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2010/81 (a)


Government of Canada Supporting Forest Industry Renewal and Environmental Performance

The Government of Canada’s Pulp and Paper Green Transformation Program (PPGTP) is playing a lead role in the renewal of the country’s pulp and paper sector by supporting smart investments that improve the environmental performance of mills and help position them at the forefront of the clean energy economy. 

Environmental performance is not only good for the health of the forest; it is also an important competitive advantage as consumers continue to show strong demand for forest products that have a low environmental impact and come from sustainable managed sources. This kind of an advantage and success in the global market place can result in stronger communities and improved job security for workers. 

Diversification of products is also essential to the sector’s continued evolution and future success. As newsprint and other traditional paper markets continue to shrink, there is a heightened need to find new and more efficient ways of using wood and its by-products.

This program brings together these concepts through investments in technologies that enhance energy efficiency and the production of renewable energy. This allows existing pulp and paper facilities to further reduce their greenhouse gas emissions, while becoming more efficient producers and suppliers of renewable energy from forest biomass.

The Pulp and Paper Green Transformation Program is laying the groundwork for a greener more competitive forest sector — for today and for the future.

How the Pulp and Paper Green Transformation Program Works

Thirty-eight pulp and paper mills across Canada, representing 24 companies, generated credits under the Pulp and Paper Green Transformation Program based on their 2009 production levels of black liquor, a liquid by-product of the pulping process used to generate heat and power. Qualified companies are required to submit project proposals for their facilities and have until March 31, 2012, to apply the credits to environmental improvement projects. The program is working with these companies as they prepare their project proposals, and projects undergo environmental assessments.

Under the terms of the program, eligible firms can invest the credits generated at one mill in any of their pulp and paper facilities across Canada. Consequently, newsprint and pulp mills that did not generate credits could still benefit from this program.

This program does not limit funding recipients from seeking grants from provincial, municipal or other funding sources to help ensure they meet their environmental stewardship goals.

By investing in clean energy technologies, this program is helping the forest industry contribute to the growth of a domestic clean energy industry, creating and maintaining high-quality jobs for Canadians while helping to protect and preserve our environment.

More details about the program and its eligibility requirements are available at

Richard Walker
Director of Communications
Office of the Minister
Natural Resources Canada

Media Relations
Natural Resources Canada

NRCan's news releases and backgrounders are available at