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Kesla fighting fires with new equipment and chemicals

Australian timber industry news - Fri, 04/10/2024 - 02:48
Kesla HydraX turns commonly used agricultural tractors into a fleet of rapid wildland fire fighting forces off-road, in-built areas and beyond. Source: Timberbiz The unit is quick to deploy on public roads to wildland fire sites and beyond; off-road the unit uses its own hydraulic unit for assisted drive for increased mobility. HydraX can quickly fill itself from closest natural water source, or the water tank can also be fed from a pressure line. A fog cloud or a powerful water jet spray can be easily targeted using one of the three water spraying systems at a time; one mounted on the boom, another manually operated at rear and the most powerful one on top of the water tank. At best, water stream can reach horizontally over 50m and vertically almost 45 m high. Grapple on the boom can effectively open fire nests while ForExt admixture is shot on the grapple simultaneously. The HydraX uses natural water sources, and no time is wasted in water logistics. The unit can operate in water supply logistics feeding the fire brigade’s tank trucks or in a small forest fire the unit can be driven to the middle of the forest and be used as effective front-line firefighting unit carrying over 10 000l of water to a difficult off-road location. In large scale logging sites or plantations, the HydraX can operate as a first-hand fire extinguishing unit, and it allows also the daily machinery washing works on-site to minimize fire risks. Outside the forest in built surroundings the HydraX is an efficient solution for any mobile wet works such as infrastructure washing, dust control, wetting works and fire security. Applications can range from washing road signs, bridge railings, tunnels, industrial yards to washing large storage halls inside out. In forest industry the unit can be used to wet the round wood piles or woodchip stockpiles during hot summer season, or it can act as mobile fire security unit securing industrial hot works. In built surroundings the water filling can be done for example at a port, from a rain water reservoir or from a pressurized fire post. Traditionally the forest fires have been extinguished using water but due to climate change fires are getting extreme and plain water is not always enough to stop the fire. Furthermore, in wildland fires the rural conditions complicate the firefighting as the fires are typically located off-road. Creating a firestop is a new method for fighting wildland fires; the burning hot fire is not fought with water, but instead a fire-extinguishing agent is used to create a so-called firestop to a pre-designed location where fire is stopped from spreading. Finnish companies PPO-Elektroniikka and Kiilto Oy have combined their expertise and developed a forest fire-extiguishing agent ForExt for which KESLA HydraX is specially designed. Powerful jet stream can wet the ground in over 50m reach or trees even 30-40m high. In addition, a grapple can be used to open fire nests and simultaneously shoot fire-extinguishing agent to a minor fire. An environmentally friendly 1:100 water-ForExt admixture forms a kind of a film on top of the biomass which then prevents ignition and re-ignition. ForExt storage and dosing are integrated to the HydraX systems which automatically forms the correct mix-ratio.

Delays expected for EU deforestation laws

Australian timber industry news - Fri, 04/10/2024 - 02:47
The European Commission said it would propose delaying implementation of a law banning the import of commodities linked to deforestation by a year, following calls from industries and governments around the world. Sources: Reuters, Timberbiz The law has been hailed as a landmark in the fight against climate change, but countries and industries from Brazil to Malaysia say it is protectionist and could end up excluding millions of poor, small-scale farmers from the EU market. There were also widespread warnings from industry that the EU deforestation regulation, or EUDR, would disrupt the European Union’s supply chains and push up prices. Some 20 of the EU’s 27 member states asked Brussels in March to scale back and possibly suspend the law, saying it would harm the bloc’s own farmers, who would be banned from exporting products grown on deforested land. The proposal would need the approval of the European Parliament and member states, the Commission said. It added that it was also publishing additional guidance documents. EU leaders have watered down numerous environmental measures this year to try to quell months of farmers’ protests over issues including the bloc’s green policies and cheap imports. The EUDR would have required companies importing soy, beef, cocoa, coffee, palm oil, timber, rubber and related products to prove their supply chains did not contribute to the destruction of the world’s forests, or face hefty fines from December. Companies would have to digitally map their supply chains down to the plot where their raw materials were grown, even on small farms in remote, rural regions. Critics say this is exceedingly complex in supply chains that span the globe and involve not just millions of farms but multiple intermediaries whose data is not easily verifiable. Eurocommerce, which represents the European retail industry, said it was grateful the Commission had acknowledged its concerns regarding compliance and possibly supply chain disruptions. Brussels argues that the EUDR is necessary to end the bloc’s contribution to deforestation, the second leading cause of climate change after the burning of fossil fuels.  

