Custom Energy Solutions program return carbon levy dollars to manufacturers to invest in new equipment, technology

Industrial and commercial facilities in a broad range of sectors, including manufacturing, oil and natural gas, wholesale trades, warehousing and waste management can now apply to receive incentive funding from the $88 million Custom Energy Solutions program.

Funding will be available on a wide variety of equipment and systems such as heat recovery, combined heat and power, steam, compressed air, refrigeration, heat recovery systems, boiler systems, building controls, insulation, gas compression, gas pumping, variable frequency drives, and water/wastewater.

Operators defined as large final emitters or facilities that have opted into the Carbon Competitiveness Incentive Regulation, the replacement for the Specified Gas Emitters Regulation, are not eligible.

“We understand that industries are diverse – that there are rarely one-size-fits-all solutions to drive energy savings and emissions reductions,” said Shannon Phillips, minister of Environment and Parks and minister responsible for the Climate Change Office.

“That’s why this program is designed to work directly with each facility to identify their unique goals and needs. These technologies will reduce emissions while helping industrial operators lower their energy costs and stay competitive.”

The Custom Energy Solutions program provides funding for industrial operators to assess their energy use and build a plan to present the most cost-effective energy upgrades. Facilities that move forward with custom projects will see up to 50 per cent of the capital cost of the upgrades and retrofits covered by the program, minus the cost of their initial assessment, which is fully covered.

Single facilities are eligible for incentives of up to $1 million per year while parent companies making upgrades to multiple facilities can receive up to $2 million per year.

The $88-million Custom Energy Solutions program is supported by funding from the Alberta government through Energy Efficiency Alberta, and the federal government through the Low Carbon Economy Leadership Fund, over three years.

Catherine McKenna, federal minister of environment and climate change, says the environment and the economy go together.

“That’s why the Government of Canada is working collaboratively with Alberta to help industrial businesses in Alberta invest in energy-saving technology and upgrades,” she said.

“These investments will help businesses reduce their operating costs and cut carbon pollution by making their operations more energy-efficient – which also supports good middle-class jobs and promotes clean growth.”

David MacLean, Alberta VP of the Canadian Manufacturers & Exporters, says that for Alberta manufacturers, energy efficiency is a competitive advantage.

“The Custom Energy Solutions program will return carbon levy dollars to manufacturers and enable them make new investments in equipment and technology that will drive down costs, improve productivity, and enhance competitiveness,” he said.

“Canadian Manufacturers & Exporters looks forward to helping manufacturers succeed through Custom Energy Solutions applications.”

The program is designed to offer support tailored to the needs of the facility, including technical and financial support to help facilities identify efficiency opportunities and seek out the information required to support investment decisions and incentives.

“No matter what your needs are, we can help identify the best energy management opportunities for you,” said Monica Curtis, CEO, Energy Efficiency Alberta.