Biodiesel in Atlantic Canada

An emerging biodiesel industry consisting of biodiesel fuel management, biodiesel fuel delivery, and biodiesel production is being recognized by Atlantic Canadians as a means to boost local economies and provide healthier ecosystems.

Biodiesel Pilot Project

In 2003, the province of New Brunswick operated a climate change bus on a range of biodiesel blends, from 30% to 60%. The study proved successful for Falls Center, conductor of the study, and they recognized the importance of further biodiesel testing.

Biodiesel Exemption Tax in Atlantic Canada

On July 1, 2006, biodiesel meeting the American Society for Testing became exempt from Motive Fuel Tax. To qualify for the exemption tax, biodiesel has to be produced in the province of Nova Scotia.

Biodiesel Market in Atlantic Canada Surges

Atlantic Canada received its first biodiesel refinery in August 2006, supporting local farmers in conjunction with locally grown canola crops. The refinery, located in New Brunswick, Canada will produce biodiesel fuel additives and industrial oils. In support of biodiesel fuel management, the government plans to contribute funds towards biodiesel research with the refinery, and further research in other areas of biodiesel.

Prior to August 2006, the Department of Agriculture formed partnerships with multiple companies to research different crop varieties for determining what would be most suitable for expanding the biodiesel market.

Atlantic Canada Biodiesel Pilot Project

During 2007 the Minister of Agriculture and Agri-Food and Minister for the Canadian Wheat Board embarked on a biodiesel pilot project with a local Atlantic Canada refinery, dedicating $294,500 towards biodiesel fuel management. The focus of the project is on biodiesel refining and determining how rural areas in Atlantic Canada can participate in biodiesel fuel management. Concentration on crop rotation of potatoes, to generate higher income for local famers is another objective of the project.

Six Biodiesel Projects in Atlantic Canada

Over a two year period, the Canadian government will fund six biodiesel projects to study biodiesel fuel and environmental farm practices. Emphasis on the biodiesel studies is to create a better environment and new opportunities for local farmers.

Five of the biodiesel projects, totaling $228,093 will focus on alternative fuel production such as biodiesel in Nova Scotia. Allocations of funds were distributed to the following areas:

• $78,000 to produce biodiesel from poultry litter and poultry processing waste;
• $56,000 to alternative fuel marketing study;
• $45,000 to a business plan and assessment of generating revenue from waste generated by biofuel production;
• $43,750 to study the feasibility of a 200,000 litre/year alternative fuel plant;
• $5,343 to capital costs to process Atlantic-produced canola into biodiesel;
• The sixth biodiesel project encompasses an Ecological Goods and Services pilot project. It introduces environmental benefits to Canadians by having a better environment, including cleaner air and water, and biodiversity.