Government of Alberta is making up to $50 million available to help the province’s industrial sector reduce emissions, improve competitiveness

 Today, the Government of Alberta is committing up to $50 million through Emissions Reduction Alberta (ERA) for the Industrial Transformation Challenge. Funds are sourced from the Technology Innovation and Emissions Reduction (TIER) fund.

The investment will advance technology opportunities with significant economic and environmental benefits across Alberta’s industrial sector. The Industrial Transformation Challenge is focused on technology opportunities that will be key solutions for achieving net-zero emissions and securing the competitiveness of existing and new industries.

Sonya Savage, Minister of Environment and Protected Areas, Government of Alberta; and Justin Riemer, CEO, ERA; launched the funding opportunity at COP27 in Egypt on Monday, November 14, 2022. Funding is open to applicants from across Alberta’s industrial sectors, including petrochemicals, agriculture, forest products, manufacturing, energy, and more.

“Significant investment is needed for game-changing technologies that improve the environmental and economic performance of Alberta’s industrial facilities. The Industrial Transformation Challenge is the latest TIER-funded program that will help accelerate the development and commercialization of promising clean technologies that set our job creators up for success in a lower-emissions future. We look forward to seeing what projects come out of this exciting call.”Sonya Savage, Minister of Environment and Protected Areas

“This investment will help our energy-intensive, often trade-exposed industries, invest in new technologies that can fundamentally reduce emissions and improve their competitiveness. Funding technology and innovation like this will continue to position Alberta as a forward-thinking investment jurisdiction and industrial leader.”Justin Riemer, CEO, Emissions Reduction Alberta

Alberta’s industries account for approximately two-thirds of the province’s greenhouse gas emissions. The Industrial Transformation Challenge is focused on technology solutions that are currently not in widespread commercial use and will need significant investment, testing, and scale-up.

The $50 million Industrial Transformation Challenge is exploring innovations such as low- to- zero-carbon heat, breakthrough industrial process improvements, electrification, methane reductions, and new product lines including sustainable mineral and metal extraction and hydrocarbons beyond combustion. While technology solutions can originate from anywhere globally, they must be piloted, demonstrated, or deployed in Alberta.

Successful applicants are eligible for up to $10 million per project with a minimum request of $250,000. The maximum ERA contribution to a single project will be no more than 50 per cent of the project’s eligible expenses. The application deadline is Thursday, January 19, 2023, at 5 p.m. (MST) and an informational webinar will be held on Friday, December 2, 2022, at 9:30 a.m. (MST).

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.

The Industrial Transformation Challenge plays to Alberta’s unique advantage, including a talented workforce, locations available to host pilot projects, and concentrated clusters of industrial activity.

“Reaching net zero requires transformational innovation and change along with industry, organizations, government and creative minds coming together to build our sustainable future for generations to come. ERA’s funding provides the opportunity to test, create and find innovative solutions to move this transformation forward.”Brian Vaasjo, President and CEO, Capital Power

“Technology is critical to meeting the challenge of meaningfully reducing emissions while unlocking new economic opportunities. Funding from the Government of Alberta and offered through ERA’s Industrial Transformation Challenge is fundamental to achieving ambitious sustainability goals the world demands, while also providing Alberta industries an advantage to remain competitive in a global economy.”Brad Kohl, President and CEO, Lafarge Western Canada

“Alberta’s beef sector, recognizing the importance of environmental sustainability, has committed to reduce primary production of GHG emissions by 33 percent by 2030 through the National Beef Strategy. The Government of Alberta’s commitment through Emissions Reduction Alberta’s Industrial Transformation Challenge will be a key driver in the development and adoption of innovation and technology development necessary to meet this target.”Janice Tranberg, President and CEO, Alberta Cattle Feeders’ Association

“To be successful and remain competitive, billions of dollars of capital investment is needed in advanced recycling, carbon reduction technologies and deployment, and recapitalization of aging infrastructure. Funding like this from the Government of Alberta and Emissions Reduction Alberta is a step forward in attracting these investment dollars and strengthening the province’s position as a leader in advancing a sustainable, low-carbon economy.”Bob Masterson, President and CEO, Chemistry Industry Association of Canada

“Sustainability is foundational to Alberta’s forest industry, and continuous improvement of our operations and processes is a big part of that. This funding is an important step that will enable our sector to continue to advance technology and drive innovation. We have already seen remarkable advancements over the last few years. This new funding presents a real opportunity to take those advancements even further and I look forward to seeing this come to fruition.”Jason Krips, President and CEO, Alberta Forest Products Association (AFPA)

Submissions will be selected through ERA’s competitive review process. A team of experts in science, engineering, business development, commercialization, financing, and GHG quantification will conduct an independent, rigorous, transparent review overseen by a Fairness Monitor.


Emissions Reduction Alberta
Kevin Duncan


Since 2009, ERA has been investing revenues from the carbon price paid by large emitters to accelerate the development and adoption of innovative clean technology solutions. ERA has committed $821 million toward 231 projects worth $6.5 billion that are helping to reduce GHGs, create competitive industries and are leading to new business opportunities in Alberta. These projects are estimated to deliver cumulative GHG reductions of over 40 million tonnes by 2030.


 The TIER system is funded by large industry that can opt to pay into the fund when they do not meet emission reduction targets. More than $1 billion from the TIER fund is supporting programs and innovative technologies that drive emissions reductions and diversify the economy, with another $700 million being invested over the next three years.