Clear Full Forecast

IPG Submits Budget Wish List

By 250 News

Friday, October 16, 2009 03:57 AM

Prince George, B.C.- Initiatives Prince George made a couple of requests in its submission to the Select Standing Committee on Finance and Government Services during it’s hearing in Prince George this week.
IPG President and CEO Tim McEwan said there have been numerous success over the past ten years, which have helped Prince George diversify. While noting the unemployment rate is more than twice what it was a year ago, McEwan pointed out it is still well below the rate experienced in the early ‘80s when the city was dependent on a single industry.
McEwan says there is much more to do, “ In the forthcoming decade – the Northern Decade – we must continue our efforts to layer on “hard” and “soft” infrastructure that will at once diversify our economic base and unleash the staggering economic potential of Northern British Columbia for the economic benefit of all British Columbians.  A knowledge-based resource economy connected to the world – for Prince George and the North this is our aspiration, and it is our collective resolve.”
 
McEwan  offered praise for the HST saying it will make British Columbia more competitive but laid out some requests for change.
 
He said there needs to be a single stream for environmental assessments, that federal and provincial assessments duplicate work and “stymie much needed investment and job creation in Northern British Columbia”   He called upon the committee to recommend “that provincial and federal authorities conclude an arrangement that would end duplication of federal and provincial environmental assessment processes”.
 
Other recommendations were:
 
  • That government  continue efforts to accelerate the Cariboo Connector four-laning program, and to establish a deadline for completion of the entire 463 km length by 2015 or 2020.
  • Government give priority funding to the improvement of the Pine Pass
  • Government should give priority to reducing remaining gaps in broadband coverage and to eliminating cell-phone dead-zones over a fixed timeline (i.e. 2015 or 2020).
  • Government should give priority to working with private sector telecommunications firms to address the need for fibre redundancy in Northern British Columbia, particularly at the key transportation nodes of Prince George and Prince Rupert.
  • Make engineering “in and for” Northern British Columbia a top priority in its recommendations for the forthcoming provincial budget.
 
The Select Standing Committee will continue public hearings  through to the 21st, in other B.C. communities, but submissions can be made by the public   until the 23rd of October. You can click here, for more information.

Previous Story - Next Story



Return to Home
NetBistro

Comments

I don't like how my compulsory home tax pays the IPG wages and yet IPG advocates a provincial policy (HST) that runs counter to the average home owner. It especially irks me when IPG has been as effectively useless as they have been historically. The amount of money PG has put into IPG we could have built another pulp mill in this town with some creative financing... instead all they have to show for it is a couple of departing call centers… and a city that has declined in population and seen no new industrial development in nearly 40-years.

Are we paying for advocacy with out accountability? Isn't that the role of our politicians?

I won't criticize without a solution, so I would suggest they get out some more and dream a bit if they are going to start becoming advocates... not dreaming about new ways to tax the working stiff, but ways in which we can actually create some more industrial or economic development.

First thing these guys need to do is to recognize that PG is a ‘price taker’ town and not a ‘price maker’ town. We deal in commodities that are at the hostage taking of derivative commodity speculators... our economic future is not in our hands other than how much we can cut costs to our foreign buyers. This is no longer acceptable, but it is what we are geared for, and we need to find a way to change that first and foremost.

If I was to dream for a moment of a way we could create ‘price making possibilities’... it would have to come by creating a product that adds value and not simply relying on the idea of scale.

Top of mind for me would be to build pulping operations in places like Fraser Lake and Houston where they are located close to the pine beetle kill wood. Use this pulp to make things like cups, plates and other food stuff containers... this is an industry that is not located on the western half of this continent. Jimmy Paterson already has the logistics in place for this through his other operations in the states that already do this kind of stuff. We could make it so that our market exports directly to China and Japan and India via the Prince Rupert Port... cutting off logistically all our competitors that are currently shipping from the East coast to these markets.

If we built two pulp mills in those towns and the plants we would require for the moldings, then we would be able to utilize the pine beetle wood and the split off product of hog fuel could then be utilized for the co-gen or pellet plant operations, thereby increasing the available feedstock for their use and providing additional support to the lumber industry in those regions. This would create 2500 direct jobs in the first 5-years and 40,000 indirect jobs over that same time doubling our job base. It’s an area we already have the resources for, the expertise, the market, the capital, the connections... the only thing we wouldn't have yet is the workers to man the workforce and the molding designs we wanted to market.

