GMF supports the adoption of energy solutions that meet community needs and are aligned with a net-zero future. Canadian municipalities can reduce local GHG emissions in line with the Government of Canada 2030 and 2050 targets, heat and cool buildings more efficiently, and build resilience in the face of a changing climate.

We fund business case studiesfeasibility studies and capital projects that support all Canadian municipalities with a streamlined approach to assess and deploy a variety of district and renewable energy systems.

What we fund

  • Recovered or renewable thermal energy in new or existing facilities.
  • District heating and cooling capital projects for new or existing buildings.
  • 100% renewable electricity generation capital projects.
  • Business cases that help municipalities identify the right technologies, while considering best practices, the local context, potential partners, GHG reductions, and financial rates of return.
  • Feasibility studies that further identify and design the ideal community energy system while maximizing community benefits.
  • Capital projects that demonstrate significant environmental and social benefits, as well as a strong businesses case.


  • Reuse of energy that is otherwise wasted.
  • Improved community resilience to price shocks and service interruptions.
  • Create local jobs and grow your local economy.
  • Keep energy dollars in the community.
  • Reduce municipal operating costs.

What we do not fund

  • Waste-to-energy systems. Please see our Organic Waste-to-Energy offer.
  • Rooftop Solar PV systems for one building only.
  • Fuel switching to natural gas from other sources of energy is not eligible, nor efficiency. measures affecting natural gas systems.

Available funding

We support projects at various stages of development through grants and loans. Funding amounts are based on total eligible costs. Further details on eligible costs are provided on individual funding pages.

Business case: Community Energy Systems

Assess viable community energy projects and their business models

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Study: Community Energy Systems

Outline the design of a proposed community energy system

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Capital project: Community Energy Systems

Construct, commission and rapidly deploy a community energy system

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Have a project that goes above and beyond?

GMF’s Net-Zero Transformation offer funds the development and demonstration of new solutions to support the municipal transition to net-zero. We provide funding for plans, studies, pilots and capital projects for a wide range of innovative and replicable initiatives that have significant GHG reduction benefits.

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Featured Resources

Our free learning resources build your knowledge in developing sustainable projects and accelerate your community’s transition to a resilient, net-zero future.

Webinar recording: An introduction to district energy

Learn how a centralized heating and cooling system can help your municipality reduce GHG emissions and save money.

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Case study: Building sustainable communities with district energy

Learn how the City of New Westminster is planning to transform wastewater into green energy.

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Have questions about Community Energy Systems?

Contact our Outreach team who can answer any questions you have relating to this funding opportunity.

Climate and sustainability funding for municipalities

Upgrade infrastructure, meet your local climate objectives, and contribute to a net-zero Canada by 2050.


Delivered by the Federation of Canadian Municipalities, GMF manages approximately $2.4B in programs funded by the Government of Canada.