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Canada requires 5% renewable fuel in gasoline
Sept. 2, 2010, Ottawa – The Government of Canada has finalized a regulation requiring an average of 5% renewable fuel content in gasoline. The regulation will come into effect December 15, 2010.

“Regulating renewable fuel content in gasoline is just one of several steps the government is taking to reduce greenhouse gas emissions in the transportation sector, which account for about a quarter of greenhouse gas emission," says the Honourable Jim Prentice, minister of the environment.

These regulations are one pillar of the government's broader Renewable Fuels Strategy. Canada will implement a requirement for 2% renewable content in diesel fuel and heating oil, subject to successful demonstration of technical feasibility under the range of Canadian conditions, by making an amendment to the Renewable Fuels Regulations.

When fully implemented, the Strategy's two regulatory requirements, combined with provincial regulations, will ensure a total volume of renewable fuel that will reduce greenhouse gas emissions by up to four megatonnes in 2012, about the equivalent of taking one million vehicles off the road.

These regulations are a key initiative in support of Canada's commitment to reduce Canada's total greenhouse gas emissions by 17% from 2005 levels by 2020. In addition, Canada is working with the United States towards common North American standards for regulating greenhouse gas emissions from vehicles, and has recently published draft regulations for vehicle tailpipe emissions under the Canadian Environmental Protection Act that are aligned with those of the United States.

"This is a milestone day for renewable fuels in Canada," said Gordon Quaiattini, president of the Canadian Renewable Fuels Association, in a separate press release. "Coupled with the federal EcoEnergy for Biofuels and ecoABC programs, these new regulations will help foster a vibrant homegrown renewable fuels industry in Canada and help position Canada as a global leader in the development of next generation biofuels.” Quaiattini added, “We are also very pleased that the government's analysis of the regulations tabled today incorporates the cost advantage of ethanol over gasoline. We believe ethanol blended gasoline could save Canadian consumers $1.7 billion dollars over the next 25 years.”