Tidewater Renewables cheers Canadian biofuel incentive

Executive Summary

• Tidewater Renewables welcomes the Canadian government's announcement of a new $370-million biofuel production incentive aimed at supporting domestic biodiesel and renewable diesel producers.
• The incentive is a time-limited program running from January 2026 to December 2027, providing per-litre support to eligible producers for up to 300 million litres per facility.
• Tidewater’s renewable diesel refinery in Prince George, B.C., is expected to produce between 150 million and 170 million litres annually during the incentive period, positioning the company to benefit from improved cash flow and returns.

Key Details

• Incentive Value: Over $370-million provided over two years (2026–2027).
• Program Structure: Time-limited production incentive provided on a per-litre basis to eligible Canadian producers of biodiesel and renewable diesel.
• Eligibility Cap: Up to 300 million litres per facility.
• Program Duration: January 2026 to December 2027.
• Tidewater Production Capacity: The Prince George, B.C. refinery is expected to produce between 150 million and 170 million litres per year during 2026 and 2027.
• Expected Impact: Improved cash flow and returns for Tidewater over the eligible period; support for competitive future and profitability/liquidity.
• Additional Government Actions: Intention to make targeted amendments to the Clean Fuel Regulations and work with provinces/territories on a complementary approach for the low-carbon-fuel industry.
• Regulatory Source: Natural Resources Canada to provide further details in the coming weeks.

Notable Quotes

• "We are grateful for the support from the government of Canada in levelling the playing field for Canadian renewable fuel producers and assisting Canada's canola producers, who are critical feedstock suppliers to the corporation's renewable diesel facility. Once implemented, the measures announced today are expected to help support a competitive future for the Canadian renewable fuels industry and support the corporation's future profitability and liquidity," said Jeremy Baines, chief executive officer of Tidewater Renewables.