Xinyi Canada Glass Limited Project

What infrastructure improvements are required for this development and who will be responsible for their costs?

The infrastructure improvements required to service the proposed Xinyi development are as follows:

• watermain extension on Erie Street,
• a sanitary pumping station,
• road improvements on Line 29 and at the intersection of Line 29 with Hwy 7.

The improvements required for the proposed Xinyi facility will also accommodate future industrial development on the remaining annexed lands should it occur. Below is the spreadsheet previously presented to Council that sets out the estimated costs and the party responsible for those costs:

Proposed cost-sharing agreement

The infrastructure being constructed is to service the bulk of the industrial lands annexed by the City. Xinyi Canada Glass Limited would pay 100% of the costs for services that are specifically for the proposed development. The City would contribute to the services that will also service the additional annexed lands and that will be a benefit to the community and existing businesses.

The City is unaware of any improvements required to the existing rail lines or the need to construct a new route.

What will be the impact on the City’s water system as a result of this proposed development? What is different between the City of Stratford’s water system and that of the City of Guelph?

The City has reviewed its existing water supply and has confirmed that it has the capacity to meet the needs of the facility.

The City has a permit to take 11.68 million cubic meters of water a year. Currently the City consumes on average 3.6 million cubic metres a year. With the proposed Xinyi project this would increase to 4.5 million cubic metres a year. This is below the average consumption of just over 5 million cubic meters a year that was consumed in the 1990’s and early 2000’s. There were no water supply issues experienced by the City at that time.

The Ministry of the Environment, Conservation and Parks (MECP) conducts annual inspections of the City of Stratford’s water system and part of that inspection is a water capacity assessment. The City’s Municipal Drinking Water License is issued by the MECP and sets out in detail the amount of water that the City of Stratford is entitled to take on an annual basis. The Municipal Drinking Water License sets out the parameters for the City that are issued to ensure that municipalities do not take more water from the groundwater resources than can be accommodated by local conditions.

On the issue of the differences between the City of Stratford and City of Guelph, both the City of Stratford and the City of Guelph rely on wells to supply water to its customers. In the case of Guelph, several of their wells are under the direct influence of surface water which impacts the availability of water. Each year, between April and November, the City of Guelph will pump water from the Eramosa River into an engineered infiltration pond and trench where it soaks into the ground to replenish groundwater supplies.

The City of Stratford wells have sufficient supply and are not directly influenced by surface water.

Where will waste from this proposed facility be discharged and can the City’s current system handle the increase?

The proposed facility will discharge sewage to the City’s sanitary collection system and will be treated at the Water Pollution Control Plant (WPCP).

On average, the flows at the Water Pollution Control Plant are at 65% of the daily capacity. The addition of the Xinyi flows will increase this to 67.7%. The City has been advised by Xinyi that the cooling water for processed control is re-circulated for re-use by the Xinyi Glass facility in an enclosed system to reduce wastewater discharges. The sanitary discharge must meet the City’s Sewer Use By-law that regulates and governs the sanitary sewage to be discharged. An inspection manhole will be required to be installed on the Xinyi property for the City to conduct regular testing of the sanitary sewage from the proposed plant.

The City’s By-law does currently regulate salt and fumaric acid which is part of the discharge of the Xinyi facility and a common food additive. The City has been advised that concentrations identified for salt and fumaric acid are less than 5 parts per million (ppm). The City has followed up with Ontario Clean Water Agency, which is responsible for the operation of the City’s pollution control plan, and OCWA confirmed that they did not have any concerns with respect to the salt and fumaric acid discharges.

Anticipated revenues for water and sanitary is approximately $1.43 million with additional operating and capital cost of $330,00 on a yearly basis. This will result in a net revenue of $1.1 million.

What do we know about the environmental impact of this proposed development? What permits, approvals and compliance are required to be obtained by Xinyi Canada Glass Limited?

The environmental permitting, approvals and compliance of this facility is required to meet all applicable law, including but not limited to all applicable environmental, health and safety, employment and labour laws in addition to the applicable City by-laws, policies and guidelines. All of the dispersion modelling, noise studies, and other studies are required to be submitted for approval for the applicable permits, approvals from the MECP.

Air and Noise

A D6 Land Use Compatibility Report – Draft prepared by RWDI was submitted to the City. The applicable regulatory provisions to assess air emissions, air quality and noise impacts from industry on sensitive land uses (residences) are as follows: the Ministry of Environment, Conservation and Parks (MECP) Land Use Compatibility D-Series guidelines; and, the Ontario Environmental Protection Act including but not limited to O. Reg. 419/05 Local Air Quality, O. Reg. 1/17 Registration under Part II.2 of the Act- Activities Requiring Assessment of Air Emissions, MECP environmental Noise Guideline Publication NPC-300 – Stationary and Transportation Sources – Approvals and Planning.

All permits, approvals are required to be obtained from the MECP in accordance with the applicable guidelines and policies.

The raw material handling in the Xinyi facility and transfer is being proposed in enclosed buildings under negative pressure. The manufacturing glass process occurs in an enclosed building and finished products are stored within the warehouse. Xinyi has indicated that the process is not open to the atmosphere but is self-contained in a plant or building envelope, resulting in minimal fugitive dust and odour emissions. The City has been advised that the primary air quality source will be the main furnace stack and it would be required by the MECP to include the appropriate control equipment.

The air emissions from the Xinyi facility are predicted to be better than the 2023 Air Quality targets and standards established by Ontario Regulation 419/05. The information provided from Xinyi indicate that the air emissions from the furnace stack associated with the Xinyi facility are predominantly steam from water cooling the glass and the exhaust from natural gas.

The emissions are projected to be significantly lower than Ministry of Environment, Conservation and Parks maximum permitted limits. The Xinyi facility has indicated that it has established the following targets (below) and will be required to obtain all approvals and authorizations from the Ministry of Environment, Conservation and Parks.  The Xinyi facility is subject to the Ambient Air Quality Criterion (AAQC) applied by the MECP. An AAQC is a desirable concentration of a contaminant in air and is used to assess generally air quality resulting from all sources of contaminant in air. AAQCs are set with the intention of protecting against any impacts to health, odour, vegetation, soiling visibility, corrosion or other effects.

An Air Quality Report including an Emission Summary and Dispersion Modelling (ESDM) is required for the proposed facility. The report will have to be submitted to the Ministry of Environment, Conservation and Parks as part on an application to the Province in order to receive an Environmental Compliance Approval for air emissions.

Emissions

The Xinyi facility’s emissions will meet the MECP regulatory requirements and are predicted as set out below:

Nitrogen Oxide:

24-hour:  <20% of MECP limit

1-hour:      <30% of MECP limit

Sulphur Dioxide:

1-hour:    <55% of MECP limit

annual:    <20% of MECP limit

Particulate Matter (averaging period):

24-hour:   <5% of MECP limit

Servicing for the new annexed industrial area will be all on municipal services constructed specifically to accommodate the servicing needs of the area.

Solar

The City has been advised by the company that it has numerous facilities that have solar panels on the roof and the roof is designed to accommodate such panels.

Energy Consumption

The City of Stratford has passed a Site Plan Control By-law which designates the entire City as a site plan control area. As a result, any development is subject to the Site Plan Control By-law.

Xinyi Canada Glass Limited would be required to enter into a site plan agreement, similar to any other developer, with the City. The Site Plan Approval process has been initiated and is subject to detailed review by the City, and circulated for comment to provincial governmental agencies and ministries.

