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Agriculture committee The subsidy is that.
February 12th, 2008Committee meeting
Kenneth Sigurdson
Agriculture committee What is the figure?
February 12th, 2008Committee meeting
Kenneth Sigurdson
Agriculture committee They will be jobs at what cost?
February 12th, 2008Committee meeting
Kenneth Sigurdson
Agriculture committee Yes, if you're going to pay $1 million to $3 million a job. Do the math. In Manitoba, an ethanol plant employing.... It was in my presentation. The new Husky plant at Minnedosa, for example, provided 11 jobs in addition to what was there before, so those costs in terms of subsidies come at $3.3 million per job per year.
February 12th, 2008Committee meeting
Kenneth Sigurdson
Agriculture committee I was asked the question and I want to clarify it, because I made it in my presentation. On the cost of jobs, the Manitoba government's information indicates an 80-million-litre ethanol plant will employ 30 to 35 people, while a 160-million-litre ethanol plant may employ 40 to 50 people.
February 12th, 2008Committee meeting
Kenneth Sigurdson
Agriculture committee I want to respond to that, if I could.
February 12th, 2008Committee meeting
Kenneth Sigurdson
Agriculture committee Why oppose this? Various countries have different situations. The U.S. is a big producer of corn, and a lot of the organizations and associations use ethanol as a way to dispose of some of that corn. That's how it was first thought of. Canada, east of the Manitoba–Saskatchewan border, is a net importer of corn—about 50 million to 100 million bushels of corn a year.
February 12th, 2008Committee meeting
Kenneth Sigurdson
Agriculture committee Yes. She made some statements about my having made some statements. I want to clarify what I said in my presentation. Here's what I said. Vaclav Smil, from the University of Manitoba, described the problem with the wheat ethanol, such as low wheat yields, high water requirements, and growing wheat in the prairies, much of which is a semi-desert.
February 12th, 2008Committee meeting
Kenneth Sigurdson
Agriculture committee No, I'm trying to explain that. You made some comments about being the farmer here and being proud of these farmers. Well, I really am too, you know.
February 12th, 2008Committee meeting
Kenneth Sigurdson
Agriculture committee Well, whatever you do.... Anyway, why would we produce low-valued grain to put into ethanol and import the—
February 12th, 2008Committee meeting
Kenneth Sigurdson
Agriculture committee No. I was quoting somebody. I was quoting Dr. Vaclav Smil, and he said that you don't set up ethanol plants in a semi-desert, which is much of the prairies.
February 12th, 2008Committee meeting
Kenneth Sigurdson
Agriculture committee I'd like to make a comment on that.
February 12th, 2008Committee meeting
Kenneth Sigurdson
Agriculture committee The reality is that the price of a bushel of canola is $13 today, the price of a bushel of wheat is $10, and you're not going to make biofuels out of those kinds of fuels. A bushel of canola has about 10 litres, and Mr. Chorney will back me up on that, so the direct cost is a $1.30 a litre before you even start processing it.
February 12th, 2008Committee meeting
Kenneth Sigurdson
Agriculture committee My wife and I farm in the Swan River area of Manitoba.
February 12th, 2008Committee meeting
Kenneth Sigurdson
Agriculture committee Okay.
February 12th, 2008Committee meeting
Kenneth Sigurdson