Mitigating Climate Change

We’re Reducing Our Footprint

We have set a target to reduce our Scope 1 and 2 GHG emissions by 40% by 2030 from a 2021 baseline. This reduction would be the equivalent of taking more than 23,000 cars off the road annually. To review our progress, visit our latest Sustainability Report. In 2024, Interfor engaged ERM CVS, an independent verification and validation body, to provide third-party limited assurance of our 2021 and 2024 Scope 1 and Scope 2 GHG inventory and methodology. A summary of the ERM CVS limited assurance report is available here. 

ERM CVS Limited Assurance Report

Over the last 4 years, 76% of the energy our Company consumed was from renewable sources such as biomass, hydro and solar power generation. Through capital improvement projects, strategic energy management programs, and an increased awareness and focus on energy use we continue to improve our energy efficiency and, in some cases, reduce our absolute electricity consumption. The kilns we use to dry our lumber are the most energy-intensive part of our operations. By using biomass fuel, a byproduct of our manufacturing process, we power many of our kilns in a self-sufficient and renewable way. Today, 82% of our kilns run on biomass fuel, and 18% are run on fossil fuels. 

As we modernize our operations, we are building additional drying kilns at many of our sites, including continuous drying kilns (CDKs) that allow for more efficient drying operations than traditional batch kilns. Kiln manufacturers estimate the new kilns can dry a comparable volume of lumber using 20% to 25% less biomass fuel.   

Our Gogama and Belledune Divisions have installed charging stations at the sawmill facility so employees with electric vehicles can charge them while they are at work, supporting a greener commute.

The Task Force on Climate-related Financial Disclosure (TCFD) was established in 2015 by the International Financial Stability Board to make recommendations for consistent company disclosures to help financial market participants understand investment risks related to climate change. This table provides details on Interfor’s climate-related practices and disclosures as recommended by the TCFD.   

Climate Scenario Crisis

The TCFD identifies scenario analysis as a valuable and important tool for assessing potential business implications of climate-related risks and opportunities. We worked with a team of climate experts to conduct an initial qualitative scenario analysis for our business. For the analysis, we explored both physical and transition risks and opportunities associated with two scenarios: 

Scenario: 3 – 5°C increase

Climate model used: AR5 – RCP8.5 (IPCC – Assessment Report 5 – Representative Concentration Pathway 8.5)

Focus: Physical Risks

• Wildfire
• Extreme high temperatures
• Extreme precipitation
• Riverine flooding
• Coastal flooding
• Pests
• Water stress
• Hurricane risk

Scenario: 1.5 – 2°C increase

Climate model used: MESSAGEix-GLOBIOM 1.1 (International Institute for Applied Systems Analysis – Integrated Assessment Modeling)

Focus: Transition Risks and Opportunities

• Shifting land use
• Reputational risks
• Carbon pricing to operations
• Wood as a building material (value/demand)
• Biomass as a fuel (value/demand)

We will continue to review and update the Climate Scenario Analysis to reflect changes to our operations and associated risks. For a detailed outline of risks and opportunities reviewed in our qualitative scenario analysis, including the potential impacts and our resilience strategies, visit:

Qualitative Climate Scenario Analysis Risk Summary Tables

Increased frequency and intensity of storms and wildfires pose a risk to our business. Our operations use emergency response and preparedness plans to ensure employee safety. In areas where there is the potential for hurricanes and tornadoes, these include:  

• Procedures for severe weather;
• Severe weather alarms;
• Notification systems for closure of operations due to weather risk; and
• Designated meeting points.

Severe rainfall can result in flooding and landslides, and both have the potential to impact our operations and supply chain. We have programs in place and are taking further steps to mitigate the impacts of severe rainfall, such as: 

• Maintaining comprehensive flood plans for our at-risk sites;
• Tracking snowpack and water levels as an advance indicator of flood potential;
• Implementing preventative building and site improvements where water damage has occurred in the past;
• Employing rainfall shutdown procedures in our woodlands operations;
• Planning log supply and inventory flows to account for seasonal shutdowns;
• Designing and utilizing culverts and bridges that are more resilient to debris flows/floods on our forest roads; and
• Employing enhanced sediment control measures on erosion-prone sites.

Heat waves can result in challenging operating conditions in both our woodlands and manufacturing operations. High temperatures can lead to restricted working hours or shutdowns to avoid the risk of injury or illness, fire ignition, and equipment damage or failure. Our safety and fire prevention programs both provide guidance on shutdown criteria, and heat plans offer additional details on how to keep employees safe and healthy during extreme heat. Increased frequency and intensity of extreme weather events are considered as part of our risk management processes. 

In 2024, we launched three new safety intranet pages so employees can prepare for wildfire, winter and severe storms. The pages provide resources and regional alerts to help keep employees informed and prepare them to navigate each event safely. 

With drought comes the increased likelihood of catastrophic wildfires. The devastation caused by wildfires significantly increases the cost of wildfire liability insurance. Our woodlands operations have strong wildfire preparedness, prevention and response programs, and annual fire plans that include:

• Defined responsibilities of Interfor and contractors regarding fire preparedness and response;
• Restrictions on activities and shutdown procedures above and beyond legal requirements;
• Daily and continuous weather monitoring protocols;
• Fire control procedures;
• Mandatory fire suppression training and periodic fire suppression drills;
• Emergency contact information and reporting procedures in the event of a fire; and
• Fire-watch checklists and fire hazard assessment forms.

Fire plans are provided to all of our woodlands contractors. During fire season, our staff and contractors complete regular onsite fire preparedness inspections for high-risk activities in woodlands operations. We commend our staff and contractors for upholding our high standards for training, awareness, preparation and preventive measures, including shutdown, to avoid operational fires.

In 2024, we launched three new safety intranet pages so employees can prepare for wildfire, winter and severe storms. The Wildfire Preparedness site includes up-to-date information on:

• Weather and wind; 
• Active wildfires and links to maps; 
• Regional wildfire contacts; 
• Wildfire prevention and preparedness plans; and 
• Resources on household wildfire preparedness and wildfire terminology. 

Fuel Reduction Initiatives

Our woodlands teams have been involved in fuel reduction and interface-clearing projects to reduce potential fuel sources and lessen the impacts of wildfires. These efforts have helped mitigate potential catastrophic damage to communities in our operating regions and some of our mills.