Canola biodiesel reaches milestone

Wednesday, June 29, 2011

Canada’s canola industry is celebrating a milestone in the development of Canada’s biodiesel industry as the two percent renewable content requirement in diesel fuel sold in Canada comes into force July 1, 2011.

“Farmers, the economy and the environment are all winners in this initiative,” said Canola Council of Canada (CCC) president JoAnne Buth. “This comes following years of studies and consultations, and it is clear that the federal government has taken a measured, informed approach.”

Environment Minister Peter Kent and Agriculture Minister Gerry Ritz announced today that the 2 percent renewable content requirement in diesel fuel and heating oil is moving ahead. The coming-into-force date for the requirement is July 1, 2011.

“The renewable fuels standard is an important component in the Canola Growing Great 2015 industry strategy of reaching 15 million tonnes of sustainable canola demand and production,” said Buth.  “Today’s announcement will create a consistent domestic market for canola seed of about one million tonnes annually.”

Canola is both an excellent feedstock for biodiesel in Canada’s cold weather conditions, and is environmentally superior to fossil diesel. ALifecycle Analysis Canola Biodieselreport shows that Canadian canola as a feedstock in biodiesel reduces lifecycle greenhouse gas by 90 percent compared to fossil diesel. Another study by the Alberta Renewable Diesel Demonstration proved that canola biodiesel performed well in practical, on-road tests in cold weather.

As it stands, most of the canola-based biodiesel that is used to meet inclusion standards in British Columbia, Alberta and now Canada is produced from Canadian canola processed into biodiesel in the U.S. and then transported back to Canada.

Today’s announcement is an important achievement.  The canola industry continues to urge the federal government to take the next step of investing in biodiesel plant capacity in Western Canada. “This will enable Canada to produce its own biodiesel and keep the jobs in Canada,” said Buth.

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Media may contact

JoAnne Buth, President
Canola Council of Canada
1-204-982-2109

Or

Jim Everson, V.P. Corporate Affairs
Canola Council of Canada
1-613-230-9990