NRCan Energy Innovation Program (CCUS FEED): How to Apply + Proposal Tips

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NRCan Energy Innovation Program (CCUS FEED): How to Apply + Proposal Tips

If you’re planning a large carbon capture project in Canada, the NRCan Energy Innovation Program (CCUS FEED) call is one of the few federal programs that funds Front-End Engineering and Design (FEED) work before a final investment decision. This funding helps reduce technical and cost risk on capital‑intensive CCUS projects, where FEED studies can cost millions. The program is run by Natural Resources Canada (NRCan) and is currently open.


What the CCUS FEED Program Funds — and Who Can Apply

The Energy Innovation Program (EIP): Carbon Capture, Utilization, and Storage (CCUS) FEED Call for Proposals provides non‑repayable federal funding to support detailed engineering and cost work for advanced CCUS projects in Canada.

Eligible applicants

You must be a Canadian legal entity, including:

  • For‑profit companies
  • Utilities
  • Indigenous governments or Indigenous‑owned organizations

To qualify, the applicant must:

  • Own or be responsible for the CCUS capital investment
  • Demonstrate technical, commercial, and financial readiness
  • Complete all project activities in Canada
  • Provide a cash contribution at least equal to NRCan funding
    • Indigenous applicants may contribute less cash under program rules

Individuals who are not incorporated or representing a legal entity are not eligible.

Funding amount and cost share

Based on NRCan program guidance and FAQs, CCUS FEED funding typically offers:

  • $3 million to $7 million per project
  • Up to 50% of eligible project costs
  • Up to 75% for Indigenous applicants

Funding is pre‑commercial and designed to de‑risk projects before construction or final investment decisions.

Required project readiness

This is not early‑stage R&D funding. Your project must already be advanced. NRCan expects:

  • FEL‑3 or equivalent readiness
  • A defined capture source, transport pathway, and storage or utilization plan
  • Clear evidence the project could proceed to construction if FEED is successful

Projects that are still conceptual or lack a viable business case are unlikely to be competitive.

Eligible activities

The program only supports FEED‑level work, including:

  • Detailed engineering and design studies
  • Class 3 cost estimates
  • Project scheduling and execution planning
  • Risk analysis and mitigation planning
  • Permitting and regulatory preparation

Important: CCUS projects focused on enhanced oil recovery (EOR) are not eligible under this call.


How to Apply for the NRCan CCUS FEED Call

Applications are submitted directly to NRCan through the Energy Innovation Program process.

You should be prepared to submit:

  • A detailed project description and technical scope
  • Evidence of ownership or responsibility for the CCUS asset
  • A clear FEED work plan with milestones and deliverables
  • A full project budget showing eligible costs and cash contributions
  • Proof of financial capacity to fund your share of costs
  • Letters of support from key partners, where applicable

Because this is a competitive federal call, proposals are assessed on technical merit, readiness, risk reduction, and alignment with Canada’s CCUS objectives.

Tools like GrantHub’s eligibility matcher can help you quickly confirm whether your organization type, project stage, and province align with NRCan’s requirements before you invest time in a full proposal.


Proposal Tips for a Strong CCUS FEED Application

Many FEED proposals fail because they read like concept notes instead of investment‑ready plans. Based on NRCan guidance, focus on:

  • Specificity over vision
    Clearly define capture volumes, technology choice, transport method, and storage site. Avoid high‑level climate language without numbers.

  • Cost credibility
    Show how your FEED work leads to a defensible Class 3 cost estimate. Name vendors, engineering firms, and methodologies.

  • Risk reduction
    Explicitly explain what risks exist today and how FEED will reduce them before a final investment decision.

  • Funding stack clarity
    Identify other confirmed or planned funding sources and explain how NRCan funding fits without duplication.

GrantHub tracks hundreds of active clean‑energy and decarbonization programs across Canada, which helps teams plan realistic funding stacks alongside NRCan programs.


Common Mistakes to Avoid

  1. Applying too early
    Projects below FEL‑3 readiness are usually screened out.

  2. Including construction or equipment costs
    This call funds FEED work only, not build‑out or procurement.

  3. Underestimating cash contribution requirements
    NRCan expects clear proof that your organization can fund its share.

  4. Proposing EOR‑focused projects
    Enhanced oil recovery CCUS projects are explicitly ineligible.


Frequently Asked Questions

Q: How much funding can you receive from the CCUS FEED program?
Most projects receive between $3 million and $7 million, covering up to 50% of eligible costs, or up to 75% for Indigenous applicants.

Q: Who is eligible to apply for NRCan CCUS FEED funding?
Eligible applicants include Canadian for‑profit companies, utilities, and Indigenous governments or organizations that own or are responsible for the CCUS investment.

Q: What level of readiness is required?
NRCan expects projects at FEL‑3 or equivalent, with strong technical, commercial, and financial fundamentals already in place.

Q: Are enhanced oil recovery projects eligible?
No. CCUS projects primarily focused on enhanced oil recovery are not eligible under this call.

Q: Is CCUS FEED funding taxable?
Federal grants are generally considered taxable income. Confirm treatment with your tax advisor based on your corporate structure.


Next Steps

The NRCan Energy Innovation Program (CCUS FEED) call is best suited for advanced CCUS projects that are close to investment decisions and need credible engineering and cost certainty. If you’re building a funding strategy around FEED and beyond, GrantHub tracks hundreds of active grant programs across Canada to help you identify complementary federal and provincial options.

See also:

  • How to stack grants and loans without violating funding rules
  • What Business Expenses Are Eligible Across Canadian Grants and Loans?

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