Green Shipping Corridor Program Clean Ports Stream – Applicant’s Guide

This Applicant’s Guide is specifically for the Clean Ports Stream of the Green Shipping Corridor Program. Further details about the application and evaluation process are included in subsequent sections.

Application period

Current Status: Closed.

Deadline: March 11, 2024, at 11:59 pm PACIFIC standard time.

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Purpose

This Applicant’s Guide explains the objectives, requirements, and process to apply for funding from the Green Shipping Corridor Program’s Clean Ports Stream, including what is needed in your funding application.

Mandatory Eligibility Requirements

To be eligible for funding from the Clean Ports Stream, the following criteria must be satisfied.

Eligible Recipients

Eligible recipients for the Clean Ports Stream must be 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 governmentsFootnote 1, tribal councils and other forms of regional government, nationally or regionally representative Indigenous organizations, and/or Indigenous development corporations
  • public sector organizationsFootnote 2
  • for profit or not-for-profit private sector organizations
  • Canada Port Authorities

Eligible Activities

Funding from the Clean Ports Stream will be provided to support the following types of projects:

  • commercially available electrified or zero-emission port equipment (for example, electrified gantry cranes, cargo handling equipment)
  • charging infrastructure to support electrified equipment and vessels, including shore power
  • low carbon and zero-emission marine fuels and bunkering infrastructure
  • incentive programs administered by ports offering rebates or discounts on port-related fees that prioritize the use of greener and/or low-emission vessels (domestic and international)
  • studies that contribute to the implementation or adoption of emission reducing equipment and infrastructure

The vessel fueling infrastructure must be able to serve one or more of the following low carbon marine fuels or zero-emission propulsion system technologies: 1) low carbon biofuels, 2) battery electric, 3) plug-in hybrid, 4) fuel cell (different types), 5) methanol, 6) ammonia, 7) or any other innovation deemed meritorious by the Minister or delegated authority.

In addition to the above, an eligible project must:

  • contribute to the establishment of a Green Shipping Corridor, defined as a net-zero maritime route between two or more ports
  • demonstrate partnerships between shoreside infrastructure as well as vessel owners/operators 

The success of a green shipping corridor fundamentally relies upon effective coordination and partnerships among members of marine shipping value chain. To that end, applicants must include in their funding application signed letters of support from partners.

Geographic Location

Projects must be implemented in areas where there is major marine activity, specifically the Great Lakes & St. Lawrence Seaway as well as the east and west coasts.

Other Criteria related to Projects and the Eligibility of Projects

Projects that were completed prior to the launch date of the Program or during the application period for this stream will not be considered for funding.

Projects that have started, including those in the early planning phase, may be considered for funding.

All projects must be completed, including the fulfillment of any reporting requirements, by March 31, 2028.

Merit Evaluation Criteria

Once Transport Canada has confirmed that your proposal satisfies the above mandatory eligibility criteria, the department will proceed using the criteria listed in the table below.

Merit Criteria

Characteristics of a Strong Proposal

Criterion 1:

Demonstrates the viability of net-zero emission technologies and/or low-carbon fuels in the context of a green shipping corridor

Assessment based on:

  1. how the choice of technologies/fuel is the best choice for the applicant and partners, and how the project supports the objectives of the program
  2. how the project is anticipated to overcome barriers to the adoption of these net-zero technologies / low-carbon fuels
  3. the description of the expected use of net-zero technologies / low-carbon fuels over the course of the project, and its ongoing use after the funding period ends, including impact on business or operational viability

A strong project will:

  1. firmly establish the technology(ies)/fuel(s) as operationally viable in the context of a green shipping corridor, over the course of the project, and after the funding period ends
  2. firmly establish the technology(ies)/fuel(s) as economically viable in the context of a green shipping corridor, over the course of the project, and after the funding period ends
  3. demonstrably overcome barriers and challenges to facilitate the adoption of the technology(ies)/fuel(s) in the context of a green shipping corridor
  4. demonstrate how the technology(ies)/fuel(s) supports the program's objectives
  5. establish how the choice of technology(ies)/fuel(s) represents the optimal technology/fuel within the context of the green shipping corridor in which the applicant and partners operate

