Mr. Speaker, there is considerable pressure being mounted within and outside this Chamber to persuade the finance and natural resources departments to grant sizeable tax concessions to artificially create the ethanol facility proposed for southern Ontario.
Certainly the creation of new industry is always welcome news but industry must be based on economics and not agrohysteria. Let us remember that this ethanol project is premised on cash infusions from government, a principle which should be disavowed.
Ethanol in jurisdictions with very high taxation can be a competitively priced fuel in relation to ordinary fossil fuels. However, such is not the case in Canada. Our refining industry provides a quality Canadian product at a competitive price.
If the proposed ethanol industry could compete on a level playing field then it will proceed successfully. Conversely, if the ethanol industry as proposed will only be viable as a result of artificial means, that is, long term tax concessions and cash donations from taxpayers totalling close to 600 million Ontario and federal dollars over 12 years, we could conclude that it is still the fuel of the future, but not that of the present.