Whitby steel manufacturer wins $25,000 grant to cut natural gas use

Ontario Construction News staff writer

North American Steel has won a $25,000 grant to reduce natural gas use at its Whitby manufacturing facility by up to seven per cent a year.

The company is the first winner of the Town of Whitby’s Industrial Energy Challenge, a pilot program launched with Enbridge Gas Ontario to help industrial businesses improve efficiency and reduce operating costs.

North American Steel manufactures steel racking systems at its Whitby facility, where the racks are powder-coated and placed in large industrial ovens to dry and harden the finish. The process accounts for about 90 per cent of the company’s natural gas consumption.

The grant will fund the installation of air curtains at the entrance and exit of the drying oven. The equipment will help keep heat inside the oven and remove excess water from steel before it enters, reducing the energy required for the process.

The project is expected to be completed in early 2027.

North American Steel has operated in Whitby since 1972.

“We are honoured to receive this award,” said Stosh Fabricius, the company’s vice-president of corporate development. “We appreciate the support of the town and companies such as Enbridge Gas that are willing to support local businesses in their efforts to innovate and grow in a sustainable way.”

Whitby Mayor Elizabeth Roy said the project will help the company reduce costs while supporting the town’s economic and environmental goals.

The Industrial Energy Challenge supports Whitby’s Climate Emergency Response Plan and its target of reaching net-zero emissions by 2045. It also aligns with the town’s economic development strategy, which encourages businesses to improve efficiency, adopt new approaches and remain competitive.

Enbridge Gas is partnering with the town to support projects that reduce energy use and improve industrial operations.

“The Industrial Energy Challenge showcases the power of collaboration in creating practical energy solutions that benefit both businesses and communities,” said Val Picher, Enbridge Gas Ontario’s director of municipal and stakeholder engagement.