Huon group ‘deeply concerned’ by decision to award Vic timber company contract over Tas firm
A local industry group is calling on the state-owned forestry company to reverse a controversial decision to award a lucrative contract to a Victorian firm instead of a Tasmanian family business.
Tasmania
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A Huon Valley industry group says it is “deeply concerned” that Sustainable Timber Tasmania is upholding a decision to award a lucrative haulage contract to a Victorian timber company instead of a local family business.
The Sunday Tasmanian revealed in July that T.P Bennett and Sons and its subcontractor Watson Haulage had lost out on the contract, leading to fears around potential job losses.
Resources Minister Felix Ellis subsequently asked the state-owned forestry company to pause all tenders and review the southern haulage contract.
The state government has a Buy Local Policy, which is designed to maximise opportunities for Tasmanian suppliers to compete for government tenders.
The Huon Resource Development Group (HRDG), which represents the interests of primary industries in the Huon Valley region, believes STT’s approach to procurement will have “ramifications” for the broader Tasmanian community and businesses.
HRDG vice-president Tammy Price said the future of Tasmania’s forest industry was “at stake due to several significant issues” and Mr Ellis “must act and protect Tasmania’s resources and businesses”.
“The evaluation of tenders must extend beyond monetary considerations,” she said.
“We emphasise that value for money encompasses various aspects, such as local economic impact, ethical behaviour, and community wellbeing.
“We are concerned policy is being made and amended on the run – and our communities are the ones that are suffering. We call on the minister to instruct … [STT] to void the existing tender process and start again, adhering to the recommendations of the review and the minister’s own public direction.”
Franklin Labor MP Dean Winter said the Buy Local policy was not properly followed by STT and the “flow-on impact of this ridiculous decision will hit the Huon Valley hard but especially TP Bennett and Sons and … Watson Haulage”.
“When the 2019 bushfires hit the Huon Valley, it was the Watson and Bennett families who put their lives on the line fighting fires and protecting public and private assets in the valley,” he said.
“Today they have been sold out by the Liberals. It is shameful. It is disgraceful.
“STT still has not applied the Buy Local policy, even though such a test could have led to a change in the outcome.”
During Question Time in state parliament on Thursday, Mr Ellis said the review found the tender process was “completed in a manner that was fair to all tenderers” and was “compliant with the Treasurer’s Instructions”.
“Additionally, STT was asked to see what more could be done to ensure that Tasmanian jobs are supported. STT has advised that it will enter into a Tasmanian Industry Participation Plan consistent with the Treasurer’s guidelines,” he said.
“It is important to note that this is the fifth open tender STT has undertaken for harvest and haulage in 2022-23 and the previous four of these tenders have gone to local companies. Further, last financial year STT paid $105m to more than 647 Tasmanian businesses which included $60.7 million to harvest and haulage contractors.”
Originally published as Huon group ‘deeply concerned’ by decision to award Vic timber company contract over Tas firm
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