The City of Regina will be investing into the construction of a biofuel processing plant near the city.
True North Renewable Fuels Ltd. (TNRF) asked City Council on Wednesday to approve a $1 million dollar grant, citing it was essential to the construction of the plant.
Mayor Sandra Masters says the facility’s potential is exciting.
“It would be enormous to the city, if it were between $800 million and $1.5 billion in investment,” said Masters. “I think doing the math on that, it’s a couple thousand construction jobs over the course of the next several years, and then an ongoing, depending on the spinoff, there’s anywhere between 150-350 permanent jobs.”
The plant would focus on turning locally grown canola into biodiesel to be used in the aviation and rail industry.
After getting $1 million from Canada’s Agricultural Clean Technology (ACT) program, True North needed a second grant to be able to proceed with the project.
Masters says it was an easy decision to approve the grant, as the plant aligns with the city’s goal of being completely renewable by 2050.
“The renewable fuel that they would be producing would be less than 20 percent of what fossil fuel produces,” said Masters. “And well within the federal emissions limits that are coming out.”
With True North committing to using locally grown canola, Masters says it will create a reliable market for producers.
“It provides producers with a certainty of market, so if you remember a couple of years ago, there were some issues relative to canola products being shipped overseas, and being cut off from shipping,” said Masters. “This would actually provide a market for canola producers within the radius of Regina, a market which is sustainable and ongoing.”
The $1 million will come out of the city’s reserve fund, with safeguards put in place ensuring the city gets it back should the facility not be built, or move elsewhere.
