Modernizing the forest regime: Quebec is right to stop micromanaging forest operations, says the MEI

• This reform would help ensure the sustainability of the industry and its associated jobs, according to the think tank.

Montreal, September 9, 2025 – Giving companies more autonomy to manage forest operations, as proposed in Bill 97, would improve the efficiency and predictability of the industry, according to a new MEI report published this morning.

“The centralization of the management of forest operations in the Department of Natural Resources and Forests has undermined the forestry sector’s ability to adapt,” explains Gabriel Giguère, senior policy analyst at the MEI and author of the report. “By entrusting the management of logging zones to forestry companies, under local supervision, Bill 97 would give the industry back the flexibility it needs.”

Under the current forest regime, the planning of operations like harvesting, building forest roads, and replanting is the responsibility of the Department of Natural Resources and Forests in Quebec City.

The researcher explains that this micromanagement of Quebec forests by the department increases operating costs for sawmills.

“At the moment, forestry companies have to wait for authorization from Quebec before each operation, from logging to replanting, not to mention opening and closing forest roads,” says Mr. Giguère. “It’s a major source of inefficiency.”

The management of transport and forest operations represents around half of a sawmill’s operating costs.

Bill 97 proposes the creation of a new “priority” zoning for forest development, where priority would be given to harvesting and replanting activities in particular, and planning would be delegated to companies. These new priority development zones would represent 30% of developed land by 2030.

According to the government’s estimates, the reform could generate annual savings of up to $80 million.

“By reducing the number of decisions made by bureaucrats, companies would notably be able to reduce the gap between harvesting and replanting, thus helping to shorten the duration of forest cycles in priority zones,” says Mr. Giguère. “In a sector with narrow margins like forestry, these kinds of savings can be the difference between a sawmill continuing to operate and closing up shop.”

The forest products sector employs over 57,000 Quebec workers, according to the latest available data.

The MEI Viewpoint is available here.

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The MEI is an independent public policy think tank with offices in Montreal, Ottawa, and Calgary. Through its publications, media appearances, and advisory services to policymakers, the MEI stimulates public policy debate and reforms based on sound economics and entrepreneurship.

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