Green Infrastructure Fund

New in Canada's Economic Action Plan

Through Canada's Economic Action Plan, the federal government will provide $1 billion over five years for a Green Infrastructure Fund (GIF). This Fund supports sustainable energy generation and transmission, along with municipal wastewater and solid waste management infrastructure. Targeted investments in green infrastructure can improve the quality of the environment and will lead to a more sustainable economy over the longer term.

About the Program

This fund will focus on green priorities such as green energy generation and transmission infrastructure, building and upgrading wastewater treatment systems, and improving solid waste management. Sustainable energy infrastructure, such as modern energy transmission lines, will contribute to improved air quality and lower carbon emissions.

Eligible projects are those that promote cleaner air, reduced greenhouse gas emissions, and cleaner water and fall within any of the following categories: wastewater infrastructure; green energy generation infrastructure; green energy transmission infrastructure and solid waste infrastructure, and carbon transmission and storage infrastructure.

How it Works

The new $1-billion Green Infrastructure Fund will be allocated based on merit to support green infrastructure projects on a cost-shared basis. The fund will focus on a few, large scale, strategic infrastructure projects. The merit of the projects will be based on assessment criteria such as eligibility, leveraging financial investments and project benefits.

Proponents can summarize their project in a letter. If there is interest, proponents will be invited to submit a more detailed proposal that describes the project and its components, cost estimates, expected results and benefits. For all projects selected for funding, eligible recipients will enter into contribution agreements with Canada. These agreements will outline eligible and ineligible costs as well as federal cost sharing and limits.

Who is Eligible?

Eligible recipients include provinces, territories, local or regional governments; public sector bodies, non-profit organizations and private companies, either alone or in partnership with a province, territory or a government.

Projects Announced to Date

The Green Infrastructure Fund was launched May 29 in the Yukon with the announcement that the Government of Canada will provide up to $71 million towards the enhancement of existing hydro power infrastructure at the Mayo hydro facility along with Phase 2 of the Carmacks-Stewart transmission line.

In September 2009, the Prime Minister announced that the Government of Canada is setting aside up to $130 million in support a green infrastructure project in northern British Columbia involving the construction of a 335-kilometre transmission line that will contribute to the development and use of green energy in the area.

On November 27, 2009, the governments of Canada and Manitoba and the city of Winnipeg announced their support for improvements to the existing South End Water Pollution Control Centre in Winnipeg. The project involves improvements to the existing South End Water Pollution Control Centre (SEWPCC) to increase the plant's capacity to deal with wastewater during peak periods and protect the health of the Red River and Lake Winnipeg.

On January 12, 2010, the Prime Minister announced that the Government of Canada would fund a green project in Rivière-du-Loup, the first project to be funded in Quebec under the Green Infrastructure Fund. The project involves the construction of a system to treat organic waste, almost all of which to date has been sent to landfills.  The technology converts organic waste to biogas for use as renewable vehicle fuel.

On January 28, 2010, the governments of Canada and Quebec and the City of Quebec announced their support for a green infrastructure project in Quebec City. This project represents a global investment of $57 million and will create more than 450 jobs in the region, directly and indirectly. To undertake this project, the Government of Canada is contributing up to one third of eligible costs, up to $16,577,504. The contribution from the Government of Quebec of approximately $17.7 million will be added to the municipal contribution.

On February 1, 2010, the governments of Canada and Quebec announced their support for four green infrastructure projects in the Greater Montreal Region. The projects represent a total investment of nearly $559 million for the region. To carry out the projects, the Government of Canada is contributing up to a third of eligible costs, a total of up to $150M. The Quebec contribution, in the order of $165 million, is in addition to the contributions from the target municipalities.

On February 2, 2010, the governments of Canada and Ontario announced they are setting aside a joint investment of $32 million towards the construction of a new wastewater treatment facility in Kirkland Lake.

On February 26, 2010, the Government of Canada announced up to $9.8 million in financial support for the construction of the City of Saint John's Green Thermal Utility as part of the Canada's Economic Action Plan.

On March 12, 2010, the governments of Canada and Ontario, along with the city of Hamilton, announced major upgrades for the Woodward Avenue Wastewater Treatment Plant. Federal and provincial funding for these upgrades will help stimulate the local economy, create jobs, and support stronger communities while protecting the environment and improving water quality in the Hamilton Harbour.

The Government of Canada recognizes the importance of clean water to Canadians and the environment and is investing in projects that improve water quality across Canada. As a result, the Government of Canada has also set aside $118.3 million under the Green Infrastructure Fund for six wastewater projects that will result in water quality improvements in Ontario and primarily in the Great Lakes and St. Lawrence watershed, and support our obligations under the Canada-U.S. Great Lakes Water Quality Agreement. These projects include:

• $4.5 million towards a $9 million project to improve the level of wastewater treatment in the community of Red Rock.
• $15 million towards a $45 million project to upgrade Owen Sound's primary wastewater treatment facility to a secondary level of treatment.
• $9 million towards an $18 million project to upgrade the Township of South Dundas' Iroquois Wastewater Treatment Facility.
• $18.5 million towards a $55.5 million project for upgrades to the City of Cornwall's wastewater treatment.
• $51.5 million towards a $158 million project to upgrade and expand the Skyway Wastewater Treatment Facility for the Region of Halton.
• $19.833 million towards a $59.5 million project to upgrade and expand wastewater treatment in the City of Timmins.