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The new Alberta Renewable Fuel Standard means great potential for increased use of canola, according to the Canola Council of Canada. The standard requires 5% ethanol and 2% biodiesel fuel blends in the province by 2010.

This announcement goes a long way toward encouraging the development of Canada’s canola biodiesel infrastructure," says JoAnne Buth, president of the Canola Council of Canada. "Crushing companies are ramping up production of canola oil, so what we need now is to get the biodiesel plants in place."

Assuming canola takes 75% of the Alberta mandate, that translates into 220,000 tonnes of canola annually. This year Alberta produced 4.3 million tonnes of canola, an increase of 900,000 tonnes from last year. The biodiesel market will provide a new and growing market for Alberta canola producers.

"We have some real momentum going," says Buth. "With recent announcements by the B.C. and federal governments, the road ahead looks very bright for Canada’s biodiesel industry. This will be good for the environment and good for farmers."

The B.C. government earlier this year announced a 5% biodiesel standard by 2010. As well, Bill C-33 was passed by Canadian Parliament. The new federal regulations expected in 2009 will require a 2% inclusion of biodiesel in heating oil and diesel fuel by 2012.

The B.C. standard translates into 300,000 tonnes of canola annually.

Visit http://www.canolabiodiesel.org/ for more information on why canola-based biodiesel makes sense for Canada.

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