Good afternoon. My name is Frank Suraci. I'm president and CEO of FJJ Growtec.
It is my pleasure, on behalf of our partners EnerDynamic Hybrid Technologies and Canadore College to present our solution to improving access and affordability of fresh produce to our indigenous communities in the Far North.
The issue of food security continues to prohibit our communities from securing fresh produce. Dietary deficiencies increase the levels of obesity, diabetes and other illnesses that impact the well-being of our indigenous populations.
To resolve these issues, our federal government commits generous financial resources to offset shipping costs to increase access and food affordability. Unfortunately, with the rising cost of transportation, lack of food handling and weak infrastructure in the north, the problems of securing a supply of affordable fresh produce continue.
Our solution is based on a three-way alliance of the federal government, the private sector and the indigenous communities. With a joint effort, we can implement our Growtec units to develop an indoor cultivation sector to grow fresh produce within these communities. As a result, we stimulate job creation and economic opportunities within these regions.
Utilizing our innovative technology, we aim to achieve two primary objectives. The first is to minimize federal subsidies. The second is to enable communities to grow fresh produce locally at commercial volumes to meet community demands. Our solution model is based on sustainable principles generated from science, best business practices, community preparedness and a high regard for minimizing any impact to the environment.
The Growtec strategy provides a turnkey program for a commercial-sized indoor grow unit that withstands the harsh climate and extends the short growing season to a full 365-day operation. These units consist of an indoor growing facility powered by renewable energy engineered to reduce dependency on the community's electrical grid system. This strategy also includes an educational component hosted by Canadore College to develop the skill capacity to manage these units and take advantage of potential business opportunities.
For example, a 6,000 square foot indoor grow unit placed in a community can produce up to 30,000 heads of romaine lettuce annually. The average cost to produce romaine lettuce in these units is approximately $1.50 per head. In comparison, this is much lower than the imported lettuce that sells for upwards of $7. The flexibility of the unit allows cultivation of broader varieties of fresh produce to meet community preferences.
Our technology uses hydroponics within a controlled growing environment with wall systems that provide R-55 insulation and an interior membrane that is resistant to mould and mildew. The exterior consists of fused solar panels that are part of the actual building's infrastructure.
Our Growtec units are scalable and available in much larger sizes. Renewable energy is generated using solar panels. During the winter months when sun exposure is at its minimum, a 10 kilowatt wind turbine is used to augment the power requirements. Additional energy security includes battery storage to ensure three to five days of full autonomy.
We have introduced our technology to members of Indigenous and Northern Affairs Canada. Upon review, the ministry has suggested that we solicit the interest of indigenous communities to participate in a proof-of-concept initiative.
To date we have secured interest of five communities. They are Big Trout Lake First Nation and Lac Seul First Nation in Ontario, Whitefish Lake First Nation in Alberta, a community in B.C. and one in the Northwest Territories.
We continue to discuss our next steps with representatives from the departments of Indigenous Services and Agriculture and Agri-Food Canada to implement our strategy as a means to stimulate economic growth in the indigenous communities while addressing the issues of food security.
The cost for this proof-of-concept project includes the installation of a 6,000 square foot Growtec unit in each of the communities. In addition, educational allowances have been included for 25 students, five from each community, to attend Canadore's 12-month training curriculum. The estimated cost of the project is $1.7 million for each of the five projects.
Regarding the environmental benefits of our technology, the units will offset approximately 11,500 tonnes of greenhouse gases over the 25-year cycle of the five units. The carbon credit value monetized over this term generates revenue of over $1.8 million.
To assist the communities in managing these cultivation projects, we have assembled a number of companies prepared to mentor and, wherever possible, enter into a partnership to expand the commercialized enterprise. In addition, we have secured private financiers to underwrite these projects and assist the communities to commercialize production.
It is our hope that we have sparked your interest to apply our transformational technology to resolving the problems of food security in the north and minimize the federal government's obligation of continued subsidies on this issue.
I thank you for your attention.