As part of this process the City will review and provide comments on:

• landscaping plan,
• traffic impacts,
• stormwater management,
• grading,
• on site water, sanitary and storm sewers services,
• parking,
• compliance with the MZO,
• lighting.

All properties in the Province of Ontario are assessed by the Municipal Property Assessment Corporation (https://www.mpac.ca/en/PropertyTypes/IndustrialPropertyAssessments).

The value of the assessment of the proposed Xinyi Glass Canada Limited has not yet been determined.

The proposed development is estimated to be valued at $400 million – this includes construction, equipment, buildings, infrastructure and other development costs.  Not all of these are included in the assessed value.

Education tax rates are collected by the Municipality however remitted directly to the Province of Ontario.

The lands for the proposed development were formally in the Township of Perth South and are included within the Boundary Adjustment Agreement approved by the Minister of Municipal Affairs and Housing on August 1, 2020.  In accordance with that agreement, 24% of the Municipal taxes are payable to the Township of Perth South from the tax years of 2020-2027.  And 28% of the Municipal taxes are payable to the Township of Perth South in 2028 and beyond. This is consistent with other Boundary Adjustment Agreements with the surrounding Municipalities.

The Company will be required to pay property taxes in accordance with the City’s policies and all applicable law. The full tax rate applicable to the property is applied, as with any corporation, at the time an occupancy permit is issued. The estimated annual property tax revenue is $3,337,000/year.  (Using an approximate assessed value of $150 million, net of education taxes and revenue sharing boundary adjustment agreements).

Similar to the requirement that the Company comply with all applicable environmental laws it will be required to comply with all labour/employment laws, including minimum wage requirements and compliance with the Ontario Employment Standards Act, and Labour Code.

The City is not a partner in the development. The cost sharing agreement being considered sets out the responsibilities of both parties with respect to allocation or costs for off-site servicing, obtaining permits and all applicable regulatory approvals needed from the City and Province, including Ministry of Transportation, Ministry of Environment, Conservation and Parks, Upper Thames River Conservation Authority. Permits and approvals required to advance the development are subject to permitting compliance.

The City has been asked a series of questions as they relate to a series of letters seeking a Minister’s Zoning Order.  These letters are part of a much larger process and some context has been provided below in order to provide a fulsome response.

When was Council first aware of the proposed float glass manufacturing facility and at what point did they enter into an agreement for the development?

Members of Stratford City Council were advised at a high level about a float glass manufacturing facility seeking to locate its operations in Ontario in the fall of 2018. City Council was also advised that Stratford, among other municipalities, was being considered as a possible location for the facility. In November 2018, the City entered into a non-binding letter of intent with Xinyi Canada Glass Limited to build the company’s first manufacturing facility in North America.

Stratford City Council was investigating an investment opportunity with investStratford that would bring additional industrial development and jobs to the City, this potential opportunity included the float glass manufacturing facility.

In November 2018 the City discussed the potential opportunity with the proposed float glass facility and were provided a basic understanding of the proposed development. This investment opportunity was further discussed by City Council in December 2018, and a determination made by City Council to further investigate the opportunity for the proposed development. The public was not involved at this stage as Council had few specific details of the proposed development, and coupled with the ongoing site selection activities (examining the technical requirements of a development, availability of land for development, among others), it would have been premature to seek public consultation.

This is not unusual as investStratford regularly investigates development opportunities and then brings such development opportunities to City Council. The purpose of investStratford is to provide full business support services and business-skills focused events aimed at supporting business growth and investment in the City and surrounding area, all subject to Council approval where required.

While it would be difficult to determine how many members of the public were aware of this development, there were numerous news articles in the local media, as well as considerable discussion on social media about the float glass manufacturer’s interest in locating in the City of Stratford.

In 2019 and 2020 there were several articles in the Beacon Herald regarding the float glass manufacturing facility’s interest in the City of Stratford. Also, during the public meeting held on January 16, 2020 on the annexation of the lands from the Township for additional industrial development, the Mayor specifically acknowledged, in response to a question, the interest of the float glass manufacturing facility (Xinyi) in the City of Stratford.

Below is a list of the articles and some of the social media discussion:

January 3, 2019 - The Beacon Herald article

The Beacon Herald published an articling on January 3, 2019 confirming the float glass manufacturing facility’s interest in the City of Stratford. The CEO for investStratford confirmed the company’s interest in building the estimated $450-million plant somewhere within city limits. In that article public statements were made about the Xinyi facility and its possible location in the City.

“There was a trade mission in 2017 with the Province of Ontario. InvestStratford was a part of that mission. During that mission, Xinyi… at that point, they committed to opening their first North American facility in Ontario. As a result of that mission, and because InvestStratford is the organization responsible for attracting investment to Stratford, we are exploring potential opportunities that would bring new jobs and spin-off employment to the community,” Gerber said.

…

 “It’s really important to remember that we look at all development and job-creation opportunities carefully to make sure they’re in the best interest for Stratford, and that we work closely both federally and provincially to make sure that when companies locate here they’re meeting all of our municipal, federal, and provincial regulations, legislation — all of those things that apply,” Gerber said.

The city is expected to hear from the provincial and federal investment offices in the coming weeks as to whether Xinyi is serious about setting up shop in Stratford.

“As we continue to look at opportunities to diversify our economic base, we routinely and often work with the Ontario Investment Office and the Canadian Investment Office to look at companies that are anticipating foreign direct investment in Canada,” said Stratford Mayor Dan Mathieson.

“We make sure that our federal and provincial partners are involved, and it helps with our due diligence to make sure that the industry is a good fit, (it’s) the type of jobs we want, and it’s the type of industry that will be supported by our community.”

https://www.stratfordbeaconherald.com/news/local-news/xinyi-glass-canada-looking-at-stratford-as-one-of-several-possible-locations-for-north-american-plant

January 4, 2019 – London Free Press article

https://lfpress.com/business/local-business/glass-maker-struggles-to-find-home-in-region?fbclid=IwAR2DZoQ8h93mL8kqMZzXSA5-8vXgnqkdwQksGVUey5HA67uB6-L6gFT7Q60

The London Free Press Article refers to Xinyi Glass looking for a facility in the City of Stratford. This article notes as follows:

“Sources close to the company have said three communities – Stratford, Welland and Amherstburg, just outside of Windsor – remain in the mix with London.

“We have put a proposal forward and we’re waiting to hear from the company,” said Mayor Dan Mathieson.

Stratford is not on a well water system but using more than 1.2 million litres a day does not concern him, saying that is equal to about six swimming pools and what an average golf course uses in a day.

In fact, Stratford uses 27 per cent of its daily capacity and adding the manufacturer would bump that to 34 per cent, well within his comfort range, said Mathieson.

But the city still has to do its full due diligence if Xinyi returns its interest, he said.”

January 17, 2020 - The Beacon Herald article

The Beacon Herald published notification of a public meeting on the proposed boundary adjustment (annexation). In that article it notes that “Currently, Thomson [referring to the interim CAO] said investStratford is working with several companies, including Chinese autoglass manufacturer Xinyi Glass Canada, they have expressed an interest in setting up shop in the City.”

Proposed boundary adjustments could add roughly 130 hectares to Stratford’s depleted stock of industrial land | Stratford Beacon Herald

January 2020 – Facebook Activity

There were numerous postings on Facebook relating to Xinyi Glass locating on the lands to be annexed by the City.

January 28, 2020 - The Beacon Herald article

This article refers to the rescheduling of a Council meeting as it related to the annexation of the lands from the Township by the City of the purposes of facilitating industrial development.

