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PROVINCE SUPPORTS PRODUCER OWNERSHIP FOR RENEWABLE FUELS DEVELOPMENT

Released on April 25, 2006

The Government of Saskatchewan is encouraged by the innovative approach being taken by the South Central Renewable Fuels Committee (SCRFC). The SCRFC, led by Committee Chairman Doug Thul, has approached 51 RMs within SARM's Division #2 to explore investment in ethanol development in south-central Saskatchewan.

"We commend the SCRFC for bringing the RMs within SARM's Division #2 together and not only pinpointing an economic engine for growth that fits closely with their regional strengths but also gives producers the ability to add value to their farm operations," Deputy Premier and Regional Economic and Co-operative Development Minister Clay Serby said.

"The Province of Saskatchewan has been working very closely with a number of communities, agricultural producers, the Saskatchewan Ethanol Council, the Saskatchewan Biodiesel Task Force and the federal government regarding the implementation of a national renewable fuels mandate. It is critical to enhance opportunities for Saskatchewan's agricultural producers. Key components for serious consideration are producer ownership and working on a strategy that ensures Western Canadian feedstock will be utilized to the greatest extent possible."

"My colleagues, Minister Wartman and Minister Cline, and I have spoken to the federal government about the need to move forward quickly with a national mandate," Serby said. "When it does, Saskatchewan will be well-positioned to be the leader in this promising industry thanks to initiatives such as that being promoted by the SCRFC."

The 51 RMs within SARM's Division #2 are located in the south-central part of Saskatchewan and are proposing to construct two 100-million-litre ethanol plants at a cost of $200 million, based on a $1 per acre levy to provide seed capital for the project. The model also promotes communities and producers working collaboratively to build on synergies with grain companies, fuel distributors, financial institutions, federal and provincial governments.

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For More Information, Contact:

Scott Brown
Regional Economic and Co-operative Development
Regina
Phone: (306) 787-4031

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