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Windsor seeking more contributions from Essex County for planned EV battery plant

The City of Windsor wants to see Essex County boost its contribution to the newly announced $4.9-billion electric vehicle battery plant, but the county's warden says it is already making a large contribution through road work.

Essex County is spending $40M to expand section of Banwell Road

Gary McNamara, warden of Essex County, said the county is spending $40 million to expand Banwell Road. The work, he said, will be critical for the new EV battery plant being constructed in Windsor.
Gary McNamara, warden of Essex County, said the county is spending $40 million to expand Banwell Road. He says the work will be critical for the new EV battery plant being constructed in Windsor, Ont. (Dale Molnar/CBC)

The City of Windsor wants to see Essex County boost its contribution to the newly announced $4.9-billion electric vehicle battery plant, but the county's warden says it is already making a large contribution through road work.

The plant was formally announced on Wednesday. It's a joint venture by Stellantis and LG Energy Solution, with incentives coming from the federal, provincial and municipal governments. The plant will be located on the Windsor side of the Windsor-Tecumseh boundary near Windsor International Airport.

The new EV battery plant will be located at 9865 Twin Oaks Dr. The city is in the process of acquiring the land, which it will lease to the companies owning the factory. (City of Windsor)

The City of Windsor is contributing a land assembly deal, money for infrastructure development if required and a long-term tax grant for the plant, which is expected to create 2,500 jobs.

The city is also buying land for the site for about $45 million, which will be leased to the plant's owners.

Windsor chief administrative officer Jason Reynar said he'd like to see more support for the project from Essex County.

Jason Reynar sits at a desk.
Windsor CAO Jason Reynar says he'd like to see Essex County contribute more to the EV plant project. (Dale Molnar/CBC)

"I think there are a number of different options ... from partnering with us to provide the land and acquire the land, to infrastructure improvements," he said. "And then also ... hand-in-hand, going to the province and the feds to say 'I really need some more support on those large infrastructure transportation corridor pieces.'"

Warden Gary McNamara said the county is spending millions of dollars on road work in the area, including expanding Banwell Road, which will be critical given the increased traffic that will be using the road due to the plant.

Banwell Road runs along the east side of the property that will house the plant, and the road, McNamara said, currently accommodates "very little traffic."

"That's the issue, we recognize that."

The county has been buying up properties in order to expand Banwell over the last three or four years, he said.

McNamara said the final designs for the expansion have been completed. It will include the road going from two lanes to four, and adding lighting and turning lanes. A realignment of County Roads 42 and 43 is also taking place, he said.

WATCH | Here's what the new factory will make: 

Here's a look at what Windsor, Ont.'s electric vehicle battery plant will make

3 years ago
Duration 0:33
Denise Gray, director of external affairs and government relations at battery maker LG Energy Solution, explains what the new factory in Windsor will output.

However, the portion of Banwell Road where the plant will be located is owned by Windsor, McNamara said.

Still, the portion of the road owned by Essex County is critical to the plant's operation, he said, as it will help with traffic. The expansion work should be complete by the time the plant opens in 2024.

Reynar agreed the expansion is a significant contribution.

"But there's more that has to be done. When you recognize that the jobs that we're talking about could be anyone in the county getting to work there or be a part of the supply chain or the indirect benefits, it really does require a regional lens to look at this and work together to make it happen on the timeline that we think is possible."

Reynar said he's speaking with Essex County CAO Mike Galloway about Windsor and Essex County and "how we produce shovel ready sites together in collaboration with the county."

McNamara said it's "premature" to say if Essex County will provide anything further to the project, since the announcement just took place on Wednesday.

"But realistically, the amount of work that we're going to be doing in realigning 42 and 43 is probably in the neighbourhood of $40 million," he said. " That's quite a contribution."

Windsor is still working to acquire the property this house sits on. Reynar says he remains hopeful the city can negotiate a sale. (Dale Molnar/CBC)

Windsor, meanwhile, is still working to acquire one remaining property at the plant site, which includes a house.

Reynar didn't provide details about negotiations with the home's owners, but said since the overall site is more than 80 hectares in size, work in other areas can begin while those talks continue.

"We're hopeful we can come to a resolution there. Otherwise, we have to look at alternatives.

"How do we buffer that site should someone want to stay and live there? What does that look like?" Reynar said. "I'm still hopeful that we'll be able to negotiate a sale."