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September 13, 2007 | Jim Lane | Comments 0

Canadian government announces $500 million research effort to support biofuels

In Canada, the Conservative government announced a $500 million fund in support of next-generation biofuels demonstration projects.

The Harper government has its base of support in the Western prairie states, where support of biofuel production is strong owing to the extensive farming interests in the western provinces. Meanwhile, Canada has exhibited leadership at the municipal level in conducting biofuel trials.

Western Canada has extensive tar sand reserves which are of increasing interest as the price of oil flirts with $80 per barrel, but environmental activists have opposed exploration owing to the environmental consequences.

Prime Minister Harper recently returned from the APEC conference in Sydney where regional leaders issued a statement in support of UN initiatives on climate change.

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