Maine Governor Baldacci Promises Help for Millinocket after Mill Shutdown

May 29, 2008 -- AUGUSTA – Maine Governor John E. Baldacci released the following statement today after learning that Katahdin Paper Co. plans to indefinitely shutdown its mill in Millinocket.

“Record-high oil prices have put Katahdin Paper’s Millinocket mill in a difficult position. The mill is one of the few in Maine that relies almost entirely on oil to generate heat and steam for the paper-making process,” Governor Baldacci said. “My administration is fully engaged in an effort to see the mill re-opened. I believe the company’s energy problem can be solved.”

Governor Baldacci said that the rapid response team from the Department of Labor is ready to support workers affected by Katahdin’s decision.

“Millinocket won’t be left on its own,” Governor Baldacci said. “We stand ready to help the community and the families hit by this unacceptable situation. And we will work with the company to design an alternative business plan that relies on a more efficient energy source.”

The Governor has named Rosaire Pelletier, Senior Forest Products Adviser, as the point person in the administration on the issue.

Pelletier has more than 40 years experience in the pulp and paper industry, including group controller and business manager for Fraser Pulp and Paper Group.

“Energy costs are hurting the entire economy,” Governor Baldacci said. “Businesses of every size are struggling to account for oil and gas prices that seem to set new records every day. There are alternatives, however, and we must aggressively pursue them.”

In April, Governor Baldacci held the Governor’s Energy Efficiency Summit, which brought together businesspeople and some of the nation’s leading energy innovators to discuss ways to reduce consumption and save money.

In addition, the Finance Authority of Maine, MaineHousing and Efficiency Maine have programs that can help businesses and families complete energy efficiency upgrades.

Maine has been aggressive in its pursuit of alternative energy, passing this year groundbreaking legislation that will make it easier to develop wind power in the State.

“We can’t allow our economy and our people to be held hostage by foreign oil,” Governor Baldacci said. “We must make every effort to end this dangerous addiction.”

Governor Baldacci called Millinocket Town Manager Eugene Conlogue and has also reached out to members of Maine’s Congressional delegation.

“We will all work together to help Millinocket,” Governor Baldacci said. “But we also need a national energy policy that moves the country away from costly foreign oil. We need the federal government to act.”

Source: Maine Governor

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