Again in that article it notes:

Thomson said the agreement would ultimately serve to add to Stratford’s nearly depleted stock of industrial land. While the parcels of the farmland in question are privately owned, moving the land into the City of Stratford is the first step toward potential industrial development.

As the parcels are in close proximity to serviced industrial lands in Stratford’s Wright Business Park, Thomson said they are in a prime location for future development. Currently, Thomson said investStratford is working with several companies, including Chinese autoglass manufacturer Xinyi Glass Canada, that have expressed interest in setting up shop in the city.

Councils delay discussions over proposed boundary adjustment to allow more time for public feedback | Stratford Beacon Herald

February 4, 2020 - The Beacon Herald article

This article refers to the approval of the annexation by City Council and notes the following prior to Perth County’s meeting on the annexation:

The proposed boundary adjustments would transfer about 19 hectares of Perth South farmland between Perth Road 113 and Perth Line 29 to the city as well as a little more than 111 hectares west of Highway 7 between Perth Line 29 and Perth Line 26. The parcels of privately owned farmland are close to serviced industrial lands in Stratford’s Wright Business Park. Thomson previously said investStratford is working with several companies, including Chinese auto glass manufacturer Xinyi Glass Canada, that have expressed interest in establishing operations in the city.

Stratford city officials back plan to annex Perth South farmland | Stratford Beacon Herald

February 19, 2020 – The Beacon Herald article

On February 19, 2020 The Beacon Herald published a letter to the editor specifically advising of concerns with Xinyi Glass Canada expressing an interest in locating its auto glass factory in the area. This confirms that the public was aware of the proposed glass manufacturing facility locating on the annexed lands.

Letters to the editor | Stratford Beacon Herald

August 4, 2020 - The Beacon Herald article

The Beacon Herald published an article relating to the “official” annexation of three parcels of land along Highway 7 and Line 29. This article states:

A number of manufacturers have recently expressed an interest in Stratford and, according to the London Free Press and The Beacon Herald, that includes a Chinese-based float glass manufacturing company looking to open a plant in Ontario that could employ as many as 400 people.

The company, Xinyi Glass Canada, was turned down in 2018 by the community of Guelph-Eramosa, between Guelph and Cambridge, due to its water use and the fact the community is on a well system.

Mathieson said early last year Stratford had submitted a proposal to the company.

Gerber said Tuesday a float glass manufacturing company is still interested in Stratford but did not offer an update on any official proposals.

Boundary adjustment could add to Stratford’s limited industrial land | Stratford Beacon Herald

November 3, 2020 - The Beacon Herald article

The Beacon Herald provides notification of Xinyi’s proposed public consultation session.

Glass maker sets date for public meeting about potential $400M Stratford plant | Stratford Beacon Herald

Information about the annexation and MZO was posted to the City’s website as follows:

July 20, 2020 – MZO Posted on City’s Website

We note that on July 20, 2020 a copy of the MZO was posted on the City’s website to ensure that the public had access to the contents of the Ministerial Zoning Order.

August 4, 2020 – Boundary Adjustment Notice on City’s Website

The Boundary Adjustment being approved by the Minister was posted to the City’s website. In addition, on August 4, 2020, a news release regarding both the MZO and Boundary Adjustment was issued to both the media and posted on the City’s website.

August 4, 2020 – Boundary Adjustment Media Announcement

On August 4, 2020, the Boundary Adjustment notice was posted to the City’s website.

On August 4, 2020, a news release regarding both the MZO and Boundary Adjustment was issued to the media and posted on the City’s website.

The August 4, 2020, the media announcement posted on the City’s website specifically referred to the MZO and stated:

The Minister of Municipal Affairs and Housing (MMAH) has implemented a boundary adjustment to open the door for the creation of much-needed industrial land for development in the City of Stratford.

The annexation of property along Highway 7 and Line 29 was approved by the Ministry and will be published on the Ontario Gazette on August 1, 2020. A Minister’ s Zoning Order for one of the parcels was also issued will  to help expedite the development of that land for industrial purposes and to prompt economic development in the area.

(https://www.stratford.ca/en/news/stratford-perth-south-boundary-adjustment-approved-by-minister-of-municipal-affairs-and-housing.aspx).

Don't the letters of November 20, 2018, March 11, 2020 and April 16, 2020 from the Mayor to the Province indicate that an MZO was being requested specifically and exclusively for Xinyi?

The City asked for an MZO on all the annexed lands for industrial development, including Xinyi.

On November 20, 2018, the City together with Perth County and the Township of Perth South sought assistance in obtaining a Ministerial Zoning Order (MZO) to accommodate the construction of a float glass facility. The request was sought to meet key construction deadlines, and also referred to the other lands annexed as an extension of an existing industrial area in the City.

On March 11, 2020, the City, working in partnership with the County and Township, reiterated its request for an MZO to meet construction deadlines associated with the float glass facility. The intent was for the MZO to apply to all of the lands annexed for industrial purposes.  

This is particularly evident in light of the April 16, 2020 letter as that letter was drafted in response to the Minister refusing the issuance of an MZO on all the properties subject to the annexation.

While reference to the float glass manufacturing facility was made in the requests for an issuance of the MZO, it was the intention and goal of the City, County and Township that the entire annexed lands be subject to an MZO, which would provide for a range of industrial uses.

The characterization of the April 16, 2020 letter stating that it applies to only the Xinyi lands is inaccurate. The April 16, 2020 letter seeks that the Minister’s Zoning Order apply on all of the lands annexed south of Line 29 and west of Highway 7. This block of land includes more than the land that Xinyi is proposing to use for its proposed development as identified on the map attached to that letter.

The City’s April 16, 2020 letter is specifically in response to the Minister’s refusal of the MZO which states:

"We are concerned that the Minister may have had reservations about issuing a Minister’s Zoning Order (“MZO”) for the entire lands subject to the restructuring proposal that exceeds the land required by Xinyi to support its development. In an effort accommodate the Xinyi glass manufacturing facility along with immediate growth opportunities we are proposal that only the Xinyi lands and the neighbouring property be subject to the MZO (see attached map). This will ensure that other lands expected to be utilized for industrial development at some undetermined point in the future are not subject to the MZO. ….. We are requesting that the MZO be issued on approximately 111.17 hectares of land as opposed to the 130 hectares originally proposed."

Of the 111.17 hectares sought to be subject to the Minister’s Zoning Order only 68.7 hectares are the lands proposed to be owned and developed by Xinyi leaving an additional 42.47 hectares or approximately 105 acres for other industrial development. This request for the Minister’s Zoning Order was not “solely” for the lands proposed by Xinyi to construct and operate its glass manufacturing plant. 

Can you please provide a brief overview of the different jobs that are going to be available at the facility?

Xinyi Canada response:

320 high-skilled and well-paid jobs will be created in Stratford for initial and trial production operations (2023). Production will be ramped up to full capacity in 2024/2025, with an overall employment of 380 local employees.

Up to 30 float glass experts from overseas will train and develop technical skills of local recruits to run the glass production facility.

Every employee is a valuable asset to Xinyi Canada. “Our Workforce is Our Key to Success”

Attractive and competitive remuneration packages will be offered to suitable candidates commensurate with their experience and qualifications.

