Canadian Vehicle Manufacturers' Association

Canadian Vehicle Manufacturers' Association

October 31, 2007 15:08 ET

Canadian Vehicle Manufacturers' Association-Going Green in Ottawa: Automakers Call for Greener Fuels

OTTAWA, ONTARIO--(Marketwire - Oct. 31, 2007) -

Editors Note: A photo for this release will be available on the CP picture wire via CCNMatthews.

Canada's leading manufacturers of light duty vehicles kicked off their annual "Auto Days" event in Ottawa by calling on the federal government to facilitate the wider availability of green bio-fuels. The Canadian Vehicle Manufacturers' Association (CVMA) points to the expanded use of green bio-fuels as another important way to accelerate greenhouse gas reductions from on-road vehicles in Canada.

"Canada continues to lag far behind other countries in making greener fuels like E85 and biodiesel available for drivers," said Mark Nantais, president of the CVMA. "Canada's automakers have made over 70 new green vehicle technologies available to consumers in just two years. The combination of new vehicle technology and green fuels creates maximum environmental benefit."

Canadian consumers now have the choice of 28 E85 Ethanol flex fuel vehicles. According to Natural Resources Canada's GHGenius study, lifecycle greenhouse gases from vehicles using bio-fuels such as E85 ethanol (fuel containing 85% ethanol and 15% gasoline) can be 47-54% lower than using regular gasoline.

Today, representatives from Chrysler, Ford and General Motors demonstrated several vehicles that would generate considerably fewer greenhouse gas emissions if greener bio-fuels were made more widely available in Canada. The vehicles included a B20 bio-diesel Dodge Ram that can run on diesel containing up to 20% bio-fuel, along with a Ford F150 and Chevrolet Impala, both E85 Flexible Fuel vehicles which can run on fuel containing up to 85% Ethanol or regular gasoline.

Canada's automobile manufacturers called on the government to maintain the federal fuel excise tax exemption on the sale of greener bio-fuels like E85 ethanol - exemptions slated for elimination in 2008. They also called on the government to introduce new tax incentives to encourage fleet and fuel retailers to convert their pumps to sell these greener fuels. Such incentives have proved successful in the United States. The Canadian Independent Petroleum Marketers Association agrees. "Incentives for pump conversions and for green bio-fuels like E85 will ensure greater availability of green renewable fuels for Canadians." says Jane Savage, CIPMA's President and CEO.

"Canada should follow the example of other jurisdictions such as Brazil, Sweden and the United States who have all provided their consumers with much wider access to greener fuels at lower prices", said Nantais. "Governments can also lead the way by utilizing these greener fuels in their fleet vehicles to accelerate greenhouse gas reductions across Canada."

In addition to the vehicles on display today, each of these companies build various E85 capable models and other green technology vehicles at their Canadian assembly plants. Greener fuels are only one of many ways to accelerate greenhouse gas reductions from on-road vehicles. Other integrated approaches include new green vehicle technologies, accelerating the retirement of older higher-emitting vehicles and green vehicle incentives and driver education.

To learn more about other aspects of the Auto Green Plan to reduce greenhouse gases from on-road vehicles visit www.cvma.ca.

About the Canadian Vehicle Manufacturers' Association

The CVMA is the national association representing Canada's leading manufacturers of light and heavy duty vehicles. Our membership includes Chrysler Canada Inc., Ford Motor Company of Canada, Limited, General Motors of Canada Limited and International Truck & Engine Corporation Canada.

In partnership with the Government of Canada and the Government of Ontario, CVMA members have contributed over 80% of almost $10.15 billion in new automotive (parts and assembly) investment announced over the past four years. These investments involve a transition to flexible manufacturing, new advanced skills training programs, significant investments in research and development, and the implementation of leading-edge environmental technologies.

In 2006, our member companies produced over 70% of the 2.55 million light duty vehicles built in Canada and accounted for 54% of all light duty vehicles sold in Canada. Our members purchase over 80% of all automotive parts produced in Canada for vehicle production across North America. The automotive industry has been the driving force of Canada's economy for over 100 years.

Contact Information

  • Canadian Vehicle Manufacturers' Association
    Mark Nantais
    President
    (416) 364-9333
    Website: www.cvma.ca
    or
    Canadian Independent Petroleum Marketers Association
    Jane Savage
    President
    (416) 691-9292