Program Details

Introduction

The Innovation PEI Pilot Fund has been designed to help Islanders test high-risk innovation-based ideas that have strong commercialization potential in the fields of bioscience (including agriculture and fisheries), information technology, aerospace, and renewable energy. Eligible proponents include primary producers, businesses, industry partnerships, and academic researchers.

The Innovation PEI Pilot Fund will provide grants of up to $25,000 to cover eligible operating expenses associated with testing an innovation-based idea. Applications will be evaluated by a peer review committee based on the project’s level of innovation, commercialization potential, connection to one of the four sectors identified in the Island Prosperity Strategy, level of collaboration with local, national, or international partners, and qualifications of the proponent and identified partners. The ability to meet budgetary requirements is essential.

This fund represents the second commitment made by the province to increase investment and improve support for the transformation of ideas into commercially successful products, processes, or services.

Eligible Proponents

Proponents must:

• Be from the private sector, public sector, industry associations, or academia (provincial government departments, agencies, or crown corporations are not eligible to be primary applicants).
• Reside or be incorporated in Prince Edward Island.
• Demonstrate capacity to meet project outcomes as evidenced through appropriate experience, education and training, or partnerships.

Eligible Projects

Proposed Project must:

• Involve testing a product, service, or process.
• Demonstrate a high level of innovation.
• Fit clearly within the bioscience (including agriculture and fisheries), information technology, aerospace or renewable energy sectors.
• Include a project plan that identifies expected outcomes, and deliverables.
• Produce a project budget.
• Describe all eligible expenses for the duration of the project, including timelines or milestones. Indicate potential funding and proof of any confirmed funding sources.
• Have commercialization potential.
• Disclose and address any potential ethical considerations including use of intellectual or material property protected by copyright or patents and ethical concerns regarding use of human subjects, potential impact on the environment, etc.
• Disclose partnerships with Island institutions/corporations relevant to the proposed project.
• Outline the utilization of products/services produced on PEI.
• Describe the economic impact the project will have on the province (jobs and economic spin-offs, etc.).

Note: Projects are typically up to 12 months in duration, however applicants will be allowed up to 36 months to accommodate those projects that require longer pilot stages. In these special cases, the project will not be eligible for further funding through IPS programs until the project is completed.

Eligible Activities

Eligible activities may include (but are not limited to):

• Market research and assessment
• Technical feasibility
• Intellectual property development/protection
• Preliminary manufacturing assessment
• Business and financial assessment
• Product and process development

Other Considerations for Eligibility

• If a project is deemed as being dependent on the results of an existing project that has not been completed, the applicant must ensure that all activities are to be completed before the assigned start date of your project or no later than December 31st, 2009.
• Proponents who have received previous provincial government funding are eligible, however, your application will be thoroughly reviewed to ensure overlap in activities or funding does not exist between current and previous applications.
• The maximum contribution to any project is 75% of the eligible expenses. Contribution guidelines from other agencies involved in the project should be considered. The applicant should ensure compliance with all other funding sources when establishing the budgetary requirements for the project.

Project Assessment

Proposed projects for the Innovation PEI Pilot Fund will be evaluated against a clear set of program criteria using information contained in the proponent’s submitted application. Each proposal will be evaluated by a peer review process.

Level of Assistance

Approved projects will be eligible for up to $25,000 in grant funding for operating expenses directly tied to the approved project. Eligible operating expenses include salaries, direct material, sub-contracting services, equipment costs of up to $5000, in-kind expenses, and indirect costs of up to 20% of direct costs. Ineligible operating costs include insurance, phone lines, internet charges, goodwill, property tax, and other taxes (these lists are not exhaustive). Total project funding will not exceed 75% of total project costs.

Funding will be provided in two payments. Fifty percent of the approved funding will be provided upon signed confirmation of the terms and conditions of the agreement. The second half of the approved funding will be paid upon expiry of the agreement on the condition that appropriate documentation is provided, and the project has been completed.

Performance Monitoring

For each approved project, a letter of offer stating the terms and conditions of approval will be forwarded to the applicant or corporate contact. When accepted, the letter of offer shall constitute a contract between government and the applicant(s).

Should the project fail to comply with the terms and conditions of the contract or be discontinued, government may at its sole discretion:

• Declare the applicant to be in non-performance (default) of the contract.
• Request the applicant to repay in full the incentive received.
• Take necessary legal action to collect the incentive amount in full with interest.

For More Information

Full applications for the Innovation PEI Pilot Fund program will be accepted through to September 28th, 2009. There will be no letters of intent required for this process.

Applications and instructions are available online at www.islandprosperity.com through the following links:

• Applications
• Instructions

Please note that the on-line application has been updated. Applicants now have the option to save and print their application during completion. Security features have been added to ensure the safety and privacy of information contained in the applications.

For specific questions or inquiries regarding the program please contact;
Gailene Tobin
Director of IPS Programs
Department of Innovation and Advanced Learning
(902) 620-3898
gatobin@gov.pe.ca