Output-Based Pricing System Proceeds Fund: Decarbonization Incentive Program (DIP)

By mmuise

ECC’s Output-Based Pricing System Proceeds Fund: Decarbonization Incentive Program (DIP) provides incentives to Canada’s industrial sectors’ single or multi-year projects accelerating the deployment of commercially available and/or proven low-carbon technologies and processes that will further reduce GHG emissions.

Comments on Funding:

Funding is a contribution of up to $500,000, respecting the cost-share limits:
1. for private for-profit organizations: up to 30% of total eligible expenditures of the project;
2. for universities and hospitals or any other public sector body or board, and for not-for-profit organizations: up to 40% of total eligible expenditures of the project;
3. the maximum level of assistance from all governmental sources of funding (including federal, provincial/territorial, and municipal) is 75% of the total expenditures of the project.

Deadline: Applications are closed. Stay tuned for future intake announcements.

Applicants must:

  • be legal entities incorporated or registered in Canada:
    a) private for-profit organizations;
    b) universities and hospitals;
    c) public sectors;
    d) not-for-profit organizations.
  • operate or have a controlling ownership stake in an eligible facility covered under the federal OBPS, located in one of the eligible backstop provinces:
    a) Manitoba
    b) Saskatchewan
    c) Ontario
    d) New Brunswick
  • demonstrate* they have the authority over the facility or asset to undertake the project; and
  • not generate electricity as their primary activity.
    *Applicants will be required to provide proof of ownership or a declaration of written authority showing that the applicant has permission from the owner to undertake the project.
Application Steps:

Applicants must submit their applications online on an ongoing basis through Environment and Climate Change Canada’s (ECCC) Program Information Management System (PIMS), accessible through the Single Window Information Management (SWIM) system login.

Documentation Needed:

In support of the application, applicants must provide ECCC with:
1. details on the jobs created as a result of their proposed project from project start to completion;
2. two types of job estimates for the project: a) Project implementation jobs; and
b) Annual change in jobs.

Other Things to Note:

The second intake of the Output-Based Pricing System Proceeds Fund – Decarbonization Incentive Program closed as of October 12, 2023, at 5:00 PM (ET). The program is not accepting new applications at this time. ECC’s Decarbonization Incentive Program (DIP) is a merit-based program funded by proceeds collected from the Output-Based Pricing System (OBPS).

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