A number of government programs and financial incentives are available to eligible clean technology companies to help offset hiring, job training, research and commercialization costs. Some of the key programs are described below and other Financial Incentives can be found in the Advantage Whitby section.
Innovation Demonstration Fund (IDF) - funds Ontario companies that demonstrate new and innovative technologies, processes or products with high potential for commercialization. The IDF focus is on environmental, alternative energy, bio-products, hydrogen and other globally significant technologies. IDF will provide financial support covering up to 50% of eligible costs. Funding ranges from a minimum of $100,000 to a maximum of $4,000,000 per project.
SD Tech Fund - the Sustainable Development Technology Canada Fund is a $550 million fund that supports late-stage development and pre-commercial clean technology solutions that contribute to clean air, clean water and clean land, or that address climate change, and improve the global competitiveness of Canadian industry. Repayments of financial contributions for funded projects are not required.
Conservation Fund - this Ontario Power Authority funded program supports innovative electricity conservations projects that build marketplace capacity for conservation actions; test new or unique conservation program elements; verify energy savings potential and cost-effectiveness of novel demand-side technologies and processes; and achieve significant energy savings in Ontario. Costs eligible for funding are those directly related to the design, development, demonstration, installation implemention, testing, measurement and performance verification of the project. Support varies according to project type.
Feed-in Tariff Program (FIT) - Ontario Power Authority - a guaranteed pricing structure that offers stable prices under long-term contracts for energy generated from renewable sources, including: biomass, biogas, landfill gas, on-shore wind, solar photovoltaic (PV), and waterpower.
Colleges Ontario Network for Industry Innovation (CONII) - financial support provided to Ontario colleges working with business and industry to enable them to provide quicker access to the expertise of Ontario's top researchers and the most state-of-the-art equipment and research tools available.
First Job Industrial Internship Program - an initiative to help Ontario companies hire knowledgeable, highly-skilled graduates from Ontario colleges and universities, in the fields of science, technology and entrepreneurship. Employment opportunities are in research and development, with the goal of developing new products, services and processes and giving host companies the chance to expand their capabilities. Companies receive awards of up to $25,000. Host companies provide the remaining salary and benefits. Primary consideration will be given to technically-progressive, small/medium-sized companies.
Industrial R&D Fellowship - contributes $30,000 per year for two years towards salary for companies that hire recent doctoral graduates in science and engineering to conduct industrial R&D.
MITACS Accelerate - a national internship program which connects companies with research expertise in Canada's universities from applied sciences, engineering, social sciences and business to arts, life sciences, and more. For each four-month internship unit, MITACS matches your organization's contribution of $7,500, through the support of federal and provincial funding partners. Per four month unit, the intern receives a minimum stipend of $10,000, with the remaining $5,000 supporting other costs associated with the research.
Going Global Innovation - supports Canadian small and medium sized companies and researchers in pursuing international R&D collaborative opportunities through the development of partnerships with key players in other countries/economies. Going Global contributes up to 75% of the eligible expenses to a maximum of $75,000.
Industrial Research Assistance Program (IRAP) - is directed towards small and medium sized enterprises (SMEs) located in Canada, and is designed to assist in enhancing innovative capabilities. The program is an excellent source of advisory services, information and financial assistance to SMEs that are developing new products, processes or services. Assistance is provided to for profit businesses with less than 500 employees. IRAP is delivered by about 260 Industrial Technology Advisors (ITAs) who are located across Canada.
International Strategic Opportunities Program - provides funding for strategic international collaborations between Ontario research institutions and the global research community. Total funding per research initiative does not exceed $150,000 over three years. The program will generally fund up to 50% of the eligible costs on a one-time basis, with the balance coming from non-Ontario government sources.
Ontario Research Fund (ORF) - supports research that can be developed into innovative goods and services that will boost Ontario's economy. Through a commitment of $730 million over four years, the ORF is designed to provide Ontario's research community with research funding.
Ontario Innovation Tax Credit (OITC) - a refundable tax credit that is available to all Ontario corporations that perform scientific research and experimental development (SR&ED). The OITC is calculated as 10% of qualifying SR&ED expenses. Qualifying expenses are 100% of current expenses and 40% of capital expenses, with a maximum annual credit of $300,000.
Ontario Research and Development Tax Credit (ORDTC) - a non-refundable tax credit available to corporations focused on scientific research & experimental development (SR&ED) work in Ontario. The ORDTC provides a 4.5% tax credit based on eligible SR&ED expenses occurring in Ontario.
Scientific Research & Experimental Development (SR&ED) - a federal tax incentive program to encourage Canadian businesses to conduct research and development (R&D) in Canada that will lead to new, improved, or technologically advanced products or processes. Claimants can apply for expenditures such as wages, materials, machinery, equipment, some overhead, and SR&ED contracts. A Canadian-controlled private corporation (CCPC) can earn an investment tax credit (ITC) of 35%, up to the first $3 million of qualified expenditures for SR&ED in Canada, and 20% on any excess amount. Other Canadian corporations, proprietorships, partnerships, and trusts can earn an ITC of 20% of qualified expenditures for SR&ED carried out in Canada.