Strategic Thoughts

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February 6, 2002

The following is from a leaked Ministry of Forestry document. It is the government songsheet for explaining its gutting of the Ministry of Forests.

Timber Supply Review

Key Messages:

  • As a result of the Core Services Review and the Deregulation Initiative, the Timber Supply Review process will be modified as part of Defined Forest Area Management.
  • The Chief Forester will continue to determine the allowable annual cuts (AACs) for Tree Farm Licences (TFLs) and Timber Supply Areas (TSAs).
  • Regional and district managers will continue to determine AACs for woodlots and community forest agreements.
  • Under the modified TSR process, volume-based licence holders in TSAs will have similar responsibilities as TFL holders. Volume-based licence holders will be responsible for data collection, analysis and public consultation, results of which will be provided to the Chief Forester to make an AAC determination. Forest Service staff will review industry's data and analysis, as we do now with TFLs.
  • As part of the Deregulation Initiative, two legislative changes are already being prepared. The first is to allow the chief forester to extend the five-year term for AACs by up to five years. The second is to allow, on a pilot basis, AACs to be determined by area (hectares), rather than by volume (cubic metres).
  • To ensure a smooth transition, changes will be phased in over the next two years as part of the development of Defined Forest Area Management.

Questions and Answers:

Timber Supply Review staff

1. Will ministry staff still be involved in TSR?|
Yes, Ministry staff will continue to be involved in the Timber Supply Review, similar to the way they are currently involved in the TFL AAC determination process. This means reviewing information reports, analysis, public consultation and management plans. As well, staff will be directly involved in providing expertise and technical support in the determination process.

2. How many staff will the modified TSR model require?
Currently, a total of 135 full-time equivalent positions have been identified as involved in TSR (108 FTEs in regions and districts and 21 in Victoria). Once the modified model is in place (by 2004) it is expected that about 65 per cent of those FTEs will be involved in TSR (85 to 90 FTEs).


Timber Supply Review process

3. How will the modified TSR process be implemented?
To ensure a smooth transition to the modified timber supply process, changes will be phased in over the next two years. The modified TSR process will follow implementation of Defined Forest Area Management (DFAM).

The current TSR process will continue until the new process is fully implemented - by April 1, 2004. To facilitate the development of the transition to the new process, a discussion paper will be released this fall as a basis for consultation with the public and stakeholders.

4. What will the new process look like?
As with other areas of forest management under DFAM, licensees will be responsible for completing the timber supply analyses, similar to the current process for TFL timber supply analyses. Government will be responsible for ensuring that high standards of data collection and analysis are met.

5. Isn't this putting the fox in charge of the hen house?

Not at all. We have used this type of process for years with TFLs. Although licensees will complete the timber supply analysis, the Forest Service will maintain very high standards of data requirements and technical review. However, instead of two types of processes, we will have one process for completing timber supply analyses.

6. Currently, the forest industry is in dire economic straits. Won't this offloading place even more strain on it?
It is expected that this activity will be eligible for funding from the Forest Investment Vote as part of the preparation of Sustainable Forest Management Plans (SFMPs).

7. How will an AAC be extended?
Currently, AACs must be determined every five years. Legislation is being drafted to allow AACs to be extended up to an additional five years in specific circumstances. A process for extending AACs is being developed concurrent with the legislation.

8. Why are you extending AACs?
Experience gained as a result of two timber supply reviews shows that some timber supply management units are extremely stable, and do not require a timber supply review every five years.

Extending AACs for these management units will reduce the need for costly and time- consuming analysis every five years. This will benefit both industry and government.

The extensions will only be applied in specific circumstances that do not compromise forest stewardship. It is expected that the decision to extend will be the responsibility of the Chief Forester.

9. One of the chief forester's central guiding principles is to frequently redetermine AACs to ensure they incorporate current information and knowledge. Doesn't extending AACs repudiate that guiding principle?

Not at all. The change in legislation will simply make it possible for the Chief Forester to extend an AAC by up to five years in some specific circumstances.

10. How many AACs will be extended?

It is too early to say. We will determine that after a thorough examination of all TSAs and TFLs.

11. A TFL has just one licensee. A TSA may have as many as a dozen licensees. How will the TFL model work with a variety of licensees?

We expect groups of licensees will work together to assemble the data, consult the public and complete timber supply analyses.

12. The public consultation is different for TFLs and TSAs. How will the modified process ensure the public is consulted?

AACs are important decisions that affect individuals, communities and the province. The ministry will ensure that the current high standards for public consultation are maintained.

13. Why are you considering establishing AACs by area rather than by volume?

Determining annual harvest levels by hectares instead of cubic metres could be easier to discuss and communicate to the public and external markets. In some cases, area AACs can provide a more straightforward analysis of timber supply. Area AACs have been successfully used in Ontario for several years, and have been piloted in woodlots in B.C.

It is important to note that an area-based AAC does not imply area-based tenure rights, only the permitted amount of annual harvest.

14. How many area AAC pilots do you intend to initiate and when do you plan to start them?

We don't have an estimate yet of the number of pilots we expect to put in place. Discussions are currently underway with a few licensees on area AAC pilots.

15. Why use pilots?
Pilots provide a way to obtain information about area AACs and test its application.

 

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