Typical annual salary ranges are as follows:

Engineer - Mechanical, Automation & Robotics, Electrical, Environmental, Computer, Mineral positions:

• Junior Engineer                   $75,000 - $90,000
• Experienced Engineer        $85,000 - $110,000
• Senior Engineer                   $100,000 - 135,000

Management and Supporting Office Staff - Management, Human Resources, Sales & Marketing, Accounting, Supply Chain Management

• $65,000 - $180,000 (plus commission for sale teams)

Engineers and Scientists - Research and Development Centre engaged in production innovation and process development

• Salary Starting from             $120,000

Technicians - Laboratory, Hydraulic Mechanics, Electricians, QA/QC

• Junior technician                 $60,000 - $75,000
• Experienced technicians    $70,000 - $85,000Operators - Warehousing, Logistics, Forklift operators
  • $17.50 to $25 per hour

Discretionary Bonuses will be provided upon achievement of performance targets for all positions.

Premiums will be provided for shift-scheduling positions.

Approximately how many jobs in each classification and how many of those are likely to be at or above the current living wage which is currently $17.55?

Xinyi Canada Response:

All jobs will be well above the living wage.

Labour force challenges are common in this area with factories finding it difficult to recruit and retain enough workers. Does Xinyi have a plan to address this challenge? Will Xinyi be using and relying on temp. agencies? What about services that bring workers from other communities - either bussed in daily or as fly in from further away - especially for skilled trades or specialized technical jobs.

Xinyi has been able to successfully attract and retain over 13,000 highly productive staff worldwide through attractive pay packages and good working environments, with the opportunity for long-term career development with Xinyi. Many qualified professionals and skilled technicians have been referred to Xinyi by existing staff.

Xinyi managements experience is that as it may take several months to recruit and train staff, and a number of years to develop a competent skilled staff teams able to run the manufacturing facility. Xinyi’s human resource policy is to attract, retain and develop a stable skilled human resource team, with long-term career development opportunities with Xinyi. Xinyi has had business operations with customer networks in Canada since 1997 (23 years). Many of Xinyi’s customers have advised that their friends and relatives are interested in joining the Xinyi team.

Xinyi’s positive work environment will result in a low employee turnover rate and is not concerned with being able to attract the appropriate staff from Stratford and the surrounding communities of Kitchener, Waterloo, Cambridge, Woodstock, London and other communities. Xinyi has no plan to use the service of temp. agencies to fill these positions.

To plan for sustainable supply of skilled workforce, Xinyi has already initiated discussions with post secondary institutions, namely Conestoga College and University of Waterloo. Details are set out in Answer to Q4 below.

Xinyi would encourage employees sharing carpool to reduce the traffic whenever practicable. Xinyi aims to recruit staff from local communities and does not consider having staff bussed in or fly in from further away.

Will the facility be producing a specific type of float glass product or a variety of different types? 

Xinyi Canada Response:

The proposed facility is designed to produce glass that will support the Canada market demand, including:

(I)  Float Glass Products

To support a wide range of downstream glass related productions, including:

• Automobile windshields and side windows;
• Safety protection glass for sports arenas; ice hockey rinks; squash courts…etc;
• Electronics screens, and electrical appliance glass inserts;
• Safety shower doors, office partitions, school whiteboards;
• Safety glass railings, bus transit shelters, rail transit stations;
• Glass furniture - table tops and mirrors.

(II)  Energy Saving Glass Products

New types of energy saving glass with optimized functional performance designed for the Canadian climate, to support downstream manufacturing in:

• Windows and doors, meeting Energy Star® energy saving requirements;
• Energy saving high-rise residential windows;
• Energy saving commercial curtain-wall façades.

Has Xinyi started any training courses needed with the university and college so Xinyi can hire the skilled labour needed?

Xinyi Canada Response:

Xinyi has been in consultation with post secondary institutions with a view to developing special programs designed to have a continuous supply of skilled human resources to support effective operation of the glass facility. A technical training program is proposed in collaboration with Conestoga College, designed to equip students with manufacturing technical skills in the glass industry. The program aims to prepare students with technical skills ready to take on manufacturing jobs upon graduation.

Other partnerships with the University of Waterloo have also been arranged. Xinyi will provide scholarships to support local undergraduates with advanced manufacturing technology training, with hands-on opportunities through the Co-operative Education Programs. This partnership is aimed to achieve two objectives:

(i)  To equip undergraduates with knowledge and skills needed to start their careers in the glass manufacturing industry upon graduation; and

(ii)  To create the opportunity for a continuous supply of professional staff to work in the advanced glass manufacturing industry.

Finally, Xinyi has established a collaborate R&D project with the University of Waterloo for development of a new innovative glass loading and unloading system for safe and effective operation of a glass shipment delivery system.

Xinyi has staff orientation and training programs designed to help new recruits to learn, integrate and become confident in performing technical operations under guidance of experienced senior technical staff.

Xinyi has indicated that the roof will be solar ready - Will Xinyi commit to the installation of solar panels?

Xinyi Canada Response:

Similar to other Xinyi facilities, the roof of the proposed glass facility will be designed ready for installation of solar panels for generation of electricity, covering the 850,000 sq.ft. of warehouse roof and on the roof-top of other buildings. A solar array system with total capacity of 15MWdc is capable of generating 16,500,000 kWh each year, equivalent to electricity to supply 1,700 homes in Canada. This will be the largest rooftop solar system in Canada.

The estimated cost for the system is around $23 million. Had the Provincial Solar Incentive Program been continued, it would have covered around 25% of the system cost, reducing the net cost by approximately $5.8million, making it a viable business investment.

It is considered that with increasing concern for global warming and climate change, the momentum to establish environmental sustainable development will continue to grow. A new Solar Panel Incentive Program (either from the Federal or Provincial or from both) is expected to be introduced in the not too distant future. The facility is designed and ready to install such solar system once an incentive program is in place.

The solar panels could be an important addition in offsetting greenhouse gas emissions. Can Xinyi provide more information on a timeline as to when the solar panels might be installed? 

Xinyi Canada Response:

In line with development in many other countries, increasing application for renewable energy is the global trend. The Climate Action Incentive Fund being discussed at the Federal level is likely to be in place within a year or two to make it economically viable for companies or residences to install solar systems. Once the incentive program funding is secured, Xinyi can start installing of the solar roof system promptly; hopefully, before the stage of full production (2024).

Based on 16,500,000 kWh per year, the solar system can help to offset 7,900 metric tonnes of greenhouse gas emissions yearly.

In any case, the greenhouse gas reduction measures incorporated into this project is very significant. These include energy efficient production; waste heat recover for electricity generation, space heating, and hot water supply; and local supply chain management operations (as set out in the answer below on estimated GHG emissions) 

Why did Xinyi feel it necessary to pursue the Minister’s Zoning Order and not engage in any public consultation?

Xinyi Canada Response:

In Xinyi’s search for an appropriate location for a float glass manufacturing facility in Ontario, the notion of a Minister’s Zoning Order (“MZO”) was discussed in every candidate municipality. There is no municipality in Ontario, including Toronto, the Province’s largest municipality, that has the expertise and staff resources to work through the approvals necessary to allow a large, advanced manufacturing facility with unique requirements, such as the proposed float glass manufacturing plant by Xinyi. That expertise is available at the Province of Ontario. Each Ministry has experts and scientists in their field who have as the number one responsibility to ensure the health, safety and well-being of Ontarians based on Provincially imposed standards and approval processes. The Provincial requirements cannot be compromised and Xinyi will be held to the highest standards for emissions, noise, dust, odour, stormwater management and road safety to ensure the residents of Stratford are safe. In addition, Xinyi will be required to provide on-going monitoring, reporting and updated approvals to the Provincial experts throughout the life of the manufacturing operation.

