International renewable energy company Drax has decided to cease operations at its pellet plant in Williams Lake.
The curtailment and closures of neighbouring sawmills and the loss of a bid for key local supply have led to a significant reduction in fibre availability, thus making continuing operations at the plant no longer commercially viable, according to a statement on the company’s website. The company expects to cease operations after an orderly wind-down when fibre availability runs out at the site, which it anticipates will take place by the end of 2025.
“The decision to cease operations weighs heavily on us, as we recognize the uncertainty it creates for our dedicated employees and their families,” said Matt White, Executive Vice President of Pellet Operations for Drax. “We are profoundly grateful for their commitment and resilience, and for the unwavering support of our community. Together, we will navigate this challenging time with compassion and transparency.”
The company says it is implementing a comprehensive support plan for the 30 employees affected. This includes a severance package, as well as well-being support. Workers are encouraged to apply to open positions at other Drax sites.
“We are deeply grateful to our employees for their hard work and commitment over the years,” said White. “We are committed to supporting them through this transition and helping them find new opportunities.”
Drax will engage with employees, local communities, and stakeholders throughout this process.