Sawmill restart and cogeneration in Harcourt
The $1.56 million grant and $2.4 million loan guarantee for Greenview Wood Products is part of $75 million the Ontario government has announced for 20 projects under the Prosperity Fund and Loan Guarantee Program. These projects are generating nearly $376 million in new forest sector investment and creating or saving 4,800 jobs.
The most recent offers include:
• More than $300,000 to support Columbia Forests Products' installation of over $3 million in new equipment at its Hearst plywood mill.
• A $5 million loan guarantee and a grant of $700,000 to Haavaldsrud towards the installation of a new $7-million saw line at its Hornepayne facility.
• A grant of $320,000 to Niska North to support the establishment of a cedar sawmill in Chapleau.
Forest Sector Competitiveness
The McGuinty government is investing more than $1 billion over five years through various programs to increase the competitiveness of Ontario's forest industry. Since June 2005, these programs have been stimulating new forest sector investments in value-added manufacturing and co-generation, helping the industry reposition itself in the global marketplace.
The Ontario government's investments include:
• $350 million in loan guarantees to stimulate new investment in value-added manufacturing, energy conservation and energy co-generation
• $150 million over three years in conditional grants to support new capital investments
• $140 million in electricity rebates for Northern pulp and paper mills
• $75 million annually for the construction and maintenance costs of primary and secondary forest access roads
• $70 million in a one-time stumpage fee refund in 2005/06
• $10 million per year to enhance the Forest Resource Inventory
• $6 million estimated value of reduction in stumpage rate for poplar hardwood for 2008/09
• $3 million a year from 2006 to 2008 to reduce timber fees for poplar veneer and white birch
• $1 million per year in an Ontario Wood Promotion program to enhance value-added manufacturing.