UPA and FQM want tighter guidelines on wind power development

Thierry Larivière

“Even in the Gaspésie region, we are hearing more and more that we are not getting our money’s worth, that we’re only getting crumbs,” declared Bernard Généreux, president of the Fédération québécoise des municipalités (FQM), when referring to the regional benefits of wind power development in Quebec. If the FQM’s objective of “maximum return benefits to the community” is not met, Généreux does not exclude the option of nationalization as a possible solution. In the meantime, he is suggesting a vast consultation process, before the deadline for tenders on 2000 MW, set for May 2007, in order to ensure that the wind power industry is as beneficial as possible to municipalities. “The wind power issue developed very rapidly, without many guidelines concerning its relationship with the communities and outlying regions,” suggests the FQM president, adding that it is probably necessary to establish a better framework for this energy production.

This was the position taken as several Radio-Canada reports were revealing the chaotic situation that exists in the development of wind energy, where promoters are often economically linked to municipal mayors, or former mayors, where the wind parks will be constructed. It was also noted that Ontario landowners receive more compensation per wind turbine than in Quebec.

As revealed by the newspaper La Terre de Chez Nous in November 2005, the royalties in the neighbouring province of Ontario are between 1.75 and 3 per cent of gross revenues. In Quebec, the royalties are dictated by Hydro-Quebec at one percent of gross revenues. On the other hand, there exists certain “step-contracts,” which provide for an increase in royalties to between three and four percent for the years 11 to 20 and even more for the years 21 to 30, in certain contracts. The information regarding the Ontario situation was taken from the publication Ontario Landowner’s Guide to Wind Energy from the Ontario Sustainable Energy Association (OSEA), which addresses, in particular, the subject of wind power development on private land.

In the more established American markets average royalties are often in the six per cent range, and in Europe they frequently go as high as eight per cent of gross revenue.

Payment based on gross revenue takes into account the variations in revenue due to the tariffs received by the promoters and the volume of electricity sold.

Tighter supervision

The Fédération de l’UPA du Bas-Saint-Laurent is demanding the right to sit at the table with all the stakeholders in the development of wind energy, in order to establish a “reference framework that will be applicable everywhere.” The objective would be to avoid disparities between villages and between provinces.

“If we had had a more rigid government framework during the implementation process, perhaps we could have avoided the situations that disrupted the municipal sector this week,” declared Claude Guimond, the federation’s president, who believes it is important to “use common sense and have respect for farm property.”

It is noteworthy that the UPA du Bas Saint-Laurent welcomed the decision of the BAPE regarding the project in the MRC de Matane, where they also referred to a lack of adequate guidelines.

Moreover, the Commission de protection du territoire agricole has finally entered into the wind power issue, by demanding the relocation of 36 wind turbines in the Northland project in Saint-Ulric and Saint-Léandre. In this particular case, the objective is to minimize the impact on cultivated land and on maple sugar bushes.

UPA’s 82 ^nd Annual Congress

Pierre-Yvon Bégin

“Environmental truce” for three years

Quebec farmers will not have to deal with new environmental regulations for the next three years. The Environment and Agriculture ministers took advantage of the 82 ^nd general congress of the Union des Producteurs Agricoles (UPA) to announce an “environmental truce” with the agricultural community. It will take the form of a concerted action plan for the protection of the environment and good neighbourliness, with a $10 million budget and based on voluntary measures.

The news was announced on Wednesday, December 6 by Yvon Vallières, minister of l’Agriculture, des Pêcheries et de l’Alimentation du Québec (MAPAQ), Laurent Pellerin, president of l’Union des producteurs agricoles (UPA) and Claude Béchard, minister of Développement durable, de l’Environnement et des Parcs (MDDEP). It is the Environment Minister’s first visit to the UPA’s annual congress after several years of absence.

In a press release on the eve of the annual meeting, Laurent Pellerin declared that the Concerted Action Plan for Environmental Protection will be one of the elements included in suggestions to be given to the Commission on the Future of Agriculture. In addition, he believes that a special tax should be imposed on imported fresh produce (cucumbers from India, snow peas from China or spinach from California). He illustrated his concern by citing the example of a television commercial, where a Japanese man is stopped by a customs officer after having bought a television in Quebec. “We don’t like this message,” declared Laurent Pellerin. “The consumer is led to believe that even if your purchase is not good for the local economy, as long as it is good for your wallets, go ahead. Last year, fresh produce was coming in from China!”

