Frequently asked questions

What is the funding profile of a Technology Demonstration Program (TDP) project?

What is the funding profile of aTechnology Demonstration Program (TDP) project?

Innovation, Science and Economic Development Canada will launch annual calls for proposals. Each year the department may allocate up to $54 million for projects expected to be undertaken over a five year period. The program's goal is to support one or more large scale projects each year.

If one project is selected, the applicant would need to have $108 million in eligible costs over five years, 50% of which may be supported by the program. Annual expenditures would be in the order of $21.6 million, 50% of which would be covered by the program.

Typical 5 year project (if only one project is approved)
Recipient Contribution $54M or more
Project Assistance (50%) Up to $54M
Total Project Size $108M or more
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Do partner applicants need to stay in the project from start to finish?

Do partner applicants need to stay in the project from start to finish?

Partner applicants are not required to be involved in the project for its entire duration. The lead applicant may decide which organizations it requires to develop an effective R&D supply chain and has the flexibility to bring in additional partners throughout the project as required provided that the new partnerships contribute to the achievement of the overall objectives of the project, as defined in the contribution agreement and meet the program's eligibility requirements.

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Can government funded research institutes be partner applicants?

Can government funded research institutes be partner applicants?

No, federal research institutes such as the National Research Council or Defence Research and Development Canada, being government entities, may not be direct recipients of Technology Demonstration Program (TDP) funding but may participate in the program's projects as sub-contractors of an applicant, who may claim eligible sub-contract costs under the contribution agreement.

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Does the program support process, service as well as product innovation?

Does the program support process, service as well as product innovation?

The Technology Demonstration Program will support activities that may lead, in the longer term, to the development or improvement of new products, processes or services. Projects funded through this program are expected to be the basis for next generation manufacturing and services in Canada.

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Can international organizations be partner applicants and can they be allocated any of the program assistance?

Can international organizations be partner applicants and can they be allocated any of the program assistance?

International organizations with Canadian companies incorporated pursuant to the laws of Canada and carrying out business in Canada may be eligible applicants (lead and partner applicants). Regardless of the location of their headquarters or ownership, they may be eligible to receive funding under the program for activities undertaken in Canada. Generally, eligible costs must be incurred in Canada. However, limited funding from the program may support R&D outside of Canada when necessary for the project's success and/or when the R&D cannot otherwise be undertaken in Canada.

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Is there a limit to the amount of government assistance in a project?

Is there a limit to the amount of government assistance in a project?

The level of assistance from all government sources (federal, provincial, territorial and municipal) to an eligible project shall not normally exceed 75 percent of eligible costs.

The level of assistance from all government sources (federal, provincial, territorial and municipal) to any one eligible recipient shall not normally exceed 75 percent of eligible costs except for eligible recipients that are academic institutions, for whom the maximum assistance would be 100 percent.

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Does the program allow TRL 1-3 activities?

Does the program allow TRL 1-3 activities?

Project activities are to be in the range of Technology Readiness Level (TRL) one (1) through six (6). Eligible activities are industrial research and technology demonstration in A&D carried out by the eligible recipients.

The combination of these eligible activities constitutes an eligible project:

  1. Industrial research means the efforts and activities aimed at the discovery of new knowledge, typically related to Technology Readiness Levels (TRL) one through three, with the objective that such knowledge may be useful in developing new products, processes or services or in bringing about an improvement to existing products, processes or services; and,
  2. Large-scale technology demonstration means the efforts and activities aimed at advancing new technology from the laboratory to test and validate it in increasingly realistic settings, typically related to Technology Readiness Levels (TRL) four through six with the objective that a successfully demonstrated technology may be further developed into product specific applications, and then tested and certified in an operational environment.
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Is this program for Canada's large companies or small and medium sized enterprises (SMEs)?

Is this program for Canada's large companies or small and medium sized enterprises (SMEs)?

Both. The objective of the program is to position Canada's anchor companies to be globally competitive and to improve the productivity and competitiveness of SMEs by helping them to be more innovative. Large firms have made it clear that they need strong, innovative supply chains and SMEs want to be a part of those supply chains. The Technology Demonstration Program will support large scale projects that, normally under the leadership of OEM and Tier 1 companies, will create and strengthen R&D supply chains in Canada for the benefit of all the partners in a project.

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What is the frequency of the call for new applications to the Technology Demonstration Program and when will the next call be?

What is the frequency of the call for new applications to the Technology Demonstration Program and when will the next call be?

