❓ Mr. Murray questions the Minister for Forestry about the potential privatisation of the Forest Products Commission (FPC). The Minister clarifies that the FPC is not being sold, but softwood plantations are under consideration for sale.
AnsweredQoN 689Legislative Assembly
QuestionView source ↗
FOREST PRODUCTS COMMISSION — PRIVATISATION
689. Mr M.P. MURRAY to the
Minister for Forestry:
I refer to the state government's plans to privatise
the Forest Products Commission.
(1) When does
the state government anticipate the entity will be put to tender and what price
does it expect to receive for the sale?
(2) Will the
sale contract include a clause to ensure that any potential buyer maintains
commercial relationships with local, regional and rural contractors who, in
2013–14, held 96 per cent of FPC contracts?
689. Mr M.P. MURRAY to the
Minister for Forestry:
I refer to the state government's plans to privatise
the Forest Products Commission.
(1) When does
the state government anticipate the entity will be put to tender and what price
does it expect to receive for the sale?
(2) Will the
sale contract include a clause to ensure that any potential buyer maintains
commercial relationships with local, regional and rural contractors who, in
2013–14, held 96 per cent of FPC contracts?
AnswerView source ↗
(1)–(2)
That is my first forestry question, so thank you, member. I thank the member
for his interest. He is keenly interested. I know it is conflicting on that
side. There are some challenges on that side in this space, so they do not like
to talk about it.
Several members interjected.
The SPEAKER :
Members!
Ms M.J. DAVIES :
Let me bring the shadow minister up to speed.
Mr B.S. Wyatt interjected.
The SPEAKER :
Member for Victoria Park!
Ms M.J. DAVIES : We
are not selling the FPC—surprise, surprise! No, we are not—shock,
horror!
Several members interjected.
The SPEAKER :
Hansard cannot follow what is going on in the chamber, so we want a nice, loud
answer through the Chair, and no interjections. Thank you.
Ms M.J. DAVIES :
Sorry, Mr Speaker.
We are not selling the
FPC. One section of the FPC's assets, which is softwood plantations,
has been listed for a potential sale. That process is currently being carried
out through the asset sales process that the Premier talks about regularly, and
due diligence is being done. There are some things that need to be taken into
consideration as part of that process. It will occur over the next six to 12
months. Some exciting things are happening in the other parts of the forestry
portfolio. We have been doing a significant amount of work with our sandalwood contracts.
Some contracts are coming to an end in the middle of next year, and we have
been working with stakeholders to try to maximise the benefit for not only
regional Western Australians but also the taxpayers of Western Australia, and I
think there are also some fantastic overlaps in benefits for the wheatbelt in
terms of plantation sandalwood. In the member for Kalgoorlie's patch we
also have a significant footprint for sandalwood. If we talk about the native
forests and the contracts that we have and that FPC manages in that space, we
have a forest management plan, and we have processes that are working hard to
make sure they are creating jobs and modernising their facilities and
technologies. I am sure that the member is well up to speed with that.
That is my first forestry question, so thank you, member. I thank the member
for his interest. He is keenly interested. I know it is conflicting on that
side. There are some challenges on that side in this space, so they do not like
to talk about it.
Several members interjected.
The SPEAKER :
Members!
Ms M.J. DAVIES :
Let me bring the shadow minister up to speed.
Mr B.S. Wyatt interjected.
The SPEAKER :
Member for Victoria Park!
Ms M.J. DAVIES : We
are not selling the FPC—surprise, surprise! No, we are not—shock,
horror!
Several members interjected.
The SPEAKER :
Hansard cannot follow what is going on in the chamber, so we want a nice, loud
answer through the Chair, and no interjections. Thank you.
Ms M.J. DAVIES :
Sorry, Mr Speaker.
We are not selling the
FPC. One section of the FPC's assets, which is softwood plantations,
has been listed for a potential sale. That process is currently being carried
out through the asset sales process that the Premier talks about regularly, and
due diligence is being done. There are some things that need to be taken into
consideration as part of that process. It will occur over the next six to 12
months. Some exciting things are happening in the other parts of the forestry
portfolio. We have been doing a significant amount of work with our sandalwood contracts.
Some contracts are coming to an end in the middle of next year, and we have
been working with stakeholders to try to maximise the benefit for not only
regional Western Australians but also the taxpayers of Western Australia, and I
think there are also some fantastic overlaps in benefits for the wheatbelt in
terms of plantation sandalwood. In the member for Kalgoorlie's patch we
also have a significant footprint for sandalwood. If we talk about the native
forests and the contracts that we have and that FPC manages in that space, we
have a forest management plan, and we have processes that are working hard to
make sure they are creating jobs and modernising their facilities and
technologies. I am sure that the member is well up to speed with that.
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