The Government of Canada is launching 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. Freight transportation currently accounts for over 10% of Canada’s overall climate-warming emissions.
Transportation accounts for 25% of total greenhouse gas emissions in Canada. Transport Canada’s iMHZEV Program is expected to result in annual greenhouse gas emission reductions of up to 200,000 tonnes per year in 2026, growing to 3 million tonnes per year by 2030.
By 2040, 100 percent of medium- and heavy-duty vehicles sold in Canada will be ZEVs, where feasible.
Since 2016, Canada has invested over $1 billion to make electric vehicles (EVs) more affordable and chargers more accessible for Canadians. These investments are supporting the establishment of a coast-to-coast network of chargers in local areas where Canadians live, work and play, while federal rebates of up to $5,000 are helping more Canadians make the switch to an EV.
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. The GFAP was recapitalized through Budget 2022 and renamed as the Green Freight Program. The Canadian government says it hopes 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.