Woodchip Driven Logging in the Otways: An Economic Analysis
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Logging in the Otways native forest is unequivocally woodchip driven and in breach of State Government Policy.
According to State Government Policy, logging in Victoria's State Forests must be sawlog driven, and that woodchps can only be a by-product of sawmill-based logging. However no criteria has been established by the State Government to define what "sawlog driven" actually means.
Three criteria, or benchmarks, have been analysed to determine whether it is the woodchipping industry that is driving logging operations in the Otways, or the sawmilling industry.
(1) Hardwood Resource Usage 1997/98 through to 1999/2000
(2) Contributions to Total Departmental Logging Revenue 1999/2000
(3) Financial Returns to Hardwood Industries