Stora Enso to sell forest assets

Australian timber industry news - Fri, 04/10/2024 - 02:47
Stora Enso is preparing to sell approximately 12% of its total forest assets of 1.4 million hectares in Sweden. Source: Timberbiz Stora Enso has therefore initiated steps to implement a new legal structure for its Swedish forest assets to facilitate the potential sale. A potential transaction would be subject to agreeing terms and conditions with investors, including a long-term wood supply and forest management agreement. If the sale goes ahead, it would reduce debt and strengthen Stora Enso’s balance sheet, confirming the financial value of the company’s forest holdings. Stora Enso is a leading provider of renewable products in packaging, biomaterials and wooden construction, and one of the largest private forest owners in the world. Stora Enso has approximately 20,000 employees and its sales in 2023 were EUR 9.4 billion.  

Navigating ecosystem reconstruction in NZ

Australian timber industry news - Fri, 04/10/2024 - 02:46
Navigator X by Eco-Index is a mapping tool for Waitaha/Canterbury in New Zealand that helps people decide where to focus ecosystem reconstruction efforts. Ecosystem reconstruction is a specific kind of ecological restoration where native ecosystems are reconstructed from scratch. Source: Timberbiz Navigator X was created by the Eco-index research program to improve access to environmental information. “We want to help people who are interested in bringing local nature back to their landscapes. Cantabrians can now access region-wide information to help pinpoint places where ecosystem reconstruction will have the best return on investment,” Co-Director of Eco-index, Dr Kiri Joy Wallace (University of Waikato) said. Navigator X allows users to explore a 3D landscape with different coloured layers draped across the riverbanks, plains and slopes of Waitaha/Canterbury. Eco-index Data Scientists created the map by weaving the best available and trusted national environmental datasets with economic and ecological know-how. The coloured layers provide information about how “optimal” each area is for reconstructing native ecosystems. It allows users to consider a range of prioritisation options that represent their own reasons for undertaking ecosystem reconstruction. The prioritisation options include improving land stability, creating riparian benefits and supporting threatened environments. This new mapping tool is especially helpful for groups wanting to collaborate across large landscapes. “We see value in this map for supporting both rūnanga and catchment groups to get restoration work done in the right places. Greater benefits can be achieved for te taiao, including people, when we work collaboratively,” Wairewa Rūnanga Executive representative, Ana Gray (Kāti Irakehu, Ngāi Tahu) said. Navigator X is helpful because many of the diverse native forests, dunelands and wetlands that once cloaked the Waitaha/Canterbury landscape are missing. Reconstructing them will support biodiversity such as native birds, bats, reptiles, plants, fungi and microorganisms. Native ecosystem reconstruction will also improve local ecosystem services such as filtration and retention of rainwater to reduce floods, erosion control, and mitigation of natural hazards such as flooding, fire and landslides. “Navigator X does not provide the whole picture for ecosystem reconstruction but does add something new to the toolbox for decision-makers in large landscapes. We hope Navigator X for Waitaha/Canterbury will make prioritisation of reconstruction locations easier and more cost effective,” Eco-index Co-Director Dr John Reid (Ngāti Pikiao, Tainui) said. Navigator X does not provide any landowner, local authority or private information.

