The CAANZero financing and capacity-building model was developed and iterated over the course of three phases
Between 2020-2025, more than 50 stakeholders were engaged, including municipal partners and advisors, to explore, design and implement the CAANZero program. Through all program phases, SVX has been an advisor and implementing partner.
Phase 1: Design a viable framework for Canada
The CAANZero model emerged from the exploratory work that began at MaRS in 2020, anchored by a 13-member advisory committee including municipal leaders, energy experts, impact investors and Canada’s leading financial institutions. The group explored different models of municipal climate action financing and their potential impact in Canada. These insights were detailed in a 2021 report.
Phase 2: Development of CAANZero model with Canadian municipalities
The second phase explored the feasibility of piloting CAANZero in Canada. The proposed model, which introduced the Climate Action Accelerator Manager (CAAM) role, looked to balance the investment assurances and flexibility required by the market while preserving the goals of municipal partners. These insights were detailed in a 2023 report.
Phase 3: Pilot preparation and lessons learned
The final phase of the program sought to pilot the CAANZero model with municipal cohorts in Ontario and British Columbia. As we worked through setting up the pilot activities, a number of legislative, financial and market barriers emerged, which impacted successful implementation. The lessons we learned during Phase 3, as well as recommended solutions to overcoming the identified barriers, are captured in a 2025 report. Check back soon for our Phase 3 report.
Lessons learned
While MaRS made the decision to not move to full pilot implementation, we remain committed to working with municipalities and the organizations that support them. As part of this work, we are also committed to sharing both our experience with the CAANZero program, as well as the resources developed to facilitate pilot implementation.
We have developed a CAANZero Package, which includes key documents (e.g., governance structure, evaluation framework, implementation plans) that could guide future implementation of a financing and capacity model for municipal actors. Alternatively, it could support those working in other contexts where the model could have broader applicability. Check back soon for the CAANZero Package.
©️ 2025, MaRS Discovery District. All Rights Reserved. Phase 2 of the CAANZero program was carried out with assistance from the Green Municipal Fund, a Fund financed by the Government of Canada and administered by the Federation of Canadian Municipalities. Notwithstanding this support, the views expressed are the personal views of the authors, and the Federation of Canadian Municipalities and the Government of Canada accept no responsibility for them.