Emissions Reduction Alberta Announces $91 million Investment in Energy, Electricity, Construction and Manufacturing Sectors
May 4, 2026
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.
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.
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.
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