❓ Mr Rundle questions the economic impact assessment of a decision affecting the Parkside Group and regional WA forestry. The Minister responds by highlighting industry advice, job creation in softwood, financial performance, and a support package for affected workers.
AnsweredQoN 536Legislative Assembly
QuestionView source ↗
NATIVE FOREST — LOGGING — PARKSIDE GROUP
536. Mr P.J. RUNDLE to the Minister for Forestry:
I have a supplementary question.
What economic modelling, if any, was undertaken to map the impact of this snap
decision upon regional WA, and will the minister table it?
536. Mr P.J. RUNDLE to the Minister for Forestry:
I have a supplementary question.
What economic modelling, if any, was undertaken to map the impact of this snap
decision upon regional WA, and will the minister table it?
AnswerView source ↗
As
I have just gone through, the biggest player in the industry advised us that
unless we provided a significant subsidy, it was considering closing its mills by the end of the year. That is its
own analysis. That is not our analysis. We estimated that over 150 jobs would be created through the
expansion of the softwood industry. As the member for Roe should know, the
native logging industry is less than 10 per cent of forestry in Western Australia.
From the taxpayers' point of view, we can look at the Forest Product
Commission's annual reports and see that since the last forest
management plan it has operated at a loss compared with the softwood industry,
which operated at a substantial profit.
We understand that this decision
will cause some concerns for some of the workers impacted, and we estimate 300-plus workers' jobs may change or be in
question because of this decision. We on this side of the house understand that. That is why we are putting together a $50 million package. I have had
discussions already with the industry about how that will work. I have already
with met with the unions to talk about how workers in that industry can be
directly involved and how that money will be spent. We are painfully aware that
these decisions can cause some families and some communities discomfort, but we
know that if we want a long-term sustainable industry, the future is in
plantations, and that is the decision we have made.
I have just gone through, the biggest player in the industry advised us that
unless we provided a significant subsidy, it was considering closing its mills by the end of the year. That is its
own analysis. That is not our analysis. We estimated that over 150 jobs would be created through the
expansion of the softwood industry. As the member for Roe should know, the
native logging industry is less than 10 per cent of forestry in Western Australia.
From the taxpayers' point of view, we can look at the Forest Product
Commission's annual reports and see that since the last forest
management plan it has operated at a loss compared with the softwood industry,
which operated at a substantial profit.
We understand that this decision
will cause some concerns for some of the workers impacted, and we estimate 300-plus workers' jobs may change or be in
question because of this decision. We on this side of the house understand that. That is why we are putting together a $50 million package. I have had
discussions already with the industry about how that will work. I have already
with met with the unions to talk about how workers in that industry can be
directly involved and how that money will be spent. We are painfully aware that
these decisions can cause some families and some communities discomfort, but we
know that if we want a long-term sustainable industry, the future is in
plantations, and that is the decision we have made.
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