N.L. kicking in $30M to huge Placentia Bay aquaculture project

Four days after Premier Dwight Ball confirmed the province would partner with Grieg NLin a huge new aquaculture project, the Newfoundland and Labrador government has announced just how much of a stake it's getting: $30 million.

In Marystownon Friday, the province revealed it would providethat muchin repayable financial assistance to support the project, which is expected to cost $250 million and create more than 800 jobs 440 direct jobs at Grieg NL and its processing facilities, andabout 380 jobs in affiliated sectors.

The $30 million repayable loan will be through the Aquaculture Capital Equity Program, according to Ball.

The program's objective is to help increaseproduction of commercial aquaculture products in the province, from both hatcheries and marine sites, thereby increasing employment and spin-off opportunities in the processing, manufacturing, supply and service sectors, primarily in rural Newfoundland and Labrador, according to the program's website.

"Support for the project will flow over future years, based on the project delivering on job targets and satisfying environmental conditions," Ball said.

"I'm pleased to say that our investment will be leveraged by the federal funding."

The Atlantic Canada Opportunities Agency is also providing $10 million in repayable federal investment, with the remaining $210 million coming from Grieg.

Criticism from conservation group

A financial and economic impact analysis by the provincial finance department estimates that once the project to encompass a salmon hatchery, land-based smolt production and sea-based operations is fully operational, in 2025, it will generate $33 million in labour income and contribute $82.5 million to the provincial GDP.

The project has been criticized by the Atlantic Salmon Federation conservation group, which has challenged the provincial government's releasing it from environmental review. The federation says the provincial government cannot both regulate the aquaculture industry and also be a partner in it.

"We came here four years ago, and we were always talking about starting the next year. But we appreciate the diligent process that we've been through because we think it is important that the community around understands the environmental impact that our project has," said Thomas Grieg, owner of Grieg Aquaculture.

"We are doing everything we can to minimize it and ensure that there will never be a lasting environmental impact from our project."

Grieg said construction on the project should begin within a week.

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