Logging ban blindsides industry, $350m plan to combat timber shortage

The state government has vowed to end logging of native forests and spend $350 million expanding softwood timber plantations in the South West amid a critical shortage of the building material, but the state's forestry industry claims it was blindsided by the move.

This morning, Premier Mark McGowan announced the changes as part of the state’s new 10-year forest management plan, which will involve the preservation of an additional 400,000 hectares of karri, jarrah and wandoo forests.

From 2024, timber taken from native forests will be restricted to forest management activities and clearing for approved mining operations, including those undertaken by Alcoa. 

The upcoming state budget also includes a $350 million investment over the next 10 years in softwood plantations in the state’s South-West, which will support the planting of 50 million pine trees over 33,000 hectares. 

The move is expected to create about 140 jobs and the state government intends to safeguard the jobs of almost 2,000 people currently employed by the South-West timber industry.

The state government will spend $50 million on a transition plan designed to support workers and businesses affected by the changes and establish a transition group featuring representatives from local industry, the union and government.

But in a statement released this afternoon, Forest Industries Federation WA (FIFWA) said the sudden and "reckless" decision to end native forestry had blindsided the industry, claiming it had occurred without consultation with industry, businesses and employees.

FIFWA director Melissa Haslam said the state’s $50 million transition plan was miniscule compared to the level of investment in the sector, which contributes more than $220 million to the WA economy annually.

For forests to cope with the drying climate, Mrs Haslam said they would still need to be thinned and managed, and warned that management costs once offset by timber production would now be borne by the taxpayer.

“This is heartbreaking for our industry, and the biggest initial impact is likely to be felt in our regional communities, but this will impact most West Australians – anyone who enjoys products from timber furniture right through to firewood,” she said.

“We are shocked at this rushed and bizarre decision, which came without any consultation.”

While welcoming the $350 million investment in the plantation sector, Mrs Haslam clarified that that investment would not help the native timber sector, as the two were not interchangeable.

She warned the decision would likely result in an increase in timber imports from countries with lower environmental and management standards and demanded more detail around what the decision would mean for timber businesses.

The state opposition has condemned the move, with opposition leader Mia Davies labelling it a direct attack on an industry that was already sustainably managed.

She said she did not recall any discussion about Labor’s intention to implement the policy prior to the March state election and said Labor MPs throughout the South West should be held to account for the decision.

“Let’s be clear, there has been no logging of old growth forest since 2001, the only logging that occurs in native forests now is of replanted trees that are sustainably managed under a long-term Forest Management Plan,” she said.

“Families and businesses involved in the industry have been pushed aside in the pursuit of popular political decisions that have become the hallmark of this McGowan Labor Government.”

In July, prominent figures in the state’s building and construction industry called on the state government to address the pine shortage by lifting local mill output, fearing the issue was reaching crisis point and had the power to delay construction projects.

The recent boom, underpinned by state and federal COVID stimulus packages, has led to unprecedented demand for structural timber, one of the materials most critical for the construction industry.

The state’s Master Builders Association confirmed timber shortages were the most acute issue facing the industry; with 90 per cent of members reporting timber delays in June, shortages exacerbated by the inability to secure timber from overseas.

The news prompted Master Builders Association of WA executive director John Gelavis to call for a review of the state's production capacity to ensure the needs of the industry long-term.

Those sentiments were echoed by residential developer Dale Alcock, who called on the state government to reassess the current pine log quotas and temporarily amend them to ensure the state’s construction industry was not restricted by the shortage.

WA had the capacity to produce more pine to support the current demand, he said, but had long been restricted by the quotas in place.