THE SOCIO-ECONOMIC IMPACT OF WILDFIRE
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9/17/2025
Dave Waterhouse
Assistant Chief
Service de sécurité incendie de Montréal
BACKDROP
Canada’s feeling global warming 2X faster.
1 week of smoke from forest fires in 2023 in Ontario = 1,28G$ for health costs.
Wildland fires suppression costs ↑ 150M$ / 10years.
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BACKDROP
6 of the last 10 years have seen forest fire suppression costs of + 1G$.
In 2023, canadian forest fires have released +600t of carbon, making them a net source of carbon emission.
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CONTEXT & RATIONALE
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• Climate change is increasing wildfire intensity, and season length.
• Québec’s 2023 fire season: 4.3 million hectares burned, 27,000 evacuations, $8B in estimated losses.
• Need for evidence-based strategies to reduce losses.
RESEARCH OBJECTIVES
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• Quantify avoided losses (economic, social, environmental).
• Estimate SOPFEU’s return on investment (ROI).
• Provide evidence for long-term funding and resilience planning.
ECONOMIC IMPACT RESULTS
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• SOPFEU’s investments generated direct economic value for the province.
• Supported thousands of jobs with salaries.
• Net positive fiscal revenues for governments.
ROI IN THE FORESTRY SECTOR
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• Estimated hundreds of M$ in timber value preserved in 2022.
• ROI: More than 4$ preserved for every $ spent on operational expenses. (invested)
• Additional indirect benefits not fully captured.
COMMUNITY PROTECTION
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• SOPFEU activities in 2022 prevented thousands of evacuations, saving millions of dollars.
• Human and social impacts extend far beyond monetary costs.
CLIMATE CHANGE DIMENSION
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• Wildfires reduce carbon sequestration capacity.
• SOPFEU interventions mitigate CO₂ emissions by preserving forests.
• Preservation of carbon capture capacity enhances the ROI more than 100X.
NON-QUANTIFIABLE BENEFITS
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• Preserving biodiversity, habitats, and soils.
• Protecting tourism and regional economies.
• Safeguarding health by reducing smoke exposure.
• Ensuring energy supply and transportation access.
STRATEGIC JUSTIFICATION
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• Prevention ≠ cost; it is investment with the highest returns.
• Every dollar invested avoids exponentially higher losses.
• Enhances resilience of communities and industries.
CONCLUSION & CALL TO ACTION
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• SOPFEU generates measurable economic, social, and environmental returns.
• Forest fire protection agencies' expenses must be perceived as high-yielding investments and strategic safeguards.
• Recommendation: Integrate wildfire economics into public safety decision-making.