Sumitomo Forestry to acquire control of Metricon Group

Australian timber industry news - Fri, 04/10/2024 - 02:46
Sumitomo Forestry will acquire 51% of the equity shares of Metricon Group, Australia’s largest detached home builder, through its wholly owned subsidiary Sumitomo Forestry Australia. Metricon will become a consolidated subsidiary of Sumitomo Forestry. Source: Timberbiz The acquisition is expected to be complete by the end of the year and it has already passed through Australia’s competition requirements. Sumitomo Forestry will make Metricon, which sells mainly detached homes in the Australian States of Victoria, Queensland, New South Wales and South Australia, a consolidated subsidiary, with a view to expanding the company’s housing business in Australia and to build a stable earnings portfolio in its overseas housing business. Metricon does not expect any major changes to its operations in Australia, the company has around 2500 employees. Metricon CEO, Brad Duggan, says that after months of discussions and negotiations, whilst this strategic partnership marks the beginning of a new chapter, at Metricon it will be business as usual. “Metricon has worked hard over the past 24 months to return the group to its position of strength, and we are ecstatic that this work has resulted in the establishment of such an important partnership with Sumitomo Forestry. This partnership enhances Metricon’s readiness to respond to the opportunities in the Australian housing market,” Mr Duggan said. “Both Metricon and Sumitomo Forestry see the great advantages that can be harnessed from working together. The Australian housing industry, more than ever, needs strong participants to solve the issues it currently faces, and this partnership will further build Metricon’s market leading position. “In Sumitomo Forestry, Metricon has found an exceptional partner that aligns strongly on the importance of legacy and commitment to excellence while also complementing the existing ownership group and management team. Together we are confident we will build a well-considered, long-term strategic future for Metricon, our team and customers. “With the sale and purchase agreement signed we expect to announce the successfully completed transaction in the coming weeks.” Metricon has established a dominant brand presence in Australia as a top builder, boasting a broad product lineup ranging from standard products for first-time home buyers to luxury brands, and in recent years has been expanding its business domain to include more affordable detached housing products, town homes, and public housing construction. Sumitomo Forestry entered the Australian detached homes business in 2008, after which it acquired Henley Properties Group in 2009, before going on to acquire Wisdom Properties Group (New South Wales) and Scott Park Group (Western Australia). If this acquisition goes ahead around 12% of Australian homes will be built by foreign owned companies. With the acquisition of Metricon as a consolidated subsidiary, the number of new housing starts by the Sumitomo Forestry Group in Australia will be more than 7,000 units per year, making Sumitomo Forestry Group the number one builder in Australia. Australia’s need for housing with an expected 1.2 million new homes in the next five years is an attractive proposition. Yasuhiro Odagane, Managing Director of Sumitomo Forestry Australia, says this acquisition is key to helping Sumitomo Forestry achieve its goal of addressing the long-standing housing shortage in Australia. “This acquisition enables our group to expand the business areas in each state, establishing Sumitomo Forestry as the number one builder in Australia and, most importantly, allowing us to make a substantial contribution to the provision of social infrastructure,” he said.

