Premier Doug Ford is in Sault Ste. Marie on Friday to announce a new program called the Northern Energy Advantage (NEAP), which will reduce electricity costs for the region's industrial sector.
Ford said the move will help businesses "invest more money in hiring and training workers, and making transformational changes to their operations."
The strategy will give companies "the predictable energy costs they need to bring back the jobs and opportunities that the people of northern Ontario deserve. With these economic conditions in place, Ontario will be unstoppable," Ford said in a news release.
Previously called the Northern Industrial Electricity Rate program, the funding will increase from $120 million to $176 million by 2025-26, the province said.
The expansion allows "more businesses to qualify for funding and the $20 million cap for current participants is removed."
"To encourage businesses to make transformative investments to their operations, such as transitioning to clean technologies, the government has also introduced a new investor class stream that," the release said.
Minister of Northern Development, Mines, Natural Resources and Forestry Greg Rickford said the province is building an integrated supply chain from exploration to electric vehicles to connect the regional economies in the north and south.
"We have expanded NEAP eligibility so critical minerals and battery materials projects can benefit from the program. With the release of our government’s Critical Minerals Strategy, the new and improved NEAP program could not have come at a better time," Rickford said in a news release.
Algoma Steel is the first company to benefit from the new investor class stream, using the energy cost certainty to help plan the electric arc furnace.
Sault Ste. Marie MPP Ross Romano said the new program will bring more stability to his city.
"For several generations, our city has relied on Algoma Steel. As our largest employer, Algoma’s success is directly tied to the success of Sault Ste. Marie. Similarly, hard times at Algoma result in hard," Romano said. "Today’s announcement is about the future of Algoma Steel and the future of our community. It ensures that Algoma Steel will never again suffer the instability of the past. Today’s announcement is about protecting Sault Ste. Marie and our future generation of children, workers and families so that they can build a brighter life for themselves and keep them 'home to stay.'"
