The Imperial Strathcona Refinery in Alberta is receiving a 12% tax credit for its $720 million under-construction canola-based renewable diesel facility that is said to need millions of metric tons of canola seed per year. The credit comes from the Province of Alberta’s Agri-Processing Investment Tax Credit, which offers a 12% non-refundable tax credit when corporations invest $10 million or more in a project to build or expand a value-added agri-processing facility in the province.
RJ Sigurdson, provincial minister of agriculture and irrigation, described the facility, claimed to be the largest of its kind in Canada, as good news for provincial canola producers and a boost for the Province’s greenhouse gas reduction efforts. “When the facility is fully operational it will transform canola and other seed oils into renewable diesel that is lower in emissions than conventional fuels. To make this happen, Imperial will be sourcing most of its feedstock from canola producers right here in the province,” he said.
Chris Vervaet, executive director of the Canadian Oilseed Processors Association says, “This facility represents demand for canola seed that could be as large as 2.5 MMT per year. That’s the size of some of our largest export markets today. Simply put, a project of this magnitude is a game changer for our industry and a win-win for all parties involved.”
