Owen Sound Sun Times, Don Crosby
Samsung isn’t giving up on plans for a wind energy project in Southgate. Company representatives appeared before council on Wednesday with a new proposal. Samsung is offering Southgate 15% equity in the 120-megawatt project. Company spokesperson Tim Smitheman said as an equity partner, Southgate could expect a net annual dividend of $905,000. That would increase the township’s annual revenue by 19% based on 2013 property tax collected.
The partnership in the project isn’t a gift. The township’s share of the cost for the 40 to 60 turbine development would be $10 million. Smitheman said Samsung would secure a loan to pay for Southgate’s share. The township would repay the loan at a rate of $500,000 a year out of its dividend for 20 years.
However, even after the loan payments, Southgate would net $905,981 a year – a total of $18.1 million over 20 years. In addition to the equity partnership Samsung and Pattern Development, the principal owners of the proposed project, would give Southgate $3.6 million over 20 years in a community vibrancy fund to support community, environmental and wellness initiatives. Read article