An Ottawa company has received $4 million from the Ontario government for a two-year demonstration of its new waste-to-energy technology.

Plasco's Trail Road demonstration facility is to process 85 tonnes of Ottawa's waste a day for two years.
(CBC)

"The message we're saying is that we need innovative solutions," said Minister of Health Promotion Jim Watson at a news conference Friday, where he called waste disposal in landfills "caveman technology."

"We can't simply be digging holes in the ground and burying garbage forever."

Plasco Energy Group began construction on its plasma gasification demonstration project at the site of Ottawa's Trail Road Landfill in September in a partnership with the City of Ottawa.

The $27 million plant is to divert 85 tonnes of waste a day from the city's landfills while generating enough electricity to run the facility and power 3,600 homes.

Watson said the company's technology will help solve the province's waste disposal problems and create economic growth.

The money, to be distributed over two years, is the first chunk of a $24 million fund announced in the 2006 budget for environmental and alternative energy technology pilot or demonstration projects using biological or renewable materials, he said.

Plasco executive director Chris Gay says the $4 million from Ontario is 'key' to getting the $27 million plant running.
(CBC)

Plasco executive vice-president Chris Gay told the news conference that new industries in Canada have trouble getting started without government help.

"These funds and support are absolutely key for us to get this plant built and in operation," he said.

Ontario moving too fast: environmentalist

Stephen Hazell, executive director of the Sierra Club of Canada, said he thinks the government may be moving too fast and should focus on reducing packaging and other waste instead of backing unproven technology.

"We shouldn't be investing a lot of funds in a private company until we have a pretty good idea that this is going to work," he said.

Hazell said he thinks Plasco's technology should undergo an independent environmental assessment.

According to the company, the plasma gasification process decomposes waste under high heat and low oxygen into a gas mixture called syngas, and a glass-like material that can be turned into asphalt or concrete. Without oxygen, the waste does not burn. 

Other leftover materials such as sulphur, chlorine and heavy metals will be separated for disposal.

The company earlier received a $6.6 million commitment from Sustainable Development Technology Canada, a federal government foundation.

The company hopes that when the demonstration project is finished, they will be able to build more plants and take more waste.

The City of Ottawa is providing the demonstration site and has agreed to pay the company $40 per tonne of waste processed.