Alberta unveils new program with $70M toward clean-technology innovation
Alberta’s NDP government is promising up to $70 million toward new clean technology projects in biotechnology, electricity and sustainable transportation, with WestJet eyeing the new program to potentially help fund a biojet fuel facility in the province.
Environment Minister Shannon Phillips announced the BEST Challenge on Wednesday at the WestJet Encore hangar in northeast Calgary. It follows similar programs in the oilsands and industrial sectors aimed at reducing Alberta’s Canada-leading greenhouse gas emissions.
“Tackling climate change is, of course, the most difficult and pressing challenge humanity has ever faced,” said Phillips. “We know that innovation has got to be a big part of our action.”
The BEST Challenge program, run through Emissions Reduction Alberta, will be open to businesses, municipalities, post-secondary institutions and not-for-profits.
WestJet VP Mike McNaney said the company has been working to reduce its carbon footprint through more efficient and technically advanced aircraft. The next step for the airline industry is the increased use of sustainable fuels.
McNaney said there is currently no biojet production in Canada, and WestJet is exploring the idea of partnering with other companies to set up a facility in Alberta.
“The alignment of tax policy, the alignment of investment — public and private investment — is going to be critical to drive this,” he said.
About 40 per cent of Alberta’s greenhouse gas emissions come from the transportation and electricity sectors.
The maximum grant under the BEST program is $10 million, and proponents will be required to put up at least matching funds for each allocation. The money is to be allocated by February.
The government says there were 47 applicants for the first round of funding for new technology in the oilsands. The $70-million allocated translated to $720 million in investment. There were more than 90 applicants for the $35 million earmarked for the recent industrial efficiency challenge.
The new biotech, electricity and transport program is being funded with money from the provincial carbon levy on large industrial emitters.
The United Conservative Party has vowed to scrap the NDP’s broad-based carbon tax if it forms the government in the 2019 election, though party leader Jason Kenney has suggested the UCP would be likely to keep the levy on large emitters.
Phillips said programs such as the BEST Challenge would likely be scrapped under a UCP government, just as new Ontario Premier
Tackling climate change is, of course, the most difficult and pressing challenge humanity has ever faced.
Doug Ford has moved to kill renewable energy projects under contract with that province’s government.
The UCP caucus did not make an MLA available for an interview but issued a statement reiterating that a UCP government would abolish the provincial carbon tax, but taking no position on the new program.