CFAs: Retrofit Pathway Study for Sustainable Affordable Housing (Canada)

Deadline: 31-Dec-2026

The Retrofit Pathway Study Grant supports Canadian municipal, non-profit, and cooperative housing providers in planning phased building retrofits that reduce energy consumption and greenhouse gas (GHG) emissions while maintaining safe, reliable, and affordable housing. The grant supports comprehensive studies that compare retrofit options over 10-year and 20-year timelines and help housing providers coordinate upgrades with capital planning and equipment replacement schedules. Grants of up to $65,000 for a single building and $200,000 for a portfolio of buildings are available, covering up to 80% of eligible costs. Eligible Indigenous communities may qualify for up to 100% of eligible costs. What Is the Retrofit Pathway Study Grant? The Retrofit Pathway Study Grant is part of the Sustainable Affordable Housing initiative delivered through the Federation of Canadian Municipalities’ Green Municipal Fund and funded by the Government of Canada. The grant helps housing providers develop long-term strategies for improving the energy performance of existing affordable housing. Rather than funding a single isolated upgrade, the program supports studies that help organizations determine how different building improvements can be phased over time.

The approach allows housing providers to:

- Assess existing building performance. - Identify energy and GHG reduction opportunities. - Compare multiple retrofit pathways. - Understand projected costs and energy impacts. - Coordinate improvements with capital plans. - Align upgrades with equipment replacement schedules. - Plan long-term building improvements. - Maintain affordability and housing reliability. Why the Retrofit Pathway Approach Matters Affordable housing providers often need to balance energy improvements with limited capital resources, equipment replacement cycles, tenant needs, and long-term building maintenance. A phased retrofit pathway can help organizations make these decisions systematically. The study allows housing providers to compare different scenarios rather than committing immediately to a single retrofit strategy. This can help answer important planning questions such as: - Which building systems should be upgraded first? - How much energy could different retrofit strategies save? - How much could GHG emissions be reduced? - What are the projected costs of different pathways? - Which improvements should be coordinated with equipment replacement? - How can upgrades be phased over 10 and 20 years? - How can housing remain safe, reliable, and affordable during the transition? Main Objectives of the Grant The Retrofit Pathway Study Grant is designed to help housing providers plan long-term building improvements that achieve substantial reductions in energy use and GHG emissions.

The main objectives include:

- Improve energy efficiency in existing affordable housing. - Reduce greenhouse gas emissions. - Develop phased retrofit pathways. - Compare different retrofit scenarios. - Support long-term capital planning. - Coordinate building upgrades with equipment replacement. - Maintain safe and reliable housing. - Protect long-term housing affordability. - Support higher-performance retrofit strategies. - Explore electrification where buildings currently rely on fossil fuels. What Does the Retrofit Study Need to Assess? The grant supports comprehensive studies rather than limited assessments. The required study must include several core elements. Baseline Energy and GHG Assessment The study must establish a baseline for the building’s current: - Energy use. - Greenhouse gas emissions. This baseline provides the reference point for evaluating future retrofit scenarios. Building Components and Systems Inventory Applicants must also develop an inventory of relevant building components and systems. This helps establish the current condition and characteristics of the building and provides the foundation for comparing future retrofit pathways. Multiple Retrofit Scenarios The study must evaluate multiple retrofit scenarios over both 10-year and 20-year timelines. The scenarios allow housing providers to compare different approaches to improving building performance. Required Retrofit Scenarios At least three scenarios must be included in the study.

These include:

- Like-for-like replacement scenario: A scenario based on replacing building components or systems with similar replacements.

- Higher-performance scenario: A scenario that provides greater energy or GHG performance than like-for-like replacement.

- Second higher-performance scenario: Another higher-performance pathway that provides an alternative approach to achieving improved building performance.

At least one of the higher-performance scenarios must explore electrification when the building currently uses fossil fuels. Energy and GHG Reduction Targets The scenarios must meet or exceed minimum energy or GHG reduction targets. 10-Year Targets Within the 10-year pathway, the study must achieve at least one of the following: - 50% reduction in GHG emissions, or - 40% reduction in energy use. 20-Year Targets Within the 20-year pathway, the study must achieve at least one of the following: - 80% reduction in GHG emissions, or - 60% reduction in energy use. These targets are important when developing and comparing the proposed retrofit scenarios. Electrification Requirement For buildings that currently use fossil fuels, at least one higher-performance scenario must explore electrification. This ensures that the study considers pathways that can substantially reduce dependence on fossil-fuel-based building systems. Electrification should therefore be incorporated into the scenario analysis where applicable rather than treated as an unrelated option. 10-Year and 20-Year Retrofit Planning One of the defining features of the grant is its long-term planning approach. The study must assess retrofit pathways across: - A 10-year timeline. - A 20-year timeline. This enables