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From Biofuels to the Bio-Economy Next Steps for Canada

From Biofuels to the Bio-Economy Next Steps for Canada. EPAC Billings, MT June 25, 2012. Consulate General of Canada Rocky Mountain Region. Territory (5 states) Montana Wyoming Colorado Utah New Mexico. MT. WY. UT. 2. CO. NM. Denver.

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From Biofuels to the Bio-Economy Next Steps for Canada

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  1. From Biofuels to the Bio-Economy Next Steps for Canada EPAC Billings, MT June 25, 2012

  2. Consulate General of CanadaRocky Mountain Region • Territory (5 states) • Montana • Wyoming • Colorado • Utah • New Mexico MT WY UT 2 CO NM Denver • Political Section: Monitor political & economic events • Consular Section: Assist Canadians • Trade Section: Promote cross-border trade and investment

  3. Canada Resource Rich: • Agriculture • S. Ontario, Quebec lowlands, Prairies • Minerals • Gold, Potash, Iron Ore, Copper, Nickel, etc. • Production across all Canada • Forestry • Production across all Canada

  4. Canadian Ethanol Development – 1980s &’90s Intent: Introduce cleaner/less polluting fuels 1980s > Wheat-based ethanol production in Prairies 1998 > Corn-based ethanol production begins in Ontario (presently - 60% of Canadian production is corn-based) Ethanol slower to ‘take-off’ in Canada than US Government emphasis on environmental (GHG) vs energy security (GHGs, Kyoto, Sustainability) Mandates introduced in 2010 (other programs hadn’t adequate market penetration or reductions in GHGs)

  5. Canadian Renewable Fuels Mandates: • Nationwide Renewable Fuels Content Mandate: Gasoline – 5% renewable content (ethanol) - December 2010 Diesel / Heating Oil – 2% renewable content - July 2011 • Provincial Mandates: Ethanol % Biodiesel % Manitoba 8.5 2.0 Ontario 5.0 2.0 Saskatchewan 7.5 2.0 British Columbia 5.0 2.0 Quebec 5.0 (target) 2.0 Alberta 5.0 2.0

  6. Results: • Rising Ethanol Production • 1.9 billion litres/yr (2011) • 12% yr/yr increase • 80% of ethanol production from plants built after 2005 (legislation introduced in ’06) • US imports cover the shortfall • Canada largest importer of US ethanol • Blend wall issues

  7. Rise of 2nd Generation Biofuels • Cellulosic production: ethanol from fuel additive to fuel alternative • Decline of Canadian forestry industry • Rural forestry communities declining • Long-term ethanol food crop (corn/wheat) constraints

  8. Canadian Renewable Fuels Strategy • Intersection of Canada’s Natural Resources, Infrastructure and People Strengths • Agriculture • Forestry • Oil/Gas • Intellectual know-how • Result: The Bio-economy

  9. Bio-Chemical Cluster Development  Drayton Valley / Ft Saskatchwan  Montreal  Sarnia 

  10. Sarnia (Ontario) • One of North America’s five principal petrochemical complexes • Large, existing infrastructure serving Central Canada and US Great Lakes/Midwest • Intersection of Forestry (pulp/paper), Agriculture, Petro-chemical Infrastructure and Human Capital • Focus on sustainability Success Stories: BioAmber, Rentech, Gevo (Lanxess), Zeachem (?)

  11. Drayton Valley/Ft Saskatchewan (Alberta) • One of North America’s five principal petrochemical complexes • Intersection of Agriculture, Forestry (pulp/paper), Petro-chemical Infrastructure + Human Capital • Proximity to fossil fuel feedstocks • Local Champions: Biobased-chemical programs • Biorefining Conversions Network • Alberta Innovates BioSolutions Success Stories: Mascoma, Weyerhaeuser, CLIB, Otoka Energy

  12. BioEnergy Canada: Progression Agriculture  Ethanol  Forestry  Biobased Chemicals + Fuels  Bio-Economy Canada

  13. More Information: Presentations/Publications: • Bioproducts in Canada: Business Case 2012 (www.investincanada.ca) • Ethanol’s Contribution to Canada’s Transportation Sector (www.growthenergy.org) • The Greening of Sarnia-Lambton (www.suschemalliance.ca) Canadian Biofuels Conferences – 2012/13 • Canadian Renewable Fuels Summit • Ottawa (December 3-5, 2012) • World Congress on Industrial Biotechnology and Bioprocessing • Montreal (June 16-19, 2013) • Biorefining Conversions Network Annual Strategic Retreat • Banff, AB (November 2012) • Sustainable Chemistry Alliance Annual General Meeting • Sarnia, ON (June 2013)

  14. Stan PenceConsulate General of Canada – Denver303.626.0663stan.pence@international.gc.ca

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