The Canadian government unveiled on Tuesday a C$1 billion (US $860 million)Clean Energy Fund that will focus on the development of renewable energy technologies, including carbon capture and storage as well as sustainable oil sands development.
The Canadian government is acting according to an agreement made with the United States during President Barack Obama's visit to the country in February. The Canada-U.S. Clean Energy Dialogue is meant to build a cleaner energy economy for North America.
The fund includes $850 million for clean technology development and demonstration.
Within this amount, $650 million were allocated for large-scale carbon capture and storage demonstration projects. Another $200-million were set aside for smaller-scale demonstration projects of renewable and alternative energy technologies and $150-million are for research on a range of clean technologies, including those that address environmental challenges in the oil sands.
The cash for this fund is from the economic stimulus plan announced earlier this year worth $40 billion in Canada's federal budget.