Thank you very much for the opportunity to appear before the committee as you undertake this very important study.
The Canadian Biogas Association speaks for Canada's biogas and renewable natural gas opportunity. We represent more than 150 farmers, municipalities, technology developers, consultants, utilities and other sector organizations with an interest in reducing more greenhouse gas emissions and tapping more clean energy from Canada's biogas and RNG resources.
Biogas is Canada's quiet achiever. There are currently 279 biogas projects operating across Canada. These projects capture methane from organic waste collected from farms, landfills, waste water treatment plants and municipal green bin programs and turn it into reliable and clean energy. How much energy exactly? In 2020, our sector produced biogas that was converted into six million gigajoules of energy through renewable natural gas, 260 million cubic metres of biogas for heat and on-site use and 196 megawatts of clean electricity capacity. This is the equivalent of roughly 400 million square metres of solar panels or more than 13 large hydro dams, and there are more projects in development.
Our recent 2020 market report shows that Canada is only tapping 13% of its easily available biogas resources. The question is, how can we create the right policy signals to drive the private investment needed to tap the remaining 87%?
First, let me be clear about the benefits of tapping this remaining 87%. Biogas generates economic opportunities in every part of Canada, including in both urban and rural areas, particularly in agriculture and municipal sectors, two sectors hit especially hard by the pandemic. Our 2013 modelling suggests that growing the number of biogas projects just five times would generate almost 20,000 long- and short-term jobs and produce $21 billion in economic benefits.
Biogas also supports Canada's pathway to net zero. The recent models completed by the Canadian Institute for Climate Choices show that biogas is part of every single scenario for reaching our 2050 net-zero targets. Meanwhile, blending just 5% renewable natural gas into Canada's existing natural gas distribution system could reduce emissions by 14 megatonnes by 2030. For comparison, British Columbia is targeting a 15% blend of renewable gases by 2030 and Quebec is targeting a 10% blend. Right now, Canada is capturing only a small sliver of these benefits.
What are the opportunities to advance the biogas and RNG industry in Canada? Two things in particular have driven the growth of Canadian biogas over the last decade: first, provincial mandates and programs that incentivize clean electricity and clean natural gas, and second, federal funding programs that help projects overcome capital costs. We anticipate that the rising federal price on pollution will drive new biogas opportunities, though not until closer to 2030 and beyond, when the cost of biogas becomes more competitive with conventional natural gas.
Going forward, we see one major opportunity for the federal government to drive the biogas industry, and that is to drive domestic demand through a federally mandated minimum renewable blend for Canada's natural gas distribution networks. As mentioned, two provinces have established provincial regulations in this regard. It was also recently supported as a policy proposal by Canada's environmental NGO community, as well as offered in the Leader of the Opposition's climate plan. Such a regulation would be similar to the renewable fuels regulation introduced by the Government of Canada in 2010, which requires a minimum countrywide renewable blend for gasoline and diesel. That regulation has been instrumental in growing Canada's liquid biofuels industry and is responsible for significant greenhouse gas reductions.
Thank you so much for the opportunity. I'm ready for any questions.