The British Columbia government has announced new rules for its Low Carbon Fuels Standard, aiming to boost local production and reduce reliance on foreign energy. Effective in 2025 and 2026, renewable fuels used in the province must be produced within Canada, reports Biodiesel Magazine.
“People in British Columbia deserve a reliable, sustainable, and Canadian fuel supply,” stated Adrian Dix, the Minister of Energy and Climate Solutions. “By using more Canadian-made biofuels in our transportation fuels, we’ll support local businesses, protect jobs, and rely less on energy from other countries. This shows our commitment to cleaner energy, economic growth, and a strong future for our province.”
The new regulations increase the requirement for renewable fuel in diesel from 4% to 8%, starting in 2025. By April 1, 2025, that 8% must be Canadian-made. For gasoline, beginning January 1, 2026, 5% of the fuel must be renewable and produced in Canada.
There are no changes for 2024, and jet fuel requirements remain the same.
Canada is a major destination for fuel exports from the United States. In 2024, the U.S. sent 674.6 million gallons of ethanol to Canada, which is over a third of all U.S. ethanol exports. The value of these exports was $1.74 billion. The U.S. also exported 515,956 metric tons of biodiesel to Canada in 2024, which is over 88% of all U.S. biodiesel exports. These exports were worth $743.77 million.
Tidewater Renewables Ltd., a Canadian company, welcomes the new rules. “We appreciate the British Columbia government helping us compete fairly with U.S. producers,” said Jeremy Baines, CEO of Tidewater Renewables. “However, the Canadian renewable fuel industry still faces big challenges, and we need everyone to work together to meet the demand for clean fuels. As more Canadian renewable fuels become available, we hope the government will increase the Canadian-made requirements even further, to ensure fair trade.”
More details can be found on the British Columbia government’s website.
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