IESO Grid Innovation Fund

Overview of the IESO Grid Innovation Fund program:

The Grid Innovation Fund (GIF) is an initiative led by Ontario’s Independent Electricity System Operator (IESO), established to support the research, development, and demonstration of innovative technologies, services, and practices that enhance the reliability, sustainability, and cost-effectiveness of the province's electricity grid. The Fund provides financial support to qualified projects that can accelerate the adoption of new energy solutions across Ontario’s electricity system. The programme is especially focused on initiatives that help meet the evolving needs of Ontario’s energy market, address grid challenges, or reduce system costs. It welcomes a broad range of projects, including those that explore distributed energy resources (DERs), energy storage, electrification, demand response, and advanced grid management. The GIF supports both pilot-scale demonstrations and later-stage prototypes ready for real-world application. IESO periodically releases targeted calls for proposals aligned with current system priorities. For 2024–2025, priority areas include enabling DERs, grid decarbonisation, and improving reliability through innovative grid services. Proposals must demonstrate measurable benefits and a clear path to implementation or scalability within Ontario’s electricity ecosystem. The Fund is open to utilities, municipalities, private-sector companies, academic institutions, and not-for-profits. In addition to funding, successful applicants benefit from IESO collaboration, technical guidance, and opportunities to showcase project outcomes to industry stakeholders and policymakers.

Benefits of the IESO Grid Innovation Fund program:

• Access to non-repayable grant funding to support innovation
• Opportunity to pilot new technologies within Ontarios grid infrastructure
• Collaboration with IESOs innovation team and access to technical expertise
• Increased visibility for innovators and technology developers in the energy sector
• Ability to demonstrate proof-of-concept or commercial potential to stakeholders
• Encouragement of partnerships across academia, utilities, and private sector
• Contribution to the modernisation, resilience, and decarbonisation of Ontarios electricity grid
• Showcase successful projects through IESOs innovation platform and reports

Eligibility criteria of the IESO Grid Innovation Fund program:

• Eligible applicants must:
• Operate in Ontario or propose a project with direct applicability to Ontarios grid
• Be a legal entity, such as a utility, private company, university, college, not-for-profit, or municipality
• Propose a project related to electricity innovation, such as grid services, demand management, DERs, electrification, or storage
• Demonstrate technical viability, project management capacity, and financial accountability
• Have access to co-funding sources (private, public, or internal capital)
• Submit a complete proposal aligned with IESOs call priorities and evaluation criteria
• There are no restrictions on company size, age, or revenue history, though projects must demonstrate potential for real-world implementation and broader system benefit.