The Capital Regional District has some breathing room on its lone real funding deadline for the core area wastewater treatment project.
The CRD has been granted a six-month extension from PPP Canada, which is providing $83.4 million for the biosolids energy centre project. It is one of three federal funding partners helping pay for the region’s sewage project.
The amended conditional financial agreement, signed by CRD chief administrative officer Robert Lapham on Wednesday, gives the CRD until Sept. 30 to make significant progress on a plan, primarily site selection, for the project.
In a letter last week to Lapham, PPP Canada CEO John McBride wrote, “We recognize the efforts and steps being taken by the CRD to address the challenges encountered with respect to site selection for the wastewater treatment plant.”
Subsequent extensions of the Sept. 30 deadline, he added, would be “based on the CRD’s ability to move forward with the selection of a site for the wastewater treatment plant and to make real progress with respect to the plan.”
The CRD submitted the 10th amendment to its original Core Area Liquid Waste Management Plan to the province last week. It included recommended treatment plant sites at Clover Point in Victoria and either McLoughlin or Macaulay points in Esquimalt.
The province, which previously committed to contribute one third of the original $782.5 million cost of the single-plant McLoughlin Point project, helped facilitate the extension and is working with the CRD to move the project forward.
“I would like to thank PPP Canada for the extension and I am grateful they recognize the progress we have made over the last few months,” said CRD board chair and Esquimalt Mayor Barbara Desjardins. “I would also like to thank the province for supporting us in this request as we strive to deliver a cost-effective and environmentally beneficial solution for our region.”