Sludge Watch ==> Hamilton - Sludge energy plant faces rule change

[Maureen Reilly]

Rule change shocks company
Liberty Energy told it must restart environment screening for $60m power 
plant

July 21, 2007
Eric McGuinness
The Hamilton Spectator
(Jul 21, 2007)

A change in provincial regulations means Liberty Energy, which has spent two 
years and millions of dollars trying to win approval for a $60-million 
Hamilton power plant fuelled by sewage sludge and wood waste, must start its 
environmental screening process all over.

Critics are pleased and the company can't believe the rules are being 
changed at so late a date and supporters say the move will discourage 
private investment in renewable energy in Ontario.

Liberty CEO Wilson Nolan said yesterday: "We are shocked and dismayed that a 
government process can take away something that a company has accrued in 
spending millions of dollars and two years of time in good faith in meeting 
the requirements."

The California-based company applied in July 2005 as an electricity 
generator. That required only a Class B screening -- not as a waste plant, 
which would have had to undergo a more rigorous Class C assessment -- and 
was encouraged to proceed by the Environment Ministry.

The City of Hamilton, Hamilton East MPP Andrea Horwath, Councillor Sam 
Merulla and Environment Hamilton all argued the proposal should have been 
treated the same as a garbage incinerator.

The city and other parties asked the ministry to bump up the application to 
Class C, and a decision on those requests was expected any day. But now the 
ministry says Liberty's plan falls under regulations passed in March aimed 
at streamlining the assessment of energy-from-waste projects.

Spokesman Mark Rabbior said there is no provision for continuing the old 
screening, the bump-up requests will die with it and Liberty has to begin a 
new screening, but not a full assessment.

"From the government's perspective," he said, "it's all about ensuring 
projects are properly reviewed."

Environment Hamilton's Lynda Lukasik said, "We're happy." But John Dolbec, 
chief executive officer of the Hamilton Chamber of Commerce, called the 
ministry action "fundamentally unfair, unfair and bizarre."

Environmental law specialist Dianne Saxe, who noted bump-up requests are 
normally turned down, said: "There's no justification I can think of for 
requiring an environmental assessment to start over after two years ... 
especially if we want investors to build more facilities. One thing they 
need is certainty."

http://www.thespec.com/News/Local/article/222566