Investing in technology is good not only for the environment, but also for the economy. And creating a prosperous net-zero future includes transforming transportation technologies. Freight transportation is critical to the Canadian economy yet currently accounts for over 10 percent of Canada's overall climate-warming emissions. That is why the Government of Canada is investing in initiatives that build a low-emissions transportation sector and help companies thrive in a decarbonized industry while creating healthier, affordable, more sustainable communities for future generations.
Today, the Minister of Transport, the Honourable Omar Alghabra, on behalf of the Minister of Natural Resources, the Honourable Jonathan Wilkinson, launched two upcoming calls for proposals to help decarbonize the medium- and heavy-duty vehicle sector, which includes delivery vans, buses and certain long-haul freight trucks.
Canada's Green Freight Program
From 2018 to 2022, Natural Resources Canada administered the Green Freight Assessment Program (GFAP), investing $3.4 million to support freight companies in decarbonizing their operations. Building on this momentum, the GFAP was recapitalized through Budget 2022 and renamed as the Green Freight Program. The investment will help fleets reduce their fuel consumption and GHG emissions from on-road freight through fleet energy assessments, fleet retrofits, engine repowers, best-practice implementation and the purchase of low-carbon vehicles.
The first call will seek project proposals under the nearly $200-million Green Freight Program to help fleets reduce their fuel consumption and GHG emissions. Successful applicants could each receive grants of up to $250,000 toward fleet assessments and retrofits.
ZEV Awareness Initiative - Medium- and Heavy-Duty Stream
The second call for proposals will focus on awareness and education projects through the Zero-Emission Vehicle Awareness Initiative's (ZEVAI) new medium- and heavy-duty stream. This expansion of the Awareness Initiative will support outreach, education and capacity-building projects related to low-emission and zero-emission medium- and heavy-duty vehicles (MHDV). By addressing low levels of awareness and confidence among businesses and fleet owners, ZEVAI projects will support more widespread adoption of these vehicles, further driving the decarbonization of the MHDV sector across the country.
Both calls for proposals will be open to applicants on December 12 on Natural Resources Canada's website. These investments will help drivers save money at the pump while contributing to Canada's fight against climate change.
Through these new initiatives, the federal government is helping businesses save money, reduce pollution and decarbonize the fleet of today as they prepare for the adoption of the zero-emission vehicles of the future.
