Regional Air Transportation Initiative in southern Ontario

Picture of two airplanes on a runway
Discover how we are supporting regional air transportation ecosystems during the COVID-19 pandemic.

This initiative is closed. Review our funding opportunities to learn about other FedDev Ontario supports.

Recognizing the profound impact of the COVID-19 pandemic on the air transportation sector, the Government of Canada introduced the Regional Air Transportation Initiative (RATI) to help businesses and organizations in regional air transportation ecosystems to remain operational through these difficult times and continue to support the economic growth of our regions.

With a national budget of $206 million over two years, Canada’s regional development agencies (RDAs) are delivering this support, with FedDev Ontario delivering $24.2 million in southern Ontario. The RATI complements the measures in Canada’s COVID-19 Economic Response Plan.

Eligible applicants are:

  • Regional and local air carriers;
  • Regional and local airports; and
  • Businesses, cooperatives, business groups, not-for-profit organizations and public institutions that are part of the regional air transportation ecosystem.

Examples of ineligible clients include:

  • Air carriers with outstanding ticket refund issues; and
  • Carriers involved in ongoing negotiations with the Government of Canada.

Eligible activities include:

  • The design and implementation of solutions for increased regional air transportation connectivity to complement other federal measures and in particular those that Transport Canada is implementing;
  • The development and implementation of enhanced services to support regional connectivity;
  • The cash flow needs of regional and local airports; and
  • Adaptation and modernization measures to maintain and improve operations.

Ineligible activities include:

  • Compensation for revenue losses;
  • Refinancing of an existing debt;
  • The purchase of an airplane; and
  • Airplane fuel.

Types of support:

  • Contributions to not-for-profit organizations are generally non-repayable;
  • Contributions to for-profit organizations and businesses are generally repayable or conditionally repayable, including a portion that could become non-repayable; and
  • Contributions to Indigenous clients could be non-repayable.