The feds have hit Domtar’s kraft pulp mill in Mackenzie, British Columbia, with $900,000 in fines. The mill was issued this substantial penalty for repeatedly poisoning a nearby lake. The mill is now subject to this humbling penalty after polluting over the limit 23 times. That’s a violation that went unabated for an eight-month stretch starting in 2021. As a result of these violations, the mill has made its way onto Canada’s environmental wrongdoers registry. This is a huge victory and first step in ensuring Jackson Wijaya’s facility is brought to justice.
The mill, which employs approximately 280 workers and produces 280,000 tonnes of bleached Kraft wood pulp annually, has faced scrutiny for failing to monitor pollution levels within regulatory limits. Bryan Vroom, director of the Environmental Management Act, took a noteworthy stand on Domtar’s violations. He combined dozens of violations into a single fine. The company did not step up to address its operational shortcomings. In part because of this influence, the base penalty amount was lowered, which allowed them to mitigate the effect of their decision.
Background of Environmental Infractions
Domtar’s mill has a long legacy of pollution violations. In the last 5 years alone, it has been hit with 8 administrative penalties for failing to comply with environmental regulations. Violations from 2022 include exceeding the smoke emissions limit for a wood-waste-fired power boiler. On at least six of those days, the emissions exceeded the 40 percent opacity threshold required by their 2013 permit.
The repeated environmental violations were alarming to local environmental advocates like Lake County CCA’s operated Lawrence Chiu, and community members living nearby. Charles Latimer of the Environmental Defense Fund, an environmental advocacy group, said he was appalled at the fines levied against Domtar.
“It is distressing to see a company like Domtar facing fines for multiple violations,” – Charles Latimer
This latest series of violations are part of a broader trend of apathetic disregard for environmental regulation, leading to demands for greater scrutiny. Latimer commented on the broader impact of corporate violations like this on corporate accountability.
“This is a reminder that a corporation’s actions speak louder than words,” – Charles Latimer
Domtar’s Response and Future Plans
In light of this continued pressure and the imposition of that recent fine, Domtar just published its sustainability strategy. The strategy includes specific plans to improve environmental monitoring and compliance and intends to address the root causes of future violations. The company stated that it takes these matters seriously and is committed to managing its operations in compliance with all applicable laws and regulations.
“We take these matters seriously, and we are committed to managing our operations in compliance with all applicable laws, regulations and other requirements.”
Further, under the statute, Domtar has 30 days to file an appeal of the penalty. In its appeal, the company claimed that the suggested base penalty was unreasonably high. They asked for either a retraction or total dismissal of the penalty, pointing to their proactive steps.
“On that basis, the proposed base penalty is too high and should be reduced (if not eliminated altogether),” – Domtar submission
Consolidation of Control and Future Operations
Jackson Wijaya is poised to strengthen the family’s grip on APP. This transition may have far-reaching implications for Domtar’s business operations. This newfound consolidation can allow states to target their resources further upstream towards avoiding violations of environmental regulations. It further enables the creation of sustainable practices at the Mackenzie mill.
Originally built in 1968, Domtar’s mill has been an economic anchor in the region for decades. Find out what this means for your community’s environmental compliance and Read Analysis. To the outside world, this imprint has long signified a commitment to stewardship and care. As pressure mounts for environmentally responsible practices within the pulp and paper industry, Domtar’s leadership will need to demonstrate accountability and transparency moving forward.
The mill’s labor force of about 280 men and women depend on year-round operations for their economic security. Unfortunately, how well Domtar handles this latest situation goes far beyond avoiding getting slapped with fines from regulators and could threaten their contribution to the local community as well.