OFO invests in biomass power at Jubilee Sawmill

Australian timber industry news - Fri, 04/10/2024 - 02:44
OneFortyOne is investing around $30 million in a renewable biomass power generation project at its Jubilee Sawmill in Mount Gambier. Source: Timberbiz The project, which includes the installation of a new boiler and steam turbine, represents a total investment of approximately $90 million. This initiative underscores our commitment to continuous investment, demonstrating our long-term dedication to the region, sustainability and innovation. The Jubilee Sawmill first started producing electricity in 1956, producing energy for Mount Gambier until the 1970s. The new turbine will generate more than enough electricity to power the entire Jubilee Sawmill site. The excess renewable electricity can be returned to the grid or used to enable future electrification of forklifts, trucks and other machinery. It is expected to be completed by 2026 and will provide the following benefits: This project will help us achieve over 70% of our Scope 1 and 2 emissions reduction target Over 50% reduction in OneFortyOne’s total combined Scope 1 and 2 emissions[1] Over 85% reduction in OneFortyOne’s total Scope 2 emissions[2] Over 9,000 tCO2e emissions avoided on 2021 levels Estimated total annual renewable electricity generated: 43,800 mWh. “The Jubilee Sawmill has been part of OneFortyOne since 2018 and since that time we have proudly invested in the team and the site every year,” OFO CEO Wendy Norris said. “The need to replace our current boiler, which is reaching its end of life, has presented us with a unique opportunity to rethink how we utilise steam and consume electricity at our site. “This investment not only supports our decarbonisation goals but also positions us for future opportunities in renewable energy. “By installing a steam turbine power generation system, we will be able to produce electricity from biomass, significantly repurposing wood fibre, preparing for our future energy needs.” South Australian Forest Products Association congratulated OneFortyOne on its investment. “The Green Triangle is renowned as Australia’s premier softwood plantation and processing hub, and now, with today’s announcement by OneFortyOne, the forest industries will take a great step forward on the path to decarbonisation,” said Mr Nathan Paine, CEO of the South Australian Forest Products Association. “OneFortyOne’s investment into a renewable cogeneration power project will deliver a 50% reduction in OneForty One’s total scope 1 emissions and over 85% of their total scope 2 emissions, saving over 9,000 tCO2e. Not only will this new cogeneration facility generate all the energy for the Jubilee sawmill, the largest sawmill in Australia, it is estimated to generate 20,000 mWh of excess renewable electricity which will be returned to the grid or in the future used to power vehicles and machinery,” said Mr Paine. “The decarbonisation of OneFortyOne’s Jubilee Sawmill is a clear statement piece to policy makers that forestry is the ultimate renewable, as forestry captures and stores more carbon than they emit, and better yet, is now using renewable energy sources to power their own sawmill practices. “Evidence shows that every cubic meter of finished softwood product sequesters a gross 900kg CO2-e and a net 718 kg CO2-e. As our industry seeks to decarbonise in an ambitious drive to reduce our emission, leadership like this from OneFortyOne demonstrates the focus, commitment and investment in creating a cleaner, safer and more prosperous future. “With businesses leading through the discovery and implementation of innovative technologies, just like OneFortyOne’s renewable project, it illustrates that new technologies and new pathways can, and will, decarbonise our economy,” said Mr Paine. “Congratulations to the team at OneFortyOne for further decarbonising the ultimate renewable industry.  The future is bright with forestry leading by example to achieve a cleaner, greener future.” The Premier of South Australia Peter Malinauskas said OFO’s investment into one of South Australia’s most significant industries was exciting for the State. “This is a welcome announcement, which means longevity of technology, reduced carbon emissions and renewable energy going back into the grid,” he said. “OneFortyOne’s investment in renewable power generation at Jubilee Sawmill is a significant step towards reducing our carbon footprint and enhancing our energy efficiency. We are excited about the future possibilities this project will bring and remain committed to investing in our business, valuing our fibre and emissions reduction.”

Eight research projects funded with $5M

Australian timber industry news - Fri, 04/10/2024 - 02:41
Australian Forest and Wood Innovations, hosted by the University of Tasmania, has announced eight research projects that will be funded through its inaugural $5 million National Open Call for research. Source: Timberbiz This marks the first research funded through the Federal Government’s $100 million commitment for AFWI. AFWI’s $5 million funding will catalyse over $8.3 million in industry and research contributions bringing the total investment in research for the forestry and wood products industries to $13.3 million. The projects were recommended by AFWI’s Research Advisory Committee, a panel of industry and research experts, ensuring the projects align with industry needs, deliver transformative outcomes to the sector and support growth in research capacity. The Minister for Agriculture, Fisheries and Forestry, Julie Collins, said that the selected projects span a diverse range of research areas aimed at addressing key opportunities and challenges faced by the forestry and forest products industries. “The first round of projects will play an important role by delivering research that seeks to provide climate change solutions, make the most of our available wood fibre, and support the sustainable management of Australia’s forests,” Ms Collins said. “I congratulate the eight successful projects from the inaugural National Open Call.” AFWI’s Chair of the Research Advisory Committee, Professor Rod Keenan, highlighted the importance of collaboration between industry and researchers. “These projects are the first step in developing new partnerships between industry and research organisations under the AFWI arrangements,” Professor Keenan said. “The Research Advisory Committee was impressed with the level of interest in this call and overall quality and breadth of applications. “In addition to addressing industry needs, the eight funded projects will support 36 early-career and higher-degree researchers, helping to cultivate the next generation of forestry research professionals, enhancing the long-term sustainability of the sector.” The eight projects selected for funding include: Evaluation of suitable timber species for Australian sports flooring systems Modernising Australian timber windows: addressing regulatory challenges, resource and material shifts Odour misinformation: a new way to reduce vertebrate pest damage to plantation seedlings Long-term creep behaviour of Australian structural glulam Developing more productive plantation trees better adapted to changing environments Enhancing fire resilience in Australian plantations Future lightweight timber framing: productivity Delivering fauna trends in forestry landscapes using sensors and AI The successful projects will be invited to enter into contract negotiations with AFWI and are expected to begin research in the coming months. The Australian Forest Products Association has congratulated the eight research proponents who have been successful in obtaining funding. “The announcement of the initial eight research projects to receive AFWI funding is another important milestone in the delivery of the Albanese Government’s $100 million election commitment to support Australia’s forest industries,” AFPA Chief Executive Officer Diana Hallam said. “News that the $5 million in AFWI funding is unlocking a further $8.3 million of matching investment from industry and research partners which will go a long way to support increased research capabilities and ensure Australia’s forest products sector is better able to meet the anticipated future demand for fibre. “Projects given the green light by AFWI’s Research Advisory Committee include the development of Future Lightweight Timber Framing solutions and Evaluation of Suitable Timber Species for Australian Sports Flooring Systems which will allow for Australian timber to be specified in sports floor designs and reduce the need for imported timber,” she said A number of projects will increase the Australian forestry sector’s ability to adapt and mitigate against climate change, including the projects – Enhancing Fire Resilience in Australian Plantations and Developing more productive plantation trees better adapted to changing environments. “I congratulate the large number of AFPA members who have supported applications and will now partner with research institutions through the National Open Call to deliver projects including: Pentarch Forestry Group, Australian Sustainable Hardwoods, Sustainable Timber Tasmania, Reliance Forest Fibre, Forico, HQ Plantations, Hancock Victorian Plantations, Australian Bluegum Plantations, Timberlands Pacific, Wespine Industries, Hyne Timber, AKD, SFM, Midway, African Mahogany Australia, WAPRES and Forestry Corporation NSW. “I thank Minister Julie Collins for her continued support of this great Australian industry through this important initiative.” Ms Hallam said. A complete list of project partners and details can be found on www.afwi.au