Action Plan

The newspaper La Terre de Chez Nous reported that the Quebec government would inject $6.9 million from now until 2010 by way of the Concerted Action Plan, while farmers would contribute $3.1 million. The Plan introduces a new voluntary approach, which will be supported by pilot projects, in order to get the various production sectors to take additional steps for environmental protection. It is also characterized by concrete objectives and actions, where the results will be measured by field monitoring.

The Concerted Action Plan was inspired by the ten projects initiated last year to re-establish the biodiversity of various watercourses, in collaboration with the Fondation de la Faune. Laurent Pellerin underlined that other similar projects will be accepted and will receive funding, thanks to the support of new partners. Besides biodiversity, the Plan will encompass water quality, pesticide reduction and rationalization, good neighbourliness and climate change. In the latter case, details will become available later.

T o live by farming

Laurent Pellerin explained that the theme of the annual congress, “Le gout d’en vivre,” indicates the desire of farmers to gain their livelihood from farming, in spite of the obstacles.

“The more we are challenged by difficulties,” he declared, “the more hard-headed we get to continue.” The UPA president confirmed that the presence of Chuck Strahl, the federal Minister of Agriculture was “99.9 per cent guaranteed,” commenting that after recognizing the Quebec people as a nation, “he will have to come and see what makes us different.” He recalled the example set by Ralph Goodale, who was always well received at the UPA congress, even if he caused a “rift” by cutting the agriculture budget by half in 1995.

Laurent Pellerin added that the federal government “has not done its job,” notably with regard to grain production, where farmers are “destabilized” by American subsidies. “We are starting to hear civil servants whispering in the background,” he added, “to the effect that if it costs less to bring in soybeans and corn from the U.S. and Brazil, then maybe it’s a good idea.”

He also encouraged the Quebec government to be more aggressive with Ottawa, while recognizing that Yvon Vallières is a minister who “is doing his job,” and who respects farmers and listens to them.

30 barrels of oil—or switchgrass?

Thierry Larivière

It is possible to produce the energy equivalent to 30 barrels of oil per year by growing a single hectare of a very hardy perennial plant: switchgrass.

That’s the claim of researcher Roger Samson, director of REAP Canada, in a presentation given at the annual meeting of the Centre de référence en agriculture et agroalimentaire du Québec (CRAAQ) on October 19 in Quebec City.

“Bio-energy is also a solution for the farming crisis,” declared Roger Samson of Resource Efficient Agricultural Production (REAP), located at McGill University’s Macdonald campus. The large-scale production of “green energy” would in effect permit a reduction in surplus agricultural products on the market, while spending our dollars at home instead of overseas.

The calculation of 30 barrels of oil is based on the production of at least ten tons per hectare. This figure is typical of the yields obtained during tests done near Montreal with the “Cave in rock” variety without any genetic improvement. The researcher evaluated the cost of transportation at $70 per ton and pelleting at $40. The pellets can then be used in stoves to heat greenhouses or buildings, with an energy efficiency of 85 per cent or more. In 2006, about 20 greenhouses in Ontario converted to “agri-pellets,” as well as several in Quebec. This type of stove can also burn pellets made from grass, corn, wheat or wood, depending on the design.

Since a barrel of oil currently sells for nearly $60 US, we can calculate an income of $2,000 CAN per hectare, assuming buyers are willing to switch energy sources and pay the equivalent price of oil for an equivalent quantity of energy. Samson believes that a subsidy of $30 per ton and a tax credit for the stoves would be enough to kick-start the industry. What’s more, each ton of biomass that replaces a ton of oil causes a reduction of at least 1.2 tons of CO ₂ in the atmosphere. In fact, the carbon cycle allows a growing plant to capture 90 per cent of the emissions caused by its production and combustion.

From the energy efficiency point of view, switchgrass completely surpasses ethanol production from corn. For a unit of energy used to produce switchgrass pellets, 14 units of energy are obtained in the form of heat. For ethanol from corn, the ratio is 1 to 1.7, even in the best manufacturing plants.

