5.4: Bio Industry in BC

Question 1

What are 5 ways that access to fiber can be gained

Answer 1

1. Licence acquisition: purchase a forest tenure from an existing tenure holder
2. Partnership agreement: partner with existing tenure holder
3. Partnership with FN
4. Fiber Supply Agreement: specifies terms on which parties agree to supply and purchase fibrewood from eachother.
5. New License Offerings: License opportunities offered competitively through BCTS.

Question 2

What types of fiber are available

Answer 2

1. Mountain Pine Beetle stands
2. Mill Residue: forms of mill residue including hog fuel, chips, ground wood, sawdust, shavings
3. Roadside accumulations
4. Healthy stands of timber

Question 3

Direct Award NRFL for bioenergy supply contracts are a type of tenure that can be used to extract fiber. Give a brief description.

Answer 3

Intended to utilize poor quality stands where AAC is available within a management unit. NRFL could be restricted to a type of timber or terrain type. 20 year term non replaceable targeting non sawlog stands in hauling distance from a bioenergy facility.

Question 4

Briefly describe the restricted forest license

Answer 4

non-replaceable, competitively offered

can be advertised to secondary manufacturers (Pellet - bioenergy - pulp - paper - OSB)

competition can be tailored to support existing manufacturers or promote new facility construction.

can state the maximum amt of AAC a bidder can have under major licenses to bid.

Question 5

Briefly describe supplemental forest licenses

Answer 5

Form of restricted license designed for operators of timber processor facilities that may only need to harvest occasionally if their fiber supply is interrupted. Prior to issuance of the tenure, a holder must first demonstrate that they have exhausted other options.

Not eligible to receive fiber through cut control volume transfer from other holders.

Question 6

Briefly describe fiber recovery tenures (there are 2) aka roadside and landing tenures

Answer 6

Both the Fiber Supply LTC and the Fibre forestry license to cut authorize processing on site of timber left at landings and roadside buy a primary harvester.

Fibre supply LTC is an area based tenure covering a large area. There is no AAC or guaranteed volume.

Fibre forestry LTC is similar to fiber supply LTC but for specific areas only, usually short term, when demand is sporadic.

Question 7

How are the fiber recovery tenures advertised

Answer 7

Fibre supply LTC: Competitively. Non replaceable with max term of 5 years.

Fibre Forestry LTC: Either competitively or direct award