I look at the area saw mills and in just the last year the change in the amount of lumber actually recovered from a stick of wood is falling fast. The efficiency is disappearing quick because the quality of the pine wood is deteriorating. Hard to sell wood to the Japanese if you have no J-grade. Some mills are hauling 50% more chips now than before due almost entirely because of the quality of the trees going through their mills. This is a big problem in the near future IMO and turning those logs to pulp is the only realistic solution. Pulp for paper isn't the long term answer... pulp for condiments is, especially in a fast growing market like Asia that is currently not very well served. I have a friend that is selling utensils made out of wood (spoons, forks, and knives) to the Asian market through Kentucky Fried Chicken outlets in Asia, and his sales are growing faster than he can increase production... the market is there for the taking IMO and we have everything from location to the resources... we just don't seem to have the vision.

Time Will Tell
eagleone wrote:

"This would create 2500 direct jobs in the first 5-years and 40,000 indirect jobs over that same time"

WOW!!!!!!! A 16 to one ratio!!!!!!! amazing!!!!!!

You should be employed by IPG!!!!
eagleone wrote: "Pulp for paper isn't the long term answer... pulp for condiments is"

It does not go so well with burgers, but great with rice!!
gus, besides dumb jokes, what do you think of eagles idea? Do you have a better one? How can you enhance his?
I do not think that pointing out that a 16 to 1 ratio is unheard of is a joke. It is a fact.

I have no idea nor claim I have the expertise in this area. If I did, it would come with a price tag since it is a slaeable product. There are many experts in this field that can do a good job of this.

If you think that someone like Pattison's corporate operations have not and are not working on this, or any other corporation the world over aren't, then you are not thinking reasonably. When there is a buck to be made and there is a low risk of failure involved, then they will act.

To go back to another statement eagleone made: "Use this pulp to make things like cups, plates and other food stuff containers... this is an industry that is not located on the western half of this continent." That assumes that such pulping operations are in the east of North America.

This is the kind of operation that is supposed to create 16 indirect jobs for every direct job. So, show me where that magnitude of a ratio exists with such plants.

We do not even make these products locally. We are the suppliers of pulp and kraft for others to add value to. Exactly the same as timber.

As people have been saying for some time, we need to provide added value to the wood manufacturing industry. We tried woodland windows here. That was a failure. Does anyone know why? Can we provide a value added product here that can compete with the Krugers of this world?

http://www.krugerproducts.ca/english/index.php

Their New West palnt is practically downtown.

BTW, an induced job factor of 2 is quite high and anything approaching 3 is very high from my experience in looking at regional economic benefits of a new venture.
If we didn't have the IPG would the sky fall? What jobs do they create other than the ones they themselves have? Be specific.
China - disposable paper pulp-molding tableware manufacturer
http://teanhepak.en.alibaba.com/

manufacturers
http://www.globalsources.com/manufacturers/x/Paper-Plate/Directory-Manufacturers-of-Products-StarRank/140.html?items_per_page=60

There is our manufacturing competition.

I believe ...and dont spank me for this but ...This is one of the places that cuts could happen to save the tax payers money. :}
My wish list is that IPG be disbanded. They certainly dropped the ball (again) on the Train for sport (in PG) initiative for the upcoming olympics.
In order to train, one has to have the facilities.

Here is a note about Kamloops

[url]http://www.vancouversun.com/sports/2010wintergames/Kamloops+offers+fertile+Winter+Olympics+training+ground+world+best+teams/1913588/story.html{/url]

The thing we should note about Kamloops is that they must have a plan with some long term objectives and they go out to make it come true.

Let's see how well we do with the Canada Winter Games bid.
[url]http://www.vancouversun.com/sports/2010wintergames/Kamloops+offers+fertile+Winter+Olympics+training+ground+world+best+teams/1913588/story.html[/url
We need people to think about the long term future of our community and investment but has IPG been successful to this end. Before disbanding them it would make sense to hear what they have accomplished
Hear? We should be able to SEE it without hearing about it.
Western Canada, and Prince George specifically cannot compete with manufacturng in South East Asia, Pakistan, and other Countries. It is absolutely impossible given their cheap production costs, and our high costs. So there is no point in wasting time thinking this will happen. It never will.

Prince George and other Cities and towns in the interior are located 500 to 1000 miles from the nearest large City. Vancouver, Edmonton, Calgary. We are 2500 to 3000 miles from the large population areas of Eastern Canada, or the Eastern USA.

There is no such thing as cheap transportation for finished products such as furniture, windows, framing, etc; and the common sense thing to do is to ship the bulk commodity (lumber) to an area where there is a large population and then produce the finished ;product.

North Central BC has historically been a supplier of bulk commodities, ie; Pulp, Paper, Lumber, Coal, Sulphur, Copper Concentrate, Ingots, Molydenum, Oil, Gas, Wheat and Grain :Products, Logs, Fish, etc; etc;

These commoditys are shipped around the world and consumed or manufactured into a finished product. In some cases such as China the finished product is shipped back to Canada, and is still cheaper than if we manufactured it here. There is nothing to indicate that we will change how we do business, and I suspect that we will continue as we always have. At this point in time our bulk commodities are our strength.

