News Licensing and Pricing Models Proposed for Forestry
By 250 News
Wednesday, January 13, 2010 09:19 AM

Minister Bell addresses breakfast gathering at two day forum
Prince George, B.C.- Minister of Forests and Range, Pat Bell, has opened his annual Natural Resource and Economic summit in Prince George with news of a new licensing and pricing models for forest harvesting.
Bell says his Ministry is working towards a pricing model that is similar to that used in the United States, where companies bid on sites per hectare, rather than per cubic meter of wood. This model of pricing will encourage companies to recoup as much value from a timber stand as possible. That will lead into the second point of change, which Bell calls a receiving license. This would allow the licensee to enter into an agreement with a bio energy group to pick up the slash. That would give the bio- energy group to have a segment of the annual allowable cut that would normally be counted into the licensee’s annual allowable cut. The new system would give the bio-energy producers stability in fibre supply, and the licensee would not include that amount in its annual allowable cut.
Bell says he expects a second bio –energy call to be made soon, and hopes the new licensing and pricing models will be in place some time this year.
Bell says whether people believe there is global warming or not, the move to a carbon neutral world is good news for the forest industry. He predicts it will open doors to new investment and growth in the forest industry of a magnitude not seen since the 60’s.
Previous Story - Next Story
Return to Home
metalman.