Criterion 2:

Enables measurable emissions reductions by 2030

Assessment based on:

  1. how effectively the project will contribute to a reduction in GHG emissions in Canada’s marine sector, including emissions from port operations and vessels
  2. how rigorous the proposed methodology is to determine emission reductions (including baseline emissions), how the reductions will be measured, and expected emissions

Guidance on how to estimate GHG emission reductions is provided below

A strong project will:

  1. demonstrate how this project will contribute to the reduction of GHG emissions by 2030 and over the lifespan of the assets
  2. describe the estimated extent of emission reductions along the green shipping corridor and describe the approach for establishing longer-term GHG reduction targets along the corridor
  3. be guided by a clear and sound methodology to determine emission reductions, including a baseline and future state of those reductions, using a consistent methodology that allow meaningful comparisons of emissions over time
  4. be guided by a methodology that is credible, consistent with best practices, and achieves sufficient accuracy to enable decisions to be made with reasonable assurance as to the integrity of the reported information

Criterion 3:

Advances the use of scalable* net-zero fuels and technologies at ports

Assessment based on:

  1. how the project will create early demand for scalable zero-emission fuels, contribute to marine sector decarbonization through early reduction of supply chain emissions, including reductions in other transportation sectors (if applicable)
  2. the description of the current availability and use of the proposed low carbon / net-zero fuels and technologies at the port(s) in which the project will take place
  3. the description of any expected opportunities for scaling-up the low carbon / net-zero fuel and technologies at the port(s), or regionally, in the future

*For the purposes of the evaluation process, scalable is defined as the degree to which net-zero fuels and/or technologies may be deployed in a greater number of vessels, at greater scale within the port or other geographic locations, or in other operational contexts or transportation modes.

A strong project will:

  1. implement a robust methodology for measuring any increased usage of net-zero fuel(s) and/or technology(ies) and allow comparison with the current usage of the proposed low carbon / net-zero fuel(s) and/or technology(ies) at the ports in which the project will take place
  2. provide evidence for near-term and future opportunities for scaling-up of technology(ies) and/or fuel(s) along the green shipping corridor and/or regionally
  3. demonstrate potential to support the expansion of decarbonization beyond the marine sector to other transportation modes (for example, rail, surface transportation)
  4. facilitate scaling-up more broadly across the marine sector, including via the dissemination and reporting of successful outcomes to industry partners (regionally and internationally), local stakeholders and government

Criterion 4:

Engages partners to ensure all parties implicated along the shipping value chain are involved (for example, vessel owners/operators, other ports, harbors and terminal operators, energy suppliers, utilities, civil society organizations, provincial, territorial, local governments)

Assessment based on the degree to which the project:

  1. defines the respective roles of each party in the shipping value chain, how each party will be implicated in the project, and how their participation is deemed essential for the success of the project with respect to decarbonization and green shipping corridors
  2. includes a governance/decision making framework between the recipient and project partners
  3. shares the risks and opportunities as these relate to the implementation of the project, and apportions project costs among the parties, as appropriate
  4. has support from prospective partners (for example, letters of intent)

A strong project will:

  1. be supported by partners engaged within a strong governance structure and decision-making framework with the project lead, whose participation contributes to the success of the project
  2. ensure risks and opportunities are shared, as appropriate, between all parties related to project implementation and apportionment of project costs are clearly delineated
  3. have demonstrable support from partners

Criterion 5:

Disseminates results with the broader public to support the adoption of net-zero emission technologies and low-carbon fuels

Assessment based on:

  1. how robust the strategy is to disseminate results of the proposed project to the public

A strong proposal will:

  1. disseminate results to the public, identifying the target audience, including all vested parties of the proposed project, but also those along the shipping value chain and the broader marine sector
  2. attain significant outreach (for example, website users, mail-out material recipients, workshop participants) through a diversity of media and channels to share information
  3. ensure accessibility and openness and maintain the integrity of the information
  4. promote and encourage collaboration and information sharing, contributing to the objectives of the program

