We are helping Australia’s forestry industries recover from the 2019-20 Black Summer bushfires through these 4 measures:
- Construction Softwood Transport Assistance Program
- Forestry Recovery Development Fund Program
- Forestry Transport Assistance
- Salvage Log Storage Fund
Construction Softwood Transport Assistance Program
On 20 September 2021, the Australian Government announced a new $15 million Construction Softwood Transport Assistance Program.
The program enabled the transportation of bushfire-salvaged softwood to timber mills that had capacity to manufacture structural timbers for the domestic building industry.
While the program was focussed on burnt softwood plantations on Kangaroo Island, any remaining construction-grade softwood that had been affected by the 2019-20 bushfires was also eligible.
The program ceased on 30 June 2024, with a total of 7,756.52 tonnes of fire affected logs being moved off Kangaroo Island over the duration of the program.
Forestry Recovery Development Fund Program
$40 million was provided from 2020-21 to 2022-23 to assist privately-owned wood processing facilities to recover and rebuild using innovation and product diversification.
Privately-owned wood processing facilities were able to apply for grants from $1 million to $5 million.
Objectives
- To deliver funding to privately owned wood processing facilities that have been directly or indirectly impacted by the 2019-20 bushfires.
- Enable wood processing facilities to develop new processing lines for their business, including upgrades to existing facilities and technologies, and new facilities that complement existing activities.
Intended outcomes
- To support industry to adopt smarter, more efficient practices in product processing and forestry operations
- To provide regional jobs and support regional communities.
Applications for the Forestry Recovery Development Fund Program (the Program) closed on 13 October 2020.
| Applicant name | Project description | Initial funding amount (includes GST) | Location |
|---|---|---|---|
| AAM Investment Group Pty Ltd | Upgrade and integrate new technology associated with the company’s trimming, sorting, stacking capacity and product re-entry into the saw line. | 5,334,261 | Bathurst, NSW |
| AKD NSW Pty Limited | Tumut mill investment proposal will adopt the latest technology and equipment to ensure logs are cut more efficiently and effectively. The project will deliver an 8% increase in timber recovery, generating more timber from the scarce log resource. | 5,500,000 | Tumut, NSW |
| Allen Taylor & Company Ltd | The project will install a new linear finger jointer into the hardwood dry mill sites which will produce a new range of jointed flooring, decking and structural products. | 1,441,084 | Kyogle and Herons Creek, NSW |
| Alpine MDF Industries Pty Ltd | A project to undertake a large capital expansion in remanufacturing, through installation of new plant equipment supported by product innovation to increase production capability of primed mouldings and painted flat panels. | 4,379,100 | Wangaratta, Vic |
| Australian Sustainable Hardwoods Pty Ltd | A new manufacturing line for pine columns and beams not currently produced in Australia. The columns and beams will be used in construction on multi-story government, commercial and residential buildings. | 1,939,850 | Heyfield, VIC |
| D&R Henderson Pty Ltd | A new heat plant for the sustainable use of waste products as a fuel source to provide energy to kilns. It will save in energy costs and reduce waste to landfill. | 3,294,500 | Benalla, Vic |
| Hyne & Son Pty Limited | The Tumbarumba Mill Optimisation project will deliver better resource management practices through innovation, upgraded efficiencies and new technology to assist in offsetting increase in manufacturing costs. | 3,508,474 | Tumbarumba, NSW |
| Ironwood Taree Pty Ltd | A new and improved processing line using automated machines for both in-feed and out-feed to secure their capacity to deliver existing products with substantial output to an expanding market. | 3,921,347 | Taree, NSW |
| Kangaroo Island Plantation Timbers Ltd* | The Kangaroo Island Biomass Pellet Mill and Handling Facility will create a new timber product using bushfire-affected timber on Kangaroo Island. | 5,500,000 | Kangaroo Island, SA |
| Nungatta Station Pty Ltd | Update and expand timber handling and processing, along with improved safe working conditions and make the facilities more fire safe in the future. | 1,111,000 | Far East Gippsland and South East NSW |
| Ryan & McNulty Proprietary Limited | An investment in technology and new processes allowing the mill to process a lower, smaller grade log (salvage logs) to produce a quality value added product that is suitable for structural beams, and furniture manufacturing. | 1,188,330 | Benalla, Vic |
| South East Fibre Exports Pty Ltd | Eden Energy Resilience project will replace fire damaged, aged and obsolete HV infrastructure to ensure that electrical supply to all parts of the site is reliable. | 2,249,679 | Eden, NSW |
| VISY Industries Australia Pty Ltd | Visy’s Fibre Line Modernisation project will provide significant upgrades to various parts of Visy’s Tumut Mill to maintain and secure commercial mill operations in the face of future wood deficit. | 3,103,177 | Tumut, NSW |
| XLam Holdings Pty Ltd | The project will update equipment at the existing XLam wood processing facility in Wodonga to reduce the cost of production and be more internationally competitive. | 1,529,198 | Wodonga, Vic |
| * On 24 December 2021, Kangaroo Island Plantation Timber entered into a Deed of Mutual Termination. | |||
Forestry Transport Assistance
$15 million was allocated to help with the increased costs of transporting burnt salvaged logs further distances to surviving timber mills or storage sites. Programs which have now been delivered by New South Wales and Victoria covered transport in bushfire affected areas.
A total of 944,648 tonnes timber was recovered and transported from bushfire affected areas to mills under this program.
The grants ensured that valuable timber resources were not wasted, reducing the impacts on supply as well as supporting the retention of long-term employments for contractors and sawmills.
Salvage Storage Fund - Securing Forestry Resources for Economic Recovery
$10 million in funding, provided through the COVID-19 Relief and Recovery Fund, for establishing storage facilities for fire-affected timber including:
- processed timber products
- logs
- other forestry products.
A total of 701,390 tonnes of burnt timber was stored under the program.
The program provided extra certainty for mills. It helps businesses to plan their long-term recovery. New South Wales and Victoria have delivered their programs.