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Green Freight Program

Federal grants helping medium and heavy-duty vehicle fleets reduce fuel consumption and emissions through fleet assessments, equipment retrofits, vehicle repowering and low-carbon vehicle purchases.

  • Provider
    Natural Resources Canada
  • Closed

Green Freight Program

Federal grants helping medium and heavy-duty vehicle fleets reduce fuel consumption and emissions through fleet assessments, equipment retrofits, vehicle repowering and low-carbon vehicle purchases.

  • Provider
    Natural Resources Canada
  • Closed
  • DETAILS
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Categories
  • Environment, water and climate change
  • Transit and active transportation
Description

The Green Freight Program helps medium and heavy-duty vehicle fleets reduce fuel consumption and greenhouse gas emissions through two distinct funding streams. Stream 1 provides grants for fleet energy assessments and equipment retrofits on a continuous intake basis. Stream 2 (currently closed) offered contributions for vehicle repowering, low-carbon vehicle purchases and logistical best practice implementation.

Stream 1 – Assess and Retrofit (Closed):

Provides grants up to $250,000 per applicant per fiscal year for:

  • Third-party fleet energy assessments (up to 50% of costs, maximum $40,000)
  • Truck/trailer equipment retrofits (up to 50% per eligible device)

Stream 2 – Fleet Modernization (Closed):

Provided non-repayable contributions up to $5 million per project for:

  • Repowering existing vehicles with lower-carbon or zero-emission fuel systems
  • Purchasing new low-carbon alternative fuel vehicles (covering incremental costs)
  • Implementing logistical best practices to optimize operations (maximum $1 million)

Key Program Requirements:

  • Fleet energy assessment required before retrofit purchases (Stream 1) or project application (Stream 2)
  • Vehicles must be Class 2B through Class 8 (between 3,856 kg and over 14,969 kg GVWR)
  • Eligible vehicle types include cargo vans, cutaway vans, step vans, off-road commercial vehicles and regular freight vehicles
  • Applications reviewed first-come, first-served (Stream 1) or competitively assessed (Stream 2)

Ineligible vehicles: SUVs, pickup trucks, public transit buses, school buses, recreational off-road vehicles, newly purchased vehicles already equipped with proposed devices.

Resources
  • Funder's website
      • Green Freight Program
      • Stream 1: Assess and Retrofit Guide

     

  • Contact
    • Email: freightassessment-evaluationdeflotte@nrcan-rncan.gc.ca
Important Dates
  • Application deadline
    Stream 1: Closed; Stream 2: Closed
Eligible Applicants
  • Municipalities
  • Non-profit Organizations
  • Municipal-owned Organizations
  • First Nations
  • Research Organization
Funding Details
  • Funding Notes
    • Stream 1: Up to $250,000 per applicant
    • • Fleet energy assessments: Up to 50% of costs, maximum $40,000
    • • Truck/trailer retrofits: Up to 50% per eligible device
    • Stream 2: Up to $5,000,000 per project
    • • Standard funding: Up to 50% of total project costs
    • • Enhanced funding: Up to 75% for not-for-profit organizations, governments, or Indigenous projects
How to Apply
  • Fund Guidelines
    • See program page for more details
  • Online Application
    • Stream 1 Application Process (Closed)
    • • Review eligibility (organization, vehicles, activities)
    • • Complete a Fleet Energy Assessment
    • • Apply via the Transportation and Fuels Decarbonization Programs portal
    • Stream 2: Closed to new applications

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Disclaimer

We make every effort to ensure the program details in this guide are accurate. In the event of a discrepancy between this guide and the funder’s official website, the information on the program website will take precedence.

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