Canada invests CAD $13 million in smart grids & clean energy

The Canadian government has allocated more than CAD $13 million in federal funding to five projects in Ontario designed to modernise the province's electricity grid and support clean energy initiatives.

The investment, made through the "Energy Innovation Program – Smart Grids Demonstration Call for Proposals", targets the advancement of clean electricity generation and improved market access for customer-owned devices such as solar panels and batteries. The aim is to drive down energy costs for Canadians while ensuring that electricity grids are smarter, more sustainable, and resilient.

Tim Hodgson, Minister of Energy and Natural Resources, described the investment as a significant step towards enhancing Canada's energy landscape.

"This is how Canada becomes an energy superpower - by working with partners and by investing in the modernization and optimization of our electricity system. These efforts are essential to creating a more reliable and resilient network and reducing electricity bills for Canadians," said Hodgson.

Funded projects

Among the five funded projects is Alectra Utilities Corporation, which has received CAD $6 million. Its project aims to enable electricity customers in Mississauga to participate directly in the electricity system by integrating their own solar panels and batteries into the market.

This initiative supports a more resilient, responsive and customer-focused grid, modernizing our planning and control room operations and enabling new markets for our customers as we move from limited distribution system operator (DSO) trials to full-scale implementation," said Brian Bentz, President and Chief Executive Officer at Alectra.

Enova Power Corp., awarded CAD $750,000, will pilot an AI-based market for electricity at the distribution level in Waterloo. Their project employs AI-driven load forecasting and optimisation to manage distributed energy resources and lessen the need for traditional infrastructure upgrades.

"This project will enhance Enova's ability to plan and optimize the distribution system through AI-based tools. It will also lay the foundation for local energy procurement and unlock the potential of distributed energy resources for our customers - supporting Enova in creating the electricity system of the future," said Greig Cameron, President and Chief Executive Officer of Enova Power Corp.

Another recipient, HIAH Corp., has been granted CAD $3,160,000 for a project in M'Chigeeng First Nation to develop a multi-port electric power conversion system. The technology will help an industrial quarry move away from diesel generators towards renewable energy sources by integrating standby generators, renewables, and energy storage in areas with weak grid connectivity.

Peak Power Inc. will receive CAD $3,145,461 to deploy and showcase a Distributed Energy Resource Management system (DERA) in Toronto. The system will coordinate distributed energy resources and enable customer participation in electricity markets at three separate sites.

"As load growth continues to outpace supply and with large generation assets still many years away, the need for flexible DER solutions has never been greater. This project funding from Natural Resources Canada is a crucial step in creating a cleaner, more-resilient grid while reducing costs for consumers," said Derek Lim Soo, CEO of Peak Power Inc.

Program objectives

The Energy Innovation Program supports projects that provide demonstration and market-led insights for smart grid and clean energy technologies, with a focus on grid modernisation, greater accessibility for customers, and the development of inclusive electricity solutions. The selected projects are intended to inform future deployments and propel Canada's transition to a low-carbon economy.

The Canadian government's targeted investment is expected to support technological advancements, reduce emissions, defer infrastructure costs, and create more localised market opportunities for distributed energy resources spanning urban, suburban, and rural Ontario.