As a matter of fact, switchgrass, which is a type C4 grass, has a very well developed root system that allows it to resist both drought and floods. It is also an aggressive perennial that does not require any herbicides. Harvesting is done in a similar manner to hay, but the windrows must be left in the field in order to leach out the potassium and chlorine from the leaves. These two elements can cause corrosion in the furnace.

Samson estimates that Quebec could produce about 5.2 million tons, or the equivalent of nearly 16 million barrels of oil, by converting only 20 per cent of its most marginal soil to the production of this grass. Therefore, switchgrass would be a good land-use alternative in many regions.

Switchgrass can also be used to construct houses out of straw bales, since it is a better insulation than other types of straw.

In addition, it can be transformed into ethanol with the use of an appropriate enzyme (cellulosic ethanol). In that case, it would mean a 50 per cent loss of energy compared to pellets—but this more refined ethanol fuel is needed for vehicles. And if that were not enough, switchgrass fibre can also be used as bedding or to make paper.

Since it is a tall-growing perennial grass, switchgrass could also be used in a buffer strip along stream banks to filter run-off coming from adjacent fields.

Few promises from Chuck Strahl

Thierry Larivière

Federal Minister of Agriculture Chuck Strahl was welcomed politely by the delegates at the UPA’s 82 ^nd Congress on December 7.

This was in sharp contrast to the last visit of a federal minister to the annual congress in Quebec City, in 2002, when Quebec farmers received Lyle Van Clief with bags of grain and much criticism.

The most important news brought by Strahl was a budget allowance of $5.4 million to compensate the approximately thirty potato growers in Saint-Amable who are dealing with golden nematodes and who will lose their crops. It is a special program, worth $2 million, to which is added the amounts payable under the Canadian Agriculture Stabilization (CAIS) program and other existing programs. The claims should be processed rapidly. The president of the Groupe Ama-Terre, Philippe Gemme, said he was “contented” with the announcement but “not entirely satisfied.” He and his group will examine the federal offer, which was not released before the Minister’s speech.

Ottawa has also asked Quebec to contribute, to bring the total amount of support to $7.6 million, or 90 per cent of the estimated loss. “This is not the proper method to compensate the potato growers,” declared Andre Menard, spokesperson for Quebec’s agriculture minister, Yvon Vallières, referring to the CAIS program. In effect, the producers must pay 30 per cent of their losses, which is “not acceptable” in this type of case. Menard added that Quebec would have no other choice but to contribute if producers apply to the CAIS program.

CAIS reform

Many of the questions by delegates at the congress had to do with sought-after reforms to the Canadian Agriculture Stabilization (CAIS) program.

The minister insisted repeatedly that the level of government support this year has reached “record levels.” He added that the government’s budget is “not without limits” and that it was also better if “the programs were similar for all provinces,” in order to avoid giving an advantage to one province. Strahl also explained that numerous modifications, such as negative margins, have already been made to the CAIS program. In addition, he hammered on the point that Quebec has received “its fair share” from the federal government, with about $269 million this year, if all of the programs and supply management are considered.

Although he did not exclude the possibility for some variations between provinces, this pan-Canadian approach did contrast with the arguments of Laurent Pellerin. Before Strahl’s speech the UPA president alluded to the fact that since Ottawa has now accepted the notion of a “Quebec nation,” it should also now permit the federal government to consider Quebec’s agriculture as “different” and treat it as such.

In spite of everything, the minister did announce “an important round of talks,” to begin as soon as next January, before proceeding any further. “We are working to change the program,” assured the minister in his speech. Questioned on the possibility of a transition program before 2008, Strahl confirmed that it was “possible,” but it would have to be “efficient” and “affordable.” No deadline was set for the changes.

Concerning the crux of the problem, Strahl seems to acknowledge that producers were right. He admitted that the Canadian program does not support grain producers as well as the American Farm Bill, which directs the major portion of its funding to five cereals. However, according to the government, it seems that the solution lies more with “new markets” and “new products,” like ethanol and bio-plastics rather than through a Canadian Farm Bill. “The solution (for the grain sector) is not yet completely clear,” concluded Strahl during a press conference. However, it does seem clear enough to insist that support for the other production sectors will remain in place, since the CAIS program takes into consideration the entire farm and not just one sector of production. “I hope that the price of grain will continue to stay high,” the minister declared in response to questions from the press.

