Regulatory Experimentation Expense Fund draft

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Expressions of Interest (EOIs) for the Regulatory Experimentation Expense Fund will be accepted until November 21st, 2025.

What is the REEF? The Regulatory Experimentation Expense Fund (REEF) supports federal regulators in innovating or facilitating innovation in the marketplace by experimenting with: Innovative approaches to any stage of the regulatory lifecycle Market innovations (e.g., new products, business models, and services) All stages of regulatory experimentation are supported, including: Determining if an experiment is the right approach Developing a regulatory experiment Conducting a regulatory experiment The REEF is open to all Government of Canada regulators.

What can the REEF offer?

Regulators can receive:

Financial Support

• The total funding envelope is $1,400,000 per fiscal year. This amount represents the overall budget available to support multiple projects across potentially multiple fiscal years. Funding will be allocated to cover expenditures considered necessary to support the purposes of proposed regulatory experiments or pre-experiments. Individual project budgets will vary based on their scope and needs, within the constraints of this total funding envelope.
  • The Treasury Board of Canada Secretariat reserves the right to make the final determination on eligible expenditures

Important Update: Due to multiple ongoing multi-year projects, funding for the new round of REEF will be approximately $650K. This limited budget will be allocated to proposals that best align with Government of Canada priorities. Funds can support both project implementation and administration costs. Early consultation is recommended to ensure alignment with current funding availability and priorities.

Technical Support

• Expert advice and guidance to help navigate your specific regulatory context

Eligibility Criteria

To be eligible for the REEF, proposed regulatory projects must meet the following criteria:

Regulatory Experimentation: The project must be about regulatory experimentation, either:

  a. Conducting a regulatory experiment, or

  b. Supporting pre-experimentation activities (developing an experiment or determining if experimentation is appropriate)

Problem or Opportunity: The project must address at least one of the following:

•   A defined industry need
•   A technological challenge
•   A market opportunity

Innovation: The project must support innovation in regulatory approaches or in the marketplace.

Webinar: Regulatory Innovation Tools (December 13, 2023)

For further insight into the eligibility criteria and examples of successful projects, please watch the webinar on Regulatory Innovation Tools from December 13, 2023. This webinar provides valuable information on how to meet the criteria and enhance your proposal.

Click to access presentation materials: Regulatory Innovation Tools Webinar Deck

The Process

Step	Description
Informal Consultation	Before submitting an EOI, consult with the CRI at cri-cir@tbs-sct.gc.ca to confirm project eligibility.
Expression of Interest Submission	Submit an Expression of Interest (EOI) by November 21, 2025. EOIs should be brief and take only a few hours to complete. Email submissions to cri-cir@tbs-sct.gc.ca.
CRI Assesses Expression of Interest	After the submission deadline, there will be a review period where: The CRI team will provide feedback on submitted EOIs, applicants may be asked to update or clarify aspects of their EOI. This iterative process ensures all EOIs are as strong as possible before final assessment When there are many high-quality Expressions of Interest (EOIs), the CRI will consult the SC to prioritize those that: Foster innovation applicable across multiple sectors Align with key government initiatives
Proposal Submission	Successful EOI applicants invited to complete a full proposal Applicants must obtain support from Director General or above CRI supports throughout the process Use the Regulators' Experimentation Toolkit
Funding Decision	For proposal assessment, the Steering Committee (SC) will: Eligibility: Ensure all proposals meet the basic requirements for consideration. Assessment: Eligible applications will be assessed and ranked based on: Public Benefits: Extent to which Canadians will benefit from the experiment's learnings Viability: Likelihood of delivering sought learnings, including risk assessment and mitigation Alignment with the Fund Objective: How well the proposal aligns with the overall goals of the funding initiative Funding Decision Funding available from April 2025 MOU completion required Regular reporting needed (financial forecast, progress, and final reports)
Memorandum of Understanding	CRI works with the applicant to develop and finalize an MOU MOU outlines conditions of funding, reporting requirements, and committed funds
Reporting	1. Regular Reporting Applicants must submit financial forecasts and progress reports to CRI as outlined in the MOU. This ensures transparency and tracks the project's status and use of funds. 2. Final Report At the end of the project, provide a final report summarizing the key learnings and outcomes.
Lessons Learned and Knowledge Sharing	CRI organizes opportunities to share and discuss learnings with interested audiences CRI prepares and publishes a report summarizing key lessons learned from regulatory experiments Presentations may be given to raise awareness, with project lead verification for any project details

The Process

Informal Consultation
Before submitting an EOI, consult with the CRI at cri-cir@tbs-sct.gc.ca to confirm project eligibility.

Expression of Interest
Submit an Expression of Interest (EOI) by November 21, 2025. EOIs should be brief and take only a few hours to complete. Email submissions to cri-cir@tbs-sct.gc.ca.

