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Canada to require 2% renewable content in diesel fuel

Back in September, the government of Canada announced regulations that will require an average renewable fuel content of five percent in gasoline and two percent in diesel fuel and heating oil. Implementation of the renewable fuel content for gasoline went into effect on December 15th, 2010, but the two percent requirement for diesel fuel and heating oil was not to be enforced until the government conducted feasibility studies. Well, testing is now complete and Canada's government is ready to move forward.

In the coming weeks, the Canadian government will announce a 60-day public comment period, which will allow the nation's residents to voice concerns regarding the regulations. The government hopes to finalize and implement its renewable fuel standards by July 1st, 2011.

These regulations are but one minor step in Canada's Renewable Fuels Strategy. Once fully implemented, Canada's renewable fuel content requirements will, as the government states, "reduce greenhouse gas emissions by up to four megatonnes in 2012 – about the equivalent of taking one million vehicles off the road."

[Source: Environment Canada]
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Harper Government Moves Forward With Regulations for Renewable Fuel Content in Diesel Fuel and Heating Oil

SAINTE-CATHERINE, Qc -- February 10, 2011 -- The Harper Government today announced that it is moving forward with the requirement for an average 2 per cent renewable content in diesel fuel and heating oil.

"When we announced our Renewable Fuels Strategy, we were clear that the 2 per cent requirement would be implemented subject to technical feasibility," said the Honourable Peter Kent, Minister of the Environment. "After positive results, we are moving forward with this requirement which will result in further reductions in greenhouse gas emissions and ultimately in cleaner air for all Canadians.''

"We are meeting the commitments we have made to farmers, rural communities and industry to regulate the use of renewable fuels," said the Honourable Lebel, Minister of State (Economic Development Agency of Canada for the Regions of Quebec). "The new renewable fuel content in biodiesel and heating oil will give our farmers another market for their crops and demonstrates how agriculture can contribute to reducing Canada's environmental footprint."

Our Government's Renewable Fuels Regulations were published on September 1, 2010. The regulations already require an average of 5 per cent renewable content in gasoline. The regulations also contained the provisions to require an average of 2 per cent renewable content in diesel fuel and heating oil.

When fully implemented, the Strategy's two regulatory requirements combined with provincial regulations will ensure a total volume of renewable fuel that will reduce annual greenhouse gas emissions by up to four megatonnes-about the equivalent of taking one million vehicles off the road.

The proposed regulatory amendment will be published in the Canada Gazette, Part I in the coming weeks for a 60-day public comment period. The Government of Canada is proposing a coming into force date of July 1, 2011.

The Harper Government worked closely with industry partners to support several projects to demonstrate how renewable diesel fuel would perform under the range of Canadian conditions. The report concluded that an average of 2 per cent renewable content is technically feasible.

Reducing emissions in the transportation sector is a key component in the Government's plan to achieve Canada's target of reducing total greenhouse gas emissions by 17 per cent from 2005 levels by 2020. In addition to the Renewable Fuels Regulations, the Government has also finalized regulations to reduce greenhouse gas emissions from passenger vehicles and is working to do the same for heavy-duty vehicles.

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