Automotive Grants: Securing Funding for Your Next Project

Ontario is emerging as a key player in the global shift towards clean energy in the automotive sector. With over $25B in investments related to EV battery and transformational automotive technology in the last three years, Ontario is at the forefront of the electric vehicle revolution. As the second-largest vehicle producing region in North America, Ontario boasts an automotive workforce of over 100,000 people.

Ontario's strong research institutions, manufacturing facilities, mining companies, technology development sites, and financial institutions create a culture of innovation and commercialization for the automotive industry. In this blog, we will explore the Ontario Vehicle Innovation Network (OVIN) program's reports on Ontario policies, workforce development practices, research and development initiatives, and access to grants and other funding matches.

Key Takeaways

• Ontario is a leader in the global shift towards clean energy in the automotive sector.
• Ontario's culture of innovation and commercialization is supported by strong research institutions, manufacturing facilities, mining companies, technology development sites, and financial institutions.
• The Ontario Vehicle Innovation Network (OVIN) program offers valuable insights into Ontario's policies, workforce development practices, research and development initiatives, and access to grants and other funding matches.

Policies and Regulations

Ontario's Driving Prosperity Plan outlines four goals to position Ontario as a North American leader in the automotive industry. These goals include repositioning vehicle parts production, establishing a battery supply chain ecosystem, innovating in every stage of development, and investing in Ontario auto workers.

To achieve these goals, Ontario has made over 15 policy and regulatory amendments to streamline and ease requirements for the automotive and manufacturing sector. One of the most notable policy updates is that Ontario now allows on-road testing of autonomous vehicles. This has attracted new investments to the province, generating $567M in savings for Ontario businesses.

Ontario's focus on developing automotive vehicles has also led to the objective of building at least 400,000 electric and hybrid vehicles in Ontario by 2030. To support this objective, the province has implemented regulations that require at least 20% of new vehicles sold in Canada to be zero-emission by 2026, at least 60% by 2030, and 100% by 2035. This has helped increase the supply of zero-emission vehicles in Canada, allowing more Canadians to purchase them.

The Automotive Parts Manufacturers' Association has also been actively involved in promoting the automotive industry in Ontario. They organize various trade shows and events to showcase Ontario's automotive industry and attract new investments to the province.

Overall, Ontario's policies and regulations have created a favorable environment for the automotive industry to thrive, attracting new investments, promoting innovation, and supporting the development of electric and hybrid vehicles.

Workforce Development

Ontario's automotive industry employs over 100,000 workers in vehicle assembly and parts production. However, research suggests that there will be a recruitment gap of 30,000 workers in the sector between 2021 and 2030 due to factors such as ageing automotive workers and a lack of youth interest in the industry. To bridge this gap, the Ontario government is investing in ongoing workforce transformation.

The government is offering a range of university and college programs to support the interest in and access to the automotive industry. Currently, 12 universities and 24 colleges in Ontario offer automotive research and training programs. Additionally, 117 post-secondary schools in Ontario offer science, technology, engineering, and mathematics (STEM) programs, graduating more than 65,000 students per year in these fields.

Ontario is supporting skilled trades through the Skilled Trades Strategy, which aims to reduce stigma surrounding these types of careers, make entry into this field easier, and encourage employers to participate in apprenticeship programs. Between 2020 and 2021, Ontario invested approximately $1.5B in the Skilled Trades Strategy, with $90M allocated to promote the skilled trades to young people entering the workforce. Additionally, the government is bringing in skilled newcomers via immigration programs and has awarded $15.1M towards them.

The Ontario Vehicle Innovation Network (OVIN) is developing a Made-in-Ontario Upskilling Platform for the automotive sector. The platform aims to help Ontario-based companies and employees access online educational programs to upskill their employees and meet future skill requirements.

Overall, Ontario's investment in workforce development programs and initiatives is expected to support job creation and help address the workforce gap in the automotive sector. These efforts are critical to maintaining a highly skilled workforce in the province, particularly for manufacturing locations in Ontario with less than 500 employees.

