Agriculture and Agri-Food Canada

OTTAWA, ONTARIO--(Marketwire - June 26, 2008) - The Senate today voted in favour of the Government of Canada's Biofuels Bill. The amendments to the Canadian Environmental Protection Act (Bill C-33) will give the Government authority to develop regulations for renewable fuels mandating a 5 per cent renewable content in gasoline by 2010 and 2 per cent renewable content in diesel fuel and heating oil by 2012.

Canada's renewable fuels strategy will reduce greenhouse gas emissions by approximately 4 megatonnes per year. This is the equivalent of taking about one million cars off the road, or a solid line of cars stretching from Montreal to Vancouver.

"The Government of Canada is delivering a balanced biofuels policy that's good for our environment, good for our economy, and good for our farm families," stated Federal Agriculture Minister Gerry Ritz. "Through Bill C-33 this Government is not just advancing in the biofuels sector - we are securing a cleaner future for generations of Canadians. A prosperous and vibrant bio-based economy will help build a strong foundation for Canadian farmers all while protecting the environment."

Since announcing its renewable fuels requirements in 2006, this Government has committed $2.2 billion over 9 years to support a strong domestic renewable fuels sector in Canada.

Bill C-33 gives the government the authority to regulate the blending of conventional and renewable fuels. It allows the government to track exports in order to make accurate calculations of the volume of renewable fuels as a percentage of the total fuel used in Canada. It also provides the authority the government needs to lift the administrative burden renewable fuel regulations would place on small producers and importers. These elements provide a framework to regulate the renewable content of fuel in an efficient manner enabling this Government to achieve real emissions reductions.

For more information on the Government of Canada's renewable fuels strategy, please visit www.ecoaction.gc.ca.