The Province is taking action to strengthen British Columbia’s energy resilience and support local biofuel producers, ensuring cleaner transportation fuels and greater energy security for people in B.C.

“British Columbians deserve a reliable, sustainable and Canadian fuel supply,” said Adrian Dix, Minister of Energy and Climate Solutions. “By increasing the Canadian biofuel content in our transportation fuels, we will support local producers, protect jobs and reduce our dependence on foreign energy. This action reflects our commitment to cleaner energy, economic growth and a resilient future for British Columbians.”

B.C. and Canadian biofuel producers have long felt the impact of the competitive advantage American producers have over Canadian producers because of U.S. subsidies, which have increased under the U.S. Inflation Reduction Act.

To support B.C. and Canadian biofuel producers, protect local jobs throughout the supply chain and strengthen British Columbia’s energy security, the Province is making key amendments to regulations under the Low Carbon Fuels Act that prioritize the inclusion of Canadian biofuels in B.C.’s transportation fuels. This action will stabilize the biofuel market and support B.C. companies such as Tidewater Renewables in Prince George, Parkland in Burnaby and Consolidated Biofuels in Delta.

“We welcome the Government of B.C.’s changes to the Low Carbon Fuels Act and the commitment to strengthen the Canadian biofuel sector,” said Jeremy Baines, president and CEO, Tidewater Renewables. “This is a good first step in levelling the playing field with imported biofuels that take advantage of overlapping foreign and Canadian policies, and moving toward an economically viable Canadian renewable fuel industry. Tidewater is committed to being a leader in the energy transition, continuing to develop made-in-B.C. energy solutions, creating good-paying jobs in British Columbia and continuing to supply low-carbon fuels, helping British Columbia and Canada meet emission-reduction targets.”

Effective Jan. 1, 2026, the minimum 5% renewable-fuel requirement for gasoline must be met with eligible renewable fuels produced in Canada. The renewable-fuel requirement for diesel is 4% and will immediately be increased to 8%. Beginning April 1, 2025, the renewable content of diesel fuel must be produced in Canada.

The Province has been working closely with B.C. biofuel producers and suppliers to develop an approach that supports the entire industry and limits price impacts. This aligns with the Province’s commitment to sustainability and competitiveness, balancing environmental goals with economic development, signalling B.C.'s leadership in advancing a cleaner and more resilient energy future.

Quotes:

Dan Treleaven, chief executive officer, Consolidated Biofuels Ltd. –

“This news is welcome support for local homegrown biofuel producers. Securing and growing local production reduces reliance on imports, while maintaining one of the most progressive carbon-reduction programs in Canada.”

Mark Zacharias, executive director, Clean Energy Canada –

“We are pleased to see today’s amendments to the Low Carbon Fuels Regulation. These changes will provide certainty to B.C. and Canadian biofuel producers, while connecting the Canadian biofuel supply chain and supporting the province's clean-energy economy. In the face of potential U.S. tariffs, these changes will create jobs here in B.C., while doing our part for the climate.”

Learn More:

British Columbia’s Low Carbon Fuel Standard:
https://www2.gov.bc.ca/gov/content/industry/electricity-alternative-energy/transportation-energies/renewable-low-carbon-fuels

A backgrounder follows.