Do paper mills in Maine have a bright or bleak future?

Submitted by Susan Young on Mon, 06/16/2008 - 21:11.

Katahdin Paper Co.’s mill in Millinocket is facing possible closure because of the high price of oil. Employment has been steadily declining in Maine mills, yet production has increased, thanks to automation. Should Maine government work to sustain paper mills? Or should market forces dictate what happens? How would you counsel a young man or woman considering a career in a paper mill? Is this the lifetime employment it once was or should young people look elsewhere?

Evolving paper mills

I don't think any company has lifetime employment anymore. Companies sometimes proclaim "Our employees are our greatest asset" but bookkeeping doesn't work that way. Employees - labor costs - are squarely in the 'expenses' column; laying people off is thus a financially responsible thing to do. I think we should change that. If companies had tax deductions for each employee, much as families get deductions for children, then it would be a financial advantage to companies to keep people employed. This is something the government could do to help the situation. That said, paper mills can and should evolve and diversify so that they don't become dinosaurs. They are surrounded by wood pulp -- why not cogenerate the needed energy? Why not produce wood pellets? Why not develop less energy-intensive paper sources? Industrial hemp (which is legal and is not a drug) makes high-quality paper in fewer and less energy-intensive steps. I think any monopoly employer has an obligation to the community which has supported it for so many years, and it should work with the government to maintain employment levels or provide infrastructure for alternative employment.

Millinocket Paper Mill Future

One of the biggest mistakes the newer owners of the Millinocket and E. Millinocket paper mills did was selling off "West Branch" Hydro Generation. During the "Great Northern Paper" era, these hydro dams furnished the mills with very low cost electrical energy. If this hydro generation were available today, the mills could be much more competetive in today's marketplace then presently possible despite the older age of their papermaking equipment.

PAPER MILLS

YES, WE SHOULD SUSTAIN THE MILLS. BUT THE MILLS HAVE TO TAKE SOME INITITIVE THEMSELVES. MILLINOCKET MILLS SHOULD HAVE STARTED GETTING INTO BIOMASS ENERGY YEARS AGO. AND THEY SHOULD ALSO BE TAKING ADVANTAGE OF HYDRO POWER. THE HORSE IS OUT THE THE BARN NOW SO IT'S GOING TO BE A LOT OF CATCH UP. BUT THEM AGAIN, IF THEY WANT BIOMASS AND HYDRO, THE GOVERNMENT REGULATIONS AND PUBLIC COMPLAINING WON'T MAKE IT WORTH IT.