Forestry Aid Package

The federal government says Canada’s struggling pulp and
paper industry will be tossed a $1-billion lifeline.
Natural Resources Minister Lisa Raitt says the mills will be able
to access federal grants for capital improvements that increase the
production and use of clean energy.
The initiative is designed to keep Canadian pulp and paper
competitive with U.S. rivals who currently qualify for government
subsidies for using alternative fuels.
Ottawa’s aid package is believed not to contravene the
Canada-U.S. Softwood Lumber Agreement.
The grants can only be accessed by mills who produced so-called
black liquor, a derivative of the milling process that can be
converted into an alternative fuel.
The announcement follows months of lobbying by the industry,
which has complained that black liquor subsidies of up to US $8
billion in the United States have put their mills as a severe
disadvantage.
Kenora MP Greg Rickford says the package will benefit Mill’s in Dryden and Kenora.