Status Report For Customers and Investors - Greenpeace Canada

Jiri Rezac/GreenpeaceINTRODUCTIONMay 18 marks the second anniversary of theCanadian Boreal Forest Agreement (CBFA). Thisunprecedented collaboration between Canadianforest companies and nine leading environmentalorganizations outlines a bold plan for increasingconservation and protection of the Boreal Forest 1and supporting a more prosperous forest industryand the communities that depend on it.Unfortunately, after two years of intense work toimplement the Agreement, there has been nosignificant change on the ground in the Boreal.For ForestEthics, Canopy and Greenpeace, thereis also no change in our commitment to the clearvision laid out by the CBFA.As signatories to the Agreement, we remaindetermined to achieve the goals of protectinglarge tracts of Canada’s Boreal, implementingworld leading forest practices that use FSC as abaseline and positioning companies producingforest products from Canada’s Boreal tocapitalize on opportunities in the growing greenmarketplace.The lack of results to date is not the result ofany one party, but is shared by all. It is time totake stock and confirm the best way forward tocreating lasting solutions in Canada’s Boreal.Stretching across Canada from Alaska to the AtlanticOcean, the Boreal provides habitat to hundreds of wildlifespecies and holds more freshwater than anywhere else onthe planet.THE CANADIAN BOREAL FORESTAGREEMENT: BY THE NUMBERS730: Number of days since the signing of theCBFA.1 The Signatories: The Forest Products Association of Canada (FPAC)represents the largest Canadian producers of boreal forest products,and its members today include Resolute Forest Products (formerlyAbitibiBowater), Alberta-Pacific, AV Group, Canfor, Cariboo Pulp andPaper, Conifex, DMI, Fortress, Howe Sound, Kruger Inc., LouisianaPacific, Mercer, Mill and Timber, Millar Western, Tembec, Tolko, WestFraser and Weyerhaeuser. Environmental organizations signed onto thisagreement include: ForestEthics, Canopy, Greenpeace, Canadian Parks& Wilderness Society/Wildlands League, David Suzuki Foundation, TheNature Conservancy, Canadian Boreal Initiative, Ivey Foundation andPew Environment Group International Boreal Campaign.28.5 million: Number of hectares of FPACtenures deferred on signing of the BorealAgreement in 2010.0: Number of hectares of legislated protectedareas as a result of CBFA protected areasplanning to date.58/75: The number of CBFA milestones thathave not been completed.

DEFINING PROGRESSThe Signatories to the CBFA often speak of thetwin pillars; these are conservation outcomes andsocio-economic outcomes, and the Agreement isfounded on the understanding that both must bestrengthened in order for it to succeed.The Agreement establishes six strategic goals todeliver these outcomes:1. New Forest Practices: World-leading “on-theground”forest management practices based onthe principles of ecosystem-based managementand using FSC as a baseline.2. Increasing Protected Areas: The completion ofa network of protected areas that, taken as awhole, represents the diversity of ecosystemswithin the Boreal region and serves to provideecological benchmarks.3. Safeguarding Species at Risk: The recoveryof species at risk within the Boreal forestincluding the Woodland Caribou.4. Reduced Climate Impact: Reducing greenhousegas emissions along the full life cycle fromforest to end of product life.5. Prosperous Communities and Viable ForestSector: Improved prosperity for localcommunities and a viable forest sector.6. Marketplace Recognition: The CBFA’simplementation will be recognized by themarketplace (e.g., customers, investors,consumers) in ways that demonstrably benefitFPAC Members and their products from theBoreal.Caribou Forest, OntarioAgreed to Deliverables:• Joint recommendations on Protected AreasProposal• Joint recommendations on Caribou Action PlanValley of the White Mountains, QuebecAgreed to Deliverables:• Joint recommendations on Protected AreasProposal• Joint recommendations on Caribou Action PlanAbitibi River Forest, OntarioAgreed to Deliverables:• Phase 1 area agreement on candidate areas ofconservation interest• Government supported Caribou Action Plan, basedon joint recommendations on Caribou Action PlanThese three areas were a focus of agreementimplementation from the onset, deadlines for caribouaction plans were set for the November 2010, thenNovember 2011. Again in February 2012, all CBFAsignatories agreed that the outcomes listed abovewould be delivered by the second anniversary of theCBFA. As of the print deadline of this report, only oneof the plans listed above has been completed.At the time of signing the CBFA these six goalswere broken down into 75 milestones, each witha specific timeline attached. A number of BorealForest Hotspots were also identified in order toprioritize negotiations on milestones within thesespecific areas of the Agreement. These included:Jiri Rezac/Greenpeace

