Victorian timber mills put State Government on notice

THE State Government has been accused of failing more than six Victorian communities in a bid to save a Gippsland timber mill, a central highlands business owner has said.

Timber mill owners are lobbying the State Government for a more sustainable future.

THE State Government has been accused of failing more than six Victorian communities in a bid to save a Gippsland timber mill, a central highlands business owner has said.

In desperation, a group of six timber mill owners has sent an open letter to Victorian Premier Daniel Andrews proposing a sustainable timber supply, which would end the State’s reliance on native forest.

Dindi Timber Mill owner Sue McKinnell said as it stands, the doors to the Murrundindi business will be closed for good within 18 months unless the government makes a commitment to allocate timber now.

STATE GOVERNMENT BUYS TIMBER MILL

HEYFIELD TIMBER MILL TO CLOSE, HUNDREDS OF JOBS THREATENED

TOWN ON EDGE AS TIMBER MILL JOBS IN LIMBO

Ms McKinnell is part of a group of timber mill operators — called the G6 — who are angry and frustrated the State Government has not given certainty on logging allocations past 2021.

The group includes Kelly’s Timber in Wesburn, Fenning Timbers in Bairnsdale, Ryan & McNulty in Benalla, and AG Brown from Noojee.

Last year the State Government bought into the Heyfield timber mill, paying more than $60 million for its share in the failing Gippsland company.

Former owners Hermal Group had threatened to close the mill because it said VicForests would not provide enough timber to make a profit.

But the group believes the government has a major conflict of interest between its ownership of the Heyfield mill and VicForests — the state-owned forestry company in charge of handing out the timber licenses and supply agreements.

Many jobs in the timber industry could be under threat.

But Ms McKinnell said she, like other regional mill operators, had all been given a three-year extensions on her license until 2026, which were revoked when the State Government bought its share in the Gippsland mill.

“Come 2020 we’ll have to close the timber mill because there is no timber allocation past it,” she said.

“We want them to give us back our resources or compensate us.”

Ms McKinnell said she worried for the customers and communities.

“I have no problem with the government bailing out Heyfield to save jobs and the community but there are six other communities that have been hung out to dry,” she said.

MORE LILYDALE NEWS

LUXURY HOTEL PROPOSED FOR LILYDALE

TIME TO FACE HOME TRUTHS

YARRA RANGES SPECIAL DEVELOPMENT SCHOOL PLEAS FOR FUNDING

Eildon state Liberal MP Cindy McLeish is one of a number of MPs who tabled petitions at parliament about the issue.

“It’s a serious concern. The timber allocation was supposed to be signed by June but it hasn’t happened,” Ms McLeish said.

A State Government spokesman, who did not want to be named, said we support a strong, viable and sustainable forest products industry that creates jobs and investment in regional Victoria.

“We will consider this proposal from the timber industry, and will continue to work towards a long-term solution that balances job protection with conservation, and boosts the use of plantation timber,” he said.

[e-mail]