Pine plantations in the south west. Photo: Attila Csaszar

3,000ha bought under softwood scheme

Wednesday, 7 December, 2022 - 15:48
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The state government has purchased 3,000 hectares of farmland in the South West as part of its $350 million timber industry expansion plan, prompting criticism the plan is progressing too slowly.  

The softwood investment plan, announced in September last year, coincided with the government’s ban on native logging activities in the South West, in a move that angered the timber industry.

At the time, the government said it would restrict logging to forest management and approved mining activities by 2024, amid regulatory changes and pressure to make the industry more sustainable.

The scheme was underpinned by the $350 million plan to expand WA’s softwood plantations and a $50 million industry transition fund to assist affected businesses, workers and communities.

The government since increased the transition funding from $50 million to $80 million.

The $350 million investment is expected to fund the purchase of 33,000 hectares of farmland to plant up to 50 million pine trees and sequester between 7.9 million and 9.5 million tonnes of carbon.

Since legislation was passed in June this year to allow the Forest Products Commission to purchase freehold land and trade carbon, the FPC has bought 3,000 hectares of land for this purpose.  

State forestry minister Dave Kelly confirmed that the properties were purchased in the shires of Bridgetown, Nannup, Boyup Brook and Cranbrook.

But he wouldn’t reveal what the government paid for the land assets.

Liberal MLC and opposition Forestry spokesperson Steve Martin recently revealed that the government has spent $6.2 million on acquiring farmland for softwood. 

This figure was revealed ahead of the government's recent announcement and is unclear the size of the land it funded. 

Mr Martin accused the government of progressing its plan too slowly, questioning the feasibility of adding that much arable land to grow plantation timber.

“It appears the task is more difficult than he imagined,” he said.

“$6.2 million out of $350 million is not good enough. The available land is only going to get more expensive in coming years and the Minister will not meet the target of at least 33,000 hectares.”

Mr Martin also hit out at the government’s preference to acquire land rather than enter share farm arrangements.

Mr Kelly defended the timing of the land purchases and said the FPC was entering share farm arrangements in some instances.

“In six months the McGowan Government has purchased more land for plantations than was purchased in the whole of the previous Government’s term from 2008-2016,” he told Business News.

“The FPC continues to enter into new share farm agreements where appropriate but the preference is to secure land that, unlike single rotation share farms, can be replanted again and again. 

“The purchase of land will provide a secure and stable plantation industry for decades to come. While the share farm upfront cost is lower, single rotation share farms cost the taxpayer as much (as purchasing the land) over the life of the rotation but without the ability to replant. 

“Single rotation share farms are a major reason for the current need to invest in new plantations.”

The news comes as the state’s construction industry grapples with a timber shortage, linked to the war in Ukraine and the dwindling stock of local product.

Pine plantations from the scheme are expected to produce timber within the next two decades.