February 22, 2016

Edmonton’s “investment” in green technology fails: Taxpayers lose in Grey’s Recycling bankruptcy

Rebel Staff
 

Well, Alberta. We have our own little Solyndra right here in the capital city!

Solyndra is the now defunct American solar panel company that received $535 million in taxpayer funds from the Obama administration before going bankrupt. But Solyndra style failures are not exclusive to the United States.

The City of Edmonton, under former mayor Stephen Mandel, invested over $9 million in Grey's Recycling. Grey's uses an exclusive, albeit clearly unprofitable, technology to turn post-consumer waste into paper.

The City of Edmonton owns the assets of Grey's Recycling. After a summer, a fall and now a winter of losing money and then filing for protection from creditors, Grey's Recycling is bankrupt. Subsequently, the City of Edmonton is stuck with a building and equipment for a technology no-one knows how to use. In fact, one wonders if Grey's Recycling even knew how to use the equipment. The main complaint is that their paper is just a bad product. Imagine that.

Just who exactly is running the show at Grey's? In part, it is former Mayor Stephen Mandel; the man who okayed the initial investment in Grey's. Mandel became chairman of Grey's Corporation. It is the American arm of the city subsidized company looking to sell technology developed here in Edmonton into the US market. The former mayor’s future employer received a $9 million investment with someone else's money. It must be nice to have such a soft place to land when you fail at provincial politics. Mandel lost his seat as a PC MLA in the last Alberta election.

There is an easy solution to all of this. Governments, as Ralph Klein said, need to get out of the business of being in business.

Comments
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commented 2016-02-23 14:46:29 -0500
Govts have NO business IN business! I mean what could go wrong? = Same thing that ALWAYS goes wrong using taxpayers dollars in boondoggles = IT FAILS!! Get ready Alberta the Notley Demonic Party is going to a more boondoggles in wind and solar FAILS -just like Ontar-i-owe did!
commented 2016-02-23 14:20:13 -0500
“There is an expert that has been doing it for years in Ottawa. His name is Rod Bryden. So, if Plasco Energy Group- comes calling, jump on it "
Even though Plasco’s technology didn’t work, no taxpayers money was lost: only the investors. The only problem with this experiment is it set back the inevitable building of a high energy incineration facility.
commented 2016-02-23 11:08:21 -0500
Considering this occurred in Redmonton, and Redmonton is the core support for the Non-Democratic Party, anyone want to take bets that the Blonde Bimbette won’t step in with Albertans’ tax dollars to help bail out this business? She can claim it will hire 100,000 workers in justification.
commented 2016-02-23 08:24:33 -0500
Subsidized start ups after 50 years of failed subsidized start ups.

It just keeps on getting more retarded in Canada by the day.
commented 2016-02-23 00:48:44 -0500
Think green energy works, try investing in green companies in the stock market. Say goodbye to your money.
commented 2016-02-22 23:17:50 -0500
Great reporting Sheila!!
How can an egotistical idiot who can’t run a city even think he can run a business??? Mandell needs to be held responsible for these loses and to be made to pay all those suppliers etc. who are taking the brunt from this failure.
commented 2016-02-22 23:09:18 -0500
There needs to be a law that these hair brained schemes that these politicians come up with, should be “guaranteed” by them – NOT TAX Payers money. These schemes would come to an abrupt end!!
Mark my words – the “solar panel on barns & businesses” will be no different than that Solyndra in the USA. Solar energy is an expensive form of energy – something the ads on TV & MSM will not tell you – there is more to solar energy use than solar panels. Allow TransAlta to put there natural gas fired system into play – there is no way solar systems could possibly compete!! What gives these lunatics the right to usurp our tax dollars for these wild schemes which only end up going bankrupt all at our expense??
I’m with you Brandon Hrycun!! We need to cut these lunatics funding – both provincially and federally!!
commented 2016-02-22 22:39:53 -0500
I’d like to see some reporting on the by election in ward 12 in Edmonton and the fact that the former councillor vacated his seat to run in the federal election for the libs and received a $46000 severance package for doing so
commented 2016-02-22 22:07:36 -0500
For the most part – ALL recycling is taxpayer subsidized.

There are very, very few that are self supporting.

In other words – almost all of them are money losers.

As for this article – trees are a renewable resource.

Use them.
commented 2016-02-22 21:50:39 -0500
I saw a wonderful green project here in PEI fail….because the owner scorned government help. They were creating lumber from PVC waste….it filled a niche market for replacing pressure treated lumber…it was a good viable product…..they didn’t even have to go and harvest PVC waste to recycle…without even being asked neighbours voluntarily droped off lots of it….more than they could handle in fact….