EMERGENCY PREPAREDNESS CENTRE

* Please explain how the emergency preparedness centre will work and its function? Does Xinyi have similar such emergency preparedness facilities associated with their facilities in the United States and/or Mexico?

* Can Xinyi please clarify the number of housing units required on site. What is the absolute number of employees that will be in these living accommodations at any given time? Please advise if there are plans for additional housing units to be built in the future?

* Xinyi has proposed having an Emergency Preparedness Centre, which is quite unusual in the local industrial context. Can you please explain all the ways the Emergency Preparedness Centre could be used in this proposal?

* Will the workers that are on call in groups of twelve be trades people and experts from Ontario?

Xinyi Canada Response:

Xinyi does not have any facilities in the United States or Mexico. In other countries, Xinyi does have emergency preparedness centres to provide stand-by staff to assist in the event of an operational emergency, such as a hydro outage, due to its unique operations. Float glass production operates 24 hours a day, 365 days a year continuously, with a shutdown once every 12 to 15 years to retool the furnace. There are special operational procedures for heating and cooling the float glass operations to prevent unexpected situations that may affect glass product quality or production capacity.

Xinyi uses Teams of stand-by staff to address operational emergencies comprised of Members of First Operation and Maintenance Teams (FOM Teams). Their expertise is in technical and engineering operations and maintenance, process control and auxiliary facilities, but not for catastrophic emergency response (e.g. fire). These FOM Teams are to ensure continuous operations, avoiding long production interruptions and to guard against unintended production stoppage. They perform quick repairs, resolve unexpected operational issues promptly, on an as needed basis.

The Emergency Preparedness Centre is not a dormitory. It provides temporary accommodation for each member of the FOM Teams (48 in total). There are 4 FOM Teams of 12 members each. There is no sharing of facilities and each FOM Team member will have their own space to be used when on-duty and/or on-call.

On any given day, the FOM Teams will be as follows:

• FOM Team 1 in the manufacturing facility doing routine maintenance and monitoring of operations. At the end of their shift they will return home to their permanent residence away from the Xinyi facility.
• FOM Team 2 would be on stand-by in the EPC to respond to any operational emergencies. At the end of their shift they will return home to their permanent residence away from the Xinyi facility.
• FOM Team 3 will be at their permanent residence away from the Xinyi facility awaiting the start of their shift.
• FOM Team 4 will be away from the Xinyi facility with several days off (i.e. the equivalent of a weekend).

At any given time, there will be no more than 12 people occupying the EPC, unless there is inclement weather, where there may be two FOM Teams on stand-by to ensure proper coverage for operational emergencies.

We have updated our floor plans for the EPC and appended those to this response for Council’s review. The previous submission was an earlier version. The latest design has a floor plan similar to a hotel room, without kitchen facilities. The approvals will be subject to the Ontario Building Permit process administered by the City’s Chief Building Official.

Please identify what gases or other emissions will be emitted from the emissions stack. Please explain why the stack needs to be as high as is currently being proposed.

What, if any, are the potential risks to humans, animals and plants from the stack’s emissions?

Xinyi Canada Response:

The primary emission source of the facility will be the main furnace stack. The emissions are mainly steam and combustion products of natural gas. It is noted that 60% of the peak water usage (2,500 cu.m./day), or 1,500 cu.m./day will be steam from cooling the glass that will go back into the Global / Regional Water Cycle.

Natural gas combustion emissions include nitrogen oxides, sulphur dioxides, and particulate matter, which are the same emissions composition from natural gas fired home heating furnaces and domestic hot water heaters.

The facility will employ an advanced air emissions management system that includes combustion control technology. This involves a scrubbing system to remove nitrogen oxides and sulphur dioxides, and a high efficiency filter system to remove particulate matter. After the scrubbers, the air stream is then directed through an engineered tall stack to enhance atmospheric dispersion.

Xinyi has conducted dispersion modelling assessments in accordance with the MECP’s procedures as outlined in the Air Dispersion Modelling Guideline for Ontario, to determine optimal stack height.

The assessments predict that the facility will be able to meet all off-property Point of Impingement (POI) limits, as set out in Ontario Regulation 419 (O.Reg.419).

As per the MECP’s “Guideline for the Implementation of Air Standards in Ontario” (GIASO Guideline A-12, Version 3.0, MECP 2017), the MECP regulates contaminants in air to protect communities who live close to emission sources. The regulation aims to limit substances released into the air that can affect human health and the environment, and requires industry to operate responsibly under a set of rules that are publicly transparent. Xinyi is committed to meeting or exceed (i.e. be better than) all applicable air quality standards.

Supply chain management has a large impact on both GHG emissions and air pollutants. Is it possible for Xinyi to provide an overview of the raw material supply chain and then the destination of the finished material? Obviously the post-production destinations will vary by customer, but Council is trying to gauge how far they expect to ship to in North America. Also – is it anticipated that Xinyi will be shipping finished product internationally from this location? Will raw material come from North America exclusively?

Xinyi Canada Response:

Raw materials will come from North America exclusively, mainly from local suppliers in Ontario and Quebec for silica sand, with some suppliers in the USA for soda ash, both naturally occurring products. Delivery of incoming raw materials will predominantly be by  rail,  as  CO2  emissions  by  railway  will  be  7  times  less than  delivery  by  truck.

Currently, all float glass products and energy saving glass products in Canada are 100% reliant on importation. 88% of Canadian float glass demand is imported from the mid- west or east coast of USA, to supply the Ontario, Quebec and Maritime Province markets.

Roughly, 70% of the float glass and 80% of the energy saving glass manufactured in Stratford will be used to meet the Ontario/Quebec and Maritime markets. Xinyi is exploring logistics alternatives, such as intermodal trains, to transport glass to the prairie provinces. The remaining glass volume, which can cater for glass demand growth in Canada, will be for export to the great lakes region in USA or Europe.

The proposed float glass facility will establish a secure Canadian source of float glass supply and energy saving glass products, capable of meeting the demands of the Canadian market and eliminating dependence on importation.

Once local glass supply chain is in place in Stratford, it can effectively reduce the existing level of CO2 emission associated with glass supply chain operations by up to 10 times, as compared with existing mode of operation relying on global supply chains.

Xinyi Canada Response:

The combustion products in the air stream will be treated by an advanced air quality management system, with scrubber and filter system to remove contaminants, before the cleaned air stream is emitted from the stacking for effective upward dispersion into the atmosphere.

The facility has no detectable odour.

Xinyi Canada Response:

Float Glass is one of the most basic and essential building materials widely used in everyday consumer products including vehicle windshields, residential windows, office curtain wall façades, glass mirrors, safety protection glass, electronic screens, and many other uses, and Canada is currently 100% reliant on importation.

The concern about greenhouse gas (GHG) emission is due to its effect on global climate change.  As such, it would be more appropriately to address the issue of greenhouse gas from a global perspective, rather than from a local point source emission consideration. From a global perspective, glass produced at significant distance from the market has a significantly higher GHG than a local supply chain management, wherein the glass is manufactured within proximity to the market. The emissions from manufacturing are relatively the same, although Canada has some of the most stringent emissions standards, but the transportation of product to far destinations significantly increases GHG.

It is relevant to note that once float glass is produced from the Xinyi glass facility, it will create a local glass supply chain in place of the existing global glass supply chain. The local glass supply chain mode of operation can effectively reduce 10 times GHG emission from the exiting global supply chain mode of operation.

