Ethanol plants, which produce a fuel made from the distillation of organic materials such as corn or wheat, have been springing up across Canada since the mid ‘00s. The plants—often subsidized by both provincial federal ministries hoping to increase the use of green fuels in the country—are being touted as the next big fuel source in North America.
The four provinces leading the charge in ethanol production are—perhaps unsurprisingly—the prairie and central provinces of Alberta, Saskatchewan, Manitoba and Ontario. In total, these four provinces have dedicated hundreds of millions of dollars within their provincial budgets in both subsidies and plant production. The money has resulted in the creation of plants across the four regions.
Saskatchewan boasted the first ethanol plant plans in 2004. In partnership with Husky Energy, the provincial government helped to start up a large ethanol plant in Lloydminster, Sask. The plant—which opened in 2005—now produces over 130 million litres of ethanol per year. Its opening was followed closely by the creation of the Pound-Maker plant in Lanigan, which produces slightly less ethanol each year. Saskatchewan’s premier, Lorne Calvert was heartened by the growth of the ethanol industry in his province and has been touting plans to create an ethanol-friendly highway from coast to coast in Canada, with 85 percent blend filling stations within accessible distances of each other. Calvert calls his plan the “E85” highway and is working on making it a reality.
Another of Saskatchewan’s ethanol plants, currently under construction near Lucky Lake, was created to attempt to make the best of a bad situation. After a failed potato development resulted in lawsuits filed against the provincial government, and thousands of tonnes of potatoes being wasted every year, the primary investors in the initial project have decided to use the waste potatoes for ethanol production. The plant is set to be completed by the end of 2007.
Canada’s largest ethanol plant thus far is located in Sarnia, Ontario. Suncor Energy Product’s $220 million plant was opened in July 2006 and will produce 200 million litres of ethanol per year using 20 million bushels of corn. Suncor was one of the original ethanol blend fuel suppliers and its plant supplies fuel to most of southern Ontario. Ontario’s provincial government has announced that five percent of all fuel sold in Ontario will have to be ethanol within the next three years.
Ethanol production in Canada is not limited to the prairie provinces. A Charlottetown based company is beginning production on a $40 million dollar plant in Georgetown that will use sugar beets as its primary organic material. The plant is the first in North America to use beets for its ethanol source. If production is successful, the plant will be expanded into a full scale ethanol facility.
