Battery Industry Acceleration Call

Amount: contributions of up to $3,000,000 and $5,000,000 for R&D and demonstration projects respectively.

This call for proposals will fund research and development (R&D) projects and demonstration projects that will help accelerate battery value chain decarbonization, security, and competitiveness for Canada. The call will also contribute to federal efforts to strengthen the network of Canadian battery innovators to help grow world-class Canadian firms in the battery value chain.

The call will fund projects addressing one of four call priorities:

1. Improved performance, affordability, supply chain resiliency, and/or environmental footprint of batteries
2. Demonstrating improved performance and/or cost of batteries for mobility and/or stationary storage applications
3. Scale-up of non-commercial chemistries, advanced manufacturing processes, and/or processing techniques of battery production
4. Novel use cases and/or business model innovation for batteries

Eligible Applicants

This call is open to for-profit legal entities validly incorporated or registered in Canada. Canadian subsidiaries of internationally-based companies are eligible, provided that the organization is legally registered and has an established presence in Canada.

Applicants are permitted to work with partners on their project, including partners that do not qualify as eligible applicants. This could include academic institutions, government labs, other for-profit or non-profit organizations, Indigenous communities, or other entities. Foreign entities are eligible to act as partner organizations for the project.

Eligible Projects

This call is open to R&D and Demonstration projects. R&D projects must address Call Priority 1, while Demonstration projects must address Call Priority 2, 3, or 4.

1. R&D Projects

R&D projects must target Call Priority 1:

• Call Priority 1: Improved performance, affordability, supply chain resilience, and/or environmental footprint of batteries.
  The innovation of the project must take place inside the cell, and target the materials (anode or cathode active materials or precursors), a component (such as electrolyte, current collector, additives etc.), or the design of the cell itself. Projects focused on pack design, integration, or application are not eligible for this call priority.

  Projects addressing this call priority must use cells with at least 1 g of active material, and with a minimum capacity of 250 mAh.

2. Demonstration projects

Demonstration projects must target Call Priorities 2, 3, or 4:

• Call Priority 2: Demonstrating improved performance and/or cost of batteries for mobility and/or stationary storage applications.
  Projects in this call priority must target a mobility or stationary storage application. The innovation of the project must target the cell or pack design (not materials or components). The innovation can take place inside or outside of the cell, but the cell must feature prominently in the project.

  Projects addressing this call priority must use cells with at least 20 g of active material, and with a minimum capacity of 2 Ah.

• Call Priority 3: Scale-up of non-commercial chemistries, advanced manufacturing processes, and/or processing techniques of battery production.
  The innovation of the project must target the materials (anode or cathode active materials or precursors), a component (such as electrolyte, current collector, additives etc.), or the design of the cell or pack. The innovation can take place inside or outside of the cell, but the cell must feature prominently in the project.

  Projects addressing this call priority by focusing on cells or packs must use cells with at least 20 g of active material, and with a minimum capacity of 2 Ah. Validation in cells with less than 2 Ah capacity is permitted for projects focusing on battery components and materials.

• Call Priority 4: Novel use cases and/or business model innovation for batteries.
  The innovation of the project must target the use case or business model. The projects can use commercial batteries if appropriate, provided the battery pack features prominently in the innovation.

  Projects addressing this call priority must use cells with at least 20 g of active material, and with a minimum capacity of 2 Ah.

Projects focused on the following elements of the battery value chain are out of scope for all call priorities:

• mineral extraction or processing
• the production of battery-grade reagents from raw materials
• battery recycling

Eligible expenses

Eligible Expenditures for an approved project must be directly related to, and necessary for, the implementation and conduct of a project and will include:

• Salaries and benefits for employees on the payroll of the funding recipient for the actual time spent by the employees on the project
• Training and workshops
• Professional, scientific, technical and contracting services
• Travel expenditures, including meals and accommodation
• Capital expenditures such as the purchase, installation, testing and commissioning of qualifying equipment, materials and products, including diagnostic, testing tools and instruments, and original equipment manufacturer equipment warranty (including extended warranties where deemed appropriate to mitigate risk and lack of capacity).
• Other expenses including:
  • Laboratory and field supplies, and materials;
  • Printing services and translation;
  • Data collection services, including processing, analysis and management;
  • Facility costs for seminars, conference room rentals etc.;
  • Construction Insurance;
  • Accreditation;
  • License fees and permits;
  • Honoraria;
  • Training; and
  • Field testing services.
• Overhead expenditures, provided they are directly related to the conduct of the project and can be attributed to it. Overhead expenditures can be included as eligible expenditures to a maximum of 15% of eligible expenditures. Overhead expenditures include:
  • Administrative and corporate support provided directly to the project by the funding recipient’s employee(s), valued on the same basis as professional staff time;
  • Routine laboratory and field equipment maintenance, based on the actual expenditure to a funding recipient;
  • Office operating expenses directly related to the conduct of the project (e.g. faxes, telephone, photocopies, internet, SAT phones, and office equipment);
  • Costs associated with further distribution of funding.
  • A predetermined overhead percentage (based on evidence provided by the funding recipient of expected overhead expenditures at the time of contribution agreement negotiation), may be set and subsequently applied to each claim, in order to avoid unnecessary administrative burden to funding recipients.
• GST, PST or HST, net of any tax rebate to which the funding recipient is entitled.

Amount of the Call

This call is open to R&D projects that request between $500,000 and $3,000,000 (comprising up to 75% of total project cost) and demonstration projects that request between $1,000,000 and $5,000,000 (comprising up to 50% of total project cost), both over a period of up to a maximum of five years.

Projects must start on or after April 1, 2025, and no later than March 31, 2026.

The EIP will provide non-repayable contributions for both types of projects. EIP contribution agreements are based on a reimbursement model in which the funding recipient incurs the expense first and is reimbursed later by the program.

Program Timeline

To apply, applicants must complete and submit their Expression of Interest (EOI) via the application portal by 1:00 p.m. ET on April 29th, 2024.