The Low Carbon Economy Fund

The $2 billion Low Carbon Economy Fund is an important part of the Pan-Canadian Framework on Clean Growth and Climate Change (the Framework).

The Fund supports the Framework by leveraging investments in projects that will generate clean growth and reduce greenhouse gas emissions and help meet or exceed our Paris Agreement commitments.

The Fund will:

  • create jobs for Canadians for years to come
  • deliver clean, sustained growth
  • support innovation
  • reduce energy bills

The Fund is split into two parts:

  • Low Carbon Economy Leadership Fund
  • Low Carbon Economy Challenge                                                                                          

Low Carbon Economy Leadership Fund

This Fund provides $1.4 billion to provinces and territories that have adopted the Framework. The funding will help them deliver on their commitments to reduce greenhouse gas emissions, including those they outlined in this Framework.

This funding recognizes the key role provinces and territories play in implementing the Framework and addressing climate change. Provinces and territories are each eligible to receive $30 million plus funding based on population.

Through fall 2017, provinces and territories put forward ideas and worked with the federal government to agree on which projects to fund. Bilateral funding agreements are being finalized with most jurisdictions so that projects can get underway in early 2018.

For more information:

Low Carbon Economy Challenge

The remainder of the funding will be available for the Low Carbon Economy Challenge and for implementation of the Framework. Funded projects will leverage ingenuity across the country to reduce emissions and generate clean growth in support of this Framework.

Those who will be able to submit projects:

  • all provinces and territories
  • municipalities
  • Indigenous governments and organizations
  • for-profit organizations
  • not-for-profit organizations

The Low Carbon Economy Challenge will be launched in early 2018. Further details will be available then.

News releases


For more information about the program, email:

Report a problem or mistake on this page
Please select all that apply:

Privacy statement

Thank you for your help!

You will not receive a reply. For enquiries, contact us.

Date modified: