Woodlands Division Sustainability Report 2015...JDI SUSTAINABILITY REPORT 2015 7$450 million We’ve...

JDI SUSTAINABILITY REPORT 2015 1

Woodlands Division Sustainability Report

2015

JDI SUSTAINABILITY REPORT 20152

Absorbing More Than We EmitIn the next 50 years, JDI forest products operations will absorb more CO

2 than we emit, making our company

a net carbon sink. An internationally published, peer-reviewed study by Dr. Chris Hennigar of the University of New Brunswick confirms JDI forests will absorb 92 million tonnes of CO

2 over the next 50 years. This takes into account all emissions

created from seedling to shelf including even the emissions created during transportation.

Protecting Water & WildlifeWith over 192,000 hectares of water course buffers, we recognize our responsibility to positively contribute to the health of rivers and streams.

From Research to Discovery

Record Year for Gate Wood Deliveries from Private Wood Suppliers

In New Brunswick we had a record-breaking year for gate wood deliveries from private woodlot owner purchases with 510,000 tonnes of wood from over 700 private woodlot owners and producers, an increase of 4% over last year.

Award-Winning Stewardship

In 2015 we proudly supported

7 graduate students as they

pursue a better understanding

of our forests.

In the last 20 years, we have invested

over $25 million in forest research

projects in Atlantic Canada and Maine.

Woodlands Division 2015 Highlights

In 2015, Irving Woodlands, LLC was awarded with the prestigious Austin H. Wilkins Forest Stewardship Award.

The award recognizes people or organizations that stand above their peers to further forestry, forests, or forestland conservation in the state of Maine.

Employee Engagement 90%Our employee engagement score is up 3% from 2013

2015 Zero Major Non-Compliance Issues In 2015, annual audits by the Forest Stewardship Council, the Sustainable Forestry Initiative, and the New Brunswick Department of Energy and Resource Development found zero major non-compliance issues in our forest operations. 145 forest indicators were audited.

P

A team of 400 employees including 150 Forestry

Professionals


!

!!

!

!

!

!

!

!

!

!

!

!

!

!!

!

!

!

LEGEND

PAPER

CORRUGATING MEDIUM

CROWN LAND1,046,945 HA

FREEHOLD LAND1,295,334 HA

CONSUMER PRODUCTS

TISSUE

TREE NURSERIES SPECIALTY WOOD PRODUCTS

HARDWOOD

SPF* LUMBER

WHITE PINE

CEDARSAW

MIL

LS PULP (NBSK**, NBHK***)

*Spruce Pine Fir**Northern Bleached Softwood Kraft***Northern Bleached Hardwood Kraft

JUNIPER

FORT EDWARD, NY

TORONTO, ONTARIO

CHIPMAN

DOAKTOWN

SUSSEXTRURO

ST. LEONARD

VENEER

KEDGWICK

FORT KENT

DIXFIELD

SAINT JOHN

MONCTON

BAKER BROOK

ST. GEORGE

IRVING WOODLANDS

QUEBEC

NOVA SCOTIA

PEI

NEW BRUNSWICK

MAINE

JDI MAP OF OPERATIONS

CLAIR

ASHLAND


OUR APPROACH TO SUSTAINABLE FOREST MANAGEMENTTAKING A LONG-TERM, LANDSCAPE VIEW

It all begins with the forest. JDI’s approach

to sustainable forest management (SFM) is

based on a long-term planning process that

reflects the life cycle of trees on the land we

own or manage. As a company that owns and

manages forests as part of our integrated value

chain, JDI has been pro-actively embracing

the principles and practices of SFM. Today,

our commitment is stronger than ever as we

continue to invest in expertise and advanced

technologies, applying disciplined science to

forest modeling and forecasting.

Sustainable forest management at JDI means

balancing and managing environmental, social,

and economic outcomes in the working forests

we own or manage.

Focused on rigorous land management and

responsible stewardship, Irving Woodlands is

guided by an 80-year Management Plan that

preserves the environmental and ecological

integrity of our land, air, water, and wildlife.

Our team of 150 forestry professionals bring

an everyday commitment to ensuring healthy

forests - applying disciplined science, advanced

technology, and best practices while ensuring

accountability through independent audits and

environmental certification.

Sustainable Forest Management Planning 80 Years Ahead

Our Maine, New Brunswick and Nova Scotia

owned or managed forests are certified by

the Sustainable Forestry Initiative (SFI) while

our Maine woodlands are also certified to the

Forest Stewardship Council® (FSC®) Standard.

Our sustainable forest management practices

require us to plan and forecast 80 years into the

future to responsibly sustain our forests. These

forest management plans and practices are

applied across all of our owned and managed

woodland, both in Canada and the U.S.

All forests owned or managed are

Sustainable Forestry Initiative

All Maine woodlands are Forest Stewardship

Council® (FSC® C041515) certified

All forests owned or managed and IPP, IPL, ITC (Saint John) & LUP

Our approach to sustainable forest

management includes:

• Nurseries and seed production

• Tree planting and stand tending

• Planning, modeling, growth, and yield monitoring

• Road construction and maintenance

• Harvesting and transportation

• Wood procurement and sales

• Fish, wildlife, recreational and environmental management

• Wildlife reserves

• Deer wintering areas

• Old forest habitats

• Vegetation communities

• Watercourse buffer zones

• Aesthetic buffers

• Voluntary unique and recreational area conservation

• Forest fire and other forest protection activities

• Research, development, and continuous improvement

• Performance measurement and accountability through internal and external

audits


$789M in total

employment income

supported

Over$1 Billion

in local purchases – a 5 year high

13.9% decrease

in our Recordable

Incident Rate (RIR)

435 new hires

EC

O

NOMIC

EN

VIR

ONMENTAL

SOC

IAL

HealthyEnvironment

Growing &Engaging

People

VibrantCommunities

Strong Partnerships for Business

Success

Safe andEfficient

OperationsSustainability at

J.D. Irving, LimitedOver 130 years

of quality products and service to valued

customers}Net

Carbon Sink Over the next 50 years,

we will absorb over 92 million tonnes

of CO2

OUR SUSTAINABILITY FRAMEWORK

VALUES AND APPROACH TO SUSTAINABILITY

JDI’s core values and approach to

sustainability enable us to operate at the

highest standards and to meet the evolving

needs and expectations of our stakeholders.

Our sustainability framework consists of five

focus areas which provide the structure for

communicating our environmental, social, and

economic performance.

JDI’S SUSTAINABILITY FRAMEWORK

JDI Core Values

People & Teamwork

Quality Products & Service

Results Driven

Continuous Improvement & Innovation

Integrity

Fast & Flexible

Health, Safety & Environment

Customer Focus

FORESTRY AND FOREST PRODUCTS 2015


Managing for Canada lynx involves a landscape-level approach. Areas of young regenerating forest, which provide excellent habitat for their preferred pray, snowshoe hare, are coupled with older forests. The nearby older forests are found in riparian zones and areas provided by JDI’s old forest policy, providing quality lynx den sites under older downed trees.

HEALTHY ENVIRONMENT

The US Fish and Wildlife Service are currently conducting a five-year status update on the Canada lynx population. Based on studies with the University of Maine (co-sponsored by JDI) in the early 2000s and recent reported sightings by our field staff in northern Maine and northwestern New Brunswick, lynx populations are increasing.

Additionally, JDI has set an objective to designate and maintain old forest within the working forest landscape – to date, more than 66,138 hectares (163,431 acres) have been designated towards meeting this objective.

Old Forest Sites

66,138 ha

Aes

thet

ics

Bir

ds &

Mam

mal

s

Lakes &

Wetlands

Geological &

Fossil

Reptiles &

Invertebrates

Unique Forest

Stands

Fish

High-Conservation

Forests

PlantsHistoric

7

1,234TOTAL # OF SITES

TOTAL HECTARES: 79,568TOTAL ACRES: 196,617

10

8

47

172

2021

320

41

54

120

UNIQUE AREAS – PROTECTED SITES BY CATEGORY

Feb 2016

Partnering with Bird Studies Canada on one of the most ambitious research and conservation projects in the world

In partnership with Bird Studies Canada and Acadia University, the Irving Nature Park has become an ideal location for a telemetry array - a tracking system that helps detect individually tagged birds in flight.

The Motus Wildlife Tracking System allows researchers to track small birds using very high radio frequency transmissions. Researchers tag small birds with tiny transmitters that weigh less than 0.3 grams. The transmitter emits a short pulse, broadcasting individual signals. Each Motus tracking station can detect and record radio-tags at distances of up to 15 km.

“Many of the ground-breaking discoveries made by Motus would not be possible without the collaboration of numerous landowners that host stations on their property,” said Stu Mackenzie, Motus Wildlife Tracking System Manager. “With the cooperation of J.D. Irving, Limited and the Irving Nature Park, Motus has established a critical station along the northern shore of the Bay of Fundy and the mouth of the Saint John River. This site has been crucial to our investigations about how migratory birds specifically navigate around the Bay of Fundy and more generally throughout northeastern North America.”

Research Partnership For Lynx

Blackpoll Warbler, a species detected at Irving Nature Park

Photo courtesy of Jim Flynn

Partnering with U Maine and US Fish and Wildlife Service to understand Canada Lynx populations


$450 million We’ve committed to the largest investment in a Canadian Pulp Mill since 1993. Phase 2 completion and commencement of engineering on Phase 3 expected spring 2016.

$3.5 million Our commitment in northern New Brunswick sawmills has exceeded our investment announced in 2014.

$38 million Chipman sawmill investment in 2015 exceeded our March 2014 announcement. The project sustained 120 direct construction jobs and created 16 new permanent jobs at the sawmill.

INVESTING IN OUR FUTURE

Healthy Forests, Better Products Over the last 20 years, we’ve invested over

$25 million in forest research and tree improvement.

We’ve recently invested

$3.2 million

in a state-of-the-art tree research lab in Sussex, New Brunswick. We’ve been awarded an Outstanding Industry-University Partnership award from Natural Sciences and Engineering Research Council of Canada for our collaboration with Dr. David Miller at the University of Carleton. The patented discoveries are protecting trees from Spruce Budworm.

Looking Ahead $56 million In 2016, JDI will support $56 million in capital purchases for new entrepreneurs, contractors and truck drivers.

$37 million Investments in Irving Paper and Lake Utopia Paper equipment and environmental upgrades.

$15 million This sawmill project in Doaktown is being engineered and, subject to market conditions, construction will begin fall 2016.


STRONG PARTNERSHIPS FOR BUSINESS SUCCESS

Our forestry and forest products divisions

depend on the strong relationships we’ve built

with thousands of suppliers across hundreds

of communities, creating valuable partnerships

and a reliable supply chain that benefit our

customers. In 2015, total local purchases,

including goods and services, wood purchases,

and payments to woodlands contractors

increased to over $1 billion – an all-time high

over the past five years.

In the 2015-16 operating year we purchased

over 1.8 million cubic metres from New

Brunswick, Nova Scotia and Maine private

woodlot owners and private land owners.

During the same period, we saw a record year

in purchases of wood from New Brunswick

private wood producers at 510,000 cubic

meters. JDI is the largest purchaser of private

wood in New Brunswick.

One of our recent investments is the largest

investment in a Canadian pulp mill since 1993.

Phase Two of this $450 million dollar project

forecasts 375 full time equivalent construction

jobs, (direct and indirect.) Completion of Phase

Two and commencement of engineering on

Phase Three is expected for spring 2016.

2015 Wood Sources

28%

38%

35%

Wood harvested from Crown land

Wood harvested from Private land

Wood purchased fromPrivate land


JDI FOREST PRODUCTS SCORECARDJDI forestry and forest products includes Irving Woodlands, Irving Pulp & Paper, Irving Paper, Lake

Utopia Paper, Irving Tissue, and Irving Sawmills. It is headquartered in Saint John, NB.