Forestry’s Centre of Excellence is taking shape in SA

Australian timber industry news - Fri, 04/10/2024 - 02:40
New artist impressions of the Forestry Centre of Excellence being built in Mount Gambier have been released as new research and development projects are launched. Source: Timberbiz, The SE Voice The Centre of Excellence is a collaborative project between the South Australian Government, the University of South Australia (UniSA), and the forest industry. The Centre is on the same site as the UniSA Mount Gambier campus, the new Mount Gambier Technical College, and the Mount Gambier TAFE – providing a unique opportunity to create an education, training, and research precinct. The design for the facility is due to be finalised in November 2024 with building construction due to commence in April 2025 and an expected completion in January 2026. Vital research underway in temporary facilities was showcased at a special launch on site today, and includes projects on: structural timber market access improving safety fire detection from cameras and satellites suppression, recovery, and analysis of digital forestry data using artificial intelligence immersive data analytics using VR and AR to understand the implications of climate change on plantation growth yield and water use. Following a global search, Professor Jeff Morrell was appointed as the Forestry Centre of Excellence’s inaugural director, due to commence in mid-January 2025. Previously, Professor Morrell, was director for the Centre for Timber Durability and Design Life based at the University of the Sunshine Coast. The FCoE links to the forest industry’s key attributes of collaboration, connection, and partnerships through research, training education, development, and extension activities. These have been reflected in the new FCoE brand of interlocking abstract trees also unveiled today. Premier Peter Malinauskas, who is visiting the region today, said the Green Triangle plantation forest region is one of the powerhouses of the Australian forest and forest products industry. “The South Australian portion of the region contributes more than $860m to the state’s gross product annually – making it one of our most productive primary industry sectors,” he said. “We are delivering on our election commitment to establish a world-leading Forestry Centre of Excellence to strengthen this already thriving industry.” Minister for Primary Industries, Regional Development and Forest Industries Clare Scriven welcomed the progress. “These latest exciting steps in the establishment of the Forestry Centre for Excellence will further drive existing and future research, development, and extension activities, covering the social, economic, and environmental aspects of forestry in the Green Triangle region,” she said. “This centre will support the full forestry supply chain including plantation management, harvesting and haulage and timber processing and will also aim to cover the technical, safety, and training aspects relevant to those sectors, whilst building greater connections with our First Nations people. “This is a momentous occasion recognising the hard work and investment put in by my Government, UniSA, Green Triangle Forest Industries Hub, South Australian Forest Products Association, and the wider Green Triangle forest industries.” UniSA Chancellor John Hill said the University of South Australia was honoured to host the new Forestry Centre of Excellence, which had evolved from Forest Research Mount Gambier, established in 2018 by the State and Federal Government, UniSA and the forestry industry. “The model of recruiting UniSA researchers into the forestry industry has resulted in a more efficient, safer, progressive, and profitable industry, establishing standards for best practice,” he said. “Together with the State Government, we are proud to continue this partnership and help advance research and development projects to ensure the industry’s economic prosperity committing more than $6m towards the centre’s operations and building along with significant in-kind support.” Ms Tammy Auld, Governing Council Chair of the South Australian Forest Products Association said that as the first of its kind in South Australia, the Forestry Centre of Excellence puts Mount Gambier on the map of forest innovation, as the Centre brings together local, national and international experts across the diverse research field in forest and wood-fibre innovations. “The long-term goal of the FCoE will be to enhance the industries global competitiveness and ultimately increase economic and employment opportunities for the forest industries and the region,” Ms Auld said. “In the lead up to the 2022 State Election, industry sought State Government’s support to establish a Forestry Centre of Excellence that will elevate research outcomes and focus on forest research, education, and product development. “With thanks to the Minister for Forest Industries Clare Scriven, and her tireless efforts, industry’s vision has come to life with long-term funding and future opportunities for the next generation of forest researchers,” Ms Auld said. “Over the past almost 150 years, the forest industries have been critical in supporting the growth of our community and economy. With over 21,000 South Australians directly and indirectly employed in forestry, we have the potential to grow employment and the industry overall as part of the State Government’s ambitions to reindustrialize South Australia. “SAFPA is excited about the future of forestry in South Australia and look forward to officially opening the Centre in 2026.”

