Natural Resources committee  I don't have that number. I could very easily figure it out, but I don't want to waste your time here with my calculator.

Natural Resources committee  It's a process to get it produced. The bottom line is that to compete with the economics of producing fossil diesel, at the large scale at which they are doing it, is very tough, so we need the government support. We need the clean fuel standard to bring in the blending mandates to require that fuel to be put in there and to bring that home, and then to kind of help break into the industry of having renewable fuels blended in.

Natural Resources committee  No, is the short answer, and I'll tell you why. Looking at the “Keep it Coming” strategy that was put out by the Canola Council of Canada and the federal government, they are looking to hit, as my report shows, 26 million tonnes of production, up from 20 million tonnes, over the next five years, and they're looking at doing that with the same number of acres.

Natural Resources committee  I don't know about more fertilizer, but better usage of fertilizer, for sure.

Natural Resources committee  I don't know the stats off the top of my head. I do know that anything we export goes into the edible market and renewable fuels—largely it has to do with how it's refined at the different crushers. Obviously, if you're looking at an RBD canola oil, that's largely going more into the edible markets, and most of the stuff that went offshore was a crude super degummed oil that was bound more for the biofuels market.

Natural Resources committee  Yes, absolutely. One of the first things to say is that—and it's something that I'm very proud of—Canada is one of the best canola-producing countries in the world, if not the best, and Saskatchewan is a very huge part of that canola production. We produce a lot of it. We have the capacity, as I said.

Natural Resources committee  Are you talking about our facility in particular?

Natural Resources committee  We're looking at a 6,500-barrel-a-day facility. That's 6,500 barrels a day of feedstock, which produces about 5,900 barrels a day of fuel production. It's give or take whether you're producing arctic-grade renewable diesel, summer-grade or sustainable aviation fuel, but that works out to about 350,000 metric tons of canola oil if we are using 100% canola oil as a feedstock.

Natural Resources committee  Absolutely. In 2019, four million tonnes of oil was produced, as I said. Fifty per cent of it went to the States and 25% of it went offshore, and we used only 25% of it here in Canada. Not only is there oil to be used here in Canada, but considering these announcements by Viterra, Cargill, Richardson and it looks like possibly even others that are coming out, there's going to be enough oil to fill this supply need for renewable diesel production.

Natural Resources committee  It's a little more complex than just stating a number. Right now the price is pretty much driven by what's happening in California. There's not even a really good tracker to follow that price. If you want to find out the price down in California, you basically have to take the rack price of diesel, add in the D4 RIN price, add in the California credit and then add in the blender's tax credit, and back into a price that way.

Natural Resources committee  We would be foolish not to take into consideration the ability to increase and to move alongside the market as it grows. Obviously it's a little bit more risky since it is just coming in. The CFS hasn't even been fully rolled out yet. We have plans to look at increasing in size to adapt to different feedstocks and to look at production and marketability for everything from Canadian fuel producers and suppliers to a home for it in the U.S. right down to the export market.

Natural Resources committee  First I'll say that both the provincial and the federal government have been working with associations such as the Canola Council of Canada, SaskCanola and Canadian Canola Growers Association. One thing that's helping to provide the supply needed for the transition into using canola oil in renewable fuels is the vast amount of research and development going into producing new, better-yielding canola varieties.

Natural Resources committee  The bottom line is that the reason there haven't been any renewable diesel plants popping up prior to this one is the uncertainty about the clean fuel regulations, just to be very clear. We're dealing with being a “first of its kind” facility here. You see what happens, I guess, when you look at the United States.

Natural Resources committee  Yes, you have to take into consideration all the feedstock options. Obviously, it makes it a lot tougher when canola prices are going up higher.

Natural Resources committee  Yes.