The Government of Canada recently committed $2.4 million in funding to Prince Edward Island (PEI) through the Codes Acceleration Fund (CAF) to help the province adopt more ambitious building codes, bringing the province in line with Canada’s 2020 national energy performance standards.
The $2.4 million in funding will specifically support PEI by training building officials and industry professionals to understand and enforce the new codes effectively. By helping the province adopt higher performance tiers for new buildings, the initiative will result in buildings that are more resilient to extreme weather events and significantly lower energy costs for Islanders.
The Codes Acceleration Fund is a significant aspect of Canada’s strategy to reduce greenhouse gas emissions in the building sector, which accounts for a substantial portion of the nation’s overall emissions. Jonathan Wilkinson, Minister of Environment and Climate Change, emphasized the importance of modernized building codes, saying, “Implementing more ambitious building codes will help Prince Edward Island reduce greenhouse gas emissions from its building sector while creating good jobs for its residents. I am proud to support this project through the Codes Acceleration Fund.”
What the Codes Acceleration Fund Accomplishes

The Codes Acceleration Fund (CAF) is a cornerstone of Canada’s climate action plan, designed to help provinces, territories and municipalities adopt and implement advanced energy performance codes. With a total funding pool of $100 million available until 2027, the program is one of the government’s key investments in modernizing Canada’s building sector.
At its core, the Codes Acceleration Fund supports the reduction of greenhouse gas emissions and energy consumption while encouraging innovation and economic growth. Its goals are threefold: to accelerate the adoption of advanced energy performance standards, promote higher compliance rates with new and existing building codes and provide training and resources to help the industry adapt to these ambitious targets.
The fund operates through two main streams to ensure broad accessibility. Stream 1 focuses on jurisdictions with the authority to adopt energy codes, such as provinces, territories and Indigenous governments. This stream, which has approximately $80 million allocated, provides financial support for the direct adoption and enforcement of high-performance codes.
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Stream 2, on the other hand, is for organizations and communities without the authority to enforce energy codes but who can support adoption efforts through training, capacity-building and resource development. This stream offers an additional $20 million in funding to promote nationwide compliance and readiness.
For Canadian residents, the CAF is a game-changer. It directly translates to homes that are more energy-efficient, reducing annual energy costs and making houses more comfortable and resilient. Canadian households currently spend an average of $2,200 annually on energy bills. For poorly insulated homes with outdated HVAC systems that number is pushed even higher.
For builders and construction professionals, the CAF provides opportunities to advance their skills and adapt to modern construction practices. With funding for training and education, workers can stay ahead of industry trends, mastering energy-efficient techniques and integrating advanced materials into their projects. This positions them to meet growing demand for sustainable construction while ensuring compliance with evolving codes.
Communities across Canada will also benefit from the CAF by building climate-resilient infrastructure. In areas like PEI, which are particularly vulnerable to extreme weather events, modernized codes will ensure homes and businesses can withstand environmental challenges.
On a national scale, the CAF plays a critical role in reducing greenhouse gas emissions in Canada’s building sector, which is responsible for 18 percent of total emissions (including electricity). By mandating better insulation, efficient HVAC systems and advanced construction techniques, the program aligns Canada with its commitment to achieving net-zero emissions by 2050.
With the second call for funding proposals open until Jan. 10, 2025, stakeholders across the country are encouraged to seize this opportunity and contribute to a cleaner, more resilient future.
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