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Program Funding for New Wells

By Brynn Jones, PAg, Agriculture Programs Specialist, Prince Albert

June 2024

Have you recently installed a well on your farm? Under the Farm and Ranch Water Infrastructure Program, a well for watering livestock, spraying crops, intensive horticulture production or irrigation could qualify as an eligible water development project. Water development projects and supporting infrastructure could be eligible for a rebate of up to 50 per cent to a maximum of $75,000 over the term of the Sustainable Canadian Agricultural Partnership (Sustainable CAP), which is running from April 1, 2023, to March 31, 2028. The program also includes dugouts and pipelines as eligible water development projects.

Water well in pasture
A well in a Saskatchewan pasture

Expenses eligible for rebate when installing your new well include:

  • Engineering or consulting costs.
  • The cost to drill, bore or construct your well.
  • Screening and casing for your well.
  • Gravel for large diameter wells.
  • Pipe, trenching and directional boring from your well to a pressure system and from a pressure system to a water distribution point.
  • Supporting eligible infrastructure.

What is considered supporting eligible infrastructure with your new well?

  • A pump, pump controller, pipeline, pressure system and any miscellaneous plumbing materials.
  • A permanently installed water storage tank that is a minimum of 1,000 US gallons in size to a maximum rebate of $5,000 per project.
  • Permanent fencing to exclude livestock from your well to a maximum rebate of $750 per project.
  • Watering appliances including watering bowl and pad, nose pump, hydrant or water trough to a maximum rebate of $2,500 over the term of Sustainable CAP.
  • Power infrastructure to a maximum rebate of $20,000 over the term of Sustainable CAP. Power infrastructure includes:
    • Power hook-up and SaskPower service installation.
    • Solar/wind/composite livestock watering systems.
    • Water monitoring equipment.
  • Your labour to a maximum rebate of $250 per project and/or the use of your own equipment.
  • Water Security Agency fees.

Other program considerations include:

  • Your well can be a small diameter drilled well, a large diameter bored well, or an excavated/constructed seepage or wet well.
  • All small diameter wells must be drilled by a well driller registered by the Water Security Agency.
  • Test holes may be claimed for rebate even if your well project does not proceed.
  • Wells developed for crop spraying will be eligible only when located on your home quarter and/or land that has existing farmyard infrastructure (bins, shop, Quonset, etc.).
  • Your project must be fully constructed and operational in order to apply for a rebate.
  • To be eligible for this program you must be a primary agricultural producer who can demonstrate a minimum $50,000 of gross farm income in Saskatchewan, a First Nation Band, or a Crown Land Pasture Grazing Association in Saskatchewan.
  • You can receive rebates for multiple well, dugout and pipeline projects over the term of Sustainable CAP until the $75,000 rebate maximum is reached.
  • Before you apply contact a regional agriculture programs specialist to discuss eligibility, required permits and/or approvals and program details. Agriculture programs specialists can also assist you in filling out application forms.

For more information about this program as well as other programs offered under Sustainable CAP, please call the Agriculture Knowledge Centre at 1-866-457-2377 to be connected with an agriculture programs specialist near you.

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