Ontario Invests $2.25 Million to Advance Biocoal for Low-Carbon Steelmaking

UTES Design and Build Team • January 9, 2026

A Step Toward Greener Construction and Industrial Innovation

Ontario is taking a major step toward reducing carbon emissions in heavy industry with a $2.25 million investment to support the commercialization of biocoal, a renewable fuel made from forest by-products. This initiative, delivered through the Forest Biomass Program, aims to expand markets for underused wood fibre while helping industries transition to cleaner energy sources.


What’s Happening?


  • Funding goes to CHAR Technologies Ltd., a Toronto-based environmental services company.
  • CHAR is developing biocarbon pellets for use in steelmaking, working with ArcelorMittal Dofasco in Hamilton to test biocoal as a partial replacement for fossil carbon.
  • The investment will improve durability of biocoal during storage and transport, a key requirement for industrial-scale use.
  • The project will support six existing jobs, create four new positions, and enable the use of up to 180,000 tonnes of forest biomass annually.


CHAR operates a renewable energy facility in Thorold, Ontario, using high-temperature pyrolysis to convert biomass into biocarbon and other energy products. With this funding, the company is preparing for commercial-scale production.


Why It Matters for Construction


  • Lower-carbon steel means greener building materials for residential and commercial projects.
  • Expanded biomass markets help stabilize forestry operations, ensuring sustainable supply chains for wood-based products.
  • Innovations like biocoal align with Ontario’s climate goals and the growing demand for sustainable construction practices.


How Does This Affect You?


Homeowners


  • Future custom homes and additions could incorporate low-carbon steel components, reducing environmental impact.
  • Sustainable materials may become more accessible as green technologies scale up.


Builders & Developers


  • Expect new opportunities to meet green building standards and attract eco-conscious buyers.
  • Partnerships with suppliers using biocoal-based steel can strengthen sustainability credentials.


Commercial Property Owners


  • Mixed-use and commercial projects can benefit from lower-carbon structural materials, supporting ESG commitments and long-term value.


UTES Design & Build: Building for a Greener Future


We integrate sustainability into every stage of design and construction, from material selection to energy performance. As Ontario invests in technologies like biocoal, UTES is ready to help clients leverage these innovations for smarter, greener builds.


Contact us today to learn how sustainable materials can enhance your next project.


By UTES Design and Build January 2, 2026
Big Changes Are Coming for Residential and Commercial Construction
By UTES Design and Build Team December 19, 2025
From “garbage in, garbage out” to decision-ready insights
By UTES Design and Build Team December 12, 2025
The Hidden Cost Behind Every New Home
By UTES Design and Build Team December 5, 2025
Preparing the Workforce for Housing and Infrastructure Boom
By UTES Design and Build Team November 28, 2025
New Research Shows Why Building Faster Pays Off for Everyone
By UTES Design and Build Team November 21, 2025
City Reports Major Progress on Affordable Housing and Faster Approvals
By UTES Design and Build Team November 14, 2025
A Big Step Toward the “Missing Middle” — And More Flexibility for Small Businesses
By UTES Design and Build Team November 7, 2025
Streamlining Approvals and Cutting Red Tape to Accelerate Housing and Infrastructure Projects
By UTES Design & Build Team October 31, 2025
Understanding the Codes That Keep Your Home Safe
By UTES Design & Build Team October 24, 2025
New Financing Tools Aim to Stabilize Canada’s Lumber Industry and Support Construction Projects
More Posts