RED DEER - Earl Dreeshen, Member of Parliament for Red Deer, on behalf of the Honourable Lisa Raitt, Minister of Natural Resources, announced today that the Government of Canada will provide up to $23.2 million through its ecoENERGY for Biofuels program to Permolex Ltd.
"This investment is an example of how our Economic Action Plan is working for families in Red Deer," said Mr. Dreeshen. "This will help create local jobs and economic opportunities for local businesses, both of which are more important than ever given the current global recession. In the long run, increasing our supply of cleaner fuels will also reduce greenhouse gasses and contribute a healthier environment for all Canadians."
The ecoENERGY for Biofuels program supports the production of renewable alternatives to gasoline and diesel and encourages the development of a competitive domestic industry for renewable fuels. The program provides an operating incentive for facilities that produce renewable alternatives to gasoline and diesel. Compared to gasoline, grain-based ethanol can reduce greenhouse gas (GHG) emissions by up to 40 percent on a life-cycle basis. For biodiesel, the emissions reduction can be as much as 60 percent.
The plant in Red Deer has been producing ethanol since 1998. After Permolex Ltd. assumed ownership of the facility in 2003, the plant was expanded with the assistance of the Federal Governments Ethanol Expansion Program. "We are proud to have become part of the economic foundation of this community," said Mr. Doug MacKenzie, CEO and President of Permolex Ltd. "I'm very pleased to express our thanks to the Government of Canada for its partnership in making this state-of-the-art facility possible, and helping to make sure Permolex remains a part of this community for many years to come."
Through the ecoENERGY for Biofuels program, the Government of Canada will invest a total of $1.5 billion over nine years to encourage the development of a strong, competitive renewable fuels industry in Canada. The Government of Canada has also provided $500 million to Sustainable Development Technology Canada for the creation of the NextGen Biofuels Fund.
The Government of Canada is also reducing emissions and creating new economic opportunities through investments such as the five-year, $1-billion Clean Energy Fund and the $1-billion Green Infrastructure Fund. These investments are part of the Government's Economic Action Plan and will provide additional economic stimulus while accelerating progress toward a cleaner, more sustainable energy future for Canadians.
FOR BROADCAST USE:
The Government of Canada is providing new multi-million dollar funding for Red Deer's ethanol plant. Permolex Limited will receive up to $23.2 million from the ecoENERGY for Biofuels program to increase Canada's supply of cleaner fuels, which will help reduce greenhouse gas emissions.
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