Because the world has to eat, we could make some inroads by ;producing vegegtable products, hot house tomatoes, cucumbers, meat, etc; however this market is already covered in a big way by the Lower Mainland, Washington and Oregon, California, and the Prairie Provinces.

The writing is really on the wall. Populations in all towns in the Interior are declining. School enrollments are declining, Industrie is downsizing, some mines are opening, however others are closing. Prince George as an example has not had any new industrie for over 45 years, and there is nothing to indicate that it will for the next 40 years.

The latest announcements about the quality of the air in Prince George and the fact that it is being called toxic could be the death knell. What athelete in his right mind would come here to train and breath in all this toxic air???

The only growth industry in this area is Government workers. (all levels) How long do you think we can maintain the high cost of all the Government services with a shrinking tax base.

Our politicians dont have a clue as to what to do, or how to do it. They sit back and let Mackenzie die on the vine, while they pour millions of tax dollars into projects that dont have a hope in hell of producing anything. Why twin highway 97 South when there is hardly any business on this highway??? Why build a huge Airport Runway on the premise **if you build it they will come**

Our efforts should be to ensure that what got us to this point will get us into the future. So we need to be more competitive with our bulk products. Perhaps business should take less profit, and workers less pay. Perhaps we should get rid of the thousands of Goverment workers, and politicians, etc; that we dont need.

Perhaps we should offer something to tourists besides a stinky town, with toxic air, run down business;s, second and third class restaurants, and herd mentality shopping centres. Roads that will rattle your teeth out.

Most tourists that come to this town have only one thought in mind, and that is to find the road the hell out of here. A tank of gas, a meal, and we are out of here.

Prince George has to clean up its air, and its town. We cannot tolerate the air, or the dirty, scrubbie looking downtown anymore. We have to quite building houses in areas that are a natural habitat for Moose, Bear, Deer, etc; etc; just so we can sit on a hill and look down on the bowl. At the present rate of people moving out of the bowl area to higher ground, it is only a matter of time before the whole bowl area will become the **Hood**

This City couldnt plan its way out of a wet paper bag. Everything thats done in this town is for the **big bucks** and to hell with the consequence.

The wrecking of the **Heritage** Cameron St., Bridge to make way for a new **unneeded** bridge is a prime example of the lack of concern for anything in this City that might give it some character.

The chickens are coming home to roost, and if you dont beleive that you reap what you sow, then sit back for the next 10 years and watch the show.
Who got WalMart here?
Who got Canuck Tires to expand?
Who got Home Depot here?
Who got Cosco here?
Who got Future Shop here?
Who got Winners here?
Who got the Brick here?
Who got Pacific Bionergy to open up a new plant?
Who got the airport terminal expanded?
Who got the runway extended?
Who got the Casino into town?
Who got the Gaming Centre to be converted to a medical clinic?
Who got a Cancer Clinc here?
Who got the medical school here?

and whole bunches of others

I got cablevision and running water. Who could want anything more?
Gus.

What happened to.

1. Kresges
2. Woodwards
3. Woolco
4. Eatons
5. Macleods
6. Safeway
7. Woodward Grocery
8. Mcinnis Bldng Supplies
9. Thunderbird Electric
10 Timbermart on the Hart.
11. College Height Home Hardware
12. BC Rail
13. Netherlands Overseas Mills
14. Auto Magic
15. Stedmans
16. Saan Stores
17. Woolworths
18. Extra Foods
19. W.H. Malkins (Grocery Wholesaler)
20. Slade and Stewart (Grocery Wholesaler)
21. Kelly Douglas (Grocery Wholesaler)
22. Safeco
23. Winton Global
24. Lantrans Logistics warehouses on first Ave. (Been for sale for two years)

25. Prince George Bakery
26. Dairyland
27. Fabricland
28. Fannys Fabric


and a whole bunch of others.

The Gaming Centre converted into a medical clinic, will probably mean the closure of a medical clinc somewhere else in the City.

The Casino is nothing more than a regressive tax on Citzens of Prince George, and while it employs people, we could do very well without it.

The Cancer Clinic is not here yet, but it wouldnt be here if there wernt a hell of a lot of people in this area with cancer.

The medical school is a thinly disquised farce. Students take their first year at UBC in Vancouver, then they come to UNBC, and then go to various Citys for their intership. Bottom line.....When they graduate they get their diploma from UBC, not UNBC.

Have a nice day.
"The Casino is nothing more than a regressive tax on Citzens of Prince George, and while it employs people, we could do very well without it."

