GreenField Ethanol’s new facility at Johnstown in eastern Ontario is up for funding through two separate federal programs for a total of up to $117.5 million over seven years.
The government said Friday that GreenField Ethanol’s Johnstown facility will get up to $110.2 million over seven years through Natural Resources Canada’s nine-year, $1.5 billion ecoEnergy for Biofuels program. The program provides an operating incentive, based on production levels, to Canadian producers of renewable alternatives to gasoline and diesel.
Also, GreenField will get $7.3 million in repayable funding through Agriculture and Agri-Food Canada’s ecoAgriculture Biofuels Capital (ecoABC), a $200 million initiative to increase Canadian renewable fuels production capacity and help farmers participate in the ethanol market.
“Local farmers are investing a total of $8 million in this project, which will provide them with a new source of revenue and also broaden the economic base of the community,” the government said in a release.
“Not only will (these investments) strengthen the Johnstown community by supporting our plant facility, by saving jobs and by creating economic growth, they will also ensure an ongoing market for local area farmers,” GreenField CEO Bob Gallant said in a company release Friday.
The company supplies over 1,300 Canadian gas stations with up to 550 million litres a year of ethanol from its plants at Johnstown, Chatham and Tiverton, Ont. and at Varennes, Que. Another GreenField facility is in the works in Hensall, Ont.