Canadian Renewable Fuels Association (CRFA)

Canadian Renewable Fuels Association (CRFA)

October 06, 2005 12:38 ET

Canadian Renewable Fuels Association: New Renewable Refineries Would Moderate Gas Prices

OTTAWA, ONTARIO--(CCNMatthews - Oct. 6, 2005) -

Federal gas plan should include ethanol as a long term solution to fuel price stability

In response to the federal government new plan to counter gas prices, the Canadian Renewable Fuel Association today reiterated its call for a national renewable fuel standard requiring10% ethanol content in gasoline by 2010 to help moderate severe gas price spikes and offer consumers some relief at the pump.

"A national renewable fuels standard requiring 10% ethanol content in gasoline by 2010 would increase our national refining capacity and moderate price," said Executive Director Kory Teneycke. "This is a realistic and achievable goal. Its time for a national fuel change."

Ethanol-blended gasoline can be used in every car on the road today and can be easily integrated into our existing fuel infrastructure. It is made from homegrown commodities like corn, wheat, and even straw.

Of the 40 billion litres of gasoline consumed in Canada everyday only 300 million litres are renewable - less than 1%. A virtual crude monopoly and a severely limited gasoline refining capacity have made Canadian consumers extremely vulnerable to global political events and natural disasters.

"If Canada were to embrace a national fuel strategy to expand the use of ethanol, we would break the crude monopoly," added Teneycke. "Such a mandate would spur the construction an entire new series of ethanol plants. These plants would be the equivalent of building a new, 200,000 bbl/day petroleum refinery. A fuel change would deliver relief."

Ontario is implementing a renewable fuel standard requiring 5% ethanol be blended in gasoline by 2007. Similar requirements are being implemented in Saskatchewan and Manitoba. The federal government has just completed the Ethanol Expansion Program, providing $100 million in grants to increase Canadian ethanol production. The United States just passed a new energy bill requiring 28 billion litres/year. Similar fuel standards are being implemented around the world - China, India, Japan, Brazil and the EU.

Contact Information

  • Canadian Renewable Fuels Association
    Christine Albee
    (416) 304-1324