807060Hectares (millions)5040302010hectares in 2010deferral packagehectares legallyprotected as anoutcome of the CBFAhectares underthe agreementhectares proposed forprotection by CBFAsignatorieshectares proposed forindefinite deferral byCBFA signatoriesRESPECTING AND FORWARDINGRIGHTS AND TITLEGreenpeace, ForestEthics and Canopy support the United Nations Declaration on the Rights of IndigenousPeople and believe it is essential to build a culture of conservation around the world that respectsAboriginal rights and title.The Boreal forest overlaps pre-existing Treaties and traditional territories of First Nations. We have ensuredthat our work in the Boreal Forest recognizes that Aboriginal peoples have constitutionally protectedAboriginal and treaty rights and title as well as legitimate interests and aspirations and the decisionmakingauthority of First Nations over traditional territories.While the CBFA lays out a roadmap to achieve shared goals between the signatories as stakeholders,it’s understood that final decisions rest with governments, including federal, provincial, territorial, andAboriginal decision-makers. The Agreement is not intended in any way to usurp Aboriginal peoples’ effortsto resolve outstanding Rights and Title issues and does not resolve, or attempt to resolve, any outstandingissues that First Nations may have with forestry companies. Instead, the main focus of the CBFA is totry and resolve longstanding conflicts between the environmental organizations and forestry companiesthrough the introduction of a conservation planning process that will ultimately recommend an increase inprotected areas and more sustainable forest practices to Provincial and Aboriginal governments.

STATUS UPDATEThe following snapshots provide updates and on-the-ground status for the three critical Boreal ForestHotspots identified at the time of signing of the CBFA and two additional Hotspots.Caribou ForestSIGNIFICANCE: This Canadian Boreal Forest Agreement first tier planning area in Ontario is located withinthe largest tract of intact forest left in the world and some of the highest value caribou habitat in Ontario.TIMELINE: This was originally set for delivery in November 2010. After not meeting the agreed upondeadline of November 30th, 2011, the Steering Committee committed to finalizing joint protected areaand caribou action plan recommendations prior to the Boreal Agreement’s 2nd Anniversary (May 18th,2012).LEAD FOREST COMPANIES: Resolute Forest Products as part of the Ontario Regional Working Group,which also includes Weyerhaeuser and Tembec.STATUS: At risk. Forest industry and environmentalists have yet to agree on # hectares to be protected, #hectares to be deferred from logging and areas of harvest.Valley of the White MountainsSIGNIFICANCE: Prioritized for high ecologicalvalues, this Agreement first tier planning area inQuébec is also one of the areas of most activelogging in Canada’s Boreal Forest.TIMELINE: This was originally set for delivery inNovember 2010. After not meeting the agreedupon deadline of November 30th, 2011, theSteering Committee committed to finalizingjoint protected area and caribou action planrecommendations prior to the Boreal Agreement’s2nd Anniversary (May 18th, 2012).LEAD FOREST COMPANIES: Resolute ForestProducts as part of the Québec Regional WorkingGroup, which includes Tembec and Louisiana-Pacific.STATUS: At risk. Forest industry andenvironmentalists have yet to agree on # hectaresto be protected, # hectares to be deferred fromlogging and areas of harvest.Markus Mauthe/Greenpeace

