How much funding can bioenergy projects get in Quebec?

By GrantHub Research Team · · Lire en français

How much funding can bioenergy projects get in Quebec?

If your business in Quebec wants to replace fossil fuels with bioenergy, understanding the available funding is essential. The province’s main program for this is Bioénergies — Implementation, which supports real, on-the-ground conversion projects. Depending on your project size and costs, funding can reach up to $5 million per project—for example, a $4 million project could receive $2 million, while a $10 million project would be capped at $5 million.

This program is run by the Government of Quebec and is focused on lasting reductions in greenhouse gases from thermal bioenergy projects.


Bioénergies — Implementation: Funding Details

Maximum Funding Available

The Bioénergies — Implementation program provides some of the largest bioenergy funding in Quebec for organizations ready to switch away from fossil fuels:

  • Up to $5,000,000 per project
  • Up to 50% of eligible project costs

For example, if your bioenergy conversion project costs $4 million, you could receive up to $2 million in non-repayable funding. If your project costs $10 million, the maximum grant is $5 million.

The funding is non-repayable if you meet all program conditions and complete your project as approved. However, if you do not follow the rules or fail to deliver the agreed results, the government may ask you to repay some or all of the grant (a “clawback”). It’s important to stay in compliance throughout your project.

What Types of Bioenergy Projects Qualify?

The program is focused on thermal bioenergy (not electricity generation). Eligible projects must replace fossil fuels used for:

  • Building heating systems
  • Industrial or manufacturing processes
  • Agricultural or agri-food operations

Common bioenergy sources include biomass and other approved fuels that directly substitute fossil fuels like natural gas, oil, or propane.


Who Can Apply for Bioenergy Funding in Quebec?

Eligibility is broad, but there are clear requirements.

To qualify, you must:

  • Operate a site located in Quebec
  • Currently use fossil fuels and commit to reducing that use in a lasting way
  • Be in one of these sectors:
    • Commercial
    • Institutional
    • Municipal
    • Industrial or manufacturing
    • Agricultural or agri-food
  • Be a small, medium, or large energy consumer (based on non-electric energy use)

Both private businesses and public or municipal organizations can apply, as long as the project leads to verified fossil fuel reduction.


Eligible Costs: What the Funding Can Cover

Knowing which expenses are eligible helps you estimate how much funding your bioenergy project in Quebec could receive.

Eligible costs generally include:

  • Bioenergy conversion equipment
  • Installation and construction work
  • Systems needed to integrate bioenergy into your current operations
  • Project costs directly tied to the conversion

Planning-only or feasibility studies are usually funded under other streams, not the Implementation stream.


Application Timing and Tips

The Bioénergies — Implementation program is currently open, and applications are accepted while funding remains available. There is no fixed annual deadline, so applying early is important.

For large projects, early preparation is critical. Quebec-specific tools like GrantHub’s eligibility matcher can help you filter bioenergy programs by sector and project size before investing in engineering or financial studies.


Common Mistakes to Avoid

  1. Overestimating the funding percentage
    The program caps funding at 50% of eligible costs, even if your project has strong environmental benefits.

  2. Including ineligible expenses in the budget
    General operating costs or unrelated upgrades can reduce your approved funding amount.

  3. Applying without clear fossil fuel reduction data
    You must show how much fossil fuel use will be reduced and how that reduction will last over time.

  4. Waiting too long to apply
    Since the program runs while funds last, late applications risk missing available funding.


Frequently Asked Questions

Q: How much funding can my bioenergy project get in Quebec?
Projects can receive up to $5 million, covering a maximum of 50% of eligible costs under the Bioénergies — Implementation program.

Q: Do small businesses qualify for Quebec bioenergy funding?
Yes. Small, medium, and large energy consumers are all eligible if they meet the fossil fuel reduction and sector requirements.

Q: What types of bioenergy are eligible?
The program supports thermal bioenergy used for heating or industrial processes, not electricity generation.

Q: Is the Bioénergies grant considered taxable income?
It is generally treated as government assistance. Your specific tax treatment should be confirmed with an accountant.

Q: Is there a deadline to apply?
There is no fixed deadline. Applications are accepted while program funding is available.


Next Steps

If you’re estimating how much funding your bioenergy project in Quebec could receive, start by mapping your total eligible costs and fossil fuel reductions. GrantHub tracks Quebec-specific energy funding programs and helps you see which ones fit your project profile before you apply.


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