EDMONTON, AB — Emissions Reduction Alberta (ERA) is allocating $50 million through its annual Industrial Transformation Challenge to support the development and deployment of innovative technologies that bolster the competitiveness of Alberta’s industrial and natural resources sectors while reducing emissions and improving environmental performance.
The $50 million Industrial Transformation Challenge is funded through the Government of Alberta’s industry-supported Technology Innovation and Emissions Reduction (TIER) fund. ERA first launched the Industrial Transformation Challenge in 2022, and has now made it an annual stream, with more than $175 million committed to projects over three iterations of the program to date.
The annual competition supports pilot, demonstration, and first-of-kind commercial projects that help Alberta’s industries lower costs, reduce emissions, and lead in industrial technology innovation. Open to a broad range of applicants, it drives innovation across sectors and technologies.
“The TIER fund is helping companies move projects forward that create jobs, strengthen supply chains and help Alberta double responsible energy production. By supporting both proven projects and the next wave of innovation, Alberta is turning good ideas into real world results – building on our province’s long history of responsible energy leadership.”
Grant Hunter, Minister of Environment and Protected Areas.
“Alberta’s industries are rising to one of the most important challenges of our time—reducing emissions while remaining globally competitive. This funding is a direct response to that opportunity. Through strategic investment in a wide range of technologies, we are advancing a pipeline of solutions that can scale, improve cost competitiveness, and deliver tangible environmental outcomes.”
Justin Riemer, CEO of Emissions Reduction Alberta
ERA will invest between $500,000 and $10 million per project, with a minimum 1:1 match from industry partners. Eligible applicants include technology developers, industry leaders, municipalities, Indigenous communities, small and medium-sized enterprises, research organizations, and more.
Applications are due by June 17, 2026, 5 p.m. Mountain Daylight Time (UTC-6h), and an informational webinar will be held on May 12, 2026, 9-10 a.m. Mountain Daylight Time (UTC-6h).
The Challenge is designed to support a wide range of technology solutions that reduce emissions while improving environmental performance and competitiveness, such as:
- Digital solutions, including AI-enabled optimization, digital twins, and predictive maintenance
- Power grid innovation, including long-duration storage, grid modernization, and transmission enhancements
- Industrial energy systems, such as clean power, energy storage, and heat recovery
- Advanced materials and circular economy solutions, including waste-to-value conversion and critical minerals
- Agriculture and agrifood solutions, such as low-emissions inputs, waste management, and efficient systems
- Forestry and forest products, including bioenergy, biomaterials, and facility modernization
- Land, air, and water solutions, such as remediation, water treatment, and nature-based approaches
- Power grid innovation, including long-duration storage, grid modernization, and transmission enhancements
- Industrial process innovation, such as low-emissions feedstocks, electrification, and facility upgrades
All project proposals must demonstrate how the proposed technology is compatible with a pathway to emissions reduction in Alberta. Projects will be selected through ERA’s rigorous and transparent review process, overseen by a Fairness Monitor. As with all ERA funding, final outcomes will be shared publicly to help advance technology toward commercialization.
For more information, contact:
Kevin Duncan
Marketing and Communications
Emissions Reduction Alberta
(403)431-2859
kduncan@eralberta.ca
ABOUT EMISSIONS REDUCTION ALBERTA (ERA)
For 17 years, ERA has invested revenues from the carbon price paid by large emitters to accelerate the development and adoption of innovative clean technology solutions. Since its establishment in 2009, ERA has committed over $11 billion toward 351projects valued at over $10 billion, which are helping to reduce emissions, create competitive industries, and lead to new business opportunities in Alberta. These projects are estimated to deliver cumulative reductions of almost 29 million tonnes of CO2e by 2030 and over 84 million tonnes of CO2e by 2050.
ABOUT TECHNOLOGY INNOVATION AND EMISSIONS REDUCTION (TIER) FUNDING
The Technology Innovation and Emissions Reduction (TIER) Regulation is at the core of emissions management in Alberta. The TIER system implements Alberta’s industrial carbon pricing and emissions trading system. TIER helps industrial facilities find innovative ways to reduce emissions and invest in clean technology to stay competitive and save money.