An Innisfail town councillor said he expects Plasco’s response to the Central Waste Management Commission’s latest counter-offer by the end of the month.
Coun. Brian Spiller, who attended the CWMC’s Oct. 20 meeting in Red Deer County, said the commission examined Plasco’s latest offer for its proposed garbage gasification plant piece-by-piece.
Red Deer County raised concerns with the plant’s cost and its 18,000 tonnes per year commitment, Spiller said.
“Red Deer County’s not willing to commit to a number,” he said during the council reports portion of the Oct. 24 Innisfail town council meeting.
Spiller added the City of Red Deer expressed concerns with the tipping fees and revenue sharing. Red Deer also wanted to examine the possibility of moving the proposed plant closer to the city and away from Horn Hill Transfer Station east of Penhold.
“That way they can save $15 a tonne by having the Plasco plant set up right at the city site,” he said. “It would also save the rest of the commission members as, if any of us are running short on our tonnage, Red Deer would allow us to take their garbage to fill in the tonnage.”
The plant’s current requirements are 87,000 tonnes of garbage per year with 42,000 tonnes coming from the CWMC, made up of representatives from Red Deer County, the City of Red Deer, Innisfail, Sylvan Lake, Blackfalds, Bowden, Penhold, Delburne and Elnora. An additional 25,000 tonnes would have to be found by the CWMC, while Plasco has located another 25,000 tonnes already.
Spiller added the CWMC representatives in attendance agreed to run a natural gas line to the plant to offset some penalties.
“It’s a lot cheaper to run some natural gas through than paying $230 a ton for non-performance,” he said.
The latest offer has gone back to Plasco for review with a three-week deadline. The next CWMC meeting is scheduled for Nov. 25.
“We don’t know if any of these are deal-breakers or not, but that’s the way the contract is being rewritten and sent back to Plasco.”