B.C. Liberal forest critic John Rustad (Hansard TV)

B.C. Liberals call for tax relief for struggling forest industry

Donaldson rejects ‘messing with stumpage system’ that inflames U.S.

Opposition politicians are calling on B.C. Premier John Horgan to reduce the tax load on forest companies as they deal with log shortages, slumping lumber prices and continued import duties from the United States.

B.C. Liberal leader Andrew Wilkinson and forests critic John Rustad released a letter to Horgan on Thursday, calling for reduction of carbon tax charged to forest companies, and stumpage fees collected by the province for harvesting of timber from Crown land.

“John Horgan needs to hold himself accountable, stop making excuses and stop the job losses in this province,” Rustad said. “At a time when forestry workers across the province should be hard at work, instead they are facing job losses and no paycheques.”

Forests Minister Doug Donaldson said Thursday the province must proceed carefully on any changes to B.C. stumpage is well known to incite protests from U.S. lumber producers, who have argued for decades that B.C.’s lumber is subsidized by artificially low cost of logs.

“Messing with the stumpage system is not a solution,” Donaldson told Black Press.

Donaldson also noted that during his bried time as forests minister in 2017, Rustad predicted up to 10 mills closing due to the decline in timber supply due to pine beetle damage.

Canfor, Interfor, West Fraser, Tolko and other lumber producers have announced temporary and permanent mill closures across the province in recent weeks, citing the scarcity of sawlogs in the B.C. Interior and a long slide in prices for construction lumber in recent months.

The downturn has spread to oriented strandboard producers. Louisiana Pacific announced Thursday it is shutting down its OSB production facility in Taylor, B.C. in August, after a similar announcement by Norbord for its OSB plant in 100 Mile House earlier this week.

RELATED: Norbord shutdown affects 160 workers in 100 Mile House

RELATED: Canfor temporarily shutting down sawmills across B.C.

Wilkinson and Rustad are calling on the B.C. government to reduce stumpage and carbon tax on forest companies, their logging contractors and other businesses that depend on the forest industry “until market conditions stabilize.”

Their suggestions include creating a fund for communities hit by the recent closures and curtailments, to put laid-off employees to work on wildfire prevention projects. Fuel load from decades of forest fire suppression has been a factor in recent record fire seasons.

Wildfire prevention projects are being funded and federal and provincial governments are working together to provide “short-term support for workers and communities,” Donaldson said.


@tomfletcherbc
tfletcher@blackpress.ca

Like us on Facebook and follow us on Twitter.

Just Posted

Revelstoke family-owned business makes a deal with a dragon

Shade Sails Canada will be working with Dragon’s Den star Vincenzo Guzzo

Kootenay-Columbia candidates attend Creston Valley Chamber of Commerce 2019 election forum

About 120 people attended the Creston Valley Chamber of Commerce 2019 election forum on Oct. 16 at the Prince Charles Theatre.

LETTER: Do we have to wait until someone freezes to death?

From a Revelstoke resident in support of the proposed cold weather shelter

Province funding $6.5 million for caribou habitat restoration

The money is available through applications for the next three years

Regional district approves proposed Revelstoke adventure park

Ammendments to the Official Community Plan and Zoning Bylaw were needed

VIDEO: First all-female spacewalk team makes history

NASA astronauts Christina Koch and Jessica Meir did work on International Space Station’s power grid

Zantac, the over-the-counter heartburn drug, pulled in Canada, U.S.

Health Canada also investigates possible carcinogen in some ranitidine drugs

Shooters compete in Summerland

Seven youth participants take aim

B.C. public safety minister says cannabis edibles not in stores til January

Mike Farnworth says he wants regional issues considered when it comes to licensing

Greta Thunberg calls for climate action in Alberta, but doesn’t talk oilsands

Swedish teen was met with some oil and gas industry supporters who came in a truck convoy

RDOS cannabis production bylaw goes to public hearing

Hearing on micro cannabis production facilities will be held Nov. 21

Scheer denies spreading ‘misinformation’ in predicting unannounced Liberal taxes

Conservative leader had claimed that a potential NDP-Liberal coalition could lead to a hike in GST

Council asks to limit cruise ship visits to Victoria harbour

Mayor says motion is not meant to curtail current visits or limit local cruise industry expansion

Chilliwack man pleads guilty in crash that killed pregnant woman

Frank Tessman charged under Motor Vehicle Act for accident that killed Kelowna school teacher

Most Read