Fund Mechanics

How CFIF
deploys capital.

100% of contributions are deployed as non-repayable grants to eligible Canadian projects. CFIF also structures capital to unlock institutional project finance that grant capital alone cannot access.

Simple. Structured. Industry-governed.

1

Step 1

Contributions

Primary Suppliers direct up to 10% of their annual CFR reduction requirement into CFIF at the fixed contribution rate.

2

Step 2

Direction

Choose the broader fund or direct to specific qualifying projects via the Contributor Priority Program.

3

Step 3

Evaluation

Independent technical, financial, and regulatory assessment against CFR eligibility criteria and CI reduction methodologies.

4

Step 4

Deployment

Non-repayable grants to verified Canadian emissions-reduction and clean fuel production projects. No equity taken.

5

Step 5

Reporting

Transparent ESG and CFR compliance reporting to contributors on funded projects, emissions outcomes, and credit generation.

How CFIF makes projects bankable

The biggest barrier to building Canadian clean fuel projects is not a lack of grant capital. It is that banks will not lend. Regulatory uncertainty stops institutional lenders from participating in project finance.

CFIF is the only ERFP structuring its capital to absorb this risk, directly unlocking institutional project finance alongside its own grants. Every dollar of compliance capital becomes a catalyst for a far larger pool of private investment.

CFIF is actively exploring this approach in collaboration with major Canadian financial institutions.

Grant capital alone

  • Project limited to grant pool size
  • Banks remain sidelined by regulatory risk
  • Projects stall, not because of poor economics

CFIF catalytic model

  • Grant absorbs regulatory risk for lenders
  • Bank financing unlocked at project scale
  • More projects built. More credits generated.

Potential fund size at various participation levels

Based on total compliance obligation of ~16.5M credits/year in 2025. 10% ERFP allowable = ~1.65M credits/year at $379/credit.

ParticipationCreditsCFIF Fund
1.0%165,000$62.5M
2.5%412,500$156.3M
5.0%825,000$312.7M
10.0%1,650,000$625.4M
At 2.5% participation, CFIF delivers $156.3M annually to Canadian clean fuel projects — supporting 3 to 5+ projects per year at $30M to $40M each.

For illustrative purposes only. Based on 2025 compliance projections.

Estimates based on industry capacity proxies and 10% ERFP cap under the CFR. For illustrative purposes only.

See how CFIF can work for your organization.

We'll walk you through the full mechanics. Every Primary Supplier that engages now helps define what Canadian clean fuel capacity looks like at scale. One call. No commitment. Your industry. Your call.

Ana Avramovic
Ana Avramovic, B.Comm., Executive Director aa@cleanfuels.ca
Keith Driver
Keith Driver, B.Sc., M.Sc., MBA, Technical Director kd@cleanfuels.ca
Jonathan Cocker
Jonathan Cocker, B.A., LL.B., LSO Licensee, Operations & Development Director jd@cleanfuels.ca
Shawn McMillan
Shawn McMillan, CPA, CA, ICD.D, Chief Financial Officer sm@cleanfuels.ca