Elementa granted lease extension. Mothballing pilot plant

Elementa is mothballing it's demonstration plant at the Sault Ste. Marie municipal landfill on Fifth Line.

At its meeting tonight, Sault Ste. Marie City Council decided to grant the green energy producer an extension to its lease so it could decommission the machines, remove all chemicals and any hazardous materials on the site.

The company has let its permit its Ministry of the Environment certificate of approval lapse in August of this year.

Elementa will be storing its heavy machinery on the site while it waits for an electricity rate from the Ontario Power Authority, said City Director of Engineering Services Don Elliot.

Other conditions the City attached to the lease include stipulations that Elementa check the building on a regular basis, keep it heated and remove its equipment when the lease runs out in 14 months.

In a deal struck with the city in a few years ago that would have seen Elementa collecting all of Sault Ste, Marie's curb-side trash and converting almost all of that into green energy.

But, as reported earlier by SooToday.com, unless Elementa has a rate the Ontario Power Authority will buy its green energy for the project can't move forward.

It's plan is to build a full-sized,working plant on Base Line.

That plant would divert 98 percent of Saulites' curb-side trash into green energy.

Elementa still has a contract with the City to turn its garbage into green energy for five years.

It planned to begin that diversion in April 2011.

Both Elliot and City Chief Executive Officer Joe Fratesi said they believe Elementa will soon get a rate and be able to build the new plant.

Elliot said the Ontario Power Authority told Elementa it is interested in learning more about the process and negotiating a rate for electricity with the company.