Xinyi takes corporate social responsibility seriously and has committed to a multitude of energy saving and sustainability initiatives. Xinyi believes that many of these initiatives will assist Stratford in meeting the Climate Emergency Declaration by the City (February 2020). These initiatives include achieving Stratford’s objective for Global Reduction of GHG to achieve sustainable development through:

• (I) Advanced Energy Efficient Manufacturing: The Xinyi float glass facility will be the most energy efficient glass facility in North America.
• (II) Resource Conservation Manufacturing: The implementation of many energy and resource conservation measures, combined with advanced management systems for environmental protection. Such conservation and environmental measures are practical and can be applicable to other manufacturing industries in Canada.
• (III) Innovative Energy Saving Glass Products: Special developed with optimum performance for Canadian Climate, to maximize energy saving.
• (IV) Local Supply Chain Management: The float glass facility provides the foundation for re-building local supply chain for glass industry in Canada (i.e. producing products in close proximity to markets). Good local supply chain is a critical and effective means to achieve reduction of GHG emissions.
• (V) Secured Local Source of Supply for Essential Float Glass for Canada: Eliminate the risk of 100% reliance on importation of float glass and other glass products for Canadian consumers.

Specific environmentally sustainable programs to reduce GHG to be implemented by Xinyi include the following:

(i) Transportation and Production:

Majority of float glass and energy saving glass for windows and doors fabrication in Ontario is supplied from USA suppliers located in the mid-west region. Due to long transit from USA’s Mid-West region to Ontario and Quebec, the CO2 emission generated is 10 times higher than the CO2 emission generated for glass products supplied from Stratford.

With the advanced and innovative float glass production technology of Xinyi, the proposed facility will be the most energy efficient in North America with the CO2 emissions 20% less than the CO2 emissions from other float glass manufacturers in USA.

This amounts to roughly 46,000 Metric tonnes of greenhouse gas reduction per year. (ii) Energy Saving Glass Products Produced in Stratford:

One of the major products for the proposed facility is energy saving glass suitable for the Canadian climate. The production capacity for the Stratford facility can supply energy saving glass for 100,000 Canadian households per year. Based on Energy Star, each typical household using energy saving glass will save 0.7 metric tonnes per year - a significant reduction in carbon footprint. With 100,000 households per year, the total reduction in carbon footprint per year is 70,000 metric tonnes.

Glass is a durable material. Manufacturers commonly offer over 20 years warranty for window and door products. On that basis, the overall carbon footprint reduction will be very significant over 20 years lifespan, amounting to 2,000,000 metric tonnes.

(iii)  Recovery of Process Heat and Rooftop Solar Panel System:

Process heat from the Xinyi float glass facility will be recovered for (i) electricity generation; (ii) building space heating and (iii) for hot water supply. The heat recovery system can produce 3.8MW of electricity (equivalent electricity supply to 3,000 homes). The equivalent reduction in carbon footprint would be approximately 6,890 metric tonnes yearly.

The rooftop of the facility is designed for solar panel installation. Based on 850,000 sq.ft. of warehouse rooftop, installation of solar panel system can produce electricity of 16,500,000kWh per year, with an equivalent reduction of carbon footprint by 7,900 metric tonnes yearly.

(iv)  Glass Recycling Program:

Glass off cuts, out of specification glass products, and broken glass will be recycled for use as raw material input. In addition, Xinyi is planning to collect broken glass products from customers for recycling to reduce glass waste to landfill.

With regard to the use of water by the Xinyi facility, we understand that Xinyi has estimated the water usage for the Xinyi facility. Is that estimate based on what thefacility would use on an average daily limit, or is it the maximum amount anticipated to be used by Xinyi? Would the recaptured/recycled water potentially bring your amount of water usage down? Does the mineral content of Stratford’s hard water affect your glass making process?

Xinyi Canada Response:

The potential daily water Peak Flow is 2,500 cu.m. This is a maximum, wherein Xinyi’s

average water usage is expected to be 1,600 cu.m.

Glass products contain hardly any water content. Approximately 60% of the water used will be evaporated as steam that will go back to the atmosphere as part of Global Water Cycle. Based on average and peak flows, between 960 and 1,500 cu.m. (60%) of water will return to the atmosphere as water vapour.

If the mineral content of water supply at Stratford is low, cooling water recirculation cycles can be increased, and water usage can be reduced further. In any event, Xinyi will not exceed 2,500 cu.m. peak water usage per day. In any event, Xinyi average daily water usage is expected to be 1,600 cu.m., and daily peak usage will not exceed 2,500 cu.m.

Are there any other ways that Xinyi is planning to offset the carbon footprint of this facility?Can Xinyi provide a better understanding of the float glass market in Canada? Our understanding right now is that 100% of Canada’s float glass is imported. Can you provide a general sense of where that glass comes from (percentages from the US and elsewhere)?

Xinyi Canada Response:

A detailed response has been provided to Q14 regarding the significant carbon footprint reduction of this facility locating in Stratford.

Based on data from Statistic Canada, each year Canada imports around 450,000 Metric Tonnes of float glass. The majority of float glass is supplied from the USA, which accounts for 88% of Canada’s total supply. That U.S. based supply primarily comes from the mid- west and east coast regions. The impact of long transit from mid-west and east coast regions to Ontario and Quebec (the largest markets in Canada), creates CO2 emissions that are 10 times more than the CO2 emission if float glass was supplied from Stratford.

In addition, with advanced technologies to be implemented by Xinyi, the Stratford facility will generate 20% less CO2 emission than the float glass suppliers in USA.

Will there be any adverse environmental impacts on the surrounding farmland or the residents of the City of Stratford?

Xinyi Canada Response:

Assessments conducted to date predict that the Stratford facility will meet all off-property Point of Impingement (POI) limits, as set out in Ontario Ministry of Environment, Conservation and Parks Regulation 419 (O.Reg.419). As per the MECP’s “Guideline for the Implementation of Air Standards in Ontario (GIASO Guideline A-12, Version 3.0, MECP 2017), the MECP regulates contaminants in air to protect communities who live close to sources of emissions. The MECP’s mandate is to ensure the health, safety and well-being of Ontario residents and that includes consumables, such as food grown in proximity to the manufacturing facility. The Regulation limits substances released into the air that can affect human health and the environment, and requires industry to operate responsibly under a set of rules that are publicly transparent, continuously monitored, inspected and subject to remedial measures by MECP Order. Xinyi is committed to meeting and maintaining all applicable air quality standards.

Would Xinyi consider adding hydrogen to the natural gas to make it more environmentally friendly?

Xinyi Canada Response:

Xinyi has adopted a package of environmental sustainable measures as set out in response to earlier questions, and Xinyi will continue to engage in R&D to improve energy efficiencies and alternative environmental friendly source of energy.

Natural gas is adopted in all existing float glass manufacturing plants in USA as the most practical and environmentally friendly energy source. Xinyi has incorporated electric heating to supplement natural gas heat for the glass furnace to make it environmentally friendly.

Hydrogen is an alternative energy source with good potential. It is at early stage of development. Xinyi will continue to monitor its technical feasibility and applicability for large capacity float glass facilities.

Xinyi Canada Response:

Raw materials will mainly be delivered to site by rail. CN has been consulted and can provide rail services to support Xinyi’s operational requirements by adding cars to existing trains, without having to increase the number of trains to the current operations. According to CN, weekly delivery by rail of 100 rail cars for raw material supplies can be provided by adding cars to the existing trains that travel to Stratford 2 to 3 times per week between Monday and Friday. CN will pick up the emptied railcars on the same trip.

