Alberta gets $239M biodiesel boost from province
RED DEER, Alta. -- Alberta Agriculture, Food and Rural Development is kicking-in $239 million over the next five years to encourage the manufacturing of more bioenergy products in the marketplace. "Bioenergy is emerging as the foundation of key value-added biorefining industries across all of North America, and this funding ensures Alberta has the policies and programs in place to take advantage of the exciting opportunities developing in this sector," said Minister Doug Horner, said Horner. The investment will be used to administer the Renewable Energy Producer Credit program that will help Alberta industry effectively compete with other jurisdictions that provide programs and tax exemptions to distributors who blend biofuels. At a total cost of $209 million, the four-year program is being established to serve as a catalyst in enabling the introduction of renewable products into the traditional fuels and energy marketplace. The credits will be available to eligible commercial bioenergy products processed in Alberta from April 2007 to March 2011. This program will replace the existing Alberta ethanol road tax exemption policy. An additional $30 million, three year commitment will be initiated immediately through a commercialization program to support the infrastructure required to market and distribute bioenergy products within the existing market for fuel or electrical power. The Canadian Renewable Fuels Association applauded the move. "Today's announcement illustrates that Alberta is not just seeking to lead the traditional energy sector, but also wants to lead the emerging renewable energy field," said Tim Haig, chair of the Canadian Renewable Fuels Association. "This helps level the playing field with our global competitors and will help foster homegrown production of biodiesel and ethanol."