Four Ontario Cabinet ministers, federal officials from
minister Vanclief’s office and Farm Credit Corporation (FCC) met with
Seaway Valley Farmers Energy Cooperative at a closed meeting in the board
room of the Kemptville Hospital.
Seaway was told at the meeting the Ontario cabinet had
already given support to the project.
During question period at Queen’s Park, John Cleary (Stormont-Dundas-Charlottenburgh)
asked the minister of energy, John Baird, the government’s position on
the proposed $48 million ethanol plant.
Baird responded that he along with the minister of
public security, Bob Runciman; minister of environment, Chris Stockwell;
and minister without portfolio, Doug Galt, met with Seaway executive
members to determine the specific requests of the cooperative. Three other
ministries also had representation. .
Minister of agriculture, Helen Johns, couldn’t make
the meeting because her plane had been grounded by the fog. In the
morning, Stockwell had chaired the nutrient management meeting on
regulations, across the street at Kemptville College.
At the hospital boardroom meeting, FCC, according to a
reliable source, said it could legally be the lead lender. About $27
million is needed to go with the $16,248,000 raised through member shares.
Ontario cabinet ministers were told they would be asked
to provide $10 million, probably as a loan, in addition to the $3 million
already pledged.
"It’s an issue (financing the plant) I’m
tremendously concerned about," Baird said, pointing out that the
Chair of the alternative fuels committee was present at the Kemptville
meeting.
He added that "Doug Galt," minister without
portfolio, "signaled this is an important issue."
In a supplemental question, Cleary told the House that
the project required 66 million liters of alcohol and would provide 30
full-time jobs. The plant had pre-sold product for 10 years.
Shareholders writing letters have had some effect.
Cleary quoted a letter by Ron, Margaret, Ian and Brian Harrison, who said
they were appalled government officials were so ignorant of the project.
Seaway is still dealing with a German bank but talks
have dragged on so long that the agreement is expected to fall through.
The biggest enemy now is time. Seaway has been running
low on operating money this last year, with directors taking a credit chit
in payment for mileage and other expenses.
At its annual shareholder meeting, the membership agreed to come
together on January 20 to determine the fate of the cooperative.