December 19, 2014 at 11:02 AM
The Canadian Transportation Agency issued Decision No. 451-R-2014 on December 18, 2014 ruling that the revenues of the Canadian Pacific Railway Company (CP) are under its maximum revenue entitlement and that the Canadian National Railway Company (CN) has exceeded its maximum revenue entitlement for crop year 2013-2014. The Western Grains Research Foundation (WGRF) will receive $5,231,011 from CN for exceeding its revenue entitlement. The news release on the ruling is available from the Canadian Transportation Agency website at www.cta-otc.gc.ca.
In 2000, the Federal Government named WGRF under the Canada Transportation Act as the organization that would receive funds that were deemed to be in excess of the maximum revenue entitlements allowed for CN and CP. The excess fund plus a five percent penalty are paid into the WGRF Endowment Fund.
“As a producer I would prefer that the railways stay below their maximum revenue entitlements, however when these entitlements are exceeded WGRF and its Board of Directors will invest these funds into field crop research to the benefit of all western Canadian farmers,” said Dave Sefton, WGRF Board Chair.
“The WGRF Endowment Fund is having a significant impact on western Canadian agriculture. WGRF is planning to invest $9 million from the Endowment Fund in 2015, up from $5.8 million in 2014,” said Sefton.
New projects include a $5 million dollar commitment to the Genome Canada Large Scale Applied Research Program and initiation of plans to increase agronomy research capacity in western Canada. WGRF has current commitments of $22 million to co-fund 125 projects in collaboration with 30 other funding organizations.