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Industrial Transformation Challenge │ Emissions Reduction Alberta (ERA)

January 1, 1900

Value

Successful applicants are eligible for up to $10 million per project; exceptionally strong projects with a high funding leverage ratio may be eligible up to $15 million on a limited basis. The minimum request is $500,000. The maximum ERA contribution to a single project will be no more than 50 per cent of the project’s eligible expenses.

Description

The 2025 Industrial Transformation Challenge provides up to $65 million towards technology scale-up, pilot demonstration, and first-of-kind projects that present transformative solutions for Alberta’s industrial landscape.

Eligible Applicants

Innovators, technology developers, industrial facility owners and operators, industrial associations, small and medium-sized enterprises (SMEs), research and development organizations, universities, not-for-profit organizations, government research labs, and individuals are invited to apply. While technology solutions can originate from anywhere globally, they should be piloted, demonstrated, or deployed in Alberta or show direct economic benefit to the province.

Eligible Expenses

The Industrial Transformation Challenge is not limited to any particular focus area or technology; however, ERA is seeking high-quality projects in areas of high strategic interest or where known technology gaps exist.

All projects must include demonstrations of technology in a relevant environment (i.e., no standalone R&D, FEED studies, roadmaps, etc.). Projects may include these precursor elements but must culminate in a technology demonstration. The following list provides a non-exhaustive set of example technologies that ERA believes could represent compelling opportunities in this Call:

  • Agricultural and Forestry Innovation
    • Improved nutrient and feed management
    • Novel fertilizers and improved distribution
    • Biological methane emissions management
    • Novel tillage, seeding, and harvesting techniques
    • Advanced genetics and omics for crops and livestock
    • Novel alternative proteins
    • Land use management practices
    • Value-added products from forest residues
  • Energy systems solutions and grid innovation
    • Grid edge solutions (e.g., smart distribution and distributed intelligence platforms, predictive remote asset management, etc.)
    • Next-generation energy storage (e.g., solid state batteries, long-duration storage, etc.)
    • Novel approaches for grid services and reliability, including supercapacitors, flywheels, voltage management, and similar
    • Hydrogen-based grid technologies, including gas turbine conversion, fuel cells, etc.
    • Transmission and distribution infrastructure enhancements, including dynamic line rating, reconductoring, and non-wires alternatives.
  • Novel fuel production methods
    • Third- and fourth-generation biofuels, including bioenergy with carbon capture
    • Power-to-X
    • Low-carbon intensity biogenic/synthetic fuels, including sustainable aviation fuel, ammonia, methanol, etc.
  • Fuel switching and low-carbon heat at industrial facilities
    • Electric boilers and industrial heat pumps
    • On-site deployment of geothermal, solar thermal, clean hydrogen, nuclear, bioenergy, etc.
    • On-site deployment of energy storage, including thermal energy storage
    • Process electrification (e.g, heating, separation/purification, etc.)
  • Novel processes and products
    • New chemistries for cement (incl. novel clinker substitutes), fertilizer, plastics, etc.
    • Novel oil and gas processing and refining
  • Clean feedstocks (hydrogen, biogenic, etc.) for manufacturing
    • Novel refrigeration technologies and refrigerant substitutes
    • Novel bitumen extraction and processing technologies
    • Non-thermal processing
    • Reduction/elimination of methane emissions (fugitive, vented, diffuse, etc.)
    • Solutions for high global warming potential gases, including climate-friendly refrigerants and fluorinated-gas reduction/substitution
  • Environmental remediation and sustainability
    • Novel solutions for soil remediation and land reclamation
    • Novel solutions for water treatment and/or reduced water withdrawals
    • Novel solutions for mitigating or eliminating air pollutants (incl. NOx, SOx, Ozone, Volatile Organic Compounds, etc.)
  • Major industrial facility upgrades in support of emissions reductions

Deadline Date

The Industrial Transformation Challenge is an annual funding competition. While the 2025 round is closed, Emissions Reduction Alberta (ERA) announced funding for projects under the 2026 challenge in February 2026. This indicates the 2026 challenge is active and its application period is likely closed. Future intake dates for the next annual challenge (2027) will be announced on the official ERA website. Please visit the official ERA website for the most current information.

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