Province strikes new deal to have former New Page mill to reopen

Staff ~ The News
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Charlie Parker

PICTOU – The province is stepping in to help re-open the Pacific West Commercial Corporation re-open the former New Page pulp mill in Cape Breton.

In a statement released this afternoon, Natural Resources Minister Charlie Parker said although the Canada Revenue Agency did not rule in favour of income tax request from Pacific West and Nova Scotia Power, the ruling did have some positive impact for Nova Scotia. Because of it, the province was able to rework its agreement with Pacific West in regard to opening the mill.

"The tax ruling from the federal government, while it isn't what Pacific West was looking for, will actually mean millions of dollars in tax revenue that the Province of Nova Scotia would not have otherwise collected," Parker explained. 

"We are able to use that windfall to create room for Pacific West to earn forgiveness on some of the loan money in the support package already announced. Even with that earned support, the province will still come out a bit further ahead under this deal, with more tax revenue than it would have under the previous deal structure."

The move will allow the mill to re-open. 

Organizations: Pacific West Commercial, Canada Revenue Agency, Nova Scotia Power

Geographic location: Nova Scotia, Cape Breton

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  • David Le Blanc
    September 14, 2012 - 20:01

    If the people of Amherst and River Hebert change the name of the schools . To something like West Highland school and pulp/paper mill, and River Hebert school/pulp and paper mill would they get money for new schools. It's just a thought maybe something t o consider!!!!!!!!!!!!!!!!!!!!!!!!!

  • James Goodwin
    September 14, 2012 - 18:33

    Thier hands will be open for more I'm sure and the government will fill them up again- too -bad they can't keep the mill open on thier own without all these handouts. I would send them packing and find a buyer who can run it themselves without help.

  • Charles
    September 14, 2012 - 18:20

    What a total waste of taxpayer dollars!!!

  • chief wiggam
    September 14, 2012 - 18:14

    is it worth it to tax-payers? i'm not too sure but, i know if i was needing a job in the industry it would mean the world.

  • Sorry i voted NDP
    September 14, 2012 - 18:04

    Can the NDP more up the election date so we can get them at of office asap.

  • johnny smoke
    September 14, 2012 - 17:35

    Can you believe these charlatans , no approval from C.R.A. no deal was the cry. Well they got no approval from C.R.A. and guess what? WE are further ahead because now Pacific West will have to pay provincial income tax, so now we can shovel even more of our taxpayer moola into the bottom less pit. Well Mr Parker, Mr. Dexter,Ms Macdonald, Billy Joe and anyone else within a hundred miles of this massive rip off, what you have just announced is the give away of the password to the chequing account of this province. A massive transfer of provincial money into such a losing proposition requires the call of a provincial election, now, forthwith, and before any more dollars are squandered. If the C.R.A. decided that this was a dirty slimy deal , devoid of any of the rational which would make it a net paying proposition, then the C.R.A.'s judgement should be heeded. Playing Evil Knevil with the provinces finances may appeal to your need to lead, however you had better obtain the permission of the one's paying the future bills, it is not you with your taxpayer paid pensions who will suffer, for if it was this deal would be shoved so far down the list you would need a grave digger to find it.