Green Shipping Corridor Program Clean Vessel Demonstration Stream

“Transport Canada”

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The funder does not disclose this information

Maximum Eligible Amount

Government Grant

Fund Type

The Green Shipping Corridor Program (GSCP) provides funding for projects that contribute to the establishment of green shipping corridors and the decarbonization of the marine sector along the Great Lakes, the St. Lawrence Seaway as well as Canada’s East and West Coasts by:

Purpose

This Applicant’s Guide explains the objectives, requirements, and process for applying to the Green Shipping Corridor Program’s Clean Vessel Demonstration Stream - Grant, including what is needed in your funding application.

Mandatory Eligibility Requirements

To be eligible for Clean Vessel Demonstration Stream grant funding, the following criteria must be satisfied.

Eligible Recipients 

Eligible recipients must be vessel owners and/or operators registered in Canada and one of the following:

  • Provinces and territories, including provincial- and territorially owned transportation entities
  • Municipalities, including municipally owned entities, and local and regional governments
  • Indigenous governmentsFootnote1, tribal councils and other forms of regional government, nationally or regionally representative Indigenous organizations, and/or Indigenous development corporations
  • Public sector organizationsFootnote2
  • For profit or not-for-profit private sector organizations
  • Canada Port Authorities

Eligible Activities

The Clean Vessel Demonstration Stream will provide funding in the form of grants where the primary objective of the proposal is intended to advance the domestic marine industry’s knowledge and capacity to transition their vessels to low carbon and/or zero emission ship technology and marine fuels. The following types of projects are eligible for grant funding:

  • research, engineering, or feasibility studies that are necessary to determine the viability of (or to support the design of) a vessel demonstration project or elements of a vessel demonstration project, before undertaking any physical works or testing
  • safety assessments that are used to determine risks/hazards/challenges, including mitigation measures needed to address barriers related to the deployment of low carbon and/or zero emission ship technology and marine fuels for use on vessels
  • development of safety codes and standards to facilitate the adoption of low carbon and/or zero emission ship technology and marine fuels for use on vessels

Low carbon and/or zero-emission ship technology and marine fuels proposed for research, safety assessments or development of codes must be one or more of the following: 1) low carbon biofuel, 2) battery electric, 3) plug-in hybrid, 4) fuel cell (different types), 5) methanol, 6) ammonia, 7) wind/solar, or any other innovation deemed meritorious by the Minister or delegated authority.

In addition to the above, the project must target commercial vessels greater than 150 Gross Tons and be either Canadian-flagged or be operated predominately in Canadian waters by a Canadian entity (as defined in the list of eligible recipients).

Merit Evaluation Criteria

Once Transport Canada has confirmed that your proposal satisfies the above mandatory eligibility criteria for grant funding, the department will proceed to evaluate the individual merits of your grant proposal using the criteria listed in the table below.

Merit CriteriaCharacteristics of a Strong Proposal
Criterion 1: The degree to which the proposal addresses key knowledge gaps pertinent to the broader marine sector, specifically with respect to the adoption of new or emerging technologies

1) Assessment based on:

how the project will support the vessel demonstration of low and/or zero emission fuels/technologies in Canada

A strong project will:  

  1. demonstrate clearly how the outcomes of the proposed eligibility activity will support vessel demonstration of low and/or zero emission fuels/technologies in Canada

2) Assessment based on:

how the project facilitates the organization and the Canadian marine industry's to transition and/or deployment low and/or zero-emission fuels/technologies

A strong project will:

  1. inform the deployment the low and/or zero-emission fuel/technology across the fleet
  2. accelerate the momentum of the Canadian marine industry in the implementation of low and/or zero-emission fuel/technology

3) Assessment based on:

how effectively the proposal identifies the knowledge gap(s) and interventions and/or solutions to address the knowledge gap(s)

A strong project will:

  1. clearly identify the current readiness state and knowledge gap(s) of the proposed low and/or zero emission fuels/technologies in Canada
  2. provide an effective solution(s) to known knowledge gap(s) that are impeding the Canadian marine sector from adopting low and/or zero-emission fuels/technologies in Canada
  3. provide an effective solution(s) where no similar solution exists in the Canadian context for the adoption of low and/or zero-emission fuels/technologies

4) Assessment based on:

how the project will advance technology development, knowledge generation, or practices that can be used by other Canadian marine stakeholders 

A strong project will:

  1. clearly demonstrate how results will be broadly disseminated to the public, and clearly identify the target audience, including all vested parties of the proposed project, and the Canadian marine sector
  2. clearly identify the expected outreach as well as the diversity of media and channels used to share the information (for example, number of website users, recipients of mail-out materials, number of participants at a workshop, etc.)
  3. promote and encourage collaboration and information sharing, contributing to the objectives of the program

Criterion 2: The applicant’s relevant experience and capacity to undertake the proposed project successfully

1) Assessment based on:

how well the applicant has demonstrated their experience and capacity to undertake the proposed project successfully

A strong project will:

  1. be supported by the applicant's track record of successful project delivery for similar types of projects (that is, one or more projects successfully completed)
  2. be supported by a highly qualified project team with relevant expertise and experience (that is, project team with educational credentials relevant to the project, at least one team member with experience working on similar types of projects)
  3. be led by an excellent governance/management/organizational structure

Criterion 3: The proposal outlines clear timelines to demonstrates readiness to implement the project as planned.

