CEIP Adoption Process

A detailed guide for Alberta municipalities to evaluate, adopt, and launch the Clean Energy Improvement Program.

Overview

The Clean Energy Improvement Program (CEIP) is enabled by Bill 10 (SA 2018, c 6), which amended the Municipal Government Act to create Division 6.1. This legislation authorizes municipalities to establish clean energy improvement programs, impose energy improvement taxes, and designate program administrators.

Deep Retrofit Capital was designated as a Program Administrator under Ministerial Order 16/2025 (signed October 23, 2025). DRC provides turnkey administration -- from bylaw development through ongoing program management -- funded entirely by private capital with zero public funds required.

1

Council Considers CEIP

Evaluation and due diligence

What to Evaluate

  • Community demand for building energy upgrades across property types
  • Alignment with municipal climate action or sustainability plans
  • Experiences of peer municipalities already participating in CEIP
  • Comparison of available program administrators and their service models

Fiscal Impact Analysis

DRC provides a fiscal impact analysis tailored to your municipality, including projected uptake, capital deployed, energy savings, and GHG reductions.

Key considerations include property assessment impacts, local contractor employment effects, and utility savings flowing back to property owners.

No Debt Limit Implications

Under Bill 10, municipal borrowing for CEIP programs is excluded from municipal debt limits. However, with DRC's private-capital model, the municipality does not borrow at all -- DRC funds all projects directly. The municipality's sole financial role is collecting the energy improvement tax and remitting it to the program administrator.

2

Pass CEIP Bylaw

Legislative authority for the program

Model Bylaw Available

DRC provides a comprehensive model bylaw template that your legal team can adapt to your municipality's specific needs. The model bylaw covers all required elements under the legislation and regulation.

View Model Bylaw Template

MGA Division 6.1 Authority

The bylaw is passed under the authority of Division 6.1 of the Municipal Government Act (RSA 2000, c.M-26), as added by Bill 10. This provides municipalities with specific authority to establish a clean energy improvement program, designate a program administrator, impose an energy improvement tax, and enter into administration agreements.

Council Resolution

The bylaw is adopted by council resolution following the municipality's standard bylaw process, including any required public hearings or notice periods. DRC provides supporting materials for council briefings and public engagement.

3

Enter Administration Agreement

Formalizing the partnership

DRC Provides Full Administration

Under the administration agreement, DRC assumes responsibility for all program operations: application intake and review, contractor qualification and oversight, project monitoring, financial management, agreement registration on SPIN2 land titles, and reporting.

Municipality Provides Bylaw Authority and Tax Collection

The municipality's role is to maintain the CEIP bylaw, impose the energy improvement tax on participating properties, collect tax payments through the existing property tax process, and remit collections to DRC.

Agreement Highlights

  • Clear roles and responsibilities for both parties
  • Administration fee capped at 5% of total capital cost
  • Data sharing and privacy protections (FOIP compliant)
  • Transition provisions ensuring program continuity
4

Program Launches

Open for applications

Eligible Improvements List Published

DRC publishes the list of eligible improvements for your municipality, covering categories such as building envelope, mechanical systems, lighting, solar and renewable energy, energy management, motors and drives, and commercial kitchen. The list can be tailored to your community's priorities.

Contractor Directory Opened

Qualified contractors in your region are registered and verified through DRC's contractor qualification process. All contractors must hold APEGA or AAA licensing, carry $5M liability and $2M errors and omissions insurance, maintain current WCB coverage, and complete DRC's training program.

Applications Accepted

Property owners submit applications through DRC's digital platform. DRC manages the full lifecycle: ownership verification, insurance confirmation, energy assessment coordination, application review and approval, CEIP agreement execution, SPIN2 registration, and tax imposition notification.

5

Ongoing Reporting

Transparency and accountability

Annual Reports Due September 1

DRC delivers annual public reports to the municipality and the Government of Alberta by September 1 each year. Reports include program activity, capital deployed, energy savings achieved, GHG reductions, contractor performance, and property owner satisfaction metrics.

KPI Monitoring

DRC monitors key performance indicators throughout the program lifecycle:

  • Energy savings (kWh, GJ) against predicted performance
  • GHG reductions (tCO2e) from completed projects
  • Contractor OTIF (On-Time In-Full) delivery rate
  • Property owner satisfaction scores
  • Financial performance and repayment status

Property Owner Satisfaction Tracking

DRC conducts post-completion surveys and one-year follow-up assessments (ASHRAE Level 2 audits) to verify that energy improvements are performing as predicted and that property owners are satisfied with the program experience.

Ready to Get Started?

Contact Deep Retrofit Capital to discuss CEIP adoption for your municipality. We provide guidance and support at every step of the process.