The Alberta government is taking action to support bioenergy producers as they transition from the expired Bioenergy Producers Credit Program (BPCP) to a new, more sustainable plan.
The BPCP, which was established in 2007, expired in March, 2016. Over its nine years, the program provided financial support for bioenergy producers with the expectation that a subsidy program would result in a self-sustainable bioenergy industry in Alberta. This has not been the result.
Alberta is now undertaking a third-party comprehensive review to develop long-term policy that will work toward a self-sustaining industry. While this review is underway, the new Bioenergy Producer Program (BPP) will provide financial support for bioenergy producers focused on reducing greenhouse emissions.
“Alberta’s policy and economic landscapes are very different today than they were nine years ago. Support for the bioenergy industry needs to reflect those changes. This temporary funding will help producers as we work with them to build a sustainable bioenergy industry that will help advance implementation of the Climate Leadership Plan.”
“Today’s announcement is a positive step for small biogas operators such as ours. We look forward to working with the government to continue to take advantage of the province’s renewable bioenergy opportunities.”
Under the Climate Leadership Plan, government will help diversify our energy industry as revenue from the carbon levy is reinvested in large-scale renewable energy, bioenergy and technology.
Alberta is committed to supporting innovative projects that can contribute to reducing greenhouse gas emissions while creating good green jobs. These bioenergy projects highlight innovative ways energy can be produced in both the agricultural (production of ethanol) and forestry (generating heat from waste) sectors.
The BPP will allocate $60 million in funding over 18 months, retroactive to April 1, 2016. Forty million dollars will be allocated between April 1, 2016 and March 31, 2017. Twenty million dollars will be allocated between April 1, 2017 and Sept. 31, 2017.
Funding will be available to all bioenergy sectors that were previously eligible under the BPCP, including bio-mass combustion, biogas electricity and heat, biofuels and wood pellets. Producers who were not participants under the BPCP will be able to apply to participate in the new program. Funding will be available to companies that have produced bioenergy since April 1, 2016.
Eligibility criteria under the new program will focus on production that achieves greenhouse reductions in Alberta.
Please visit the Bioenergy Producer Program website for additional information, including application forms and guidance documents related to the Bioenergy Producer Program.