Xinyi will invest and build three (3) on-site rail spur lines to allow the majority of raw materials be delivered to site, minimizing the use of trucks for delivery of raw products.

How many transport trucks will be accessing / exiting the facility on a daily basis?

Xinyi Canada Response:

Total daily Truck Trip Generation will be 50 trips in (trucks entering the site) and 50 trips out (Trucks exiting the site) per day.

What is the City currently reviewing and is the City obligated to enter into a contractually binding agreement with Xinyi Canada Glass Limited?

The City of Stratford is currently reviewing a development proposal for a float glass manufacturing facility that includes consideration of a cost sharing agreement. The cost sharing agreement relates to the servicing required for the development, among other matters. That agreement will be reviewed and considered by City Council in an open session in the New Year. Additional public sessions are also being scheduled in the New Year by the company to present the proposed development for public comment.

The City did enter into a binding letter of intent with Xinyi Canada Glass Limited as it relates to the float glass manufacturing facility.  Similar to all binding letters of intent entered into by the City, any obligations set out in that Letter of Intent are conditional upon approval of the agreement by Stratford City Council. 

On or about two and a half years ago the company approached the City, and numerous other municipalities, about being short-listed as a potential site for their facility. The City at that time was also looking at expanding its industrial land base as a result of the lack of lands zoned and useable for industrial development. The City identified a need for large sized industrial lands. In co-operation with investStratford, the City, County and Township of Perth South entered into discussions regarding the possible annexation of land in order to expand the City’s industrial land base and support additional jobs in the area. The consideration for the annexation of additional lands from the Township was the result of numerous identified deficiencies, including (i) creating a new industrial land base to facilitate future development for industrial employment; (ii) extending the City’s Wright Industrial Park; and (iii) responding to current demands, for industrial development.

The City, in considering whether to proceed with the annexation, conducted a review of its industrial land base through the completion of a planning review of its industrial land.

The City sought and was granted its annexation request for the lands from the Minister of Municipal Affairs. This process resulted in agreements being entered into with the County and Township of Perth South similar to those entered into when the RBC lands were annexed. This annexation process was subject to a public consultation and review period (minutes of the Public Meeting regarding the joint Annexation are attached). During this period the City continued its discussions with the Company who had started to narrow the site selection process which continued to include those lands recently annexed by the City.

Following the annexation, further discussions occurred with the City and Company with respect to the possibility of locating in the area. To facilitate the development of the newly annexed lands for the purpose that the lands were annexed, the City with the support of the County and the Township requested that the Minister of Municipal Affairs and Housing exercise the authority under the Planning Act and issue a Minister’s Zoning Order for the entire parcel of the lands subject to the annexation. The City consistently requested that the Minister apply a general industrial classification for all of the land annexed and not the zoning specific for a float glass manufacturer.

The Minister refused the City, Township and County’s request for the Minister’s Zoning Order. We understand that following the City’s annexation of the additional lands for industrial development the Company then proceeded to have numerous discussions with the Minister with respect to the application of a Minister’s Zoning Order only on those lands needed for the float glass manufacturing facility. The City, County and Township in corresponding with the Minister indicated its support for the use of the Minister’s Zoning Order but reiterated their request that the Minister’s Zoning Order apply to all of the annexed lands and not be industry specific (ie float glass manufacturer). The Minister in exercising his discretion under the provisions of the Planning Act only applied the Minister’s Zoning Order to those lands proposed to be used for the float glass manufacturing facility and not the surrounding lands. The City is in the process of initiating zoning by-law and official plan amendments for the remaining lands subject to the annexation order which will be subject to the public review and comment process. 

On July 20, 2020 the Minister’s Zoning Order was posted on the City’s website to ensure the public had access to the contents of the Minister’s Zoning Order.

On August 4, 2020, the Boundary Adjustment notice was posted to the City’s website. On August 4, 2020, a news release regarding both the MZO and Boundary Adjustment was issued to the media, and posted on the City’s website.

The August 4, 2020,the media announcement posted on the City’s website specifically referred to the MZO:

 “The Minister of Municipal Affairs and Housing (MMAH) has implemented a boundary adjustment to open the door for the creation of much-needed industrial land for development in the City of Stratford.

The annexation of property along Highway 7 and Line 29 was approved by the Ministry and was published in the Ontario Gazette on August 1, 2020. A Minister’s Zoning Order for one of the parcels will expedite the development of that land for industrial purposes and to prompt economic development in the area.”

The City requested the Minister’s Zoning Order on the entire parcel, which was denied. When confirming its support for the Minister’s Zoning Order requested by the Company to prompt development in the area, the City reiterated its request that the zoning order apply on all of the lands subject to the annexation and they not be industry specific. The Minister proceeded to issue the Zoning Order only on those lands to be used by the float glass manufacturing facility.

Council is now considering whether or not it will enter into a cost-sharing agreement as it relates to the provision of services to the float glass manufacturing facility and the surrounding lands. In the event the City decides not to enter into the cost-sharing agreement, it is likely that the float glass manufacturing facility will not locate in the area and the City will need to reassess the lands recently annexed for industrial development and determine how best to service those lands.

Xinyi Glass is in the midst of updating its Traffic Impact Study required by the Ontario Ministry of Transportation for Highway 7 and the City for Perth Line 29. The draft Traffic Impact Study predicts an additional 480 trips during the peak hour being generated as a result of the Xinyi Glass facility. As a result of the development of the industrial lands surrounding the Xinyi Glass facility and the Wright Industrial Park and background traffic growth, the peak hour trips are estimated to be 923 by the year 2034. Xinyi Glass shall be responsible for any and all additional road improvements above and beyond normal wear and tear for Highway 7 and Line 29 (formerly Gibb Road). 

The existing CN Rail line abutting the Xinyi Glass facility will be utilized for the purposes of transporting materials to and from the Xinyi Glass facility. The raw products transported via the CN Rail line include sand, soda ash and limestone - all naturally occurring products. Xinyi Glass has indicated that there will be a maximum of 14 rail cars required per day Monday to Friday with the deliveries predominately occurring during the daytime hours. 

To date, Xinyi Glass has not submitted an application for living quarters on the Xinyi facility property.  The Xinyi property is subject to Ontario Regulation 356/20 and permits the manufacturing, processing, fabrication, assembly, distribution and storage of raw materials relating to the manufacturing of float glass and those uses and structures that are accessory and set out in section 1 of the regulation. The accessory uses permitted includes, among other uses, a dwelling unit for onsite caretaker and fire protection staff. The Emergency Preparedness Centre is to allow for the immediate deployment to the Xinyi Glass facility in the event of an emergency. 

What do we know about the potential air and water pollutants?

A D6 Land Use Compatibility Report – Draft prepared by RWDI was submitted to the City. The applicable regulatory provisions to assess the potential for adverse air quality and noise impacts from industry on sensitive land uses including the Ministry of Environment, Conservation and Parks Land Use Compatibility D-Series guidelines; and, the Ontario Environmental Protection Act including but not limited to O. Reg. 419/05 Local Air Quality, O. Reg. 1/17 Registration under Part II.2 of the Act- Activities Requiring Assessment of Air Emissions, MECP environmental Noise Guideline Publication NPC-300 – Stationary and Transportation Sources – Approvals and Planning. All permits, approvals are required to be obtained from the MECP in accordance with the applicable guidelines and policies.

