Canada's Budget 2021 invested $1.5 billion over five years to establish a Clean Fuels Fund to de-risk the capital investment required to build new or expand existing clean fuel production facilities (including facility conversions). Support was also available for feasibility and front-end engineering and design (FEED) studies, and the establishment of biomass supply chains to improve logistics for the collection, supply, and distribution of biomass materials (e.g., forest residues, municipal solid waste, and agriculture crop residues) as a feedstock in clean fuel production facilities.
Budget 2024 announced the retooling of the Clean Fuels Fund and its extension to March 31, 2030. Support is available to de-risk capital investments and studies that expand Canada’s clean fuel production capacity, and to address gaps and misalignment in codes, standards and regulations. The program has shifted to a continuous intake process to deliver funding faster and will streamline negotiations and decision-making processes to expedite delivery.
