The good news for those on the Alaska highway is that some are urging a tourism boycott in response to this contest. Since those who would support the boycott are exactly the sort of people most of the residents of northern B.C. would not like to see, it is really a win-win situation.
I see nothing wrong with the contest and doubt that it has a great impact on wolf populations. Hunting is hunting and as long as the population will support it, the hunt is OK.
It won't have nearly the benefit to big game populations that regulation of Indian hunting would but it won't hurt either. GD