EverGen, FortisBC in 20-year offtake agreement
April 29, 2021
EverGen’s wholly owned subsidiary Net Zero Waste Abbotsford Inc. has entered into a 20-year offtake agreement with FortisBC Energy Inc. in which FortisBC will purchase up to 173,000 gigajoules of RNG annually for injection into its natural gas system.
The RNG injection is tied to the completion of an anaerobic digester project at EverGen’s existing Net Zero Waste Abbotsford, B.C. composting and organic processing facility.
Once it’s approved by the British Columbia Utilities Commission and other regulatory agencies, the project would convert municipal and commercial organic waste into enough energy to meet the needs of about 1,900 residential homes.
Renewable natural (RNG) gas is a carbon-neutral energy made from decomposing organic waste that displaces conventional natural gas in existing natural gas lines and reduces the emissions from the natural gas system. Increasing RNG amounts in FortisBC’s system is key to the organization achieving its 30BY30 target – a goal aimed at reducing its customers’ greenhouse gas emissions by 30 per cent by 2030. FortisBC’s 30BY30 target is among the most ambitious emissions reductions targets in the Canadian utility sector, and aligns with the provincial government’s goals in its CleanBC plan.
“This agreement is truly a win for everyone involved – providing a solution and highest end use for organic waste in the Lower Mainland region, creating jobs in the local community, and capturing greenhouse gases to supply low-carbon energy to FortisBC’s customers,” EverGen co-founder and CEO Chase Edgelow says. “For EverGen, it’s another important step toward our foundational goals – expediting Canada’s journey to compete on the global RNG stage, combating climate change, and helping communities contribute to a carbon-free future, starting right here on the West Coast.”
Dave Bennett, director of renewable gas and low carbon fuels with FortisBC, said that within the company’s 30BY30 target is a goal to have approximately 15 per cent of its gas supply be carbon-neutral by 2030.
“In order to get there, we need new suppliers that are committed to increasing the amount of renewable gas produced in the province,” he said. “I congratulate the EverGen team for their leadership in climate action, and look forward to working together to build a lower carbon future.”
EverGen plans to begin construction on the anaerobic digester at its Net Zero Waste Abbotsford facility later this year. Upon regulatory approval and completion, EverGen expects to start supplying FortisBC with RNG by the end of 2022.
This agreement follows EverGen’s recent acquisition of Fraser Valley Biogas, BC’s original RNG project. The Fraser Valley Biogas facility currently produces more than 80,000 gigajoules of RNG annually and has supplied RNG to FortisBC for the last decade.
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