Research and Development

Ontario’s post-secondary institutions are leading discussions and research on autonomous vehicle (AV). The University of Waterloo, for instance, has a research and development (R&D) workspace for autonomous driving, vehicle connectivity, and advanced driver assistance systems. McMaster University is developing in-house car detection and tracking technology through its Centre for Mechatronics and Hybrid Technologies. The University of Toronto’s Electric Vehicle Research Centre is leading the study on transitioning EV batteries to second-life applications, such as backup energy in microgrids or power grids. Through the Ontario Vehicle Innovation Network (OVIN), nearly $111.8M was awarded towards R&D in the automotive industry. The funding support helps automotive manufacturers and suppliers to adopt advanced manufacturing hardware, production tracking systems, computer-aided design, computer-aided manufacturing, finite element analysis, design for manufacturing, and rapid-prototyping tools. The funding also supports new product introduction, lean manufacturing, lean implementation, enterprise resource planning, and technology adoption. Small- and medium-sized automotive parts suppliers can access funding support from the Jobs and Prosperity Fund (JPF) New Economy stream to perform in-house R&D and productivity-enhancing projects.

Access OVIN Grants and Other Funding Matches

The Ontario Vehicle Innovation Network (OVIN) is dedicated to positioning Ontario as a leading developer and manufacturer of futuristic automobiles in North America. The Ontario Government has pledged an additional $56.4 million, bringing the total investment to over $141 million. This investment is aimed at supporting research and development (R&D), talent development, technology acceleration, business and technical support, as well as testing and demonstration support.

Objectives of OVIN:

• Fostering the development and commercialization of advanced automotive technologies and smart mobility solutions made in Ontario.
• Showcasing Ontario as the leader in developing, testing, piloting, and adopting the latest transportation and infrastructure technologies.
• Driving innovation and collaboration among stakeholders at the convergence of automotive and technology.
• Leveraging and retaining Ontario’s highly skilled talent, preparing the workforce for future jobs in the automotive and mobility sector.
• Harnessing Ontario’s regional strengths and capabilities, and supporting its clusters of automotive and technology.

Additionally, the government of Ontario has launched the EV ChargeON Program to support the installation of public electric vehicle charging stations across Ontario communities.

Moreover, there are numerous cleantech funding opportunities available across Ontario and other Canadian provinces. Mentor Works, a Ryan Company, is a leading government funding application writing consultancy in Canada, offering support for business funding strategies related to cleantech funding.

For-profit businesses with less than $1 billion in global revenues are eligible for government grants and loans. These entities can access the OVIN grants and other funding matches to modernize Ontario’s automotive supply chain and implement clean energy and electric vehicles within the industry. It is essential to stay updated on future funding programs and deadlines, which can be done by subscribing to Mentor Works’ newsletter.

To learn more about applying for Canadian government automotive funding programs, businesses can download the free Electric and Autonomous Vehicle Trends guide.

Frequently Asked Questions

What types of financial support can employers receive for hiring apprentices in Canada?

Employers in Canada can receive financial support for hiring apprentices through various government grant programs. These programs can provide funding for a variety of expenses, including wages, training costs, and equipment. Some of the most popular grant programs for employers include the Canada Apprentice Loan, the Apprenticeship Job Creation Tax Credit, and the Apprenticeship Incentive Grant.

How can apprentices in Alberta benefit from provincial grant programs?

Apprentices in Alberta can benefit from a number of provincial grant programs, which provide financial assistance for things like tuition, tools, and living expenses. Some of the most popular grant programs for apprentices in Alberta include the Alberta Apprenticeship and Industry Training Scholarship, the Alberta Apprenticeship and Industry Training Board Grant, and the Alberta Works Training Programs.

What are the eligibility criteria for the Apprenticeship Incentive Grant in Ontario?

To be eligible for the Apprenticeship Incentive Grant in Ontario, apprentices must be registered in a Red Seal trade and have completed their first or second year of apprenticeship training. They must also be a Canadian citizen, permanent resident, or protected person, and be living in Canada at the time of application.

For which trades are grants available in British Columbia?

Grants are available in British Columbia for a wide range of trades, including automotive service technician, carpenter, electrician, plumber, and welder. The specific grants available will depend on the trade and the individual's eligibility.

What is the duration for processing apprenticeship grants in Canada?

The duration for processing apprenticeship grants in Canada can vary depending on the specific grant program and the volume of applications being processed. In general, applicants should expect to wait several weeks to several months for their applications to be processed.

How much funding can Canadian apprentices receive through available grant programs?

The amount of funding that Canadian apprentices can receive through available grant programs will depend on the specific program and the individual's eligibility. In general, funding can range from a few hundred dollars to several thousand dollars. Some of the most popular grant programs for apprentices in Canada include the Apprenticeship Incentive Grant, the Apprenticeship Completion Grant, and the Canada Apprentice Loan.