Jim Watson is hoping to become mayor of Ottawa for the second time. (www.jimwatsonmpp.ca)

Jim Watson says if he's elected mayor of Ottawa this fall, he'll be offering local businesses a money-back guarantee on the speed of building permit applications.

Watson unveiled the first plank in his economic platform during a speech Monday to the Rotary Club.

He says if he becomes mayor, the city will provide planning and building permits within a set amount of time.

If the city fails to meet the preset time limits, the service would be free. He said long waits are crippling the city's entrepreneurial spirit.

"I think it's reasonable for us to set standards that the public can expect," Watson told CBC News on Monday.

"If we can't meet those standards as a city, then we should not be penalizing the individuals by dragging our feet and by giving them their site plan late, by charging them the full freight."

Watson also said Ottawa should delay expanding its partnership with Plasco Energy Group until the technology is proven on a commercial scale. The city and Plasco are on the verge of signing a contract to build a facility to turn household garbage into clean energy.

Plasco has been operating a demonstration plant at Trail Road for about three years. But some have doubts about the technology, and Plasco has yet to prove it can work on a commercial scale.

Plasco is waiting for one more approval from the province before it can go ahead with the larger facility.

Plasco CEO Rod Bryden and Ottawa Mayor Larry O'Brien have said they're "one or two weeks away" from signing the contract.

Watson stepped down as MPP for Ottawa West-Nepean earlier this year to seek the mayor's seat, which he held from 1997 to 2000.