Regulations and border issues

No promises were forthcoming with regard to controlling the border against the entry of products under supply management. An egg producer, Serge Lefebvre, asked the minister to “stop the hemorrhage.” However it seems that it is not that simple and that the use of article 28 of the World Trade Organization (WTO) would not be an absolute guarantee against further imports of milk ingredients, since other regulations under NAFTA would permit the U.S. to continue to export. “The best solution is by negotiating with the processors,” suggested the minister, while also referring to a possible “voluntary restriction.”

On another matter, Minister Strahl showed openness to the idea of reinforcing the regulations regarding the labeling of Canadian organic products and products which can be identified as “Made in Canada.”

Another question had to do with the federal government’s share of the purchase of Colbex. Strahl did not commit himself and declared that “the slaughter capacity in Canada is full,” without being absolutely sure if that was the case in Quebec, as well.

It’s better to raise cattle in Quebec!

It is better to be a farmer in Quebec than in Ontario these days. And it’s English Quebecers that say so!

Suzanne and John Lapierre operate a beef farm full-time on Ile-aux-Allumettes, in the Ottawa River on the edge of MRC Pontiac. They are 20 minutes from Pembroke on the Ontario side, where they buy their machinery, spare parts and supplies. However, they do not in any way envy the situation of farmers in the neighbouring province.

“When the mad cow crisis hit, Quebec already had a program in place,” affirmed John. He also emphasized that the Quebec support programs work well, when explaining how his business, Central Point Farms, succeeds in keeping its head above water.

John Lapierre believes that the Quebec government supports its agriculture, and he has only good things to say about the MAPAQ agronomists in the Pontiac. According to the beef producer, the back and forth exchange of information between the ministry and producers is commendable. He also claims that it is even one of the reasons that explains why Quebec farmers have been better off than Ontario farmers over the last few years.

“Farmers in Quebec work together in agriculture. In Ontario, they tend to work individually, and keep what works on their farm for themselves,” John Lapierre notes.

Expansion

While beef farmers across Canada are undergoing hard times, John and Suzanne are increasing their herd in order to allow their son Thomas to become a partner. Within two years, the youngest of the family will have completed his agriculture course at the Shawville branch of Heritage College, an English CEGEP in the Outaouais region. Then, he will switch from being an employee to a co-owner.

“This year, we have added 50 more cows. They’re for Thomas, to pay his salary,” says his mother.

The Central Point Farms’ herd is comprised of more than 200 adult cows. They are moving towards an entirely Black Angus herd, so it will be easier to always obtain an “AAA” classification, explains John. The animals are sold at the Cookstown auction, near Barrie, north of Toronto.

The farm enterprise owns 600 acres of land and rents another 575 acres. Of this total, 380 acres are in pasture. The soil on Ile-aux-Allumettes is highly variable, making it possible to stagger crop-planting dates. The topography is quite flat, but the major portion of the cultivated land is drained only by surface drainage.

The island’s climate is tempered by the Ottawa River. Extreme weather conditions are rare, precipitation is frequent and sunshine is abundant.

As elsewhere, most beef farmers on the Island have a job off the farm, often in Pembroke. Those who are able to be full-time farmers, like Suzanne and John, must own the equivalent of at least five old farms. “There are less and less farmers on the Island and they are getting quite old. Everyone considers us as the young folks!” says Suzanne, whose oldest of four children is now 28 years old.

André Dumont

UPA supports the FPLQ on quota holdbacks

Jean-Claude Gagné

The holdback on milk quota, as decided by the Fédération des producteurs de lait, is a sound decision as well as a democratic one, according to Laurent Pellerin, president of the UPA. The feeling shared by the members of the UPA’s executive council, he added during a brief interview on November 28, 2006.

“It is an appropriate signal that had to be sent to dairy producers in order to make them realize that a red light had come on regarding the price of quota, which had gone out of control,” stated Pellerin. “Certainly, the decision of the federation’s board of directors created a surprise effect,” he added, “but not at UPA headquarters, where it is well understood that a board of directors has the power to adopt and submit regulations to the Régie des marchés agricoles et alimentaires du Québec.”

Pellerin acknowledged that in the tradition of agricultural syndicalism, it is extremely rare that important decisions are taken without an extensive process of consultation. However, he recalled that two consultations regarding the implementation of a ceiling price on milk quota had already advanced the thought process of those concerned without coming to a definitive answer, due to producers’ varied stages of evolution within their own businesses, be they nearing retirement, consolidation, or only establishing their enterprise.

