OTTAWA – “The Conservative government is following through on our promises to farmers, rural communities and the environment,” reaffirmed Leon Benoit, Member of Parliament for Vegreville-Wainwright. Benoit was commenting on the recent announcement of $5 million in funds to help increase participation in biofuels production in Canada. The announcement is the first wave of funding from a $10 million package announced in July.
“Industry-led councils are now accepting applications for funding under the Biofuels Opportunities for Producers Initiative,” said Benoit. “We are committed to achieving our goal of five percent average renewable fuel in transport fuel by 2010, and we’ve listened to those who have told us they need financial support to participate.”
Benoit explained that this first instalment in funding will be provided for agricultural producers in the following key areas:
- Hiring technical, financial, and business planning advisors to assist in developing sound business proposals to create and expand biofuels production capacity involving significant (greater than one-third) ownership by agricultural producers;
- Undertaking feasibility studies and other studies required to support business proposals;
- Investigating the pre-commercialization of biofuels related research;and gathering information to help identify opportunities and provide the necessary input to generate industry involvement in biofuels capacity building.
- Individual project funding will be capped at $300,000 and at least 25% of the project cost must be provided by industry.
“Opportunities for greater involvement in biofuels production facilities will allow agricultural producers to become participants in the value chain and increase their share of the benefits from renewable fuels production beyond delivering feedstock,” explained Benoit. “In order to significantly reduce emissions, we have to improve efficiency and use cleaner fuels. BOPI is just one element of a practical, results-oriented approach that my government is taking to protect the environment and the health of Canadians.”
Agriculture and Agri-Food Canada will make the remaining funds available through the provincial and territorial councils based on demonstrated project demands in early winter 2007. Application procedures and deadlines for this first wave of funding will be determined by each council. For more information on how to apply, please visit www.agr.gc.ca/bopi.
