Canadian biofuel analysis indicates economic benefits

The first large-scale biofuel analysis to be undertaken by Canadian authorities has outlined the country's level of progression in the industry and the economic outcomes it is seeing from ethanol and biodiesel generation.

Written by the Canadian Renewable Fuels Association, the biofuel analysis looks at overall production capacity, which has increased by two billion litres per year of output over the past half-decade.

Some CA $2.3 billion (£1.4 billion) has been invested in order to make that increased capacity a reality, the study estimates.

Entitled Growing Beyond Oil - Delivering Our Energy Future, the report also notes the economic advantages that have been derived from the expansion of the Canadian renewables industry.

Direct economic activity of CA $3 billion and tax income of CA $1.5 billion have been achieved each year since 2005, it claims.

The Canadian Renewable Fuels Association particularly promotes biodiesel and ethanol as fuel sources, along with all renewables capable of cutting emissions and reducing the risk of smoggy conditions developing.