A Just Transition for the Port Townsend Paper Mill

John Talberth • December 4, 2025

An inland facility that uses non-wood feedstocks could be cleaner, greener, and more profitable

Factory emitting white smoke, with a tall smokestack and mountains in the background.

There comes a time in the life of an aging industrial facility where deliberate planning for its closure, cleanup, and replacement must begin. For the Port Townsend Paper Corporation mill, that time is now. Take your pick, the problems are proliferating: foul odors, marine organisms smothered by debris or suffocating from nutrient pollution, foam and algal blooms along the shore, occupational health and safety violations, water and air quality violations, climate pollution and toxins that will be around for a very long time.


You can drill down on any one of these and see how bad the news gets. Take chronic violations of the mill’s national pollution discharge elimination (NPDES) permit. As noted by Scott Doggett in his 11-19 opinion piece “Mill keeps the public in the dark about spill,” many of the pollutants the mill discharges in its wastewater are neurotoxins and carcinogen and several are among the most toxic substances on Earth. He notes that there have been 23 permit violations in the past seven years. These join 148 permit violations or triggers and 51 enforcement actions since 1990. As Doggett notes in a follow up piece in the Leader on 11-26, the paltry fines Washington Department of Ecology assesses for these violations have not been raised since the late 1980s and are having little or no effect on incentivizing better behavior. 


Or take air quality. We’re all familiar with the odors caused by emissions from the settling pond, leaky pipes, and the stack. Measured contaminants include reduced sulfur compounds, particulate matter, sulfur dioxide, nitrogen oxides and aldehydes. The sulfur compounds are what causes the smell. According to the Environmental Integrity Project, the mill has been in violation of the Clean Air Act for 12 of the last 12 quarters. In 2024, the US Department of Health and Human Services warned that breathing a cocktail of sulfur compounds in air near the mill can cause acute respiratory distress.


And the mill is by far the largest source of climate pollution in Jefferson County. The 2023 facility inventory from the EPA put the mill’s carbon dioxide emissions from burning wood chips and using fossil fuels at 554,000 metric tons CO2 per year. That’s over two and a half times the emissions from the rest of Jefferson County’s economy (207,582 metric tons).


Given all this, a clean replacement facility that keeps all jobs intact and is financially attractive to investors is sorely needed. Otherwise, we end up like Port Angeles, with 200 sudden layoffs and a decades-long toxic cleanup legacy. Here’s one option to consider: a state-of-the-art pulp and paper facility located away from the shore that consumes far less water, energy and chemicals and has a much lower carbon footprint because it uses wheat straw, hemp, kenaf, bamboo or agricultural wastes from Washington farmers as feedstock rather than wood (virgin or recycled). It would also generate far less odors since non-kraft pulping processes can be used with these feedstocks. The resource efficiency gains – i.e. less environmental impact per ton of product – stems from lower levels of lignin, which makes these feedstocks easier to process. And well-paying union jobs would be involved with dismantling the existing mill and building and operating the new one.


While most non-wood pulp and paper facilities are in China and India the US is beginning to catch up as the demand for clean and green products soars. Companies like Genera (Tennessee) and Cotrell Paper (Massachusetts) are using wheat straw and hemp as feedstock and are using far less water, energy, and chemical than their wood-based competitors. Here in Washington, Columbia Pulp was the first large scale experiment – one that was designed to use wheat straw feedstock from eastern Washington farmers, but it opened its plant just as COVID hit and had to shut down operations in 2019.


The Tennessee company Genera makes pulp, paper and packaging from grasses. The sustainability benefits include:

  • Helps conserve at risk hardwood forests
  • Made from perennial Switchgrass and Giant Miscanthus Grass
  • Carbon-negative crops sequester 1 ½ tons of carbon/acre/year
  • Low-intensity pulping process has up to 90% lower carbon impact compared to common wood pulp, significantly lower water and energy usage
  • Grasses enrich the soil

There are several things public officials can do to accelerate a just transition. The legislature can undo decades of preferential treatment for wood products and give non-wood alternatives a level playing field. A bill snuck through the legislature in 2020 says that clearcutting and industrial wood products are climate solutions – a claim long ago debunked– but what if non-wood alternatives received this legitimate designation and were rewarded with the same portfolio of tax breaks, subsidies, and public investments now going to Big Timber?


Also, Washington Department of Ecology should notify the current owner – Atlas Holdings, LLC – that the current water and air quality permits are the last ones. These permits are not worth the paper they’re written on if violations and enforcement actions are chronic and doing nothing to protect or improve the air we breathe or the waters we use for fishing, boating, and swimming.


At the City level, our councilors should impose a bonding requirement that will ensure that Atlas bear full financial responsibility for cleaning up the site once it’s closed. With $18 billion in annual revenues, Atlas can afford this. Center for Sustainable Economy worked with King County to get a similar risk bonding ordinance in place for fossil fuel facilities that can easily be replicated here.


Our councilors and county commissioners could also play a major role by rolling up their sleeves and working with state economic development officials and the union to begin the process of recruiting new capital – if Atlas takes a pass – with some public support since the transition serves a public purpose. Similar facilities have been jumpstarted by solid waste bonds, new markets tax credits, and IRA’s section 45X for advanced manufacturing. The market outlook for non-wood facilities is promising. According to Global Growth Insights, the compound annual growth rate for non-wood pulp is forecast to be 6.4% through 2034 but only 0.81% for wood pulp.


So far, elected officials have been silent. Remarkably, neither the City nor County commented on reissuance of the latest NPDES permit. Nor was the mill even mentioned in the 14 candidate statements published in the 10-15 Leader. There’s a long way to go, but it’s time to start.



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