Environmental organization Greenpeace is urging for increased transparency from Canada’s largest pulp and paper company, citing concerns over undisclosed details regarding the utilization of millions of dollars in government funding and the future plans for Canadian forests. According to Greenpeace’s recent report, titled Paper Trail to Nowhere, Domtar, previously known as Paper Excellence, has received $200 million in government funding from federal and provincial sources across Canada between 2020 and 2024. The report also questions Domtar’s lobbying activities, highlighting the lack of public accountability and clarity surrounding the company’s corporate structure and intentions with Canadian forests.
In response, Domtar’s spokesperson, Seth Kursman, emphasized the company’s compliance with lobbying regulations in all jurisdictions of operation, affirming adherence to legal requirements and ethical standards. Greenpeace is pushing for stringent conditions to be attached to any future government funding allocated to Domtar, focusing on nature conservation, diversity protection, Indigenous rights, and reconciliation. The group advocates for funding objectives, performance indicators, and public accountability mechanisms to be established to ensure responsible use of public funds.
Greenpeace is urging for Jackson Wijaya, the owner of Domtar, to testify before the House of Commons committee on natural resources to address inquiries related to the company’s ownership, governance structure, long-term plans, and potential impact on Canada’s forests and the forest industry. Despite previous motions for Wijaya to appear before the committee, the process has faced delays and uncertainties. Domtar expressed willingness for Wijaya to testify and highlighted the resolution of legal disputes with Greenpeace as a step towards promoting sustainable forestry practices and forest management.
The report by Greenpeace sheds light on Paper Excellence’s acquisition of Domtar and Resolute Forest Products, leading to its position as Canada’s largest pulp and paper company. The report reveals that Domtar now oversees 22 million hectares of forests in Canada, representing a significant portion of managed forest land in the country. Greenpeace’s investigation raises concerns over the company’s past affiliations, including questions about its ties to Asia Pulp and Paper (APP) and environmental controversies.
Domtar asserts its independence from APP and emphasizes the absence of executive overlap between the two entities. The report also highlights Domtar’s lobbying efforts at both federal and provincial levels, outlining interactions with government officials and MPs to advocate for industry interests. Despite receiving substantial government funding, the company has faced penalties for environmental violations and operational challenges, prompting calls for greater transparency and accountability in its financial disclosures.
Amid challenges in Canada’s lumber market, Domtar acknowledges government support for innovative projects and job retention efforts. The company underscores its commitment to returning government funds in cases where projects are not feasible, emphasizing collaboration with stakeholders towards sustainable forestry practices and economic stability.