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Transport committee  Once again, it all depends. We do continue to do some work at the University of British Columbia, and we do work at some other universities throughout North America. The bulk of our research and development is done at our own facilities for the early research work and the early testing work.

May 15th, 2012Committee meeting

Jonathan Burke

Transport committee  No, we definitely do not stay away from it. Technology Partnerships Canada many years ago was a supporter of Westport. We've returned those dollars and significant returns to the government on that investment. We did one program with Sustainable Development Technology Canada, part of NRCan, in 2005.

May 15th, 2012Committee meeting

Jonathan Burke

Transport committee  In 2011—I don't have the exact number here—approximately $3 million of a total of $36 million was government money, so funded sources. For example, this money last year partly came from Los Angeles County's South Coast Air Quality Management District, which has a funding program to fund the development of cleaner technologies for trucks and buses and other equipment.

May 15th, 2012Committee meeting

Jonathan Burke

Transport committee  For the most part, we have found the Canadian programs to be very good. Sustainable Development Technology Canada has a very good process for vetting programs, for the follow-on as the project proceeds, and then the follow-up on the commercial validity of the project. We always like shorter and less rigorous approval processes, but it's been a good process so far.

May 15th, 2012Committee meeting

Jonathan Burke

Transport committee  We certainly have curious researchers, but our shareholders demand that all of our research be market driven and customer driven. In our early days, when we came out of UBC, I think everyone wanted to build a really cool mousetrap, but ultimately, in a very short period of time, we realized we had to develop products that were targeted at markets that would adopt them.

May 15th, 2012Committee meeting

Jonathan Burke

Transport committee  Sure. In the early days, in the late 1990s and early part of this century, many of the bus fleets, some of the refuse transfer fleets, etc., were doing it for environmental standards, because in some of these jurisdictions, like Los Angeles, or Beijing in the Olympics, for example, they were under very strong pressure or they had mandates to reduce their emissions footprint.

May 15th, 2012Committee meeting

Jonathan Burke

Transport committee  Sure. In Canada today our very own natural gas corridor runs along Highway 20 out of Montreal and then transitions into the 401 corridor to Mississauga. Today that's our principal natural gas corridor with Transport Robert and their fleet of LNG trucks. We very soon expect to have corridors emerging in British Columbia and Alberta.

May 15th, 2012Committee meeting

Jonathan Burke

Transport committee  No, it was Gaz Métro from Montreal. It's the gas utility that delivers gas to residential and commercial customers in southern Quebec. They formed a separate company called Gas Métro Solutions Transport. They installed the refuelling infrastructure for Transport Robert. They are planning a third station in Quebec City in the near term.

May 15th, 2012Committee meeting

Jonathan Burke

Transport committee  The provincial government of Quebec, in their budget of 2010, introduced accelerated depreciation or accelerated capital cost allowance for the purchase of liquefied natural gas trucks. They also had a program targeted at reductions in greenhouse gas emissions in the transport sector, which provided additional incentives to Transport Robert.

May 15th, 2012Committee meeting

Jonathan Burke

Transport committee  It provided a certain amount of financial incentives. It didn't completely defray the added cost of the liquefied natural gas trucks, but it certainly helped to pull the economics together.

May 15th, 2012Committee meeting

Jonathan Burke

Transport committee  Both the Alberta and British Columbia governments have been very supportive of natural gas vehicles. Tied to British Columbia's climate action initiatives, it's a very good fit. They've been supportive in literature and in their natural gas strategy in British Columbia. The Alberta government has likewise been supportive.

May 15th, 2012Committee meeting

Jonathan Burke

Transport committee  It can vary. It depends on the fleet's financial situation, the amortization schedule for the vehicle or fleet, and how they amortize the assets. I think a good approximation of the value of the accelerated capital cost allowance is $20,000 per truck. The MTQ grant, I believe, is approximately $15,000 in additional incentives toward the purchase of the truck, for a total of approximately $35,000.

May 15th, 2012Committee meeting

Jonathan Burke

Transport committee  That's correct.

May 15th, 2012Committee meeting

Jonathan Burke

May 15th, 2012Committee meeting

Jonathan Burke

Transport committee  The U.S. government, during the recession, introduced a capital cost zero depreciation or accelerated depreciation to spur the purchase of all trucks, not just natural gas trucks. There's no advantage between a natural gas truck and a diesel truck in the U.S., but it did spur some investment in the trucking industry.

May 15th, 2012Committee meeting

Jonathan Burke