Abitibi River ForestSIGNIFICANCE: The Abitibi Forest is a large intact area of Boreal Forest in the North East of Ontarioknown for large herds of threatened woodland caribou.TIMELINE: Joint work between environmentalists and industry on caribou conservation has been ongoingsince before the signing of the CBFA. CBFA signatories are hopeful that a government announcement willbe coming soon.LEAD FOREST COMPANIES: Tembec Forest Products, with Resolute as an active forest company in theregion and Weyerhaeuser as a member of the Regional Working Group.STATUS: A joint recommendations on a caribou action plan has been complete for some time and includes835,000 hectares of caribou habitat in deferral. Local communities and First Nations have provided inputinto the caribou action plan. The next step of government approval is outstanding.Broadback ValleySIGNIFICANCE: The Broadback Valley covers 6 million acres of particularly rich Boreal forest. The regionlies entirely within the ancestral lands of the Cree, about 600 km north of Montréal. First Nations haveproposed large protected areas with support from environmentalists. Forest companies have agreed tosuspend logging operations.TIMELINE: We are hopeful that a government announcement is coming soon.LEAD FOREST COMPANIES: Resolute Forest Products (formerly Abitibi), Eacom Timber CorporationSTATUS: 1 million hectare candidate area for protection.Manitoba’s Boreal GemSIGNIFICANCE: This Tolko tenure is over 9 million hectares in size and is a significant source offreshwater, contains many high value ecosystems and critical habitat for caribou.TIMELINE: Caribou action planning and protected areas planning has not yet commenced as it was not apriority by May 18th.LEAD FOREST COMPANIES: Tolko and Louisiana PacificSTATUS: Regional working group members are continuing to reach out to Aboriginal groups seeking theirengagement on caribou action planning and participation on the regional working group. Some preliminarymapping has occurred identifying conservation values.

ASSESSMENT: WHERE ARE WE TODAY?Canopy, Greenpeace and ForestEthics remain committed to improving the long-term health of the BorealForest. We will continue working to deliver real change on the ground in the Boreal.What we are committed to achieving:• Approximately 50-70% of the Boreal forest under management will be conserved through legislationand regulation, based on today’s leading conservation science; 2• Populations of threatened species such as woodland caribou and other key species including grizzlybear, wolverine, wood bison and whooping crane will be recovered and viable;• A terrestrial carbon storehouse will be secured for years to come;• On Boreal forestland not dedicated for conservation, forestry practices will be based on ecosystembased management principles, building from the FSC Boreal Standard.• Boreal Forest communities will prosper and aboriginal treaty rights and traditional territories will berespected.MOVING FORWARD: COLLABORATION IS THE KEYGreenpeace, ForestEthics and Canopy all have long histories of collaborating to secure meaningfulconservation outcomes and lasting certainty in Canada’s forests. We are keenly aware of issues of efficiencyand the importance of measuring results as they relate to these processes.We look forward to our success being informed by jointly commissioned science to answer the toughquestions like “How much is enough?” and what are the drivers and factors defining forest company success.The Boreal Forest urgently needs increased permanent protection and more sustainable management. Inthe coming months, it is critical that a more efficient pathway is created for the realization of the win-winopportunities the Agreement describes.2 Final conservation outcomes should be grounded in jointly undertaken conservation and socio-economic science.Jiri Rezac / Greenpeace

LOOK WEST FOR A MODEL OFSUCCESSThe Great Bear Rainforest Agreements span thecoast of British Columbia covering one of the lastlarge intact tract of coastal temperate rainforestsleft in the world. Today 33 per cent of the GreatBear Rainforest (2.1 million hectares) is protectedthrough historic agreements endorsed by the B.C.government, First Nations, forest companies andenvironmental organizations.In 2009, the forest companies achieved ForestStewardship Council certification of approximately850,000 hectares of their forest tenures in theGreat Bear Rainforest. This was a signal that theforest industry was responding to the growing marketdemand for environmentally responsible forestproducts.The jointly commissioned independent sciencethat was carried out for the Great Bear RainforestAgreements concluded that 70% of the forest mustbe maintained in old growth to secure low risk to theecology of the region. Our organizations continue toactively engage to see these Agreements finalizedby the Spring 2013. We are applying our experiencewith forging the Great Bear Rainforest Agreement toour collaborative efforts in the Boreal Forest.Andrew Wright