Forestry diversification strategy for NL

St. John’s, NL – In December 2008, the Newfoundland and Labrador government released its consultant’s report on the comprehensive review of the forest industry in Newfoundland.  Many of the recommendations in the report have already been implemented and several biomass-related initiatives have been undertaken.  In April 2008, the provincial government announced a $14 million Forest Industry Diversification Program to assist the industry to identify and develop specific new products and market opportunities. 

A residential wood pellet rebate program provides a 25 percent rebate for the purchase of residential wood pellet appliances to create a local market for wood pellets.  One wood pellet production facility is already in operation and a second facility is under development.  The provincial government has also contributed $1 million for a cost-shared economic study with Corner Brook Pulp and Paper to convert wood to an alternate fuel source to reduce the mill’s requirement for bunker C oil.