Seamus O’Regan Jr., Minister of Natural Resources, has officially launched a $1.5-billion Clean Fuels Fund with a call for proposals for projects that increase Canada’s capacity to produce clean energies. Producing and using cleaner fuels in vehicles, buildings and industries is a key step to exceeding 2030 climate target and reaching net-zero by 2050. The call for proposals is open until September 29, 2021.
The fund supports building new or expanding existing clean fuel production facilities, including renewable natural gas and hydrogen. It also supports feasibility and front-end engineering and design studies that will create jobs and enable the sector to grow at the size and pace required to contribute to Canada’s climate goals. “Clean fuels lower emissions, create jobs, increase our competitiveness and help us reach our climate goals. The Clean Fuels Fund is how we get to net-zero by 2050,” said O’Regan Jr.
This announcement is one of a series of significant steps the government is taking to fight climate change, lower emissions and protect the environment. The Clean Fuels Fund addresses critical barriers to growth, such as upfront costs, in the domestic clean fuels market and lays the groundwork for the low carbon fuels of the future. This includes creating good, middle-class jobs for Canadians, and building a stronger and cleaner economy.
“Using cleaner fuels to power our homes, buildings and vehicles will reduce emissions and grow Canada’s clean fuels industry at a time when the global market for clean solutions is rapidly expanding. The new Clean Fuels Fund, in combination with the Clean Fuel Standard, will create jobs, grow our economy and build a healthier future for our children and grandchildren,” commented Jonathan Wilkinson, Minister of Environment and Climate Change.
O’Regan Jr. made the announcement during the World Hydrogen Technologies Convention hosted by the Canadian Hydrogen and Fuel Cell Association and supported by the International Association for Hydrogen Energy. Introduced in the strengthened climate plan, A Healthy Environment and a Healthy Economy, and reaffirmed in Budget 2021, the fund grows the domestic clean fuels market, supports the implementation of the Clean Fuels Standard and delivers on early actions outlined in the Hydrogen Strategy for Canada.
Source: Natural Resources Canada