Emissions Reduction Alberta (ERA), is committing $1.5 million annually, totalling $4.5 million over a 3-year period toward the Lab Services Incentive Program (LSIP). Funding is sourced from the Government of Alberta’s Technology Innovation and Emissions Reduction (TIER) fund. LSIP will operate from October 1, 2026 to September 30, 2029, subject to funding availability.

LSIP builds directly on the results of a one-year pilot delivered in 2025-2026. The University of Alberta was one of the three participating post-secondary institutions in the pilot.

LSIP aims to improve collaboration and access to specialized lab services for early-stage technology developers in Alberta. It’s designed to provide easier access, greater efficiency, and enhanced affordability when it comes to lab services.

Targeted outcomes include moving projects up the Technology Readiness Level (TRL) scale towards commercialization, and fostering collaborations between Alberta’s post-secondary institutions and SMEs, in order to advance technologies within at least one LSIP focus area (Enhanced Efficiency, Energy Horizons, Industrial Frontiers, Circular Economy, and Carbon Management).

For detailed program information, you can download the Program Guide here.

Also, Frequently Asked Questions (FAQs) are available here.

Under the program, an approved LSIP project can receive up to 50 per cent of the nominal eligible project cost, up to a maximum LSIP incentive of $50,000 during the 3-year program. The minimum LSIP incentive is $10,000. Projects with nominal costs below $20,000 are not eligible. Projects with nominal costs greater than $100,000 may be eligible, but ERA’s incentive will be capped at $50,000.  A client may apply for multiple LSIP-supported projects, but the total LSIP incentive to any one client is capped at $100,000 for the 3-year program.

The program will follow a continuous intake structure until September 30, 2029, or whenever funds are depleted. PSIs will need to complete and submit a Project Pre-Approval Form to ERA.

A PSI should submit a project to ERA for pre-approval once the PSI and SME client have sufficiently defined the proposed lab services project, including the client, technology context, scope of services, estimated cost, anticipated timeline, and how the project aligns with LSIP objectives. ERA will provide written approval for eligible projects. The PSI and the applicable SME Client shall enter into a written agreement for each Approved Project prior to commencing work.

ERA will generally consider complete project submissions in the order received. However, all approvals remain subject to eligibility, completeness, funding availability, applicable funding limits, and ERA’s discretion to allocate, reserve, reallocate, limit, or discontinue LSIP funding in accordance with the LSIP Participation and Funding Agreement and program objectives.

ERA will continue key activities such as project approvals, client recruitment, advance funding, reconciliation, reporting, and monitoring in Year 2 (October 1, 2027 – September 30, 2028) and Year 3 (October 1, 2028 – September 30, 2029) of LSIP. Multi-year projects are allowed within the 3-year program timeframe and must be fully completed by September 30, 2029.

The CEMP is tasked with the delivery of the program at the University of Alberta and will provide assistance including coordination support with LSIP to those who are developing projects involving lab services delivered at the University of Alberta. Projects involve:

• For-profit small and medium-sized enterprises (SMEs) (with no more than 499 employees) with an Alberta presence, developing specific technologies aligned with at least one of ERA’s five focus areas and seeking opportunity to access lab services at the university. The CEMP will work with such a company to identify potential researchers and labs, and facilitate initial discussions.
• The University of Alberta faculty, who are engaged with for-profit small and medium-sized enterprises (SMEs) from Alberta, have capacity to deliver lab services and technical expertise to support the company’s technology development, and are developing a project with the company.

LSIP Focus Areas

Enhanced Efficiency

Definition – Optimizing today’s technology performance and productivity: Driving towards best-in-class management of energy and resources across the economy via improvements in productivity, optimization, and conservation.

Energy Horizons

Definition – Looking to the future of Alberta’s energy systems: Reshaping how clean energy carriers like electricity and fuels are produced, stored, transmitted, delivered, and used, with a focus on reducing emissions from energy use while strengthening the grid and critical energy infrastructure.

Industrial Frontiers

Definition – Expanding the opportunity space: Transforming the environmental and economic performance of Alberta’s major sectors via step-changes in the processes, practices, and feedstocks they use, while also supporting development of new low-emissions products and industries.

Circular Economy

Definition – Closing the loop: Reimagining how materials and products are designed, produced, and managed to reduce embodied carbon, reduce or upcycle waste, optimize product/material use, and extend product lifecycles.

Carbon Management

Definition – Cleaning up: Natural and artificial technologies and practices to capture or remove carbon, convert or utilize it in new products, and/or permanently sequester it.

Please contact the CEMP to explore opportunities with LSIP. The following project pre-approval information will be required for moving forward with funding support.