Thank you, Mr. Speaker. Mr. Speaker, today I want to speak about renewable diesel, which is a very promising clean energy technology that could be a game changer in reducing our greenhouse gas emissions and in helping us keep up with the global shift away from fossil fuel technologies.
Roughly 80 percent of NWT emissions come from the use of diesel. Transportation, particularly transport trucks and mining equipment, account for almost half of our emissions. And it's just not realistic to think that we could ever electrify all transportation routes across our remote communities and remote mines in the North.
The GNWT commissioned a modelling study last year which found that if the NWT wants to set a goal of net zero, biofuels will be absolutely necessary to get us there. So what is renewable diesel?
To be clear, it's not the same as bio diesel. Renewable diesel is diesel made from vegetable oils and fats. It can be used in any existing diesel engine, furnace, or boiler; you simply drop it in. No retrofits, no need to buy new equipment or vehicles. You can also blend it in any proportion with conventional diesel fuel. So you can start gradually mix in small amounts and every little bit helps to reduce emissions.
It was first developed in the 1990s in Finland, and an Arctic grade has already been for sale in Finland since 2016 that can be stored down to minus 40. Global mining companies are also looking to this technology. De Beers is committed to be carbon neutral across all of its operations by 2030, and it has specifically committed to explore renewable diesel.
Renewable diesel does cost more than conventional diesel but if we compare it to other renewable energy projects we've already undertaken, the cost per ton of reduced emissions is two to eight times lower than solar, LNG, wind, or hydro grid expansion. The cost has been high because there's been very little production and little demand but in early of this year, in early 2024, Canada's first renewable diesel refinery opened in Prince George, BC, and another is planned for Strathcona, Alberta. Mr. Speaker, I ask for unanimous consent to conclude my statement; I'm almost finished.
Unanimous consent granted
Thank you, Mr. Speaker. So the Yukon government is already planning pilot projects to evaluate renewable diesel for transport, heating, and power generation by 2025. If we joined with them and other partners, such as large mines, we could create enough demand to start the renewable diesel energy revolution in the North. Thank you, Mr. Speaker.
Thank you, Member from Yellowknife North. Members' statements. Member from Yellowknife Centre.
