Ontario SMART GREEN Program Program Overview SMART Green

Ontario SMART GREEN Program

Program Overview SMART Green is a program funded by the Ontario Government to drive competiveness, energy efficiency and GHG reductions for SME manufacturers in Ontario 50: 50 matching grant funding up to $200, 000 to implement capital investment projects that will deliver emission reductions, energy efficiency technologies, and best practices through process and/or product improvement. Funding is available for approximately 110 projects across Ontario SMART Green is Government/CME’s response to concerns about cost of Cap & Trade on SME’s Launch planned for the fall - tentatively scheduled for October 18, 2016

Eligibility Targeting SME’s and industry with annual greenhouse gas emissions under 25, 000 tonnes per year and not participating in Ontario’s Cap & Trade program Open to manufacturers in Ontario with minimum 10 employees and 3 years or more operating history Multi-facility organizations eligible – Max 5 facilities up to $500, 000 with the maximum funding allowance per facility being capped at $200, 000 Companies can apply for one project per facility and can include one assessment audit per facility Stacking of funds with other local distribution company or government programs will be considered on an individual basis

Eligible Projects that support reduction in GHG intensity and/or avoidance through upgrades to process /production equipment Support energy efficiency, and Lead to productivity improvements, which in turn lead to lower GHG emissions on per-productionunit basis GHG reduction either on a gross or per-unit basis is the prerequisite for all projects to be eligible Projects that do not demonstrate reductions in GHG will NOT be considered eligible for funding under the Program

Project Examples Boiler Right Sizing and Load Management Advanced Boiler Controls High Efficiency Burners Feedwater Economizers Boiler Combustion Air Preheat Blowdown Heat Recovery Automated Blowdown Control Condensate Return Steam Trap Survey and Repair Minimize Deaerator Vent Losses Steam System Insulation Boiler Tune Up Reduced Furnace Openings (Air & Chain Curtains) Exhaust Gas Heat Recovery Oven/Kiln/Dryer/Furnace Insulation Lighting Retrofit ** Advanced Heating and Process Controls Optimize Combustion Air Compressor Heat Recovery Ventilation Optimization Ventilation Heat Recovery Automated Temperature Control Destratification Fans Warehouse Loading Dock Seals Minimize Door Openings Process Integration and PINCH Analysis Energy Management Solar Walls Reduce Boiler Steam Pressure Condensing Boiler Radiant Heaters Condensing Economizers Direct Contact Water Heaters Burn Digester Gas in Boilers High-efficiency Ovens & Dryers High-efficiency Furnaces Regenerative Thermal Oxidizers Process Heat Recovery Process Improvements (i. e. changing cleaning chemicals, set points, exhaust, moisture control, etc. ) Steam Leak Repairs Improved Building Envelope ** High Efficiency Heating Units Gas Turbine Optimization Steam Turbine Optimization ** This must be associated to the manufacturing process and does not apply to “comfort” upgrades, i. e. lighting, heating and cooling that is not related to production.

Eligible Project Costs Eligible costs include all expenses directly related to the project and deemed reasonable and necessary for its execution Costs may include: Plant equipment purchases, including software and technologies that support the manufacturing processes; Non-capital costs for equipment such as floor preparation, construction of area to install equipment i. e. ground reinforcement. Note: Building expansion costs are not covered; Equipment or software installation and commissioning of new equipment from 3 rd party suppliers; Consulting Fees directly related and necessary to the project implementation (industry standard rates only); Equipment and/or software training provided by equipment vendor. 50% of an Assessment Audit to a maximum of $10, 000. Eligible costs must be for arm's-length purchases.

Ineligible Costs Ineligible costs include, but are not limited to: Any costs determined not reasonable, not incremental, and/or not directly related to the eligible project activities Costs incurred prior to the eligibility date as defined in the SMART Green Program’s Contribution Agreement See www. cme-smart. ca/smart-green for more details on ineligible costs

Funding Levels 50% of costs of technical assessment and monitoring and verification work by approved auditors to a maximum of $10, 000 Reimbursement of the eligible costs of the approved project up to a maximum of $200, 000 or 50% of the total eligible project costs, whichever is less Maximum funding per facility for a combined assessment and capital project is $200, 000 Applicants seeking funding for projects at multiple locations are entitled to be reimbursed 50% of total eligible costs to a maximum of $200, 000 per facility, up to 5 facilities, and an overall maximum funding amount of $500, 000, whichever is less.

Project Selection Applications will be received on a first-in, firstreviewed basis. Projects will be selected based on: Demonstrated reduction of GHG emissions from primary manufacturing process Expectation of success for the project, as demonstrated by the feasibility, clarity and specificity of the project plan Applicant’s ability to achieve the expected results, as demonstrated by the completed audit report provided with application Priority will be given to companies in growth sectors that are energy intensive and trade exposed

Contact Us For more details on the program, visit www. cme-smart. ca/smart-green or contact a representative at 1 -877 -9134263