Emissions Reduction Fund Onshore Program: January 2022 Extension

The Canadian federal government has created the $675M Emissions Reduction Fund – Onshore Program to help oil and/or gas sector companies reduce their methane emissions. Methane accounts for 43% of the oil and gas sectors’ greenhouse gas (GHGs) emissions in Canada. The Onshore Program aims to provide funding to low-cost, high-impact projects such as lowering the volume of natural gas being intentionally vented into the atmosphere from pneumonic devices.

The deadline to apply for this program was extended to January 7, 2022. Eligible projects can receive up to $50,000,000 in repayable funding, with a portion to be potentially forgivable.

The goal of this program is to help transition Canada to a low-carbon economy by deploying green solutions, all while maintaining jobs.

Funding Snapshot: Emissions Reduction Fund

Funding Amount

  • Eligible applicants can receive up to $100,000 to $50,000,000 in repayable funding for up to 75% of costs for a project
  • Program can be stacked with other funding programs to fund up to 90% of eligible costs
  • Multiple projects from one applicant can be approved (all projects must be submitted in one application)
  • Loans must be paid back within five years of the project’s completion date

Eligible Companies

All upstream and midstream oil and/or gas sector companies with projects to reduce or eliminate routine venting of methane-rich natural gas from conventional, tight, and shale oil and gas operations can apply.

Eligible Projects

Unlike many other Canadian government funding programs, the Emissions Reduction Fund’s Onshore Program can approve multiple projects within one application from a business. To help eliminate the oil and gas sector’s GHGs, projects that eliminate emissions may be eligible to have a portion of the loan forgiven.

  • If your project aims to reduce methane emissions, you may be eligible for a repayable loan.
  • If your project aims to eliminate methane emissions, you man be eligible for a partially repayable loan.


Deadline for applications is has been extended to January 7, 2022 (Previously November 20, 2020).

The Canadian federal and provincial Governments have a wealth of available cleantech funding programs to help develop, commercialize, and adopt environmentally sustainable technologies. The programs listed below are just a few examples of the grants and loans available:

Sustainable Development Tech Fund: Programs such as the SD Tech Fund offer up to 40% of costs to a maximum of $4,000,000 in grant funding towards the commercialization of Cleantech or start-up Cleantech solutions. Applications for this program are accepted on a rolling basis throughout the year.

The SD Tech Fund program recently awarded a total of $55M to 20 Canadian companies.

Jobs and Growth Fund (JGF): Canadian businesses recovering from the COVID-19 pandemic can receive between 50-100% of economic growth projects through the JGF program. Eligible projects include transitioning your business to a green economy, which includes adopting green technologies, drive sustainable economic growth, and transitioning to a digital economy.

The JGF program is accepting applicants on a continuous basis or until funding has been depleted.

Agricultural Clean Technology (ACT) Program: Provides up to 50-75% of eligible project costs to a maximum of $2,000,000 per project (multiple projects allowed). Due to how popular this program is, they are accepting applications but only for activities starting as of April 1, 2022.

Learn more about the ACT Adoption Stream and the Research & Innovation Stream.

Strategic Innovation Fund (SIF): This program supports projects in the industrial and tech sectors that drive sustained productivity and economic benefits. Submit a project budget of at least $20M and access up to 50% of eligible costs.

Canada has invested $3B in the Net Zero Accelerator Program for Cleantech Innovation.

Apply for the Emissions Reduction Fund

Applications are currently being accepted for this program until January 7, 2022 or until funding is fully allocated. If you are interested in applying for this program and need help confirming your eligibility or completing the application process, consider reaching out to Mentor Works’ team of government grant and loan application writers to find out if you’re eligible for this program and other funding initiatives, as well as how we can work together on ensuring your application has the best chance of success.

Get notified about the latest government funding programs relevant to your business as they are announced by subscribing to the Mentor Works weekly funding update newsletter.

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