Index to OREN Woodchip Report

Otway Ranges Environment Network | Otway Forest Issues | Otway Native Forest Logging | Otway Campaign/s | Other

Woodchip Driven Logging in the Otways: An Economic Analysis

Index to OREN Woodchip Report

Back Index Forward Back to OREN

Summary

Introduction

State Government Policy requires logging to be 'sawlog driven'

Forest Commission Report warns logging to become woodchip driven

Auditor General's findings on logging issue

Public Confusion over what 'sawlog driven' actually is

Commonweath Government legislated sawlog definition

Benchmarks used to determine what is driving logging operations

Hardwood Resource Usage

No legislated limit to woodchip volume

Interdepartmental Task Force investigation of Otway woodchipping

Otway Forest Management Plan limits woodchips to 60,000 tonnes per annum

Woodchips: 60% above limits set in Otway Forest Management Plan (graph)

Woodchips: nearly 90% of hardwood taken from Otways (graph)

Most Otway forest is not sawlog economic (pie chart)

Woodchip to Sawlog ratio 4:1

Sawlog yield in the Otways is dropping

6% of Otway hardwood suitable for furniture grade (pie chart)

Otway State Forest sawlogs: 4% of Victorian total (data table)

Reclassification of 'D Grade' Sawlogs as residual (graph)

65% of the Otways is not sawlog economic under Commonwealth regulations

Departmental Logging Revenue

Departmental logging revenue

Analysis of DNRE (Forestry Victoria) charges.

Woodchip revenue: 60% of Departmental revenue from Otways

Financial Returns to Industry

Profitability: sawlog vs woodchip mills

Sawmills taking timber from Otways make financial loss

Threats to the Native Forest Sawn-timber Industry from softwood

National Competition Policy

Recommendations to ensure that logging is sawlog-driven

Appendix:

Freedom of Information hardwood log volumes

Copyright (c) Otway Ranges Environment Network Inc