Expression of Interest Assessment

After the submission deadline, there will be a review period where: The CRI team will provide feedback on submitted EOIs, applicants may be asked to update or clarify aspects of their EOI. This iterative process ensures all EOIs are as strong as possible before final assessment When there are many high-quality Expressions of Interest (EOIs), the CRI will consult the SC to prioritize those that: Foster innovation applicable across multiple sectors Align with key government initiatives

Proposal Submission
Successful EOI applicants invited to complete a full proposal Applicants must obtain support from Director General or above CRI supports throughout the process Use the Regulators' Experimentation Toolkit

Funding Decision

For proposal assessment, the Steering Committee (SC) will: Eligibility: Ensure all proposals meet the basic requirements for consideration. Assessment: Eligible applications will be assessed and ranked based on: Public Benefits: Extent to which Canadians will benefit from the experiment's learnings Viability: Likelihood of delivering sought learnings, including risk assessment and mitigation Alignment with the Fund Objective: How well the proposal aligns with the overall goals of the funding initiative Funding Decision Funding available from April 2025 MOU completion required Regular reporting needed (financial forecast, progress, and final reports)

Memorandum of Understanding
CRI works with the applicant to develop and finalize an MOU MOU outlines conditions of funding, reporting requirements, and committed funds

Reporting
1. Regular Reporting Applicants must submit financial forecasts and progress reports to CRI as outlined in the MOU. This ensures transparency and tracks the project's status and use of funds. 2. Final Report At the end of the project, provide a final report summarizing the key learnings and outcomes.

Lessons Learned and Knowledge Sharing
CRI organizes opportunities to share and discuss learnings with interested audiences CRI prepares and publishes a report summarizing key lessons learned from regulatory experiments Presentations may be given to raise awareness, with project lead verification for any project details

Application Documents

Document	Description
Regulators' Experimentation Toolkit	Toolkit for regulatory experiments and sandboxes
Expression of Interest (EOI) Template	Template for submitting your initial interest

Ongoing Projects

For examples on current successful REEF projects, expand the table below.

Department/Agency	Project Title	Project Description
Transport Canada (TC)	Light Sport Aircraft	Transport Canada is conducting a regulatory experiment to assess the suitability of Light Sport Aircraft (LSA) for use in flight training. The project aims to evaluate LSA certified by the European Union Aviation Safety Agency in Canadian flight training environments. Working with selected flight schools, Transport Canada will gather data on aircraft performance, reliability, and training quality. The experiment seeks to inform potential updates to regulations, potentially allowing more modern and environmentally friendly aircraft options for pilot training while maintaining safety standards.
Health Canada (HC)	Advanced Therapeutic Products Framework for CAR-T Products	Health Canada is developing a regulatory sandbox for Chimeric Antigen Receptor T-cell (CAR-T) therapy products manufactured at the point of care. This experiment aims to test a co-creation process for developing tailored regulatory requirements under Health Canada's Advanced Therapeutic Products pathway. The project will involve collaboration with various stakeholders to design market access authorization requirements for these innovative cancer treatments. The goal is to create an adaptive regulatory framework that maintains safety standards while facilitating faster access to new therapies.
Canada Energy Regulator (CER)	Assessing Compliance of Potential New Requirements to Prevent and Address Impacts to Indigenous Rights and Interests: A Regulatory Experiment	The Canada Energy Regulator (CER) is conducting a regulatory experiment to develop and test new requirements for preventing and addressing impacts to Indigenous rights and interests related to energy infrastructure projects. The experiment aims to enhance Indigenous involvement in compliance verification and oversight processes. Using a co-creation approach with Indigenous communities and other stakeholders, the CER will develop tailored regulatory requirements and test a joint compliance verification process. The project seeks to strengthen measures to protect Indigenous rights while informing updates to CER's regulatory framework.
Agriculture and Agri-Food Canada (AAFC) and Canadian Food Inspection Agency (CFIA)	Facilitating Industry Collaboration to Streamline Regulatory Pathways for Novel Fertilizers	Canadian Food Inspection Agency (CFIA) in collaboration with Agriculture and Agri-Food Canada (AAFC), aims to streamline regulatory pathways for novel fertilizers in Canada. The project will test an industry-developed prioritization matrix to identify key ingredients for potential exemption from registration, potentially reducing the backlog of premarket applications. It will evaluate the effectiveness of allocating CFIA resources towards expanding the List of Materials (LOM) and explore industry collaboration in prioritizing materials and developing application packages. By comparing the costs and efficiency of adding materials to the LOM versus reviewing individual registration applications, the project seeks to inform strategies for reducing regulatory burdens while maintaining safety standards. This approach could lead to faster market access for novel fertilizers, supporting agricultural productivity and environmental sustainability in Canada.
Transport Canada (TC)	Enabling Commercial Space Launch in Canada	Transport Canada (TC) is using a regulatory sandbox to test and refine an interim regulatory regime that enables commercial space launch activities in Canada in a safe and secure manner. In the sandbox, TC will authorize Canadian companies to conduct space launches to help evaluate TC’s launch authorization requirements, review process and oversight approach. This project will help inform the development of a permanent regulatory framework that enables growth in the commercial space launch industry in Canada, while ensuring their activities are safe and secure.
Transport Canada (TC)	Establishing a Battery Electric and Hydrogen-Powered Locomotive Regulatory Sandbox (in support of Rail Safety and Decarbonization)	Transport Canada (TC) is using a regulatory sandbox to develop and test standards requirements for new hydrogen and battery-powered locomotives that foster industry innovation while maintaining safety. In the sandbox, rail companies will comply with the standards requirements in real world operations to help TC evaluate standards burden, inspection outcomes, and the impact on innovation. This project will help inform the development of a permanent regulatory regime that allows Canadian companies the flexibility to develop these new locomotives, while ensuring they are used safely.
View list of completed projects and experimentation reports

Questions?

If you have any questions, please contact the CRI at cri-cir@tbs-sct.gc.ca.