“While not losing sight of the collective interests, producers do think about their own businesses. If a referendum were held today on that question, the results would be divided, but favourable. In the face of such a situation, the board of directors have a role to play,” he explained.

The president of the UPA asserted “the decision of the federation’s board of directors is not anti-democratic, since there is more than one form of democracy. The unanimous vote of the federation’s board is one form of democracy, as is the 90-per cent favourable vote of delegates at their semi-annual meeting on November 14, to maintain the 30-per cent holdback on future purchases of quota. Democracy by delegation, as employed in the joint plans, is just as credible as that exercised by 200 producers who come to a meeting to contest.”

Pellerin underlined that producers could decide democratically to revoke this holdback at a future meeting. In addition, producers will be called upon during the course of this winter to vote on an eventual holdback on quota already owned. He therefore cautioned them to avoid catching a severe case of “consultationitis.”

A collective tool

“Milk quota is a collective tool that belongs to all dairy producers,” clarified Pellerin. “It is not written anywhere in the constitutional laws that quota is an individual property. The regulations adopted for the allocation of quota permit a certain degree of individual ownership. However, quota is lent out to producers and gives them the right to produce a certain quantity of product and to receive a certain price.”

Golden nematodes: farmers wait before destroying their crop

Thierry Larivière

Saint-Amable potato growers are waiting before destroying their 2006 crop because they still have not received confirmation of any compensation, or money to pay for the crop’s elimination.

The Groupe Ama-Terre is also worried about the environmental impact of spreading the potatoes in the fields, where they could rot and cause odour problems. “If they are good to eat, why destroy them?” asked Martin Gemme, a producer-packer and vice-president of Groupe Ama-Terre, who believes that the producers of his municipality are “being played” in this saga of “political wrangling.” The $50,000 loan from the Quebec government does not cover a fraction of the losses that Gemme evaluates at $800,000 for his business alone. The federal government has declared that the ball is in the provincial government’s court.

Producers are still claiming $1.50 per hundredweight for destruction costs, which involves spreading the potatoes in the fields, as well as $12 per hundredweight for the loss of the product. The loss in land value, which was worth over $5,000 per acre before the discovery of the nematode, also worries them since payments must continue to be made even though the market value has dropped drastically. Approximately 80 of the total 100 workers have lost their jobs in Saint-Amable since the beginning of this crisis.

Some potatoes could be sold

The Canadian Food Inspection Agency (CFIA) did point out to the French-language newspaper La Terre de Chez Nous that certain lots of potatoes originating from uncontaminated fields could be sold and are safe both for human consumption and from a plant health standpoint. It is also acceptable for packers to package potatoes from other regions of Quebec, as they have been doing for some time.

The question of uncontaminated lots does raise other questions, however. “It is probable that potatoes from uncontaminated fields are limited in volume and it is difficult to get access to them,” admits Georges Laplante, the CFIA officer in charge of the Saint-Amable file. They would also have to be treated to prevent sprouting in the near future, but it would not necessarily be profitable to treat a complete storage facility that contains only a few marketable lots. “There is also a certain limited possibility to market the potatoes for processing,” explained Laplante, while adding that an adequate treatment of the skin would be necessary. The nematode attacks the plant roots and not the potatoes. In other words, it is an agricultural problem and not a risk for human consumption. A small processor is already in Saint-Amable, but Laplante is aware that the size of the table potatoes, which comprise the bulk of the Saint-Amable crop, makes them unsuitable for processing. In short, CFIA admits that there is not a significant marketable volume of potatoes, which brings us back to the crop destruction issue.

If the Saint-Amable producers are able to obtain fair compensation, they intend to save their businesses and find an alternative crop.

In 2007, the Ama-Terre producers hope to form a co-operative to sell a good number of their 80 tractors that will probably no longer be required to grow grain next year. The group then intends to study new consumer trends, perhaps by visiting the International Food Exhibition (SIAL), to choose a new production, this time an above-ground crop, and where collective marketing is possible.