Criterion 6:

Generates environmental benefits other than GHG emission reductions, such as reduced underwater noise and/or vibration, the preservation of wildlife and habitat, etc., as applicable

Assessment based on:

How well the project demonstrates potential to generate environmental co-benefits, including, as examples:

  1. reduce air pollution (for example, criteria air contaminants, black carbon, etc.), particularly in highly populated or ecologically sensitive regions
  2. reduce underwater radiated noise, particularly in critical marine mammal habitat
  3. reduce ambient noise, particularly in highly populated areas or sensitive environmental regions/locations
  4. reduce on-board noise/vibrations, thereby contributing to the safety of the crew and the vessel’s structural health

A strong project will:

  1. generate environmental co-benefits
  2. demonstrate how the identified environmental co-benefits will be achieved
  3. be guided by a methodology that clearly demonstrates how environmental benefits have been achieved (for example: via measurement, monitoring, reporting, etc.)

Criterion 7:

Encourages inclusion of Indigenous governments and communities in Canada

Assessment based on:

  1. the extent to which Indigenous governments and/or communities in Canada are included in the implementation of the project (for example: their role(s), responsibilities, contributions, as appropriate)

A strong project will:

  1. directly engage Indigenous governments, organizations and/or communities and facilitate their active participation as partners in the design and implementation of the project
  2. include a strategy for engaging Indigenous governments and/or communities not directly involved as partners in the design and implementation of the project
  3. include evidence of support and/or involvement from Indigenous governments/communities (for example, letters)

Criterion 8:

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

Assessment based on:

  1. how well the applicant has demonstrated their experience and capacity to undertake the proposed project within the identified timelines and budget

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
  3. be led by an excellent governance/management/organizational structure; and sufficient financial support to deliver the project

Criterion 9:

How clearly the proposal outlines timelines and budget to demonstrate readiness to implement the project as planned

A strong proposal will:

  1. provide a realistic and comprehensive project plan including clear deliverables, budget, timelines, and milestones of the project
  2. describe any project dependencies, interdependencies to implementing the project
  3. include a detailed presentation of the activities, expenditures and cash flow requirements for the project including a breakdown of the items and expenses
  4. demonstrate relationships between objectives and expenditures tied to activities

Criterion 10:

How well the performance measurement strategy is described, thorough, feasible, and will yield realistic and useful information

A strong proposal will:

  1. identify clear goals and objectives, and expected outputs and outcomes
  2. include a performance measurement strategy with details describing the specific methodology the applicant will use to measure the achievement of each objective
  3. a data collection and information dissemination strategy  

Criterion 11:

How well the proposal considers material risks and provides appropriate mitigation measures

A strong proposal will articulate and manage risks relevant to the project by:

  1. outlining a risk management strategy, including the identification of 2 or 3 potential risks associated with project delivery/completion/results
  2. identifying measures to mitigate the impact of the risks
  3. demonstrating the organization's capacity to mitigate risks identified

Estimation of Greenhouse Gas (GHG) emission reductions

To demonstrate how the project enables GHG emission reductions and supports Transport Canada’s assessment of criterion 2 (Enables measurable emissions reductions by 2030), applicants are asked to complete and submit the GHG Workbook referred to below. While guidance is provided to support the completion of the GHG Workbook, it is important to note that applicants are not limited to the material or resources outlined in the “Guide” and “Reference Material”. Applicants may refer to other resources to support the estimation of GHG emission reductions.

Request a copy

Get a copy of the GHG Workbook and the guidance materials documents sent to you by email.

1. Clean Technology Adoption GHG Estimation Workbook (“GHG Workbook“): The “GHG Workbook” is designed for applicants to comprehensively document all necessary information for evaluating the anticipated greenhouse gas reductions arising from the proposed projects.

