Ontario Protecting Forest Sector Jobs and Workers

May 21, 2025

Province investing $11.3 million to support economic growth in northeastern Ontario

TIMMINS — The Government of Ontario is protecting workers and jobs in the forest sector by investing $11.3 million in five research, innovation and modernization projects in northeastern Ontario. The investments from the Forest Biomass Program will help accelerate Ontario’s forest sector’s competitive advantage by creating new jobs, increasing productivity and identifying new revenue streams.

“Our government is making strategic investments to protect jobs, protect communities and protect Ontario,” said Kevin Holland, Associate Minister of Forestry and Forest Products. “We’re ensuring our forest sector businesses are ready to adapt, compete and thrive, putting made-in-Ontario wood products first.”

The government’s investment is supporting projects related to underused wood and mill by-products, known as forest biomass. The recipients include:

• Hornepayne Power Inc., who are receiving $7,500,000 to increase regional energy production by modernizing and upgrading power generation equipment. The funding will also support research into on-site green hydrogen production.

• GreenFirst Forest Products Inc., who are receiving nearly $3 million to boost productivity, cut costs and improve product quality by upgrading the company’s biomass cogeneration plant, and an additional $130,000 to research the use of mill by-products for torrefied pellets, a green alternative to coal.

• Circular Carbon Canada Inc., who are receiving $500,000 to study northeast sawmills as potential sites for pyrolysis plants, which use forest biomass to produce biochar, which is a substance used in power generation, soil amendment and water filtration.

• Wikwemikong Development Commission, who are receiving $200,000 to support the development of a combined wood pellet and biocoal facility by assisting with permitting, contracting, business development and community engagement.

These projects will help create good-paying local jobs while supporting the delivery of high-quality, made-in-Ontario products to market at a lower cost. In addition, they will strengthen northeastern Ontario’s economy by creating added demand for the harvesting, hauling and trucking industries, and develop new opportunities for Indigenous communities to participate in the growing forestry industry.

“Forestry has always been a cornerstone of the economy in Northeastern Ontario — a sector built on hard work, local expertise, and the ability to adapt,” said George Pirie, Member of Provincial Parliament for Timmins. “That’s why we’re supporting new projects like a Timmins-led feasibility study into biomass and biochar to create new industry opportunities across Northern Ontario. This study will explore practical ways to turn forestry by-products into clean energy and bring new jobs to our community.”

Ontario’s Forest Biomass Program invests up to $20 million each year in projects to increase wood harvest, create forest sector opportunity and find new uses for wood in collaboration with stakeholders, industry and Indigenous communities.

Quick Facts

• Ontario’s forest sector generated $22.8 billion in revenue from the sale of manufactured goods and services in 2022 and supported more than 137,000 direct and indirect jobs in 2023.
• Wood produced from Ontario’s Crown forests is sustainably sourced and renewable. Wood is a renewable resource, a clean energy source, and a sustainable – and biodegradable – alternative to single-use plastics.

Quotes

“Ontario’s Forest Biomass Program has served as an effective incubator for developing the forest industry of the future. Today’s announcement by Minister Kevin Holland for biomass investments in northeastern Ontario highlights the opportunity and importance of supporting Ontario’s forest sector through the Forest Biomass Action Plan and the broader Forest Sector Strategy. These initiatives will facilitate a more sustainable use of forest resources, drive innovation, and create economic opportunities. Investing in forest biomass contributes to the competitiveness of Ontario’s forest sector, driving innovation, and ensuring sustainable growth.”

– Ian Dunn, R.P.F
President and CEO of the Ontario Forest Industries Association

“We’re grateful to the Government of Ontario for their support through the Forest Biomass Program. This funding is helping us unlock new opportunities for innovation and sustainability, including the modernization of our cogeneration plant and the exploration of torrefied pellets in Chapleau. It’s a real boost to our efforts to make the most of the fibre we process.”
– Joel Fournier
CEO of GreenFirst Forest Products

“We are excited to explore alternative uses of Ontario’s biomass in our feasibility study to create several production plants for biochar and other carbon products, for diverse applications in Ontario and Canada, such as agriculture, mining and materials (e.g. cement). With our strong focus on combining economical and ecological benefits, we wish to support Ontario in integrating the forestry sector with other industry sectors, retaining jobs in the forestry sector in Northeastern Ontario and creating new ones in related industries.”

– Erik Zerna and Dr. Katrin Freitag
Managing Directors, Circular Carbon Canada Corp.

“The Wikwemikong Development Commission is appreciative of the support from the Ontario government to undertake environmental studies and permitting to develop a fiber supply plan and complete a business plan to assess the shift of the wood pellet manufacturing business to the production of biocarbon to decarbonize the metallurgy industry and keep businesses competitive for years to come.”

– Adam Kaboni
President of Wikwemikong Development Commission

“We express our gratitude to the provincial government for the support provided by the Ontario Forest Biomass Program. This program has enabled us to enhance our plant, resulting in increased power production and greater biomass consumption and the ability to create more local jobs.”

– Giles Malette
CEO of Hornepayne Power Inc.

Additional Resources

• Forest Biomass Program
• Forest Biomass Action Plan
• Sustainable Growth: Ontario’s Forest Sector Strategy

Related Topics

Business and Economy

Information about Ontario’s economy and how to do business here. Includes economic development opportunities, research funding, tax credits for business and the Ontario Budget. Learn more

Environment and Energy

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Jobs and Employment

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Rural and North

Information about the province’s Far North and rural communities. Get connected to business improvement organizations and learn more about funding and programs that support rural, northern and Indigenous communities. Learn more

Media Contacts

Richard Mullin
Minister’s Office
Richard.Mullin@ontario.ca

Media Relations
Communications Services Branch
MediaDesk.MNRF@ontario.ca

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