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The Government of Canada is demonstrating its commitment to stimulating innovation and job creation with a commitment of $734,500 for the initial front-end development phase of a new waste-to-energy demonstration facility in Varennes, Québec. This support, from Sustainable Development Technology Canada’s (SDTC) NextGen Biofuels Fund, will be repayable from free-cash flow once the project demonstrates commercial success. SDTC funding could reach $39.8 million based on subsequent project milestones and required governance approvals.

Project description:

Enerkem, in partnership with GreenField, intends to build a facility that will convert 100,000 metric tonnes per year of urban waste in 38 million litres of cellulosic ethanol. This ethanol can be used to produce transportation fuels. The Enerkem thermo-chemical process, which is currently being demonstrated in Wesbury, QC with support from SDTC’s SD Tech FundTM, includes feedstock preparation, gasification of biomass, syngas conditioning and catalytic synthesis of ethanol – the steps necessary to convert waste to ethanol. The gasification capacity scale-up factor is seven times from Westbury to this facility.

Partners: Enerkem Inc. and GreenField Inc.

SDTC’s NextGen Biofuels Fund:

The NextGen Biofuels FundTM supports up to 40% of eligible project costs. The contribution is repayable based on free cash flow over a period of up to 10 years after project completion.

The fund is open for applications all year-round. To be eligible, a project must:

  • be a First-of-Kind facility that primarily produces a next-generation renewable fuel at large demonstration-scale;
  • be located in Canada;
  • use feedstocks that are or could be representative of Canadian biomass; and
  • have demonstrated its technology at pre-commercial scale.

Detailed information on the NextGen Biofuels Fund™ and on how to apply is available in the Funding section of the SDTC website at Prior to submitting an Application for Funding (AFF), candidates should communicate their intent to SDTC by sending an email to