Canada's RFS comes into force

November 15, 2010

BY Kris Bevill

Posted Dec. 15, 2010 Canada's 5 percent renewable fuel standard (RFS) officially came into force on Dec. 15, ushering in what the Canadian Renewable Fuels Association and renewable fuel producers hope will be a period of growth and expansion for the country's alternative fuels sector. "It's a start to ensuring that Canada has a diversity of energy supply in the transportation sector, which we previously have not had on a national basis," said CRFA President Gordon Guaiattini. "Five percent of the gasoline that Canadians pump into their vehicles will come from renewable green sources harvested and produced across Canada." Canada's RFS allows refiners to use ethanol, biodiesel and petroleum-based biofuels to comply with the 5 percent blending requirements. There is a pending amendment that will create a 2 percent renewable diesel mandate beginning in 2011, which would then disallow refiners from using biodiesel and other renewable diesel fuels to meet the 5 percent RFS. Industry members are still awaiting a final decision from the federal government on a start date for the renewable diesel mandate, but Quaiattini is confident government leaders will stick to their original 2011 timeline and issue a start date soon. About 2 billion liters (528 million gallons) of renewable fuel will be needed to meet the 5 percent mandate. Canada's current ethanol production capacity is approximately 1.7 billion liters. Quaiattini said the initial RFS provides a good pathway forward to expand Canada's current industry and positions the country to become a leading advanced biofuels producer. The CRFA plans to concentrate much of its efforts in 2011 on establishing policy and regulatory support to ensure commercialization of those advanced biofuels. "That's going to take on a particular focus for us," Quaiattini said. "We think the government is committed to do that with us and we asked for them to create a formal industry/government consultative process in which we can start talking about how all that can be achieved."

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