Funding supports 148 projects focused on energy planning, economic development and community resilience
The Ontario government is investing $25 million to support Indigenous-led energy initiatives across the province, announcing that 148 projects have been approved for funding through the 2025 intake of the Indigenous Energy Support Program (IESP).
The funding, administered by the Independent Electricity System Operator (IESO), is intended to strengthen Indigenous participation in Ontario’s expanding energy sector while advancing economic reconciliation. The investment will help communities build local expertise, develop energy infrastructure and improve long-term energy resilience as electricity demand continues to rise.
Associate Minister of Energy-Intensive Industries Sam Oosterhoff said strong partnerships with Indigenous communities are essential to meeting Ontario’s future electricity needs.
“Ontario needs more power, and having strong partnerships with Indigenous communities is fundamental to meeting growing demand while advancing meaningful economic reconciliation,” Oosterhoff said.
He added that the expanded investment will support Indigenous communities through energy planning, infrastructure development and skills training while helping ensure Ontario maintains a reliable electricity system for future generations.
Funding spans three key areas
The Indigenous Energy Support Program provides funding through three primary streams designed to strengthen community participation in Ontario’s energy transition.
The Capacity Building stream supports education initiatives, workforce development and the hiring of Community Energy Champions who help communities identify and pursue energy opportunities.
The Economic Development stream is intended to improve Indigenous access to partnerships in major energy projects and infrastructure development. This year, the IESO expanded the program by introducing an enhanced Remote Projects Development stream aimed at reducing diesel dependence and supporting energy transition efforts in nine identified off-grid First Nation communities.
The Energy Resiliency and Monitoring stream provides funding for the development and updating of community energy plans and other initiatives that improve long-term energy security.
Applications for the program’s 2026 funding round are now open, with submissions due by Oct. 2, 2026.
Government highlights role of Indigenous partnerships
Minister of Indigenous Affairs and First Nations Economic Reconciliation Greg Rickford said Indigenous communities continue to play an important role in Ontario’s long-term energy strategy.
“From planning and innovation to equity partnerships in major projects – Indigenous communities remain key drivers of Ontario’s energy future,” Rickford said.
He said the additional investment will support community-led planning, strengthen local capacity and create meaningful economic opportunities while ensuring Indigenous communities benefit from the province’s expanding energy sector.
The government said the Indigenous Energy Support Program forms part of its broader Energy for Generations strategy, which aims to deliver reliable, affordable and secure electricity while supporting economic growth across Ontario.
Increased funding supports long-term strategy
Ontario increased the annual funding available through the Indigenous Energy Support Program by $10 million in 2025, raising the total annual allocation to $25 million for eligible Indigenous communities and organizations.
The expanded program also supports the province’s strategy to reduce diesel-powered electricity generation in remote First Nation communities by providing dedicated funding for clean energy transition projects.
Since the program was launched in 2009, the IESO has awarded approximately $107.5 million to 185 Indigenous communities and organizations across Ontario.
Industry and Indigenous leaders welcome investment
Will Bouma, Parliamentary Assistant to the Minister of Indigenous Affairs and First Nations Economic Reconciliation, said collaboration has been central to the program’s success.
He said partnerships between Indigenous communities and the province have strengthened local energy capacity while helping advance new projects that support both community needs and Ontario’s electricity system.
IESO President and CEO Lesley Gallinger said equitable participation is essential to achieving meaningful economic reconciliation.
Gallinger noted that 85 Indigenous communities and organizations received $25 million through the program during the previous funding cycle, adding that the new intake provides another opportunity to strengthen partnerships and support economic development across the province.
Chief Kelly LaRocca of the Mississaugas of Scugog Island First Nation said the funding acknowledges the important role Indigenous Nations play in Ontario’s evolving energy landscape.
She said the investment will help communities build expertise, strengthen partnerships and create long-term economic opportunities while contributing to Ontario’s broader clean energy transition.