August 3, 2012

Ontario expands loan guarantee program for First Nation, Metis renewable energy projects

TORONTO

The province is increasing its support for First Nation and Métis energy projects by expanding the Aboriginal Loan Guarantee Program .

The program provides loan guarantees of up to 75 per cent of an Aboriginal community’s investment in an eligible project, helping reduce barriers and make borrowing money to buy equity in eligible projects more affordable for First Nation and Métis communities.

Ownership will help provide a community with guaranteed and sustainable long term sources of revenue.

Renewable energy projects like solar, wind, and hydroelectric and new transmission are eligible for the program.

“This program is an important part of our plan for a strong and prosperous Northern Ontario. Working as partners in land and resource development,” said Thunder Bay-Superior North MPP Michael Gravelle in a release.

“We are unlocking Ontario’s clean energy potential and creating real and lasting opportunities for First Nation and Métis communities.”

To date, the program has received applications representing $250 million for projects that are expected to bring over 600 megawatts of renewable energy online — enough to power 45,000 homes and create up to 2,800 new jobs.

The expansion will make an additional $150 million available under the loan program.

In 2011, the Mother Earth Renewable Energy Project and the Lower Mattagami Project were approved for loan guarantees through the program.

DCN NEWS SERVICES

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