Federal funding for Windsor's Sterling Fuels to bring biofuels to the Great Lakes shipping industry

The federal government announced on Tuesday it's investing over $25 million towards four Ontario projects, funded under the Green Shipping Corridor Program, including a multi-million-dollar project at Sterling Fuels in Windsor.

Minister of Transport Anita Anand said the funding was meant to establish green shipping corridors and reduce emissions across the Great Lakes region, while supporting shore-power and alternative fuel solutions in the marine sector.

"We need to do what we can to lower emissions, and we need to ensure that the marine transportation sector is sustainable at the same time," Anand said.

"This is good news for the economy. This is good news for the environment. And this is recognition that in order to grow your economy, you need to have a plan for environmental protection and sustainability."

Officials said decarbonizing the marine sector is a crucial part of the Canadian government's climate action plan. By upgrading port infrastructure and promoting the use of cleaner technologies in vessels, they said Canada is leading the way in reducing the environmental impacts of shipping.

"Our ports are essential gateways to Canada's economy," Anand said in a news release.

"These innovative projects will help us protect our planet, build a greener economy for Canadians, reduce emissions and keep our communities connected."

According to Anand, the money will go towards projects in Windsor, Hamilton, Port Colborne and Port Algoma Sault Ste. Marie.

Sterling Fuels will receive up to $4.9 million in funding as part of a $10 million project to reconfigure existing infrastructure in Windsor and build additional fuel infrastructure at its facilities in Hamilton.

The project will see $6 million invested in the Sterling Fuels facility in west Windsor on Russell Street along the Detroit River, to bring biofuels to the market for use by vessels in the Great Lakes shipping industry.

Sterling Fuels President Peter Kelly noted work has already begun at the Windsor facility and could take a couple of years to complete.

"Our Windsor facility is strategically positioned at the prime location for fueling Great Lakes vessels traveling north to get their cargoes," Kelly explained.

"On Windsor Port Authority property, Sterling will add infrastructure to receive biofuels by rail into existing storage tanks. This new infrastructure, along with utilizing existing capabilities, will allow Sterling to customize various fuel blends, specific to the requirements of each vessel.”

Kelly continued, saying marine diesel currently being used is like normal truck diesel. The new fuel they are moving to is soybean-based, reducing emissions by around 80 per cent.

"It's not only important for our organization, but I think it's important for the entire marine industry in particular, because it now builds the infrastructure so that we can bring biofuels to the market and make them a sustainable fuel of the future,” said Kelly.

Windsor Port Authority President and CEO Steve Salmons welcomed the announcement, saying there's been $150 million invested in the future expansion of Port Windsor over the last two years.

"This is huge," Salmons exclaimed.

"It's a huge advancement in the decarbonization of our economy, of transportation and getting the right product at the right place to the right people to utilize this incredible technological advancement."