GMF supports cleaner, healthier communities 
 

GMF’s Net-Zero Transformation offer helps communities deliver tangible benefits—like cleaner air, efficient infrastructure and a better quality of life—while accelerating the transition to net-zero emissions.  

Designed for municipalities of all sizes and their partners, it supports innovative, high-impact projects that fall outside the scope of other GMF funding streams. From planning and feasibility to pilots and full implementation, this offer reduces risk and drives bold climate action. We fund plans, feasibility studies, pilots and capital projects that support outstanding projects by all Canadian municipalities in various areas of innovation. 

*Net-zero is defined as eliminating operational and embodied GHG emissions wherever possible and re-absorbing the equivalent of any remaining emissions. 

What we fund

Examples of what we fund include, but are not limited to:

Neighbourhood development

  • Net-zero, resilient and inclusive neighbourhoods:
    • Pre-development studies: Project concept and structuring, including growth scenario modelling, low-carbon service analysis and delivery planning (e.g., partners, financing and governance).
    • Pre-construction studies: Detailed design and investment readiness, including low-carbon infrastructure design, energy modelling and procurement planning.
  • Low-carbon brownfield initiatives that use in-situ remediation approaches, renewable energy, soil and demolition material reuse, and ecological site restoration

Buildings and retrofits

  • Building retrofit techniques that significantly reduce costs and shorten payback periods.
  • Regenerative buildings that contribute net-positive environmental benefits.

Energy systems and grid resilience

  • Microgrids and battery storage that help meet peak electricity demand and add resilience to local grids.
  • Thermal energy storage systems, including innovative projects that shift heating and cooling loads to reduce grid strain and improve community energy resilience.

Transportation and mobility

  • Modal shift and transportation demand management (TDM) projects.
  • Electrification of municipal micro-mobility and bike-share systems, mobility hubs and last-mile logistics.
  • Inter-municipal electric vehicle charging plans.
  • First-in-Canada pilot deployments of zero-emission medium- and heavy-duty municipal fleet vehicles.

Circular economy, waste reduction and water systems

  • Net-zero and net-positive water and wastewater systems.
  • Circular economy initiatives focused on construction, renovation and demolition (CRD) waste reduction and material reuse.
  • Circular economy initiatives focused on construction, renovation and demolition (CRD) waste reduction and material reuse.
  • Innovative initiatives to recover surplus food to feed people or animals.
  • Grit recovery initiatives that support the reuse of CRD waste or recyclable materials.
  • Improved sorting or other technologies that reduce residual waste sent to landfill.
  • Bio-covers and bio-filters for landfill gas mitigation at small or inactive landfills.

Financing mechanisms and incentives

  • Design and deployment of innovative funding mechanisms and incentives to accelerate zero-carbon new builds and retrofits.
  • Design and deployment of innovative municipal financing mechanisms and incentives that preserve and enhance carbon-rich ecosystems for climate mitigation.

Benefits

  • Develop, test or apply new knowledge or approaches.
  • Improve performance and address key municipal challenges.
  • Deliver cleaner air, more resilient infrastructure and a better quality of life for residents.
  • Reduce GHG emissions in line with Canada’s 2030 and 2050 targets.

What we do not fund

  • Projects that are eligible under another GMF funding offer.
  • Projects that do not involve one of the following:
    • The development and/or application of new knowledge, policy, practice, business model, or advanced technology.
    • A new or emerging application of an existing technology or practice (e.g., in a new context) in a manner that represents a substantive change to current operating conditions or performance.

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.

Plan: Net-Zero Transformation

Conduct integrated planning exercises to support the municipal transition to net-zero

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Study: Net-Zero Transformation

Assess new approaches and solutions to bring your community closer to net-zero

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Pilot: Net-Zero Transformation

Evaluate innovative GHG reduction solutions in real-world conditions

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Capital project: Net-Zero Transformation

Deploy a full scale best-in-class GHG reduction solution

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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.

Have questions about Net-Zero Transformation?

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.

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