ecoENERGY Innovation Initiative

ecoENERGY Innovation Initiative (Voted)

Start date

June 23, 2011

End date

March 31, 2017

Fiscal year for terms and conditions

2013-14, amended in 2015-16

Strategic Outcome

2 – Natural Resource Sectors and Consumers are Environmentally Responsible

Link to department's Program Alignment Architecture

2.2 – Technology Innovation and 2.2.3 Clean Energy Science and Technology

Description

The ecoENERGY Innovation Initiative (ecoEII) supports innovation in the clean energy sector by providing funding for research, technology development and demonstration (RD&D) projects. Up to $268 million over five years has been provided to support contributions for research undertaken by proponents such as technology producers, industry, academia, as well as research undertaken by federal laboratories.
The objective of the ecoEII is to improve Canada’s environmental performance and the competitiveness of Canada’s clean tech industry through a comprehensive suite of RD&D activities in the areas of clean energy and energy efficiency. Investments have built on Canada’s strengths and competitive advantage, supporting next generation technologies that target the country’s energy profile and needs, while maximizing future GHG reductions. Activities were in five strategic priority areas: energy efficiency in buildings and communities; clean electricity and renewables; bioenergy; electrification of transportation; and unconventional oil and gas.

Results achieved

The ecoEII completed its funding period in 2015-16, as all committed funding was disbursed. In total, 300 projects were funded (230 internal to the federal government and 70 external). Of the 70 contribution projects managed by recipients external to the federal government, 58 were completed by March 31, 2016, with the remaining projects taking advantage of the one year program extension to March 31, 2017 for their completion. The final amount spent on contribution agreements, for the entire funding period, was about $110 million. For every dollar spent by NRCan through ecoEII, it is estimated that $1.10 will be spent by project proponents to the end of fiscal year 2015-16. Once the ecoEII ends in 2017, the final amount of proponent spending for each dollar spent by NRCan is expected to be higher than $1.10. This is because any additional project costs in 2016-17 will come from sources other than NRCan.

Comments on variances

The variance between the actual spending and the planned spending is the result of in-year adjustments to decrease the Vote 10 budget by $1.87 million to better align the program’s multi-year profile and a year-end surplus of $690,000.

Audits completed or planned

Eight full audits and one desk audit were planned and completed in fiscal year 2015-16 covering over $35 million in total project costs. To date, the Program has audited 100% of proponents via a desk audit of the first claim, and uses risk based approaches to perform follow up full audits on higher risk proponents.

Evaluations completed or planned

No evaluation was conducted in 2015-16. An evaluation is planned for 2018-2019.

Engagement of applicants and recipients

NRCan undertook a multi-phase engagement process as part of the ecoEII.
In the early stages, NRCan engaged key stakeholders through a series of leaders’ fora. Through these engagements, the focus of subsequent calls for proposals under the five strategic priorities was refined.
During the review and evaluation of applications, very limited interaction occurred with applicants in order to keep the process fair, open and transparent. Only guidance of a very general nature was provided, where clarifications to an Applicant’s Guide that was provided to all applicants were requested. No specific advice or help was provided under any circumstances.
Extensive engagement occurred with proponents during the drafting of contribution agreements to incorporate and address their needs to the extent possible within the framework of ecoEII Terms and Conditions and Treasury Board guidelines.
NRCan has regular interaction with project proponents while administering the ecoEII. The ecoEII has implemented regular monitoring meetings to discuss the progress of projects with all recipients on a quarterly or semi-annual basis. In addition, on-site visits of projects are periodically conducted by ecoEII administrators. In addition to these formal interactions, ecoEII administrators hold periodic conference calls with individual project proponents to assess progress and address any issues or concerns as they arise.