ENVIRONMENTAL 2013 2014 2015SUSTAINABLE FORESTRY

Woodlands land base . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . HECTARES 2,375,000 2,358,506 2,342,279

Land base harvested (Crown) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .% 1.1 1.1 1.3

Land base harvested (freehold) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .% 1.8 2.2 2.1

Trees planted . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . # OF SEEDLINGS 24,802,323 20,462,290 20,303,230

Wood harvested . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . TONNES 6,297,344 6,315,957 6,952,187

Actual harvest levels (Crown). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . M3/HA/YR 1.5 1.4 1.4

Sustainable harvest levels (Crown) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . M3/HA/YR 1.3 1.6 1.6

Actual harvest levels (freehold). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . M3/HA/YR 2.1 2.1 2.1

Sustainable harvest levels (freehold) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . M3/HA/YR 2.1 2.2 2.2

Average annual growth of the forest . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . M3/HA/YR 2.1 2.2 2.4

Mapped watercourse buffers (total) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . HECTARES 192,270 192,270 192,270

Watercourse distances under management (total) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .KM 27,422 27,422 27,422

Ability to successfully reforest (tree planting - second year survival rates) . . . . . . . . % SURVIVING/YR 91 85 90

Total forest management audits . . . . . . . . . . . # OF MAJOR NON-COMPLIANCES/# OF INDICATORS 2/143 2/143 0/145

BIODIVERSITY

Voluntary conservation areas on JDI land . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . HECTARES 80,933 78,976 79,568

WATER

Water usage . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .M3 64,860,806 62,836,364 61,999,597

Biological oxygen demand (BOD) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . TONNES 4,148 4,023 4,137

Total suspended solids (TSS) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . TONNES 6,909 7,129 7,652


2013 2014 2015SOLID WASTE

Total waste . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . TONNES 341,746 148,288 180,442

Landfill . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .% 9 27 35

Waste diverted (recycled or reused). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .% 90 73 65

Hazardous waste . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .% 0.08 0.23 0.24

AIR EMISSIONS

NOx (oxides of nitrogen) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . TONNES 1,459 1,512 1,472

SOx (oxides of sulfur) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . TONNES 1,221 1,469 1,033

Dust Total Particulate Matter (TPM) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . TONNES 2,442 2,780 2,982

CLIMATE CHANGE

Total GHG emissions (direct & indirect) . . . . . . . . . . . . . . . . . . CO2e (carbon dioxide equivalent) TONNES 1,257,292 1,092,780 1,141,009

ENERGY

Total energy used . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . GIGAJOULES 26,453,528 26,596,816 27,112,549

Direct energy (produced on site) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . % 76 75 75

Purchased electricity . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . % 24 25 25

Renewable fuels . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . % 59 58 51

Nonrenewable fuels . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . % 41 42 49

ENVIRONMENTAL COMPLIANCE

Odour complaints. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . # 13 36 41

Permit non-compliances . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . # 1 4 11




SOCIAL 2013 2014 2015Number of employees . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .# FULL-TIME EQUIVALENTS 4,033 4,185 4,215

Recruitment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .% OF EMPLOYEES JOINING THE COMPANY 9.2 12.1 10.3

DIVERSITY

Women in the workforce . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .% 13.8 12.0 12.5

Women in executive positions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .% 27.0 27.0 29.0

HEALTH AND SAFETY

Fatalities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . # 0 0 0

Recordable incident rate. . . . # OF RECORDABLE INCIDENTS X 200,000/TOTAL HOURS WORKED 4.6 3.6 3.1

Lost time accident rate. . . . . . . . . . . . .# LOST TIME ACCIDENTS X 200,000/TOTAL HOURS WORKED 1.1 1.0 1.1

ECONOMIC BENEFIT

Capital investment. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ MILLIONS 244 189 190

Total local purchases1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ MILLIONS 965 970 1,089

Total employment income suppported . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ MILLIONS 674 714 789



1 Includes good and services, wood purchases and payments to woodlands contractors

Woodlands Division Sustainability Report 2015...JDI SUSTAINABILITY REPORT 2015 7$450 million We’ve...

Documents

Transcript of Woodlands Division Sustainability Report 2015...JDI SUSTAINABILITY REPORT 2015 7$450 million We’ve...