“Our strength is in our proximity to one another,” declared Martin Gemme, who is counting on a group of dynamic youth to get things up and going as soon as possible. He is also relying on support from the financial institutions that have considerable money invested in Saint-Amable and who have an interest in saving the businesses. They are looking at the possibilities of fruit production, commercial hay production or perhaps beans. However, nothing has yet been decided.

The CFIA has confirmed the formation of an expert-committee to help producers in their re-orientation process.

As their renewal plan seems to be taking shape, producers are waiting impatiently for a little financial help, which is necessary to ensure a successful transition.

Opposition to permanent snowmobile trails

The government’s proposal to negotiate permanent or long-term rights-of-way for off-road vehicles on agricultural land is far from gaining unanimity. The directive arises from the Cadre du mandat aux Conférences régionales des élus regarding the establishment of inter-regional network of trails for off-road vehicles. The mandate provides for the creation of “permanent or semi-permanent” inter-regional trails for snowmobiles and another network for ATVs by November 2009. For the latter, trails would be open year-around and both trail networks would each stretch over 10,000 km. For ATVs, these new trails will be mostly connections between regions. The principal axes of the inter-regional network should soon appear in a Ministerial Order.

Regional round tables, two of which are already formed, will be mandated to negotiate the rights-of-way on private land for a “minimum” duration of three to five years. Mitigation measures (fencing, warning signs, etc.) and trail relocations will also be decided.

Not permanent

“Permanent trails are out of the question,” asserted Denis Bilodeau, 2 ^nd vice-president of the UPA, and he warned that many farmers are unwilling to give access this year because they fear they will be “putting their arm into the wringer.” Bilodeau is also worried about the weak representation at the regional and provincial committee levels, since farmers have only two seats (agriculture and woodlot producers) among the 25 to 30 total seats. The vice-president does not want “quasi-permanent” trails signed over for five years. Furthermore, he is concerned about the farmland that will become “unusable” with year-round trails and access areas (parking) for the trails, which will probably also be built in the agricultural zone.

“The federation’s position has not changed. It is important to maintain our negotiated agreements,” insisted Raymond Lefebvre, president of the Fédération des clubs de motoneigistes du Québec (FCMQ). He also wants to continue with the principle of three to five year agreements. “We are not going to get involved in a process of permanent trails,” declared Lefebvre, when referring to private land.

“We are against expropriation. We must have agreement among the people concerned,” stated Danny Gagnon, executive director of the Fédération québécoise des clubs quad (FQCQ). The notion of “corridors” suits the federation because it would then be possible to change the trail locations in function with crop rotations. Gagnon added that the present 18,800-kilometre network of trails is “sufficient” and there is no reason to expand it any more.

Compensation

Jocelyn Belley, FQCQ’s president, did not shoot down the idea of eventual compensation for year-around quad trails. “We know that the UPA is working on guidelines. The Table is receptive to this idea,” he indicated. The FQCQ would like to find a route that will not cause problems, such as along brush lines. “We should not have to re-invent this activity’s whole policy,” declared Raymond Lefebvre, the FCMQ president, while adding that he has not seen any reliable studies regarding the loss of crops. He also stated that certain clubs have already negotiated agreements, for example, to buy hay from the farmer in order to minimize soil compaction under the trails.

Saint-Zénon goes to the Court of Appeal

The municipality of Saint-Zénon has decided to appeal the decision of the Superior Court, which prevented it from expropriating land for their snowmobile trail. This resolution was adopted on October 10. “There are on-going negotiations with our lawyers,” declared Alain Saint-Vincent-Rioux, Saint-Zénon’s director-general. It is still possible that an agreement can be reached with the property owners concerned. It is also possible that the Court of Appeal may refuse to hear the case. If the Court accepts, the delays will nevertheless be lengthy and nothing will change for the current season. Saint-Zénon wanted to build a permanent trail by expropriating private land. Justice Verrier declared that only the MRCs have the right to expropriate for this type of trail, which does not benefit all citizens, but only certain businesses and snowmobilers. Raymond Lefebvre of the FCMQ considers that expropriation is the “final means,” but there have not been any cases of expropriation for 32 years. “We wish to practice our sport with the least possible controversy,” he confirmed. The FQCQ even described the recourse to the courts as “useless” in this case. However, the judgment did leave the door open for expropriation by the MRCs for multiple-use trails (bicycle, pedestrian, etc.).

Thierry Larivière