Durung their developemental phase they had an unfortunate fire that brought their endevour to a halt…wouldn’t I love to raise it from the ashes like the phoenix.
commented 2016-02-22 21:40:21 -0500
Good one
Edmonton —fertile place to dig up dirt
commented 2016-02-22 21:24:02 -0500
“Maybe, Alberta sure try Plasma Gasification to incinerate their garbage. There is an expert that has been doing it for years in Ottawa. His name is Rod Bryden. So, if Plasco Energy Group- comes calling, jump on it "
Hey Rae, Plasma can try whatever its their business. Apart from a business license, which Plasma would be paying for, the government of AB has no further involvement necessary. I would wish them good fortune. By the way if it so great how come they haven’t expanded already? Just curious.
commented 2016-02-22 21:17:32 -0500
He approved the money and then ended up as the company chairman? Writers of fiction could simply not make these stories up. No one would believe them.
commented 2016-02-22 21:08:52 -0500
These Jokers cannot run a Province, how do they expect to run a Business. Dumb arse’d Communists.
commented 2016-02-22 21:07:46 -0500
February 22, 2016
Dear Diary;
I’d better pay attention to this one. There’s a move afoot in Alberta to oust my loyal left-wing anti-oil lieutenant Rachel in a coup d’etat. It’s being called a kudatah but, because I reed and rite fonetically, they’re not clever enough to pull the wool over my eyes. It looks like some upstart called George Clark is behind it. Now, I’ve no idea what “Albertans First” is supposed to mean but I’ve heard he’s also involved in that too.
Apparently an NDP membership can be bought for as little as $1, so their plan is for lots and lots of Albertans to sign up and then wield power from within, maybe even to overthrow her. I think it’s a really dirty trick to play on such a nice lady, after all it’s not like she’s ever done anything nasty or mean spirited to anyone, especially to honest, hard-working Albertans.
My dear readers are probably wondering why I suddenly seem so concerned about someone else’s welfare, especially Westerners. Ah, my zombies are a canny lot. But of course I don’t care. You see, being an insightful visionary, I know that it’s important for me to learn from this. When the word gets out to the common people that my 21,000 voters, oops, I mean immigrants, oops, I mean refugees, are almost all fakes who have been living peacefully, renting houses and apartments, in towns and cities like Beirut and Amman for years, things could get a little awkward for me. It’s one thing to use a few lies to pin the deaths of refugees on Stevie and Chris and make them look bad, but it’s something else if the truth makes me look bad, especially when I’ve been playing on the compassion and generosity of all the Canadians I’ve duped and playing them for fools to benefit myself.
Anyway, I’ll be watching Rachel to see how she deals with her revolting people. Will she placate them by throwing a couple of cabinet members under the bus? Will she hire more big thugs to bully some more press reporters? Maybe she’ll take a leaf out of my book and just make up a lot of new rules to block the progress of anything she might not like.
Meanwhile I might be coming into a bit of a quandary over something called, err, ah, um, BDS, em, what’s that Gerald? No, not now, I’m in the middle of something. Wait until later.
commented 2016-02-22 20:59:32 -0500
Maybe, Alberta sure try Plasma Gasification to incinerate their garbage. There is an expert that has been doing it for years in Ottawa. His name is Rod Bryden. So, if Plasco Energy Group- comes calling, jump on it .
commented 2016-02-22 20:47:22 -0500
Sam Young; you can’t tell someone to be smart, they have to be smart in the first place. I’m sure a smart person like you have this figured out already.
commented 2016-02-22 20:22:15 -0500
i think I’m done paying taxes
commented 2016-02-22 20:22:03 -0500
It is not government involvement that is the problem. If the government wanted to build power dams and make money by selling that power, then it is a good thing. The issue is that the government should be smart in what it invests itself into. Sheila, try that for your final line.
commented 2016-02-22 20:07:43 -0500
Oh dear. This all seems a bit messy and complicated. But, hey the Federalizes have billions to invest in infrastructure. All they need is a business plan.
commented 2016-02-22 20:06:22 -0500
Wow! 9.5 million dollars could have cut down a lot of trees and made a lot of paper. Better to take money that is not yours and “invest” in something that nobody wants. We know nobody wanted it because they needed a subsidy.
commented 2016-02-22 20:05:16 -0500
Unfortunately, it’s just what socialists do. They can’t help themselves.