on the part of the Government of Canada to make a financial contribution to these projects.

Successful Project Descriptions

Projects expected to receive $2.5–$5 million:

1. Biomass-based Urban Central Heating Demonstration
Lead proponent: SSQ, Société immobilière Inc.

Strategic Area: Buildings/Community Energy Systems
Location: Québec, Québec

Purpose: La Cité Verte is an innovative real estate project, which combines various initiatives related to sustainable development such as renewable energy utilization, energy efficient design, the management of water consumption, energy and waste management. The funding will support the installation of a biomass and wood-based district heating system. This project combines many technologies and partners.

2. Utility-scale Electricity Storage Demonstration using New and Re-purposed Lithium Ion Automotive Batteries
Lead proponent: CEATI International Inc.

Strategic Area: Electricity Storage
Location: Toronto and Cornwall, Ontario, and Manitoba

Purpose: This project will address electricity storage for renewable and high-density urban applications. The project will demonstrate utility-scale electricity storage systems using new and re-purposed automotive batteries. This concept will reduce cost for electric vehicle batteries providing a future market to meet urban electricity demand using automotive batteries.

3. Energy Management Business Intelligence Platform Development and Demonstration
Lead proponent: Power Measurement Ltd.

Strategic Area: Smart Grid
Location: Commercial buildings in Calgary, Alberta, Ontario and BCIT in Burnaby, British Columbia

Purpose: This project will develop and demonstrate smart grid technology, voluntary load curtailment and peak shaving in a commercial building setting. Most projects of this type to date have focused on residences. This technology will also enable tenants to voluntarily reduce their demand based on real-time price signals.

4. Wind and Storage Demonstration in a First Nations Community
Lead proponent: Cowessess First Nation

Strategic Area: Wind/Storage
Location: Cowessess, Saskatchewan

Purpose: This project aims to demonstrate a combined wind and storage energy system in a First Nation community. The successful demonstration would prove this system as a model for other First Nation’s communities across Canada.

5. Bioenergy Optimization Program Demonstration
Lead proponent: Manitoba Hydro

Strategic Area: Bioenergy
Location: Five locations in Manitoba

Purpose: This project is comprised of five different bioenergy systems at five different project sites. The project demonstrates collaboration between utility companies and customers. It is anticipated that the project will help to remove the perceived barrier of technical and operational risk and will promote the wide-scale adoption of bioenergy systems in Canada.

6. Offshore Wave Energy Demonstration
Lead proponent: SyncWave Systems Inc.

Strategic Area: Marine/Hydro
Location: Offshore Central Vancouver Island near Tofino, British Columbia

Purpose: This project will demonstrate the performance, operations and life cycle of a pre-commercial 100-kW wave energy device in ocean conditions typical of British Columbia’s open coast. Canada has potentially significant wave energy resources, and it is important for Canada to participate in demonstrations to further the technology, understanding of ocean conditions and the regulatory environment.

7. Demonstration of Waste-heat Recovery at Compressor Stations
Lead proponent: Great Northern Power Corp.

Strategic Area: Hybrid Systems/Northern
Location: Compressor Stations in Alberta and British Columbia

Purpose: This project plans to demonstrate waste-heat recovery systems on a variety of stationary, reciprocating engines greater than 1,000 hp. A successful demonstration has the opportunity to lead to commercialization and wide-scale adoption of this technology at compressor stations and other industrial applications across Canada.

8. Food and Yard Waste Anaerobic Digestion to Electricity Demonstration
Lead proponent: Harvest Power Canada Ltd.

Strategic Area: Bioenergy
Location: Fraser Richmond Soil and Fibre, British Columbia

Purpose: This project would be Canada’s first high-efficiency system for producing up to 1 MW of renewable energy from food and yard waste. If successful, this technology has the potential to be rapidly deployed across Canada as a mechanism to divert food wastes from landfills and produce renewable energy.

9. Cold Climate Air-Source Heat Pump Demonstration
Lead Proponent: Ecologix Heating Technologies Inc.

Strategic Area: Buildings/Solar
Location: Ontario and other regions

Purpose: This project involves the development and demonstration of cold climate air-source heat pumps in a number of Canadian climate regions. It will take technologies developed for commercial applications and apply them at the residential scale. One phase of the project will also test the technology using natural refrigerants and explore the integration of solar energy. Successful demonstration of air-source heat pumps at the residential scale has the potential to show the technology to be transformative in the heating, ventilation and air conditioning (HVAC) industry.

10. Community-level Solar Energy Project
Lead Proponent: City of Colwood

Strategic Area: Buildings/Solar
Location: Colwood, British Columbia

Purpose: The project is a demonstration of a whole community moving toward zero emissions. The use of heat and power will focus mainly on solar thermal, solar photovoltaics, geothermal and emerging Smart Grid technologies. The City of Colwood plans to undertake a number of initiatives related to its commitment to environmental sustainability, including a demonstration net-zero mixed-use development and home and municipal building solar retrofits. This innovative project — undertaken with a broad range of partnerships, including Royal Roads University, the T’Sou-ke First Nation and the private sector — will be a model for other municipalities across the country.

