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EOWC Environmental Services

This lost value can be thought of as the minimum capital infrastructure deficit in environmental services; however, there are also significant unfunded liabilities and legacy costs – likely to be a minimum of $100 million – that must also be considered. And these costs do not include costs for new or expanded landfills. As a result, the combined capital infrastructure deficit in Environmental Services is likely to be in excess of $700 million. Taking anticipated annual capital maintenance expenditures plus capital expenditures to address the infrastructure deficit into account, Rural Eastern Ontario should be investing at least $131 million a year in Environmental Services assets. Currently, the region is investing roughly $85 million a year (on average), suggesting an annual capital investment shortfall of at least $46 million. Annual landfill monitoring requirements (post closure costs) will add at least another $1 million to this amount for the next 10 years, rising thereafter.

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