 

Clean Technology Adoption GHG Estimation Workbook

(Excel document, 66 KB)

 

2. Guide to GHG estimation for federal investments in clean technology adoption (“Guide”): This guide offers detailed information on assessing the estimated greenhouse gas reductions related to a proposed project.

 

Guide to GHG estimation for federal investments in clean technology adoption

(Word document, 991 KB)

 

3. Reference Material for estimating GHG outcomes from federal investments in clean technology (“Reference Material”): Designed to direct readers to valuable online resources, this guide aims to assist in estimating greenhouse gas outcomes from a project.

 

Reference Material for estimating GHG outcomes from federal investments in clean technology

(Word document, 775 KB)

 

Disclaimer: The GHG Workbook is based on one developed by Innovation, Science and Economic Development Canada for the Strategic Innovation Fund. Transport Canada is not responsible for the content of external links in these documents. Transport Canada is not responsible for the content of external links in these documents.

Please contact gscprogram-programmecmv@tc.gc.ca if you have any questions about these materials.

Application and Evaluation Process

Submitting a funding application

A funding application is available at the following link: at the Funding Application Template. Once completed, the application must be signed by an individual who is authorized by the organization to make the representations included in the application.

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

Funding applications 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 March 11, 2024.

Notes:

  • We will not accept any funding application submitted in a format that is not PDF and/or received after the above noted time and date
  • Applicants may be requested to clarify or provide additional information that Transport Canada deems necessary to assess eligibility and support the evaluation process

 The evaluation process

Upon receipt of the funding application, Transport Canada will review the proposal to ensure that all required information has been submitted and to determine whether the proposal satisfies the Mandatory Eligibility Requirements.

  • If not complete, Transport Canada will provide the applicant the 5 business days to provide the missing information
  • If unable to provide the information within that time, the applicant will be advised whether their application will be considered for funding
  • Once deemed complete by Transport Canada, a notice confirming that the department has received a completed proposal will be sent to the applicant

If determined by Transport Canada to satisfy the mandatory eligibility criteria, the proposal will be evaluated to assess the individual merits of the proposal and ranked accordingly using the criteria described in Merit Evaluation Criteria. Funding recommendations will be formulated by a Transport Canada committee for consideration and final decision by the Minister of Transport and/or delegated representative.

Notification of results of evaluation process and next steps

Following the decision by the Minister or delegated authority, notifications will be sent to all applicants to inform whether their application was selected or not selected for funding. Applicants who were selected for funding will receive an approval in principle letter, which will include the amount of funding to be allocated to their project as well as any related funding conditions. It is important to note that Transport Canada is not obligated to provide funding to a recipient for a selected project until a funding agreement is signed by both parties.

Transport Canada will subsequently work with the successful applicant to develop the funding agreement.

If a project is selected for funding, the submitted funding application will serve as the source of information to develop the funding agreement between the recipient and Transport Canada, including project description, budget, terms to support the processing of payments, progress reporting, performance measurement as well as how the agreement will be monitored to mitigate risk related to non-compliance with the terms of the agreement. Once the funding agreement is signed, no change to the scope of the project (including budget, timelines, etc.) is possible without the written agreement of Transport Canada.

Terms and conditions related to funding

Transport Canada will contribute up to a maximum of fifty percent (50%) of total eligible expenditures of the project. The maximum amount payable by Transport Canada will not exceed $25,000,000.

Other sources of funding, including from other levels of Canadian government, will be considered by Transport Canada in determining the amount of funding to be awarded.

The maximum level of total Canadian government funding (municipal, provincial, territorial, and federal) must not exceed 100% of total eligible expenditures for any eligible project.

Upon signing of the funding agreement, contribution payments may be made towards eligible expenditures that, in the opinion of the Minister or their delegated representative, are reasonable, and required to achieve the objectives and results of the approved project. Refer to the List of Eligible and Ineligible Expenditures for the Clean Ports Stream.

