A week after it was announced production at the massive EV battery gigafactory in St. Thomas has been pushed back two years, PowerCo stresses the decision is about getting the pacing right as construction enters its next phase.
In a statement emailed to myFM this week, Powerco advises that it “Is continuing construction while aligning production timing, technology and future scale with evolving market demand and the Volkswagen Group’s long-term strategy.”
The PowerCo statement is in response to comments on myFM from MP Andrew Lawton that the community has the right to know what’s being done to ensure that the 3,000 jobs that were promised materialize. Especially in light of the federal government offering up to $13 billion in subsidies.
The PowerCo statement continues, “St. Thomas is expected to begin operations in 2029 to accommodate next-generation battery technology, while retaining flexibility to scale over time. The phased approach is about getting the pacing right, not stepping back. It preserves flexibility while supporting skilled trades, regional suppliers and economic activity in Southwestern Ontario.”
And to clarify, “Work on site is actively moving forward. This update is about getting the pacing right as construction enters its next phase, rather than a delay or stepping back from the project.
“Site work is continuing at pace, with EllisDon now on board as general contractor to lead core structural and site-wide infrastructure phases. The on-site workforce is expected to ramp up toward approximately 1,300 workers at peak construction.
“PowerCo is implementing a phased build approach that aligns production timing, scale and configuration with market demand and the long-term evolution of the industry.”
The statement concludes, “Production at the St. Thomas facility is expected to begin in 2029 to accommodate next-generation battery technology, while retaining flexibility to scale over time.”
Written by Ian McCallum
