To support businesses in upgrading infrastructure and operating more efficiently, Emissions Reduction Alberta (ERA) is investing $91 million through its annual Industrial Transformation Challenge, funded by the industry-led Technology Innovation and Emissions Reduction (TIER) program.
Industries across Alberta and Canada are facing rising costs, shifting global markets and increasing pressures to adapt to the challenges of the day. Many of the technologies needed to boost productivity and reduce emissions require significant upfront investment, have long payback periods or are not yet commercially available.
“The TIER fund is helping companies move projects forward that create jobs, strengthen supply chains and help Alberta double responsible energy production. By supporting both proven projects and the next wave of innovation, Alberta is turning good ideas into real world results – building on our province’s long history of responsible energy leadership.”
“Demand for Alberta’s responsibly produced energy has never been higher. We have some of the largest oil and gas reserves in the world with global customers calling because of the reliability and sustainability of our energy. Programs like this give us the social licence to increase our production and meet this demand.”
“Alberta’s industries are facing a dual challenge: reducing emissions while staying globally competitive. The Industrial Transformation Challenge is designed to meet that moment. By investing in a broad range of technologies and solutions, we are helping build a pipeline of innovations that can be deployed at scale, reduce costs and deliver real environmental outcomes.”
Up to $41 million is being awarded through the latest round of the Industrial Transformation Challenge for nine new projects that will deploy practical, cost saving technologies across Alberta’s energy, electricity, construction and manufacturing sectors.
These projects are strengthening Alberta’s energy systems, from smart grid deployment in Airdrie to hydroelectric generation paired with battery storage near Brazeau Dam and closed loop geothermal testing in Clearwater County.
This investment is supporting projects in Alberta’s construction and manufacturing sectors including repurposing coal ash for use in concrete and cement in Halkirk, improving insulation manufacturing in Redcliff to reduce energy use, and upgrading cement production in Exshaw with advanced filtration.
Provincial funding will also advance robotics enabled construction manufacturing in Canmore, improving job-site safety while helping address housing affordability.
“With support from the Government of Alberta through ERA, our advanced distribution management system will introduce new capabilities that will strengthen the grid, support affordability, and improve resilience for communities across the province.”
“Alberta knows how to innovate in energy, and the Government of Alberta’s support through ERA helps GeoGen move from shop floor to field. By deploying modular geothermal systems built with an Alberta-based supply chain, we’re strengthening energy security and reducing baseload energy costs for commercial operators across the province.”
“TransAlta is advancing practical innovation by pairing existing hydro with battery storage to increase capacity and availability of services that will support grid stability. The support from the Government of Alberta through ERA will help unlock reliable, affordable and decarbonized power for Albertans.”
In addition to the projects supported through the latest challenge, Alberta is also launching the next round of the Industrial Transformation Challenge with up to $50 million from the TIER fund. The 2026-27 challenge will support projects that help industries invest in emerging technologies needed to remain competitive in a changing global economy. More information is available on Emissions Reduction Alberta’s website.
Quick facts
- Alberta’s government has committed more than $175 million from the TIER fund through Emissions Reduction Alberta’s Industrial Transformation Challenge since 2022.
- In total, Alberta’s government has invested $68 million into 15 projects through Emissions Reduction Alberta’s 2025-26 Industrial Transformation Challenge.
- The other six projects were announced in February.
- The 15 projects funded through the 2025-26 Industrial Transformation Challenge are estimated to reduce one million tonnes of emissions by 2030, create about 1,300 jobs and inject $212 million into Alberta’s economy by 2030.
- Applications for the 2026-27 Industrial Transformation Challenge are now open and will be accepted until June 17 at 5 p.m. MT.
- Successful Industrial Transformation Challenge applicants are eligible for up to $10 million per project.
Related information
- 2025/2026 Industrial Transformation Challenge: Successful Projects
- 2026/2027 Industrial Transformation Challenge
Related news
- New technology to power Alberta’s energy future (Feb. 12, 2026)