1) Assessment based on:

how clearly the proposal outlines timelines to demonstrate readiness to implement the project as planned

A strong proposal will:

  1. clearly list the key activities, phases, timelines to allow the project to be completed

Note: When funding is provided in the form of grants, the objectives and scope of the project must continue to inform and address key knowledge gaps pertinent to the broader marine sector, specifically with respect to the adoption of new or emerging low carbon and zero emission ship technology and marine fuels over the duration of the agreement to provide certainty that the grant funding will be used for the purposes for which it was approved.

Application and Evaluation Process

Submitting a funding application

All funding applications seeking grant funding must be developed using the provided in Short Grant Form and once completed, must be signed by an individual who is authorized by the organization to make the representations included in the proposal. In addition, the applicant must also submit a budget using the provided Budget template for Grants.

Missing or incomplete information will slow the review of the application, and/or may result in its rejection.

Funding applications requesting grant funding from the Clean Vessel Demonstration Stream must be submitted by email in PDF to GSCprogram-ProgrammeCMV@tc.gc.ca and must be received by Transport Canada before 11:59 pm PACIFIC standard time on January 22, 2024.

 

Eligible and Ineligible Expenditures

Eligible expenditures

Eligible expenditures must be directly related to the project, and be both reasonable and required, as determined by the Minister or delegate to achieve the objectives and results for which the project was approved, including: 

  • staff salaries and benefits (such as wages; employer’s portion of: Employment Insurance, Canada Pension Plan/Quebec Pension Plan, and disability insurance; private insurance; and benefits paid to staff working on the project)
  • professional fees for contracted services (for example: accounting, audit, communications services, feasibility studies)
  • storage and warehousing fees
  • communication and translation costs
  • expenditures related to data analysis, monitoring, collection as well as data validation services
  • expenditures related to design, development, preparation, construction, installation, deployment, demonstration, and testing (for example, refueling/charging infrastructure, and port equipment)
  • discounted harbour dues or other financial incentives for ships that reduce their emissions or other environmental impacts
  • purchase of low carbon intensity fuels
  • training costs (for example, related to new technologies, equipment, software)
  • licenses and permits
  • rents, leases, leasehold improvements, and related insurance costs
  • administrative expenditures (including general administration expenditures, rent, insurance, office equipment rental, and membership fees (no more than 15% of Transport Canada's total contribution for the project)
  • travel expenditures (including the costs of accommodations, vehicle rental and kilometric rates, bus, train, airplane or taxi fares, allowances for meals and incidentals-in accordance on the rates and allowances of the Travel Directive of the National Joint Council)
  • expenditures for Indigenous consultations, specifically project-related consultation activities pursuant to the Crown’s legal duty to consult, which may include expenditures associated with meetings, travel costs, expenditures related to the preparation of consultation materials, professional fees, communication and translation costs, and administrative expenditures (travel expenditures to be in accordance with the Travel Directive of the National Joint Council)
  • other expenditures not included in the categories above, as identified in the application for funding approved by the Minister or their delegated representative, that are directly related to the project and required to achieve the objectives and results of the Program

The above eligible expenditures may, in certain circumstances, include cash-equivalent expenditures associated with in-kind contributions. These expenditures may take the form of:

  • goods, services, or assets consumed by the recipient for which costs are incurred and no cash is exchanged
  • donations of goods, services, or assets to the recipient, for which no costs are incurred, and no cash is exchanged. While donations are eligible cash-equivalent expenditures that may form a portion of the total project cost, they will not be eligible for reimbursement as the recipient incurs no cost to obtain the good, service or asset. However, donations may form part of the recipient’s share of the total eligible expenditures for a project

In-Kind contributions shall be measured/appraised at fair market value, must be approved in advance by Canada and reflected in the contribution agreement.

Costs incurred after project approval date and before project completion date are eligible.

Ineligible Expenditures

The following are examples of funding that are not eligible for funding:

  • expenditures for Provincial Sales Tax and Goods and Services Tax, or the Harmonized Sales Tax, where applicable, for which the recipient is eligible for a rebate, and any other costs eligible for rebates
  • the cost of purchasing land and/or buildings, including associated real estate and other fees
  • financing charges and interest payments on loans
  • expenditures which have been reimbursed under other federal statutes or programs



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