Australian Sustainable Hardwoods

2016-11-11

Ms DUNN (Eastern Metropolitan) — My question is for the Minister for Agriculture. VicForests advised in its annual report for 2015–16 that it is being sued for commercial losses due to non-performance under a timber sale agreement. It is understood that the claimant is Australian Sustainable Hardwoods. Can the minister assure the house that VicForests will refrain from entering into any court-arbitrated timber sale agreement prior to the final recommendations of the Premier’s Forest Industry Taskforce, as this would undermine the efforts of the task force.

Ms PULFORD (Minister for Agriculture) — I thank Ms Dunn for her ongoing interest in the work of the task force and VicForests, and I wonder if Ms Dunn has taken up the standing offer for a briefing with VicForests on the important work that they do in managing this resource for all Victorians. I will provide Ms Dunn with a written response to her question.

Supplementary question

Ms DUNN (Eastern Metropolitan) — Thank you, Minister. I think I might wait for the new CEO to embed themself into the organisation. However, my supplementary question is: if VicForests were to enter a court-arbitrated timber sale agreement with Australian Sustainable Hardwoods, it is unlikely VicForests would be able to meet the supply commitment with remaining timber supply. VicForests would be liable for compensation payments. Will the minister assure the house that VicForests is not engaging in collusion with Australian Sustainable Hardwoods by entering into a timber sale agreement that is impossible to fulfil and therefore guaranteeing taxpayer-funded compensation to a private company?

Ms PULFORD (Minister for Agriculture) — Goodness me, there was a lot of theory in there and a lot of speculation about all manner of things.

Mr Barber — Maybe you need a briefing.

Ms PULFORD — No, I see our leadership at VicForests on a regular basis, and in fact I would suggest to Ms Dunn that she need not wait for the recruitment process for a new chief executive officer to be concluded. I am sure that the acting CEO, Nathan Trushell, would be very happy also to extend that offer. I might take the opportunity to wish the outgoing CEO, Rob Green, all the very best in his next career move. His leadership of VicForests has been outstanding, and it has been a pleasure to work with him. In response to Ms Dunn’s question, I will provide her with a written response.