Member for Indi Helen Haines with Graham Church, managing director from Alpine MDF in Wangaratta.
Forestry workers in Northern Victoria have sent an open letter to the Federal Government pleading for around $65 million in bush recovery support to be delivered urgently. Sources: Timberbiz, Myrtleford Times, Wangaratta Chronicle.
The money was promised by the Federal Government as part of its Forestry Recovery Development Fund.
This week in response to the letter, Assistant Minister for Forestry Jonno Duniam said the government had “taken the necessary time to consult with the industry and the relevant states on the guidelines to ensure that the guidelines meet the needs of industry”.
“The Morrison Government recognised that the forestry industry was one of the hardest industries hit by the bushfires, which is why we provided immediate support to help rebuild the industry and the regional communities that rely on it,” Senator Duniam said.
“This includes grants of $75,000 to help repair bushfire damage and replace assets lost in fires through the Emergency Bushfire Response in Primary Industries Grants Program, as well as grants of up to $50,000 as part of the Small Business Bushfire Recovery Package.
“We want the Forestry Recovery Development Fund open as soon as possible and are currently finalising the guidelines for the $40 million grant program. These are important grants for the forestry industry, and it is important that we get the guidelines right,” he said.
However, none of the signatories to the letter say they have been consulted in any way.
It comes as the timber industry in south eastern NSW reports that six months on from the devastating Dunns Road Fire that tore through the Snowy Valleys, it is waiting on government support to help ensure the viability of the industry into the future.
AKD Softwoods argues that without the funding from the grant, the long-term viability of its Tumut sawmill will be tested.
Carter Holt Harvey Plywood general manager Craig Stratford and HVP Plantations chief operating officer Rob Hescock co-signed the letter to Senator Duniam last week with representatives from Alpine MDF (Wangaratta) and D&R Henderson (Benalla) as well as Independent federal member for Indi Helen Haines.
The forestry companies, with hundreds of employees locally, said despite funding announcements to support the industry in May and June, they are still waiting to be told how to access any of the funds.
Mr Hescock said the government support was welcome, “however, we need them to deliver on their commitment, which involves providing guidelines to access the funding”.
“This will enable the plantation forest industry to recover from the bush¬ fires and sustain jobs for our community.”
The letter asked the government to act on the support package on June 23 involving the $40 million Forestry Recovery Development Fund and the $10m for Salvage Log Storage Fund, as well as the May 11 announcement of $15 million for Salvage Log Transport Assistance.
“Each of these announcements was welcome, but in the months that have since passed, there’s been no action,” the letter said.
“No funding has been delivered. No applications have opened. No guidelines have been released.”
The group first wrote to the minister in February requesting an emergency support package, to allow burned logs to be salvaged and to support the increased costs to transport and process burned logs and rehabilitate the land.
“And yet we are in late August, the next fire season is nearly upon us, and we are still waiting for that action to transpire,” the letter read.
Alpine MDF is ready to go on an $8 million development project at its North Wangaratta facility that will diversify output, double added-value products production and soften the blow from expected timber shortages in coming years.
The project involves the conversion of a newly constructed warehouse facility into a factory by using grant funding to buy machinery that will help keep jobs intact.
Alpine MDF managing director Graham Church said there was scope to build their business now so it can sustain and build on operations in years to come.
“The region’s timber production industries have all really got some great ideas and we’re really just waiting for the government to detail how we can access the funding,” Mr Church told the Wangaratta Chronicle yesterday.
“We think we’ve got an excellent proposition to put in front of them – the Federal Government announced the funding six weeks ago and to date we have no idea of how to even apply for it, and that’s not through lack of trying.
“There are two components to the business, firstly to manufacture MDF and secondly to turn a good part of that production into added value products such as builders’ mouldings and door skins.
“This will double the capacity of the added value department, which will allow for Alpine MDF to plan for the future and keep more people employed.”
Another component of the funding was to salvage burnt logs, but Dr Haines said with the delays, each week it becomes more urgent as the logs rot on the stump.
“We understand that some of these measures require collaboration with the Victorian Government – we ask that you work closely with the Victorian Government to expedite those measures,” Dr Haines has requested in the letter to Senator Duniam.
In January, more than 6000 hectares of soft wood plantation burnt and more than $50 million was lost.
Dr Haines, who was in Canberra this week lobbying the government to fast track the process, said it was frustrating to be nine months post-bushfires and not have received support.
She said the situation in North East Victoria worsens each week the money is left unspent.
Dr Haines, and the signatory companies to the letter, said thousands of regional jobs are in the balance, with the forestry sector employing 340 people in North East plantations and another 1400 in processing in towns like Myrtleford, Wangaratta and Benalla.