The raw material transfers occur in enclosed buildings under negative pressure, the manufacturing glass process occurs in an enclosed building and finished products are stored within the warehouse. The process is not open to the atmosphere but is self-contained in a plant or building envelope result in minimal fugitive dust and odour emissions. The primary air quality source will be the main furnace stack and required by the MECP to include the appropriate control equipment.

The air emissions from the Xinyi facility are predicted to be better than the 2023 Air Quality targets and standards established by Ontario Regulation 419/05. The air emissions from the furnace stack associated with the Xinyi facility are predominantly steam from water cooling the glass and the exhaust from natural gas. The emissions are projected to be significantly lower than Ministry of Environment, Conservation and Parks maximum permitted limits. The Xinyi facility has indicated that it has established the following targets and will be required to obtain all approvals and authorizations from the Ministry of Environment, Conservation and Parks.  The Xinyi facility is subject to the Ambient Air Quality Criterion (AAQC) applied by the MECP. An AAQC is a desirable concentration of a contaminant in air and is used to assess generally air quality resulting from all sources of contaminant in air. AAQCs are set with the intention of protecting against any impacts to health, odour, vegetation, soiling visibility, corrosion or other effects.

The Xinyi facility’s emissions will meet the MECP regulatory requirements and are predicted as set out below:

Nitrogen Oxide:

24-hour:  <20% of MECP limit

1-hour:      <30% of MECP limit

Sulphur Dioxide:

1-hour:    <55% of MECP limit

annual:    <20% of MECP limit

Particulate Matter (averaging period):

24-hour:   <5% of MECP limit

In terms of wastewater, the Xinyi facility will be required to meet the parameter’s set out in the City’s Sewer Use By-law. The City’s By-law does not apply to salt and fumaric acid which is part of the discharge of the Xinyi facility and a common food additive. The concentrations identified for salt and fumaric acid are less than 5 ppm. The City has followed up with Ontario Clean Water Agency, which is responsible for the operation of the City’s pollution control plan, and OCWA confirmed that they did not have any concerns with respect to the salt and fumaric acid discharges. 

Will the City’s water treatment plant be able to handle the wastewater from the glass plant?

On average, the flows at the water Pollution Control Plant are at 65% of the daily capacity. The addition of the Xinyi flows will increase this to 67.7%. Anticipated revenues for water and sanitary is approximately $1.43 million with additional operating and capital cost of $330,00 on a yearly basis. This will result in a net revenue of $1.1 million.

The cooling water for processed control is re-circulated for re-use by the Xinyi Glass facility in an enclosed system to reduce wastewater discharges. Any wastewater discharged to the City’s system will be required to meet the City standards established by the City’s sewer discharge by-law. 

All properties in the Province of Ontario are assessed by the Municipal Property Assessment Corporation (https://www.mpac.ca/en/PropertyTypes/IndustrialPropertyAssessments).

The value of the assessment of the proposed Xinyi Glass Canada Limited has not yet been determined.

The proposed development is estimated at $400 million – this includes construction, equipment, buildings, infrastructure and other development costs.  Not all of these are included in the assessed value.

Education tax rates are collected by the Municipality however remitted directly to the Province of Ontario.

The lands for the proposed development were formally in the Township of Perth South and are included within the Boundary Adjustment Agreement approved by the Minister of Municipal Affairs and Housing on August 1, 2020.  In accordance with that agreement, 24% of the Municipal taxes are payable to the Township of Perth South from the tax years of 2020-2027.  And 28% of the Municipal taxes are payable to the Township of Perth South in 2028 and beyond. This is consistent with other Boundary Adjustment Agreements with surrounding Municipalities.

The estimated annual property tax revenue is $3,337,000/year.  (Using an approximate assessed value of $150 million, net of education taxes and revenue sharing boundary adjustment agreements).

On July 8, 2020, the Minister of Municipal Affairs and Housing enacted O.Reg. 356/20 being the Minister’s Zoning Order (“MZO”) providing for a float glass manufacturer on a portion of the lands annexed by the City of Stratford.

A Minister’s Zoning Order is issued under the provisions of section 47 of the Planning Act. The power to enact a ministerial zoning order is considered and treated as a judicial or quasi-judicial function requiring that all the requirements of natural justice be observed. While under the provisions of section 47(5) no notice or hearing is required prior to making an MZO.  The Ministry is required to give notice of any such order within 30 days of the making of the MZO in such a manner as the Minister considers proper. 

The MMAH posted the MZO on the Environmental Registry of Ontario (“ERO”) on July 31, 2020 (ERO Number 019-2107). The posting provided notification to the public who could then submit comments to the Minister for review, consideration and determination as to whether to refuse to accept or further consider a request to either amend or revoke the order.

The MZO permits the property to be used for (a) the manufacturing, processing, fabrication, distribution and storage of raw materials relating to the manufacturing of float glass; and (b) the uses, buildings and structures that are set on in section 2 of O.Reg. 356/20 which include, among others, a pump house, business office, cafeteria, generating plan, emergency preparedness centre, a dwelling unit for an onsite caretaker. 

An annexation / boundary adjustment occurs under the provisions of the Municipal Act, 2001 section 171 to 173 and O. Reg. 216/96. Under the provision of the Municipal Act, 2001 there is no appeal right of a decision of Council, or the decision of the Minister, relating to a municipal boundary adjustment.

The Minister of Municipal Affairs and Housing has the discretion to approve or refuse a local restructuring proposal. The Municipal Act, 2001 requires that prior to council for the municipality(ies) voting on whether to support or oppose the restructuring proposal, council shall:

• Consult with the public by giving notice of, and by holding, at least one public meeting;
• Consult with such persons or bodies as the Minster may prescribe.

On December 19th, 2019, the City provided notice to the public with respect to a Joint Public Meeting for a proposed boundary adjustment scheduled for January 16, 2020 in the City of Stratford.

The Joint Public Meeting for Proposed Boundary Adjustment was held on January 16, 2020 with the Councils of the City of Stratford, the Township of Perth South and the County of Perth.

A Special Meeting of Council of the City of Stratford for the Proposed Boundary Adjustment was held on February 4, 2020 and delegations appeared to speak to the matter.

On February 6, 2020 both the Council of the County of Perth and the Township of Perth South held a Special Meeting of Council relating to the Proposed Boundary Adjustment.

On August 1, 2020, Minister Clark (Minster of Municipal Affairs and Housing) approved the Boundary Adjustment Proposal made by the City of Stratford, Township of Perth South and County of Perth.

The Minister implemented the restructuring by issuance of an Order. The Order was published in the Ontario Gazette on August 1, 2020 and made available by the City for public inspection in accordance with section 173(12) of the Municipal Act, 2001.

The City is preparing a development agreement, also referred to at times as a site plan agreement, which is a legally binding contract between Xinyi and the City including terms and conditions of the development and prepared in consultation with Planning, Legal, Engineering and other affected departments of the City and secures the obligations and responsibilities of the developer.

City Council held a special meeting on Tuesday, November 17, 2020 to consider a cost sharing/development agreement. At that meeting, Council adopted the following resolution:

* That a decision on the cost sharing agreement with Xinyi Canada Glass Limited be deferred pending receipt of additional information in response to questions raised;

* And that an information update be provided at the November 23, 2020 Regular Council meeting on this project.

A Site Plan Agreement, which is governed under the provisions of section 41 of the Planning Act will also be required as a condition to the approval of the plans and drawings for the proposed development. The City may, through this agreement, require that the owner of the land provide such facilities, easements and other matters to facilitate the development.

The agreement is registered on title and securities are held to ensure the development proceeds in accordance with the submitted plans and studies and requirements of the site plan agreement.