Just three days before Premier Darrell Pasloski tables the next fiscal year's budget in the legislature, the government has made another major funding announcement.

The Yukon Research Centre (YRC) and the Yukon Cold Climate Innovation Centre (YCCIC) will receive $5 million during the next five years.

Education Minister Scott Kent and Economic Development Minister Currie Dixon made the announcement Monday afternoon.

"The funding will further develop the centre as a central research hub, and produce Yukon-driven academic and commercial research,” said Kent.

"Ultimately, we're providing support for the continued development of a knowledge-based economy through commercialization of research.”

Current YRC projects include the Plastovac system, a device which removes plastic from compost; an experimental greenhouse to overcome challenges faced by northern growers, designed to run off-grid during all four seasons; and the Community Energy and Emissions Inventory, that is designed to provide a baseline of energy use and emissions generated in Burwash Landing, Destruction Bay and Silver City.

"The data from that project will be the foundation of alternate energy projects in the communities,” said Dr. Chris Hawkins, the college's vice-president of research.

"With my forestry background, it always comes down to, if you don't have an inventory you don't know what you're managing.”

The funding is basically a continuation of what the research centre has received from the government since it was established in 2009, Hawkins explained after the press conference.

Last year, the government provided the YRC with more than $700,000 to help with staffing and research costs.

The government is giving the YCCIC more than $2.8 million over five years and the YRC $2.2 million over two years.

"Five years would have been nicer, but as for the funds, yes, it's really good,” said Hawkins.

Past funding has allowed the centre to hire about 10 more staff since the spring of 2010 when Hawkins arrived.

"The idea is that you have core staff that are funded, and then they can go out and follow a strategic plan,” said Hawkins.

"Whereas if you don't have the core staff, you're just chasing money.”

College president Karen Barnes said the YRC is putting the college on the map.

"I think it's also showed people in the North we have the ability to solve our own problems here, and we want to keep doing that. We don't have to go south to get all our solutions,” she continued.

The funding the YRC and YCCIC receive is leveraged to find more funding, Barnes explained.

"On average, we bring in more than a dollar for every dollar we get,” she said.

Dixon made a joke during his speech about how the funding works.

"One helpful analogy I had for the operation was that it's almost like e-harmony: finding the right funders for the right projects,” he said.

"Research, education and innovation are key to growing a northern knowledge sector,” Kent said.

"We are proud of the active network of researchers and innovators within Yukon. Our investment in the knowledge-based sector encourages greater educational opportunities and technical advancement.”

"The Yukon government supports the work of the YCCIC to create commercial solutions that address cold climate issues affecting northerners, and this funding affirms our commitment,” Dixon said.

"The commercialization of cold climate technologies will provide important economic opportunities for Yukoners and contribute to the diversification of Yukon's economy.”

The business community has been receptive to the funding announcement.

"I think it's great,” Dave Borud, the general manager of Northerm, a local window supplier, said of the YCCIC funding.

"This gives us an opportunity to delve into some projects we have been hesitant, until now, to start on. It's great news for us, and for other people and companies involved in innovative business.”

The research centre was established in October 2009 to enable the college to grow its research activities for the benefit of Yukon.

The purpose of the YCCIC is to enable the development of technology, particularly as it applies to cold climate and climate change, for the benefit of Yukoners and the growth of the territory's economy.