- Most oft-used word at the convention: Certainty. Canfor CEO Don Kayne said China wants supply “certainty”. A member of the audience questioned how we provide that “certainty” to China in view of the Tsilhqot’in Supreme Court of Canada ruling. In another session, B.C.’s Chief Forester Dave Peterson said there’s been considerable “uncertainty” since 2000 regarding impact of the mountain pine beetle. “All these pieces of uncertainty are gone.. we’re past the point of doing math.. we know what it has done” (730 million cubic metres of timber killed). In his Forest Minister’s Address, Steve Thomson suggested working toward “certainty” on the provincial land base is a government priority.
- Second most oft-used word at the convention: Integrated. Integrated harvest regime, integrated forest bioeconomy etc. etc. “Bioproducts have the highest likelihood of success when integrated with existing primary timber conversion,” said Rod Albers, Manager Energy & Bio-Product Development at West Fraser. Lignin can be “re-integrated” into engineered wood products.
- You can make anything with lignin except money.
- Third most oft-used word at the convention: Partnerships. A key theme across all panelists.
- There’s a looming shortage of biomass in B.C. “We run out in 2023/2024/2025.” (Murray Hall Consulting)
- Dr. Trevor Stuthridge, Executive Vice-President FP Innovations confirmed the bioeconomy is the fastest growing economic sector in the world. The title of his presentation “Will Canada and B.C. play a role in the bioeconomy?” remains an open question.
- Torrefaction – the process of roasting and toasting – is not unique to Starbucks. Roasting wood into biocoal is now the 2nd generation of wood pellets (Jerry Ericsson, President of Diacarbon Energy Inc.)
- Dwindling fibre supply projections/forecasts/assumptions in the B.C. Interior are based on current management/conventional thinking. Are there ways that we can re-define current management?
- “More contraction” is a nice way of saying mills shutting down.
- “Biomass is everything that’s left over after everybody’s used everything they want” – Murray Hall Consulting. “There is no sawmill waste left – lets stop talking about it as an untapped source of bioeconomy growth.”
- Sandy Ferguson, VP Corporate Development at Conifex confirmed substantial work has been completed to resolve the equipment failure at the Conifex bioenergy plant in Mackenzie. Start-up date TBD.
- “Look out for China,” warned Brendan Lowney, Forest Economic Advisors. “I’m more nervous about China than I’ve been in many years,” added Russ Taylor, Wood Markets Group.
- “I can guarantee you 1.5 million U.S. housing starts but I can’t guarantee when” – Brendan Lowney
- “It’s impossible to forecast housing starts” – Russ Taylor
- Cost structure is changing in B.C. = rising log costs.
- Four shiploads of European lumber set sail for the East Coast in January. Changes in exporting countries FX resulted in 15% drop in SPF #2&Btr prices in China (Nov 2014-Feb 2015). There is reportedly now “little room for lower prices on Russian and European lumber,” according to Russ Taylor.
- Ecosystem-based management = balancing economic, environmental, and human well-being.
- Dallas Smith, President and CEO Nanwakolas Business Corp, and Nanwakolas Council, is one compelling speaker.
- The future of high-rise construction is wood. The proposed 18-storey wood-frame tower at UBC would be the tallest wooden building of its kind in the world.
- Oliver Lang, Partner at Lang Wilson Practice in Architecture, was the only speaker who addressed “urban culture” and the trend toward multi-family home construction in this urban context. While the moderator likened Lang’s presentation to “trying to drink water from a fire hose”, it was riveting. While wood is the sustainable, green building material, traditional single-family home construction is not the sustainable model of the future.
- “Minimizing waste created by our activity is a primary global environmental and social objective.” – Chief Forester Dave Peterson. “Given future sawlog supply reductions, it’s a very tricky balance point between the interests of existing and potential fibre users.”
- “There is no question we have fibre supply challenges.” – Mark Feldinger, Canfor
- China used more cement in the last three years than the U.S. did in the 20th century (FEA)
- Truck driver shortages are worsening. Only 12% of for-hire drivers are under the age of 30. Canada could experience a shortage of 25,000-33,000 for-hire drivers by 2020. (Matthew May, BST Transportation Group)
- This year’s CEO panel discussion featured Ted Seraphim, West Fraser and Don Kayne, Canfor. In a convention packed with punch, count this blogger among many who left that hurried luncheon session disappointed. The seated ‘fireside chat’ was void of any meaningful content beyond vague, shared “optimism” about the future.
7 thoughts on “2015 COFI Convention – 25 Takeaways”
Thanks, Paul! Great report! OK to quote you on any/all of this? Thanks, Wayne
Sure no problem Wayne. Appreciate the feedback.
Great insights, hilarious. (make anything from lignin except money!)
We just about crossed paths again! I was in Prince George just a few days before you were. Too bad I missed the conference.
It was great meeting you at the NAWLA meeting though. I sent you an email about that.
Good to meet you also Graeme.
Have been getting caught up since returning from PG but I have your email and have some ideas will follow up ASAP.
Missed you again ? Appreciate your writings
Sorry to have missed you Kathy!