The Prince Edward Island government has created a new research and development fund to back cleantech projects.

Companies, post-secondary institutions and Indigenous communities will be able to apply for funding worth 80 percent of their project costs to a maximum of $500,000. To be eligible, an organization's work must be related to energy efficiency, renewable power, grid resiliency or environmental protection.

“While we work to reach our nation-leading net zero goals by 2040 and move forward in the construction of the living lab at the Cleantech Park, the Cleantech Research and Innovation Fund is another step towards making lasting change in the sustainability of our province,” said provincial energy minister Steven Myers.

Companies headquartered in the 60-acre Georgetown Cleantech Park, on which the P.E.I. government broke ground early last year, are exempt from any provincial taxes they would otherwise have to pay.

The facility is part of a broader strategy by industry and government in the province to attract more cleantech companies via tax breaks and other financial incentives. Premier Dennis King is aiming to create 2,000 jobs in the sector by 2030.