Transport Canada is not responsible and therefore not obligated to fund any cost over-runs related to the implementation of the project. Additionally, Transport Canada’s ability to fund any changes to cashflow requirements, which may lead to deferring funding requirements to a later year, is based on the amount of funding approved by Parliament in each fiscal year. It is therefore highly recommended to ensure that the cashflow requirements identified in the funding application are reasonable and considers potential risks related to the implementation of the project.

Other information requirements

Funding to be further distributed  

Applicants and recipients must inform Transport Canada in advance when contribution funding is expected to be further distributed to one or more persons or entities who take responsibility to carry out responsibilities related to the implementation of the project to provide Transport Canada the opportunity to consider the benefits and risks associated with the delivery of a project by an ultimate recipient.

If funding is to be further distributed, the funding agreement will clearly establish that the recipient is fully accountable for satisfying the terms of the agreement, will maintain independence in the choice of the ultimate recipient, and will not act as an agent of the Government of Canada in making distributions.

Intellectual Property Rights

Any intellectual property derived from an eligible project produced by the recipient or third party in carrying out the obligations under the funding agreement will vest in and remain the property of the recipient or third party. A related clause may be included in the funding agreement.

Where Transport Canada considers it desirable, Transport Canada may seek a restricted license to any intellectual property rights developed by the recipient or third party where Transport Canada considers it necessary for the public good.

Content Requirements of Funding Application

The following information must be provided by an applicant in their application for funding to allow Transport Canada to assess eligibility as well as evaluate the individual merits of the proposal:

Applicant information:

  • Applicant identification
  • Organizational profile (legal status and mandate)
  • Disclosure of lobbyist involvement
  • Disclosure of former public servants or public office holders
  • Consent regarding intellectual property, if applicable 

Project Description including:

  • project summary, duration, and objectives
  • activities, timelines/milestones
  • performance measurement strategy
  • risks and mitigation strategies
  • project management: staff, partners, and collaborators, as appropriate
  • explanation of ongoing results beyond the end of the project period

Financial information including:

  • proposed project budget and cash flow projection
  • evidence of all sources of secured funding (for example, in-kind and third party) sufficient to complete the proposal. Letters from third parties providing funding (including in-kind) must be included in the application

Environmental assessment determination, if applicable. Refer to Preliminary Environmental Review for requirement to complete a Preliminary Environmental Review.

In addition to involving Canadian Indigenous governments and communities as stipulated in the merit criteria section, consultations with Indigenous communities may be required to help fulfill the Government of Canada’s obligations with respect to the duty to consult. Refer to Indigenous Consultation for additional information.

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 such as 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 with 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

Preliminary Environmental Review

The information to be provided in this section relates to Government of Canada’s requirements under federal environmental/impact assessment legislation and will be used to determine potential future environmental/impact assessment requirements under the Impact Assessment Act (IAA) or Northern Regimes.

Applicants are required to complete a Preliminary Environmental Review of their project by answering the questions on the form found on the Funding Application Template and to submit the completed form as part of the funding application.

Please note that no funds for the Project will be payable by Transport Canada unless and until the requirements under the applicable federal environmental/impact assessment legislation are met. 

Indigenous Consultation

The Government of Canada has a legal duty to consult and, where appropriate, accommodate Indigenous groups when its conduct might adversely impact potential or established Aboriginal or Treaty rights. Through consultations with Indigenous Peoples, the Government of Canada seeks to identify potential adverse impacts of federal activities on potential or established Aboriginal or Treaty rights and related interests and to find ways to avoid or minimize these adverse impacts.

The provision of federal funding to recipients can trigger the Crown’s legal duty to consult, if a proposal might adversely impact potential or established Aboriginal or Treaty rights.

Applicants are encouraged to demonstrate that they have considered the impact of their proposals on potential or established Aboriginal or Treaty rights, if applicable. Refer to Indigenous Consultation section of the Funding Application Template for how to complete this section.

For more information

Questions to inquiries by applicants are being responded to by way of email. If you would like to be added to the distribution list for this program, please email gscprogram-programmecmv@tc.gc.ca.

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