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Energy Efficiency Programs for Large Companies in Quebec

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EcoPerformance: Energy Efficiency Programs for Large Companies and Industries in Quebec

The ÉcoPerformance Program is an energy efficiency program in Quebec that seeks to reduce greenhouse gas emissions (such as carbon emissions) and energy use in organizations by funding projects or measures connected with energy use and production, as well as with process improvement. It is financed by the Green Fund, as part of the implementation of the 2013-2020 Climate Change Action Plan, and by the share collected from energy distributors.

One of the businesses in Quebec that have benefitted from this program so far is KRONOS Canada Inc., which is a producer of titanium oxide (a white colourant.)  KRONOS has received $216,000 from the Government of Quebec via the EcoPerformance program to work towards reducing its thermal energy needs as well as reducing its operating costs.

Read on to learn more about the ÉcoPerformance Program, how it works and how it could benefit your large commercial or industrial operations:

What is the EcoPerformance program in Quebec?

The main goals of this energy savings program are to:

  • Reduce greenhouse gases.
  • Decrease the consumption of fossil fuels.
  • Improve the energy efficiency of processes and buildings.
  • Reduce fugitive process emissions.

Where does the funding come from?

The Government of Quebec’s grants and investments towards clean energy initiatives are provided by EcoPerformance, a program implemented as part of the 2030 Plan for a Green Economy.

What is Quebec’s 2030 Energy Policy?

The 2030 Plan for a Green Economy is a climate change policy framework that lays out the groundwork for improving energy efficiency in Quebec and achieving a green economy in Quebec by 2030. This green economy will be resilient to climate change as well as more prosperous for Quebec overall.

Some targets of this energy policy include:

  • Reducing GHG emissions by 37.5% below 1990 levels by 2030.
  • Achieving carbon neutrality by 2050.
  • Have 1.5 million electric vehicles on the road in Québec by 2030.
  • No sales of new gasoline-powered vehicles as of 2035.
  • 55% of city buses and 65% of school buses electrified by 2030.
  • 100% of governmental cars, SUVs, vans and minivans and 25% of pickup trucks electrified in 2030.
  • 15% ethanol in gasoline by 2030 and 10 % in biobased diesel fuel by 2030. 
  • 50% reduction of emissions related to heating for buildings by 2030.
  • 60% reduction in emissions from government buildings by 2030.
  • 10% renewable natural gas (RNG) in the network in 2030.
  • 50% increase in bioenergy production by 2030.
  • 70% of off-grid systems energy supply from renewable sources by 2025.

Who’s eligible for EcoPerformance in Quebec?

EcoPerformance is offered to businesses as well as institutions, municipalities and industries in Quebec that consume fossil fuels or that use processes that generate fugitive GHG emissions. It is aimed at both small and large energy consumers.

What are the incentives/financial aid provided by EcoPerformance to industries in Quebec? And what are the projects and upgrades covered by EcoPerformance?

There are a number of incentives and government grants available for Quebec businesses and large energy consumers in Quebec looking for assistance with energy transitioning, CO2 solutions, industrial energy efficiency solutions or funding towards energy efficiency projects in general. We’ve listed the funding amounts available for various eligible projects below.

Standard Analysis

Standard analysis projects identify and quantify potential measures for fossil fuel savings and GHG emission reductions as well as the costs to implement them.

Eligible expenses for standard analysis projects include:

  • fees for external consultants.
  • the fees of in-house specialists, namely salary and fringe benefits, as well as travel expenses, up to an eligible limit specific to the agreement.
  • rental costs of measuring equipment.

The financial assistance granted corresponds to the lesser of the following amounts:

CategoryCalculation of aid / Eligible expensesMaximum per site – Small and medium consumersMaximum per site – Large consumers
Analysis Project50%$25,000$50,000
More complex technical analysis75%$100,000$300,000

Energy Management

The EcoPerfomance program offers financial support to organizations wishing to set up an energy management system in order to improve their energy efficiency and reduce their GHG emissions.

The energy management system implemented must comply with the essential principles of the international standard ISO 50001 and be based on the Practical guide for the implementation of energy management systems. Obtaining ISO certification of the system is not mandatory but is strongly recommended.

A participant who already holds ISO 50001 certification cannot submit a request for financial assistance to the EcoPerformance program for an energy management project.

Eligible expenses for energy management projects cover:

  • fees for external consultants.
  • the fees of in-house specialists, namely salary and fringe benefits, as well as travel expenses, up to an eligible limit specific to the agreement.
  • rental costs of measuring equipment.

Financial assistance corresponds to the lesser of the following amounts:

CategoryCalculation of aid/ Eligible expenses (%)Maximum ($)
Hiring of an energy manager75%$10,000
Training on energy management and ISO 5000175%$50,000
Support and advisory services from external specialists for the implementation of the system, audits by third parties and certification by an accredited certification body75%$100,000
Acquisition of measuring equipment, probes and programming75%$150,000

Simplified layout

The EcoPerformance program provides financial support for projects that are simple and quick to set up. Unlike the other projects in this list, the professional services of an engineer are not required to file an application or perform the quantification of energy savings and GHG emission reductions.

Three types of measures to reduce GHG emissions are financially supported as part of a simplified implementation project:

  • Energy efficiency projects.
  • Energy conversion projects.
  • Fugitive emissions reduction projects.

The maximum financial assistance for this type of project is $100,000 per measure and may not exceed $ 250,000 per site annually.

Sectors targeted by simplified implementation projects include:

  • Maple syrup producers.
  • Supermarkets and convenience stores.
  • Small businesses, institutions and industries.
  • Greenhouse producers.

