Windsor-based fuel distribution company receives nearly $5M from feds in 'green shipping' money

With hundreds of vessels passing through Windsor's waterways every year, the company that fuels many of them will receive nearly $5 million in new funding to improve their infrastructure for the distribution of lower-carbon fuels — making the shipping industry more sustainable and lower emission.

In a Tuesday stop in Windsor, transportation minister Anita Anand announced $25 million in funding through the Green Shipping Corridor Fund. Windsor-based Sterling Fuels will receive a chunk of that for two projects in Windsor and Hamilton.

Peter Kelly is the president of Windsor-based Sterling Fuels. (Dalson Chen/CBC)

"Sterling Fuels' project ... will improve the distribution of low carbon marine fuel in the Great Lakes corridor by improving vessel fuelling infrastructure at its facilities here in Windsor and in Hamilton," said president Peter Kelly.

"Our Windsor facility is strategically positioned at the prime location for fuelling Great Lakes vessels traveling north."

The total project cost is $10 million, funded 50 per cent by the federal government. About $3 million of Tuesday's announced money will stay in Windsor.

Anand said the money is key to lowering emissions and building sustainability in the marine transportation sector.

Windsor, Ont., based Sterling Fuels will receive nearly $5 million in federal funding to improve its distribution of low-carbon marine fuels. (Dalson Chen/CBC)

"What we chose to do as a government is to upgrade ports, upgrade vessels, and encourage ports to adopt clean energy and technologies such as shore power, such as biofuels and other green technology," she said.

Anand said the money will begin flowing this winter.

The funding is part of an overall $25 million from Transport Canada in the Greener Shipping Corridor Fund. Three other projects will also receive money from the fund.