London seeking $150 million offered Ford Canada’s St. Thomas Assembly Plant

Posted by Ian: St. Thomas and Elgin county lose the Ford plant and as a result the economic impact will be compounded via support operations like Lear Seating, trucking companies and CN who relied heavily on the St. Thomas Assembly Plant and yet London wants the entire $150 million offered by the province for its own benefit. It’s bad enough we have to deal with the London-centered school board and St. Joseph’s Health Centre for psychiatric services. However, you can ask the question, why didn’t St. Thomas staff and administration beat London to the punch? Or is that because they have no long-term economic plan in place. Where is the Economic Development Corp. and the Chamber of Commerce in this dark chapter? London is taking concrete steps to diversify its economy (read agri-business and digital media), while in St. Thomas we’re still trying to entice an automaker to locate here. Following is the full story from the London Free Press …

The City of London is going after $150 million the Ontario government is believed to have offered to save Ford of Canada’s St. Thomas assembly plant, Mayor Anne Marie DeCicco-Best said.

The city and region could use the cash to fund a host of ambitious economic development schemes, she said.

“We continue to be impacted in a severe way. If there is money for the plant, then surely there must be money to invest in initiatives we are looking at.”

Ford Motor Co. will close the St. Thomas plant in September 2011, cutting 1,600 jobs when it ends production of the Lincoln Town Car, Mercury Grand Marquis and Crown Victoria.
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Ethanol subsidies a useless boondoggle

Ethanol is the gift that keeps on giving – but only to corn-growers and opportunistic automakers. For taxpayers, however, it’s a dream that failed and a rat-hole down which our governments keep pouring our tax money. This useless boondoggle must stop.

Last week, CanWest News Service reported on a government memo that says clearly that Ottawa’s costly effort to promote E85 fuel – industry shorthand for 85 per cent ethanol and 15 per cent ordinary gasoline – will do no good.

In fact, we believe the whole push for ethanol – produced mainly from corn in Canada – will bring no actual reductions in total greenhouse gas emissions, but will cost taxpayers $2.2 billion in federal subsidies, plus more from provinces, especially Ontario.
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Small towns contributing to their own demise

An exodus of young people seeking education, adventure and success in bigger cities, combined with economic upheaval that has left little opportunity for those who stayed behind, has resulted in a dramatic “hollowing out” of North America’s small communities. And worse, by not adapting to this new reality, small towns are playing a big part in their own demise.

Other regions and communities have created incentives designed to draw back their educated young people. Aniko Varpalotai, a professor specializing in rural education at the University of Western Ontario, says St. Thomas, the town she lives in just outside of London, Ont., has used tuition relief and housing benefits to entice several of the medical students who passed through its hospital to stay. In different areas of the U.S., Carr found free land programs, student loan forgiveness and attempts to improve cultural amenities.

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Environmental impact of ethanol fuel overstated, government warned

Ottawa’s push to use high-level ethanol fuel in cars is doing little or nothing to cut Canada’s greenhouse gas emissions nor will it, says a government briefing note prepared for Natural Resources Minister Lisa Raitt and obtained by Canwest News Service.

Moreover, government officials have warned Raitt that giving automakers credits toward new fuel efficiency standards by making cars that can use environmentally friendly E85 fuel will not actually reduce emissions because those cars will never actually use the ‘green’ fuel and will continue to use regular gasoline.
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Ethanol cooperative chair challenges report

Ethanol production has increased the availability of corn in Ontario says Tom Cox chair of the Integrated Grain Processors Cooperative, which operates an ethanol plant in Aylmer, Ontario. This, in response to a report from the George Morris Centre entitled Opening the Throttle and Applying the Brakes , which concludes it is the growth in the ethanol sector that is largely responsible for the struggles in the hog industry here in Ontario.
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Ethanol undermines Canada hog farm rescue

WINNIPEG, Manitoba, Aug 19 (Reuters) – Canada’s rescue plan of the hog industry will fail to save it because the government continues to support ethanol production, the industry’s rival for feed grain supplies, a report by an independent farm research centre said on Wednesday.

The Canadian government said on Saturday it will pay some farmers to stop raising hogs and offer loans to help others restructure. Canada’s hog industry is in crisis, with high feed prices, a buoyant Canadian dollar, fears about H1N1 flu and a U.S. food labelling law making pig farming unprofitable.

A mandate from the Canadian government, starting next year, that oil companies must market fuel with 5 percent renewable content, has spurred rapid expansion of ethanol production. That’s driving up prices of corn and feed wheat, from which ethanol is produced and which farmers feed to cattle and pigs.
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Reinventing the rural economy

An economic alliance is growing in the sandy areas of Southwestern Ontario where tobacco once reigned.

“We’re trying to reinvent the rural economy,” Aylmer Mayor Bob Habkirk said yesterday, just before Middlesex County council endorsed turning the Southern Central Ontario Region (SCOR) into an incorporated not-for-profit body.

The intent is to make sure about one million hectares of agricultural land regains its spot as one of the most fertile economic drivers in the region.

The partnership that has approved the group’s new strategic plan includes Middlesex, Norfolk, Elgin and Brant counties, with Oxford’s official endorsement expected today. All five partners have been working towards SCOR’s incorporation for a little more than a year.
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Oegema Turkey Farms, an Elgin county success story

Oegema Turkey Farms, Talbotville

Sales of whole and processed turkey products at the farm store run by Mike and Wayne Oegema, in Elgin county, have increased both annually and in month-to-month comparisons, reports Better Farming.

But Oegema Turkey Farms Inc. is going to cut back production by 2,000 birds from the 55,000 they normally raise annually.

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