I agree with this to a point. If the government closed down all Casinos tomorrow, they would have to make up the shortfall somewhere. Guess how?
Palopu .... my question was "who got ..... here".

You did not answer that.

Instead, you posed a completely different question "whatever happened to"

All of those on my list - and the list is not meant to be exhaustive - are simply facilities that employ people. Many of them are facilities that, if they were not here, people would drive to to get services from them. I remember the oddest situation, for instance, that someone wanted to drive to Quesnel to see a WalMart since they had never experienced one.

I am not about to discuss the merits of any of these facilites.

Just cherry picking some of those on your list, Palopou, their removal had nothing to do with anything happening here. Some do but most do not.

- Kresges - no longer exists in Canada.
- Woodwards and Woodward Grocery - no longer exists anywhere
- Woolco was taken over by Wal-Mart
- Eatons bit the dust nationally
- MacLeods and Stedmens joined forces and eventually became True Value Hardware which are typically located in small communities
- Extra Foods is a smaller version of the Great Canadian Superstore so was closed rather than sinking money into a small-scale store.

- Fabricland is an interesting one. They apparently exist and are looking for a location is the story.

- facilities such as Prince George Bakery are taken over by the prolifertion of bakeries in large grocery chains. The quality of baked good available has improved considerably.

As far as the medical school goes, the students are here after the first fall semester, not after the full first year. They are out in the community here as well as in Vancouver because that is the nature of medical education today, more practice and less didactic. You know, they do in North America now what everyone was accusing those in countries such as Russia doing - poor fundamental grounding with more emphasis on learning by doing.

BC is not the only one that has medical education facilities in smaller communites. Ontario started at least one year prior to BC to take that approach. They decided to create a totally new medical school. That takes a longer time than building on an established school.

BC was taking in students one year before Ontario did; 2004 versus 2005. UBC quality controlled grads are a known entity. Lakehead and Sudbury are unknowns in the medical field.

In case you are not aware of the Ontario model which is a consortioum of two universities, read up on it here. It had the same drivers and has similar philosophies.

http://www.normed.ca/about_us/default.aspx?id=68
Gus, you laugh at my ratio... I'll admit I picked it out of thin air, but I also don't think its a stretch.

If you have pulp mills... then you have more viable saw mills, co-gen, and pellet plants... you create construction jobs for all of these... the new value added product has more spin off... you need more houses, grociery stores, retail, insurance agents, bankers, ect and when thngs are growing and happening people move to where the action is and bring their own enterprise with them creating further more jobs.

16-1 may be a stretch, but for a pulping operation I don't think its that far off. Typically a primary industry job will create 5-10 spin off jobs through the new capital that is circulated in the economy changing hands... the more it stays in the economy the more the economic benefit.

Yes a mining outfit might only create 2-3 spin off jobs for each primary job... ditto for oil and gas... but pulp is an economic generator that enables far more then just the pulp related jobs, because of the utility it creates for the whole value chain of the split off products. Pulp probably has the highest spin off job ratio of any industry, and so 16-1 may be high, but its not unrealistic. Without PG's 1500 pulp jobs this city would hardly exist and we would not have a forest industry. PG is an example of that kind of ratio being a reality.

Jimmy Pattison is already in the market for making plates and paper cups and such and selling them to the grociery and foods industry... an industry that is always stable, which is why Jimmy is involved in it. If he was to intgergrate those operations with Canfor and utilize the fiber from the pine beetle wood the whole concept could be fast tracked... what would it take to have Jimmy make it happen is the question I would like to ask. And if not Jimmy then why isn't IPG or the Pine Beetle Committee working on this with other potential investors?

Do we seriously think co-gen of all that beetle wood is a viable answer on its own? Hog fuel is a split off procduct and doesnt stand on its own... therefore the need for pulping operations (or more saw mills which won't happen) to make use of the wood a viable option. Centrally locating the new industry in windy airsheds close to the fiber with minimal municiple taxes would make the most sense to me.
Furthermore we could do the whole pulping operation to create egg cartons and then fill them with Central Interior eggs and export the cartons with product in them.... In addition to biodegradable plates and cups.
I was making two points.

(1) Big Box Stores like Walmart, Home Depot, etc; kill off small stores, not only in Prince George but in outlying areas.

(2) When you look at the loss of jobs from the Companies that disapeared for whatever reason, and relate that to the number of jobs created by the arrival of the **new stores** there would not be a significant difference in the number of people employed.

If you throw in the closures of the various mills around the area, and relate the wages of the mills to the wages of the super stores, casinos, and then make an allowance for all the part time work as opposed to full time jobs, and you would find that you have made very little if any progress in job creation in this area.

Good points Palopu... I agree.