Calls for proposals will be made annually. Interested companies are encouraged to join the Office mailing list, to ensure they are advised of the launch of each new call for applications, by emailing their request to the Industrial Technologies Office.

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Are there priorities or target technology areas in the Technology Demonstration Program which proposals should address?

Are there priorities or target technology areas in the Technology Demonstration Program which proposals should address?

Applicants are invited to submit large-scale technology demonstration projects in any area related to aerospace, defence, space and security applications that have the potential to generate broad-based and long-term economic benefits to Canada.

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Can Technology Demonstration Program projects advance other sectors' priorities?

Can Technology Demonstration Program projects advance other sectors' priorities?

The project must involve R&D that first and foremost can reasonably be expected to demonstrate important new technological advances in the aerospace, defence, space or security domains. To the extent that technological advances have the potential to generate important benefits in other sectors, this will make the proposal more attractive.

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Do Technology Demonstration Program lead and/or partner applicants need to be in the aerospace, space, defence and security (A&D) sector?

Do Technology Demonstration Program lead and/or partner applicants need to be in the aerospace, space, defence and security(A&D) sector?

Given the multidisciplinary range of R&D that must be brought to bear, lead and partner applicants may include companies specializing in a broad range of areas, including information and communications technologies, nanotechnologies, environmental technologies, etc.

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Are in-kind expenses eligible for support under the Technology Demonstration Program?

Are in-kind expenses eligible for support under the Technology Demonstration Program?

Donated equipment and materials for which no costs were incurred during the time that the R&D was undertaken are not eligible costs. Eligible costs that may be reimbursed comprise costs incurred, including for wages and salaries of engineers and technicians undertaking the R&D at companies, universities and colleges; materials; equipment; and overhead established at a flat rate of 75% of direct labour costs. Please see the costing principles in Annex 3 of the Statement of Interest Guide for more detail on eligible and ineligible costs.

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What kind of assistance will Innovation, Science and Economic Development Canada provide to Technology Demonstration Program applicants in filling out their applications?

What kind of assistance will Innovation, Science and Economic Development Canada provide to Technology Demonstration Program applicants in filling out their applications?

Representatives from Innovation, Science and Economic Development Canada's Industrial Technology Office will make presentations and meet applicants to answer general questions about the Technology Demonstration Program. They will not provide advice on how to frame specific proposals or review and comment on drafts of proposals. The Office will be involved in the project assessment and approval process and must not be involved in shaping specific proposals to avoid real or perceived conflicts of interest.

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What kind of assistance will Innovation, Science and Economic Development Canada provide to help small and medium-sized enterprises (SMEs) and post-secondary education institutions connect with potential Technology Demonstration Program lead applicants?

What kind of assistance will Innovation, Science and Economic Development Canada provide to help small and medium-sized enterprises (SMEs) and post-secondary education institutions connect with potential Technology Demonstration Program lead applicants?

The Industrial Technologies Office will not be involved in shaping proposals and will not bring together partners, to avoid being in a conflict of interest. Applicants whose projects are approved will be identified at that time. Recipients will have the flexibility to add partners as required over the R&D project life (typically five years) provided that the new partners and activities contribute to the project as approved. The provincial and national industry associations such as AIAC (Iain Christie), CADSI (Janet Thorsteinson) and Aéro Montréal (Available in French only) (Martin Lafleur) may be able to assist in connecting SMEs and post-secondary education institutions with potential applicants.

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You would like to submit activities associated with your Technology Demonstration Program project as part of an Industrial and Regional Benefits (IRB) and/or Industrial and Technological Benefits (ITB) proposal/activity. Can you do that?

You would like to submit activities associated with your Technology Demonstration Program project as part of an Industrial and Regional Benefits (IRB) and/or Industrial and Technological Benefits (ITB) proposal/activity. Can you do that?

Companies that are considering submitting a Technology Demonstration Program project and wish to have Program-related activities considered as an IRB/ITB activity on a current or future obligation are encouraged to: i) liaise with their own company's IRB/ITB/offset officials and ii) have them contact the IRB/ITB Directorate as early as possible in the process. The IRB/ITB policies have their own eligibility criteria (which differ from those for the TDP), so it would be important to understand these well in advance.

Contact information and IRB/ITB policies details are available at www.ic.gc.ca/irb. IRB/ITB officials have an engagement strategy in place, to provide information and feedback to companies on IRB/ITB eligibility and valuation of a proposed business activity.

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