Coastal logging activity is down since the B.C. NDP government began implementing its revitalization plan. (Black Press files)

Coastal logging activity is down since the B.C. NDP government began implementing its revitalization plan. (Black Press files)

Log export fee reduction aims to revive B.C. coast logging

Forests Minister Doug Donaldson eases wood waste rules

After weeks of urgent pleas that the forest-based economy of northern Vancouver Island and the B.C. coast is suffering irreparable damage, the B.C. government has delayed some of the changes that logging companies say have made timber harvesting too expensive.

Changes include easing new fees on unrecovered wood waste, and delaying a new fee system for exported logs.

Forests Minister Doug Donaldson has already moved to slash stumpage fees for coastal timber, which were cited by contractors when they suspended logging in recent months. Teal Jones Group reduced its Fraser Valley and Vancouver Island logging in May and shut the rest down in September, cutting off wood supply to two sawmills and a cedar shake mill in Surrey that employ 500 people.

RELATED: 500 losing mill work as Teal Jones suspends logging

RELATED: Aid a priority for laid-off coastal loggers, Horgan says

RELATED: Laid-off forest workers converge on B.C. legislature

Mosaic Forest Management laid off about 2,000 union and non-union employees as well as coastal logging contractors at the end of November, beginning its seasonal shutdown early due to what the company termed “very challenging pricing and market conditions.” Mosaic is a partnership of Island Timberlands and Timberwest, which along with Western Forest Products represents most of the lumber industry on Vancouver Island and the adjacent coast.

Western has been shut down for almost six months by striking United Steelworkers members, forcing logging contractors off the job. Premier John Horgan has promised aid for contractors, who are losing their homes and equipment. Labour Minister Harry Bains has met with both sides as mediated negotiations have dragged on.

The forests ministry issued a statement to Black Press describing the log export changes that are designed to keep more logs in B.C. for milling. The maximum “fee in lieu” has been reduced from 50 per cent of log value to 35 and the imposition on private logging companies has been delayed six months.

“The fee-in-lieu of manufacture has been in place for some time,” the ministry said. “It provides revenue to government in lieu of the economic benefits that are received when logs are manufactured within the province.

“The new, variable fee-in-lieu, which reflects the economics of each stand, was applied to new B.C. Timber Sales licences on the Coast in July. It was originally going to also apply for all new cutting permits on the Coast, starting Dec. 15. Recognizing the many challenges facing the coastal forest industry, while it will still apply to all new B.C. Timber Sales licences on the Coast, its application across all permits has been delayed.”

B.C. Liberal forests critic John Rustad said keeping the higher fees on B.C. Timber Sales blocks means up to half of them are not attracting bids from logging companies.

“People are only operating now in areas where they can make a go of it, in terms of fibre recovery,” Rustad said in an interview.

A new “fibre recovery zone” system that triples fees for usable wood left behind is still in place, but Donaldson said the zones have been reduced based on industry data effective Monday, Dec. 23.

Provincial stumpage fees for cutting coastal Crown land timber are being reduced to $8.82 per cubic metre as of Jan. 1, in the latest quarterly adjustment to reflect the falling price of lumber. Stumpage reached a high of $18.73 in January 2019.


@tomfletcherbc
tfletcher@blackpress.ca

Like us on Facebook and follow us on Twitter.

BC legislature

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Melissa Harris and Michaela Freeman will play key roles in a live-on-Zoom performance of <em>The Schoolmistress </em>for Theatre in the Country. (Special to The News)
Pair of Maple Ridge theatre pros involved in live-on-Zoom play

Melissa Harris and Michaela Freeman will take part in the performance of a 135-year-old British farce

Here’s a view of the Alouette River looking east, taken by Barbara McConville. (Special to The News)
SHARE

Send us your photo showing how you view Maple Ridge or Pitt Meadows, and it could be featured soon.

Gloria Hamilton stands in front of a home in Maple Ridge’s Academy Park subdivision, which recently sold for well over the asking price. (Ronan O’Doherty/ The News)
Bidding wars driving up real estate in Maple Ridge/Pitt Meadows

Price of houses up some 20 per cent over last year

The Maple Ridge Branch of the SPCA received a donation of more than $4,500 from B&F Automotive after their NYA fundraiser. (Special to The News)
Maple Ridge auto shop organizes virtual bingo to raise funds for SPCA

B&F Automotive’s New Year’s Eve fundraiser amassed more than $4,500 for the animal welfare charity

Elvira D’Angelo, 92, waits to receive her COVID-19 vaccination shot at a clinic in Montreal, Sunday, March 7, 2021, as the COVID-19 pandemic continues in Canada and around the world. THE CANADIAN PRESS/Graham Hughes
‘It’s been a good week’: Tam hopeful on vaccines as pandemic anniversary nears

Tam says the addition of two new vaccines will help Canadians get immunized faster

Ron Sivorot, business director at Kennametal’s Langford site, the Greater Victoria facility that made a component being used on NASA’s Perseverance rover on Mars. (Jake Romphf, Black Press Media)
NASA’s Perseverance Mars rover digging in with B.C.-made part

Kennametal’s Langford plant’s tooth blank is helping the rover’s drill collect rock cores

A woman walks through Toronto’s financial district on Monday, July 30, 2018. A new poll suggests most Canadians believe there’s still a long way to go to achieve gender equality in this country. THE CANADIAN PRESS/Graeme Roy
Canadians, especially women, say gender equality not achieved in Canada: Poll

Poll results themselves underscore the challenge, with more men believing equality had been achieved

This image provided by Harpo Productions shows Meghan, The Duchess of Sussex, left, in conversation with Oprah Winfrey. (Joe Pugliese/Harpo Productions via AP)
Race, title and anguish: Meghan and Harry explain royal rift

Meghan said she struggled with concerns within the royal family about her son’s skin colour

Cannabis bought in British Columbia (Ashley Wadhwani/Black Press Media)
Is it time to start thinking about greener ways to package cannabis?

Packaging suppliers are still figuring eco-friendly and affordable packaging options that fit the mandates of Cannabis Regulations

Const. Allan Young. Photo: Abbotsford Police Department
Manslaughter charge laid in Nelson death of Abbotsford police officer

Allan Young died after an incident in downtown Nelson last summer

The Pfizer-BioNTech COVID-19 vaccine is administered to a personal support worker at the Ottawa Hospital on Tuesday, Dec. 15, 2020 in Ottawa. Doctors in Alberta have signed an open letter asking for prioritized vaccination of health-care staff who work directly with patients on dedicated COVID-19 units. THE CANADIAN PRESS/Adrian Wyld
COVID vaccines for seniors in B.C.: Here’s how to sign up

Seniors 90+, Indigenous seniors 65+ and Indigenous Elders can book starting March 8

The Kimber family of Boston Bar lost their home in a fire. Blaine Kimber’s daughter created a fundraiser to help rebuild the home with the goal of $100,000. (Screenshot/GoFundMe)
Fundraiser created for Boston Bar family that lost everything in weekend fire

Witnesses say the Kimber family escaped the fire without injury, but their home is a total loss

(The Canadian Press)
‘Worse than Sept. 11, SARS and financial crisis combined’: Tourism industry in crisis

Travel services saw the biggest drop in active businesses with 31 per cent fewer firms operating

Most Read