Research
Biofuels in Canada 2025: Tracking biofuel consumption, feedstocks and avoided greenhouse gas emissions
September, 2025
Summary
Navius Research has released the 2025 edition of “Biofuels in Canada”. This analysis uses public data to catalog the volume of transportation biofuels consumed in each Canadian province, while estimating the impact of biofuel consumption on greenhouse gas emissions and transportation energy costs from 2010 to 2023, with an estimate for 2024. It includes a similar analysis of fuel and GHG impacts resulting from the use of light-duty electric vehicles and co-processed renewable fuels.
Highlights:
- Renewable fuel consumption in Canada increased by 11% in 2024, on top of the 28% increase in 2023.
- In 2024, the renewable fuel content in gasoline and diesel in Canada was well above the regulated minimum levels because of the fuel CI reductions required by provincial and federal regulations.
- Ethanol made up almost 10%vol of the gasoline pool, while biomass-based diesel content has grown to almost 7%vol.
- Renewable fuel consumption in Canada has increased cumulative consumer fuel costs by 0.08% from 2010 to 2024.
- Over-taxation of renewable fuels, related to their lower energy density, cost consumers an additional $0.5 billion in 2024, or $5.2 billion since 2010. If taxes were charged per unit of energy, renewable fuel consumption since 2010 could have saved consumers a total of $3.9 billion rather than costing them $1.3 billion.
- The GHG benefit of clean fuel consumption in Canada has grown substantially in the past few years. Avoided emissions were 11.3 MtCO2/yr in 2023 and 13.3 MtCO2/yr in 2024, about double what they were in 2021.
- The renewable fuel consumption and avoided GHG emissions seen in Canada over the past three years have likely created a bank of Clean Fuel Regulations (CFR) compliance credits that is greater than what can be inferred from the incomplete CFR credit market data.
Click the image above to download the report.
This study was commissioned and funded by Advanced Biofuels Canada.
To learn more about this research, please contact Michael Wolinetz.
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