RENEWABLE DIESEL PROGRAM LAUNCHED

The Government of Saskatchewan launched a new renewable diesel program today as part of the provincial 2011-2012 Budget.

Renewable diesel is a diesel fuel substitute that is made from renewable materials that include biomass feedstock from agriculture and forest biomass. Agricultural producers in Saskatchewan will benefit by having a new market for off-grade canola leading to value-added business opportunities.

"Saskatchewan farmers will benefit from a renewable diesel program by providing alternative markets for their products," Enterprise Minister Jeremy Harrison said. "This will stimulate value-added production and create jobs in Saskatchewan and ensure a Saskatchewan market for diesel from canola."

The five-year, $26 million program will provide a 13 cent per litre grant to eligible renewable diesel producers. The program will begin on April 1, 2011, and a two per cent renewable diesel mandate comes into effect on July 1, 2012. The program will wind up in 2016.

"This is a big development for bio-fuels in our province and was recommended by the Enterprise Saskatchewan Board of Directors and sector team," Harrison said. "Saskatchewan agricultural products being refined by Saskatchewan industry providing an end product that will be used by the people of Saskatchewan."

For more information on the program, go to www.enterprisesask.ca.

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For more information, contact:

Joanne Johnson
Enterprise Saskatchewan
Regina
Phone: 306-798-0503
Email: joanne.johnson@enterprisesask.ca