Projects expected to receive $5–$10 million:

11. Demonstration of Heat and Power from Biomass Gasification
Lead proponent: University of British Columbia

Strategic Area: Bioenergy
Location: UBC Point Grey Campus, Vancouver, British Columbia

Purpose: This project will showcase biomass gasification integrated with an internal combustion engine generator in a novel, small-scale combined heat and power demonstration suited for on-site applications at public institutions, industrial facilities, and northern and remote Canadian communities. The project has the potential to overcome the difficulty of gas clean up and opens up the possibility of significant replication in Canada and overseas.

12. Energy Storage and Demand Response for Near-capacity Substation
Lead proponent: BC Hydro

Strategic Area: Smart Grid/Electricity Storage
Location: Golden and Field, British Columbia

Purpose: This project demonstrates the integration of energy storage as a mechanism for reducing electricity demand at near-peak capacity substations. This type of solution has the ability to be used in other remote communities where the grid reliability is low and the cost of the transmission line upgrade is uneconomical.

13. Interactive Smart Zone Demonstration in Québec
Lead proponent: Hydro-Québec – Institut de recherche

Strategic Area: Smart Grid
Location: Boucherville, Québec

Purpose: This project will ensure the installation of an interactive network area in a neighbourhood of Boucherville. This will demonstrate different technologies and concepts related to modernization of electrical networks, in particular the deployment of infrastructure for charging electric and hybrid rechargeable vehicles.

14. Biomass and Coal Co-firing Demonstration in Coal Plants
Lead proponent: Nova Scotia Power

Strategic Area: Bioenergy
Location: Coal Plants in Nova Scotia

Purpose: This demonstration project aims to determine optimum fuel blends for the potential co-firing of wood-based biomass with coal as a mechanism to partially replace fossil fuels with sustainable energy sources in coal plants. If successful, there is potential for wide-scale implementation across Canada and the United States.

Projects expected to receive $10–$20 million:

15. Tidal Energy Project in the Bay of Fundy
Lead proponent: Fundy Ocean Research Centre for Energy (FORCE)

Strategic Area: Marine/Hydro
Location: Minas Passage, Bay of Fundy, Nova Scotia

Purpose: The project plans to validate the performance and resilience of tidal current turbines in the Minas Passage of the Bay of Fundy. This will be the first Canadian deployment of commercial-scale tidal turbines. The project has the potential to advance tidal energy in Canada, provide economic impacts in the Atlantic region and place Canada as a world leader in marine renewable energy.

16. Northern Application of a Geothermal District Heating System
Lead proponent: City of Yellowknife

Strategic Area: Northern/Community Energy System
Location: Yellowknife, Northwest Territories

Purpose: The City of Yellowknife is in advanced stages of project engineering and plans to install a district heating system by extracting heat from the abandoned Con Mine. This project has the potential to provide a cost effective and a more environmentally friendly alternative to fossil fuel based heat. The information that will come out of this project on the effect of extracting ground-source heat from an existing aquifer and its associated long-term heat capacity will help determine if this technology could be replicated in other northern communities.

17. Electricity Load Control Demonstration
Lead proponent: New Brunswick Power Corporation

Strategic Area: Smart Grid
Location: Four maritime communities in New Brunswick, Nova Scotia and Prince Edward Island

Purpose: Traditionally, to accommodate the intermittent nature of wind power, other generation sources are required to follow the net effect of variation in load and wind power production. This project focuses on the integration between smart grid technologies, customer loads and intermittent renewables in a region with potentially significant renewable electricity capacity. It will allow utilities to better understand how customers will react to smart grid and which loads can be controlled by real-time demand balancing in up to 750 buildings, thereby assisting these utilities to capitalize on renewable resources in the region.

18. A 9-MW Wind Technology Research and Development Park
Lead proponent: Wind Energy Institute of Canada

Strategic Area: Wind/Storage
Location: Prince Edward Island

Purpose: The 9-MW wind park proposed will be the first wind/storage combination in Prince Edward Island. The project’s research base has a strong focus on information dissemination and would be a good base for supporting additional wind research.

19. Demonstration of Fish-friendly and VLH Turbines in Existing Low-head Water-control Dams
Lead proponent: Eco Joule Inc.

Strategic Area: Marine/Hydro
Location: Mississippi River System, Ontario

Purpose: This project will demonstrate three in-stream hydro technologies including fish-friendly, low-head hydro turbines along an existing water-controlled river system in Ontario. It has the opportunity to prove the technology concept, demonstrate cooperation with a conservation organization, and reduce the barriers to commercialization.

20. Community-based Geothermal Demonstration in a Remote First Nations Community
Lead proponent: Borealis GeoPower Inc./Aco Dene Koe First Nation

Strategic Area: Hybrid Systems/Northern
Location: Fort Liard, Northwest Territories

Purpose: This project will demonstrate how a northern community can use a geothermal resource to generate electricity and heat, thereby reducing the entire community’s fossil fuel demand and energy costs. A successful demonstration will provide a model for other northern and First Nations communities with available geothermal resources.

Richard Walker
Director of Communications
Office of the Minister
Natural Resources Canada
Ottawa
613-996-2007

Media Relations
Natural Resources Canada
Ottawa
613-992-4447

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