January 25, 2012
Investment in the Forest
According to the National State of the Forests Report 2010 “Canada’s forest industry contributes
substantially to the Canadian economy and forms the economic backbone of many rural
communities”. This is also true for rural communities in Nova Scotia. In 2010, the net value of
forestry exports (includes primary wood products, pulp and paper products, and wood-fabricated
materials) in Nova Scotia was worth $ 864 263 227 (State of the Forest Report 2010). This value
of forest products contributed to a 1.9% increase in the Nova Scotia Gross Domestic Product
(GDP) (Government of Nova Scotia). The forest industry cannot take credit for the entire growth,
but it can take credit for some of it! Significant portions of the earnings from the forestry sector
are fed back into the Provincial finance system through income taxes, HST, royalties, etc., which
help pay for health care, education, community services, transportation/infrastructural renewal
and paying off Provincial debt. The forest industry is an important part of the Nova Scotia
economy.
The closure of two paper machines at NewPage Port Hawkesbury Ltd. in mid-September
continues to have an impact on people across Nova Scotia. The people working in the mill and
the people supplying the wood are directly affected by the closure. Indirectly affected by the
closure is the critical mass in the wood supply sector, which the Woodbridge report (2011)
defines as “the close inter-relationship that exists between various forest enterprises”. This
critical mass is described as a spider’s web where an event on one part is felt in every single
strand. The NewPage mill closure has affected every single strand of the forestry sector in Nova
Scotia, and will undoubtedly affect other associated businesses, i.e. trucking, fuel, utilities,
railways, etc. In this web it is important to keep, not only the hub, but also the parts of the web
that move the tree from the stump to the gate viable as these are the most difficult parts to
rebuild.
The Government of Nova Scotia announced a seven point plan to help maintain jobs, deliver
specialized training and to keep the NewPage mill ready for resale. The seven point plan
included the distribution of a $14-million Forestry Infrastructure Fund for new silviculture work,
harvesting to stock pile hog fuel for a new biomass plant, road maintenance on Crown land,
forestry training programs, and employment for core woodlands staff to continue managing the
forests on the Crown licenses. The announcement also included a $988,200 silviculture reserve
fund to resolve outstanding payments for silviculture work owed by NewPage (NS Government
website Press Release – Sept. 20, 2011). It was a welcomed announcement by many people,
and proved to be successful. In January 2012, a firm from British Columbia, Pacific West
Commercial Corporation, was chosen as the successful bidder in the purchase and operation of
the NewPage Port Hawkesbury mill. Sale of the mill is still pending various negotiations including
power rates, access to timber, and union agreements.
Although the seven point plan helped gain a successful bidder for the mill, the amount of money
allocated to each of the points has not been clearly identified. There is evidence that new
forestry training programs for harvesting contractors are being developed and delivered, hog fuel
is being stock piled for a new biomass plant, and core woodlands staff continue to manage the
Crown license. It is important that a significant portion of the funds remain and are to be
allocated to silviculture treatments (planting, pre-commercial thinning, site preparation,
competition control, etc.), management plans (planning for species at risk, recreational values,
cultural and historical values, etc.), and road maintenance (fixing culverts and bridges) for the
Crown license area. All of these items are fundamental to sustainable forest management.
As forestry professionals, we recognize the forests offer many services: water quality,
biodiversity, recreation, nutrient cycling, carbon sequestering, air quality, but it also offers a
wood supply that is important for the economy today and in the future of our rural communities.
These values can be maintained through adequate investment in tending the forest, maintaining
the management plan, and maintaining infrastructures to protect water quality. Our world is a
hungry planet. Our global population reached 7 billion in October 31, 2011 and our physical
world is not getting any bigger. The world’s people are becoming more and more interested in
the natural resources of our Country. It is important that governments continue to support
sustainable forest management, and more specifically silviculture treatments. Investments in the
forests are good for today and for generations to come.
Submitted by:
RPFANS & CIF-NS Council Members