Question on notice - Logging Operation Time Frames

2016-02-23

 MS DUNN :To ask the Minister for Agriculture: In relation to the 2014/2015 VicForests Annual Report:

(1) Why has VicForests assessed future logging operations for 80 years, when the risks of climate change are large and regeneration of coupes is problematic;

(2) Have shorter time frames been assessed; and

(3) If so, what was the resulting financial impact.

ANSWER:

I have been informed that:

1. The decision by VicForests to assess for an 80 year period is informed by harvest rotation lengths.

2. Yes.

3 Note 1(m) on page 31 of the VicForests' Annual Report 2014-15 outlines the discounted cash flow approach accompanying assumptions. Given this discounted cash flow approach, financial impacts in the short-term are limited.

Question # 4700