If your business is a part of any of these sectors, you can visit the EcoPerformance site’s page on simplified implementation projects for more specific information such as terms and conditions as well as the criteria for calculating aid.

Rehabilitation of mechanical building systems

Also known as recommissioning, this type of project involves carrying out a set of analyzes, verifications and interventions according to a structured approach, with the aim of optimizing operation, among other things, heating, ventilation, and air conditioning systems in buildings, regardless of the form of energy used. 

You can find examples of recommissioning projects on the official Quebec Energy Transition page.

Eligible expenses for mechanical systems overhaul projects cover:

  • the fees of the accredited agent and consultants where applicable – a list of accredited agents can be found here.
  • fees for in-house specialists (salary and social benefits as well as travel and living expenses, up to an eligible limit indicated in the agreement).
  • rental costs of measuring equipment.

The financial assistance granted corresponds to the lesser of the following amounts:

CategoryCalculation of assistance – Eligible expensesMaximum in $
Investigation Transfer Continuous monitoring75%$100,000 per site

Standard Layout

Financial supports are available from the EcoPerformance program to organizations for carrying out energy efficiency projects, reducing GHG emissions or converting to greener energy sources. Bioenergy conversion projects, however, are covered by the Bioenergy program instead, another program that provides Quebec business grants.

Eligible expenses include:

  • the cost of purchasing and upgrading equipment, including equipment required for measuring energy consumption.
  • the costs of engineering works. *
  • installation costs.
  • start-up costs.
  • professional fees.
  • calibration costs.
  • the cost of the contribution that must be paid to the distributor for an energy conversion to take place.
  • measurement costs and expenses for writing reports.

* includes, among other things, electrical, mechanical, hydraulic, aeronautical, electronic, thermal, nuclear, metallurgical, geological or mining work as well than those intended for the use of chemical or applied physics processes.

Below is the financial aid available for energy efficiency projects, energy conversion projects and fugitive emissions projects:

CategoryMaximum per request ($)Maximum per site ($) / year
Large Consumer$5,000,000$10,000,000
Small and Medium Consumer$5,000,000$10,000,000

Project eligibility limits, by category of participant for standard layout projects:

Participant category –  Large consumerPRI min (years)PRI max (years)
Large industrial consumer1 year15 years old
Large commercial consumer3 years20 years
Large institutional consumer5 years20 years
Small and medium industrial consumer2 years20 years
Small and medium commercial consumer3 years20 years
Small and medium institutional consumer5 years20 years

The financial assistance granted corresponds to the lesser of the following amounts:

Participant Category% of eligible expensesPRI min$ / t Co 2 e
Large industrial consumer75%1 year50/60 $/t**
Large commercial consumer75%3 years$60 / t
Large institutional consumer75%5 years$60 / t
Small and medium industrial consumer75%2 years$125 / t
Small and medium commercial consumer75%3 years$125 / t
Small and medium institutional consumer*75%5 years$125 / t
Fugitive process emissions reduction project75% $ 25 / t

* Conversion to another fossil fuel is not permitted for buildings in the commercial, municipal, and institutional sectors. The conversion to bioenergy is done through the Bioenergy program.

** $ 60 / t for a participant holding ISO 50001 certification at the time of submission of the final report of the implementation project.

Establishment of major industrial projects

The EcoPerformance program offers financial assistance of up to $ 40 million to support the implementation of large industrial projects whose measures reduce GHG emissions on industrial sites.

To be eligible, the project must be located on an industrial site subject to the Greenhouse Gas Emission Cap and Trade System (SPEDE), and the industry benefiting from the reduction in GHG emissions must also be subject to this system.

Three types of measures are admissible:

  • Energy efficiency projects.
  • Energy conversion projects.
  • Fugitive emissions reduction projects.

The financial assistance granted corresponds, by measure, to the lesser of the amounts calculated for the following parameters:

  • an amount necessary to reduce the unaided investment payback period (PRIsa) of the measure to the minimum investment payback period (PRImin).
  • a maximum of a percentage of eligible expenditure (% Iadm) per measure.
  • a maximum in dollars based on a quantity of tonnes of GHG emissions reduced annually per measure, applied at a rate of $ 100 / t for a ten-year commitment period.
  • an amount requested by the participant.

For energy efficiency projects or energy conversion projects

Category% ladm (% max)PRI min (years)PRI max (years)$ / t CO 2 e             MMaximum per request and per site ($)
Industry subject to SPEDE Industry subject to SPEDE – conversion to LNG  75%1 yearso100$40 million

How industrial consumers can apply for EcoPerformance?

You can find a list of reference documents for industrial projects as well as forms for applying on the EcoPerformance website under <Guides et formulaires – Implantation de grands projets industriels>. For smaller or medium-sized industrial consumers, they can find the appropriate reference documents and forms for application under <Guides et formulaires – Implantation standard>.

EcoPerformance contact information:

  • Toll free phone: 1 866 266-0008
  • Fax: 418 643-5828
  • Email: transitionenergetique@mern.gouv.qc.ca
  • Address: Ministry of Energy and Natural Resources 1300, rue du Blizzard, bureau 200 Québec (Québec) G2K 0G9 
  • Website: EcoPerformance Website

Other ways industrial and larger companies can save on energy in Quebec

Although electricity is still regulated in Quebec, the natural gas market is deregulated, meaning that you can choose any energy retailer to provide your company with natural gas services. You don’t have to stay with the default regulated option in your area. That gives you more options and increases your chances of finding potential energy savings.

Not sure which energy retailer has the best price for natural gas? Websites like EnergyRates.ca can help you compare all the natural gas rates in Quebec, whether you’re an industrial consumer or a large business owner.

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