Ontario Mandates 5% Ethanol Beginning in 2007

7 October 2005

With the finalization of Regulation 535/05 (the Renewable Fuels Standard), the Canadian province of Ontario will require an average of at least 5% ethanol in all gasoline sold in the province beginning 1 January 2007.

Ontario is the most populous and second-largest in area of Canada’s ten provinces. Ontario’s population of 12,449,502 (as of 1 Jan 2005) represents approximately 38% of the total Canadian population.

Implementing the 5% ethanol blend will, according to the government, reduce greenhouse gas emissions by an amount equivalent to taking 200,000 cars off the roads.

To support the demand for ethanol, Ontario has established a 12-year, C$520 million (US$443 million) Ontario Ethanol Growth Fund (OEGF). (Earlier post.) The fund is designed to provide capital assistance and operating assistance, as well as funding for research and development.

The government is now accepting applications to the fund. Additional information about the OEGF and the application process are available on the ministry’s website.