ASSISTANCE TO FOREST WORKERS AND COMMUNITIES

As well as the $129 million from the federal government as B.C.’s share of the Community Development Trust, the province has programs in place to help forest workers and communities through the current downturn.

Working Roundtable on Forestry

In January, the Premier announced a new Working Roundtable on Forestry. Chaired by Forests and Range Minister Rich Coleman, the 22-member roundtable has been charged with recommending a comprehensive, fiscally viable strategy aimed at making B.C.’s forest industry the most competitive, successful and productive it can be.

The roundtable is currently holding meetings in communities around the province to gather new and innovative ideas, and meeting as a group to develop its strategy. The roundtable’s progress will be reported to Cabinet quarterly, and its preliminary recommendations to Cabinet are to be developed by the end of 2008.

Regulatory Review

A progress report on the regulatory review will be considered by government shortly. Also announced in January, the goal of the regulatory review is to streamline and reduce unnecessary red tape, cut processing time, and eliminate unnecessary cost burdens resulting from regulation in the forest sector.

International Marketing and Research and Development

The U.S. is B.C.’s biggest market for wood products – 87 per cent of B.C.’s lumber is exported there. With the current sub-prime mortgage crisis and shrinking U.S. housing market, B.C. needs to expand other markets.

Through Forestry Innovation Investment Ltd, $25 million per year is spent on new product development – including new uses for beetle-enhanced timber – and on international marketing of B.C. forest products. Lumber sales to China were up by 58 per cent in the first half of 2007, compared to first half of 2006 – more than double when the Dream Home China Project was started in 2003.

Economic Development and Diversification

Through the Mountain Pine Beetle Action Plan, government is providing $7.8 million to the Cariboo-Chilcotin, Omineca and Southern Interior Beetle Action Coalitions for regional economic diversification planning and over $12 million to First Nations to help them sustain their communities and their culture.

The $185-million Northern Development Initiative Trust has invested $32.9 million for 101 projects to date, leveraging total project expenditures of $205.5 million – this includes the $5-million QUEST project launched by Geoscience BC to help unlock the province’s mineral potential and stimulate new economic activity in central British Columbia.

The $50-million Southern Interior Development Trust and $50 million North Island Coastal Development Trust began accepting applications in spring 2007.

In total since 2001, the Province has invested $640 million in pine beetle related projects and the federal government has spent nearly $340 million. The province is also investing $35 million into a bioenergy strategy to pursue mountain pine beetle opportunities.

Further Programs

The $9.725-million, cost-shared by B.C. and the federal government, from the Targeted Initiative for Older Workers, began delivering programs around the province in February, estimated to help about 900 unemployed forest sector workers.

The Ministry of Community Services’ Community Transition Program provides assistance to rural, remote, resource-based municipalities facing impacts from closure or significant downsizing of major industries.

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Media contact:	Bridgitte Anderson Press Secretary Office of the Premier 604 307-7177	Rena Kendall-Craden Communications Director Ministry of Economic Development 250 952-0152

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