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Canadian Renewable Energy Project Incentive Programs

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  Government of Canada
Renewable Energy Project Incentive Programs

Natural Resources Canada (NRCan), through the Canadian Energy Technology Centre (CETC-Varennes), is encouraging the use of renewable energy (RE) through various incentive programs.

Four categories of buildings have been identified, with the focus on Canadian Federal and Municipal Facilities, owned or operated under long-term lease. The other two categories are Aboriginal/Northern Communities and Canadian Industry projects.

In addition to the funding incentives listed below, there is a newly established post-training support program for RETscreen analysis of Federal, Municipal and Aboriginal/Northern facilities.

Federal Buildings Initiative (FBI)
This program is designed to assist federal organizations to undertake energy efficiency improvements, including RE systems potential, with an innovative "savings financing" option. This option allows a federal department to pay the ESCo (which identifies, finances and installs the energy efficiency measures) from the resulting energy savings.

On-Site Generation at Federal Facilities ('On-Site')
This is a three-year, $1.2 million pilot project designed to promote the use and stimulate the demand for renewable energy generation systems in federal facilities. These systems include on- and off-grid PV, wind and microhydro systems. Applicants meeting contribution requirements are eligible for a refund of 25 to 75% of the purchase and installation costs of qualifying PV, wind and microhydro systems, to a maximum of $80,000

Renewable Energy Deployment Initiative (REDI)
This is a $24 million fund designed to take Canada one-third the way to achieving the target established in the Kyoto Protocol. It provides a financial incentive up 25% for the cost of purchasing and installing qualifying RE systems such as high-efficiency/low-emission biomass heating, solar air heating and solar water heating, up to a maximum of $80,000 per project.

May 2004: The Minister of Natural Resources Canada has approved the extension of the REDI program for an additional three years, until March 31, 2007.



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