I n c o r p o r a t i n g A U S T R A L A S I A N F O R E S T L O G G E R & S AW M I L L E R MAY 2015 • P: (03) 9888 4834 • www.timberbiz.com.au
Parliament backing industry page 10
Farm forestry potential page 14
$1.5M fuel reduction trial page 18
Govt wants leaner and meaner Forestry Tasmania
F
ORESTRY TASMANIA will continue years, despite significant Government funds to operate as a Government Business to support them. Enterprise – the Government is not “In fact, in 2012-13 and 2013-14, the two intending to roll Forestry Tasmania into a years following the signing of the TFA, the Government department or ‘blow it up’ as total amount paid to Forestry Tasmania from some scaremongers the budget was have suggested. nearly $100 million. “It is an unfortunate fact that if “We want not just “As promised, the Forestry Tasmania, Forestry Tasmania is to be put on Hodgman Liberal but the entire forest has a long-term sustainable footing, it Government industry, to stand on stopped this support will need to be smaller and more to Forestry Tasmania its own two feet. We strongly believe that efficient, increasingly focussed on from the budget, the forest industry instead providing its core business and more can - and will for a $30 million commercially agile. grow into the future equity transfer without the need for from TasNetworks ongoing Government financial support,” said to allow the time for a complete review the Minister for Resources Paul Harriss. and rethink of the way Forestry Tasmania “We all know there is a lot more to be done, operates to put it on a pathway to long-term but the Government is committed to growing sustainability,” the Minister said. the economy and creating employment, and “We established a Steering Committee the indicators show that we are heading in the to oversee the review with representatives right direction. from Treasury, Forestry Tasmania, and the “One of the commitments of the Departments of State Growth and Premier Government to grow the forest industry was and Cabinet. to ensure a sustainable future for Forestry Clear objectives Tasmania.” “We set some clear objectives for the Hit with perfect storm review: The Minister said Forestry Tasmania has • To examine the most appropriate options been hit with the perfect storm, the three Gs to deliver economically viable and - the GFC, the collapse of Gunns, and then sustainable forest management and wood finally, the Greens/Labor government and the production outcomes for the State; Tasmanian Forest Agreement. • To consider the Forestry Tasmania At the time when Gunns withdrew from operating model, commercial native forest harvesting, the forest industry arrangements and constraints and the and Forestry Tasmania needed careful support impact on its financial performance; and from the Government. Instead the TFA retired more than 150,000 cubic metres of sawlog • To identify options for the short term to limit the losses and consider the current production, halved Forestry Tasmania’s and future role of Government in the production forest, and forced significant public production forests. write-downs to Forestry Tasmania’s balance sheet. “As a result, Forestry Tasmania has recorded consecutive operating losses which have progressively worsened over recent
“We also established some clear parameters for the review based on our commitments to continued on page 8
Editorial and Pictorial Coverage of the 7th Industry Development Conference
n Minister Paul Harriss