BC commits CAD $35M to low-carbon industry, data centre innovation

The government of British Columbia is allocating CAD $35 million to fund new industrial projects under the CleanBC Industry Fund, supporting local job creation, community development, and the province's transition towards lower-carbon industrial operations.

Since launching in 2019, the CleanBC Industry Fund has committed over CAD $368 million to 173 projects across the province. These initiatives are projected to collectively reduce more than 14 million tonnes of greenhouse gas emissions over a decade, an amount equivalent to eliminating over 20% of the emissions from all heavy-duty vehicles in British Columbia. The fund on average leverages two additional dollars from industry and partners for every provincial dollar invested.

Project highlights

The BC government has committed CAD $750,000 to Creative Energy Vancouver Platforms' Data Centre Heat Recovery System study. The corporation will look into potential ways to use heat byproduct from data centres and redistribute it to nearby buildings.

Other significant grants include CAD $24.84 million to NorthRiver Midstream Inc. for the installation of a carbon capture and storage system at its Fort Nelson Gas Plant, expected to cut 2.08 million tonnes of CO2 equivalent by 2034. NorthRiver's McMahon Gas Plant will also receive CAD $16.83 million to support further carbon capture technology, reducing an estimated 1.18 million tonnes of CO2 equivalent.

Energy sector initiatives such as Cenovus Energy's use of solar electric pumps to replace conventional methane-venting equipment will receive CAD $1.52 million, while Parkland and Sundown compressor stations operated by ARC Resources and Tourmaline Oil Corp will be transitioned to electric power under the scheme.

The CleanBC Industry Fund assists companies in British Columbia with adopting technologies to reduce greenhouse gas emissions by supporting electrification and cleaner operations. This funding forms part of BC's industrial carbon pricing strategy and is open for the 2025 round of project applications.

CleanBC-funded projects highlighted include the electrification of ARC Resources Ltd.'s major facilities in northeastern BC and Teck Resources Limited's pilot biocarbon initiative.

"Electrification has played an important role in lowering emissions while supporting the production of efficient and low-cost natural gas," said Armin Jahangiri, Senior Vice-President and Chief Operating Officer at ARC Resources Ltd. "The CleanBC Industry Fund enables us to explore electrification solutions that improve efficiency, lower emissions, and show how responsible development and innovation can move forward together."

Teck's biocarbon project aims to partially replace fossil fuels with biocarbon in mineral and metal production, with implications for future emission reductions in sectors that are challenging to decarbonise.

"This project helps us explore cleaner technologies that could shift the way critical minerals and metals are made in B.C.," said Matt Parrilla, General Manager, Trail operations, Teck. "It supports long-term sustainability for workers and communities that rely on critical mineral and metal production."

All CleanBC Industry Fund projects are selected through a competitive process evaluating business cases, emission reduction costs, and broader technology benefits. Funding is provided on a milestone basis with established performance metrics to ensure actual environmental impact.