The Canada Infrastructure Bank (CIB) and Johnson Controls (JCI) have signed an agreement that commits more than $125 million to accelerate private sector decarbonization retrofit projects across Canada.
CIB will invest up to $100 million toward commercial, industrial, manufacturing and multi-residential buildings leveraged through Johnson Controls OpenBlue Net Zero Buildings.
The sustainable retrofit projects will simultaneously make facilities smarter, safer and healthier for occupants, all while preserving capital for investment in core strategic priorities. This offering also provides an important tool to mitigate the increased price of many carbon-based fuels.
Over the next five years, the CIB’s and Johnson Controls’ collaboration is expected to reduce greenhouse gas emissions by more than 48,000 tonnes per year, resulting in significant decarbonization of retrofitted buildings. In addition, the projects, that Johnson Controls will identify and manage, are expected to create more than 900 jobs in the trade sector.
“We are delighted to partner with Johnson Controls, one of Canada’s largest energy service companies to enable large-scale retrofit projects that will be carried out with no upfront investment from building owners,” said Ehren Cory, CEO, Canada Infrastructure Bank. “This is another CIB investment that fits perfectly with our $2 billion green infrastructure priority sector and will have a long-term material impact on Canadian infrastructure.”
The financing represents 80 per cent of the overall capital cost of projects. An equity investment representing no less than 20 per cent of the capital cost will be provided by Johnson Controls and its affiliate, Johnson Controls Capital Canada Inc.
