Employee-led projects at ten Domtar mills are reducing annual water use through process-water reuse, closed-loop cooling and equipment upgrades.
Domtar says 24 water-conservation projects developed by mill employees are saving more than 2.3 billion gallons of water annually across ten of its paper and packaging mills.
Launched in 2023, the company’s Water Reduction Capex Fund reserves a portion of capital spending exclusively for water-saving initiatives. Mill teams submit proposals for funding, which are evaluated primarily on their ability to reduce water use rather than generate a financial return.
The program supports Domtar’s goal of reducing water-use intensity by 20% by 2030 from a 2020 baseline. According to the company, the annual savings achieved so far are equivalent to the volume of approximately 3,480 Olympic-sized swimming pools.
Many of the projects focus on recirculating water already used in mill processes. White water drained during papermaking can be captured and returned to production instead of being replaced with fresh water. Cooling water can likewise be redirected to cooling towers, where heat is removed before the water is reused.
Other improvements are designed to reduce water demand at the equipment level. These include replacing traditional pump packing with mechanical seals, installing flow regulators and converting single-pass cooling systems to closed-loop configurations.
Domtar’s first funding round produced ten projects at seven mills, with projected annual savings exceeding 1 billion gallons. The program has since expanded to 24 completed projects at ten facilities.
Earlier this year, Domtar’s Nekoosa Mill in Wisconsin received the company’s internal Water Reduction Award for conservation projects expected to save more than 129 million gallons annually. The initiatives include equipment and process changes intended to improve water efficiency throughout the facility.
The results are also reflected in Domtar’s broader sustainability reporting. In its Q2 2026 sustainability update, the company said water consumption in its Paper & Packaging business unit was down 10% through the first quarter of 2026 compared with 2020.
Water availability has become an increasingly important operational consideration for mills. Domtar notes that approximately 94% of the water withdrawn by its mills is treated and returned to the environment, while the remainder leaves through evaporation or in finished products.
The company has also pointed to its Plymouth Mill in North Carolina as an example of water-related operational risk. During droughts in 2022 and 2023, salt water from Albemarle Sound moved upstream in the Roanoke River to within one-quarter mile of the mill’s freshwater intake.
Domtar’s conservation program received the American Forest & Paper Association’s Leadership in Sustainability – Water Management Award in 2024. The company says the initiative will continue as part of its efforts to improve water resilience and meet its 2030 environmental targets.
Domtar is a North American manufacturer of forest products, including pulp, paper, packaging, tissue and wood products. The company operates mills and manufacturing facilities across Canada and the United States.
