O Canada: Shell Puts Biofuel in the Pumps, While Ford Tests Plug-Ins

Shell and Ford today made projects announcements that, while they might be small steps, take both companies in a greener direction. And both partnered with Canadian companies to make these deals happen.

Shell announced that customers at a gas station in Ottawa, Ontario, will be the first to fill their cars with gas blended with biofuel. Shell claims it's the first service station in the world providing advanced biofuel made from wheat straw. All gasoline sold at the station will contain 10 percent cellulosic ethanol, produced by Canadian Iogen Energy Corp.

Cellulosic ethanol is identical to ethanol but offers 90 percent fewer CO2 emissions compared to regular gasoline, claims Shell and others. Shell and Iogen have partnered in setting up a demonstration power plant producing 40,000 liters per month, announced Canadian Transport and Infrastructure Minister John Baird.

"This is a great day for Canadian technology and proof that Canada's commitment to developing low CO2fuels is starting to pay dividends for the environment, farmers and consumers," said Baird in a statement.

Shell notes that there's still a lot to be done before the biofuel could be available for a vast amount of consumers, but it is a start. Shell is also a big advocate of GTL, a liquid fuel that is made from natural gas.

Hydro-Quebec and Ford, meanwhile, announced a three-year research program on plug-in hybrids. Nine utilities in North America will use 21 cars that will collect vehicle data such as battery technology, customer use and grid infrastructure. Hydro-Quebec will be the only Canadian utility taking part in the program, which will be conducted by Electric Power Research Institute (EPRI).

Pushing plug-in hybrids to utilities seems to be a common strategy among automakers. A few years ago, plug-ins were strictly for hobbyists but major manufacturers will release them in limited volumes over the next three years. Chalk it up to customer demand and government tax incentives (see The Myth of Electric Vehicle Subsidies).

"We believe collaboration with utility companies to explore new business models, standards, infrastructure and communication between vehicle and electric grids will be a key component to advancing the commercialization of electric vehicles in the coming years," said Nancy Gioia, director of the Sustainable Mobility Technologies and Hybrid Vehicle programs at Ford.

According to Hydro-Quebec, the transport sector in Quebec accounts for 42 percent of the greenhouse gas emissions.

"The reduction in greenhouse gas emissions that could be achieved through the electrification of transport in Quebec, where 98 percent of the electricity is produced from renewable sources, would be considerable," said Thierry Vandal, Hydro-Quebec’s president and CEO, in a statement.