Opinion: Marcus Musson – Spring has sprung but not the log market

Australian timber industry news - Fri, 04/10/2024 - 02:38
Spring has sprung, lambs are frolicking, daffodils are blooming, and the feeling of warmer temperatures and better times is hanging heavy in the air. Unfortunately, like the frolicking lambs, logs are still worth bugger all in the export market with September prices flat with August at around $113/m3 for A grade. However, that feeling of better times is likely to come to fruition for logs (but probably not lambs) as shipping rates ease and in-market sales prices increase, albeit very marginally. If you run the abacus over what October might look like you get a number in the early NZ$120’s/m3 for North Island ports. This increase will be as welcome to forest owners as Darlene Tana’s departure from parliament will be to the Greens (and everyone else). On port log inventories in China have increased by over 200,000m3 in August to 3.4million m3 as supply has been stronger than expected, however, offtake has also recently increased by around 10,000m3 per day to 60-65,000m3 per day which should help balance the books. The NZ:US exchange rate has continued to be strong at US$0.62 which has not helped pricing levels. As a rule of thumb, every cent appreciation in the $NZ takes around $NZ3/m3 off the bottom line. There’s still no change in the residential construction activity in China and there’s not likely to be for a while as there’s currently enough empty new housing stock to rehome the entire Chinese population and still not touch the sides. This is being reflected in the log mix demand, with less demand for the lower industrial grades (Ki and KIS) and more demand for the higher grades (A grade), especially the longer lengths. This is due to demand now coming from the furniture and packaging sectors which require higher quality logs rather than construction and likely represents the new norm going forward. Construction numbers at home don’t look terribly flash either with consents down 22% compared to 2023. While we don’t have the ridiculous over supply issues that China does, we do have other issues. Construction Minister, Chris Penk said recently that it was “too hard and too expensive to build” and committed to cutting red tape and lowering building costs. This will be great news for homeowners as anyone that has dealt with building consents will understand the cost that bureaucracy adds to a build. Domestic log demand has, however, remained relatively stable despite the current trading conditions facing merchants. The recent closure of the Winstone Pulp and Sawmills in Ohakune as a fallout of the recent power price spikes has rocked the local communities with the loss of 230 jobs. WPI was a major employer in the central plateau and the loss of another domestic log customer also makes it that much harder for the forest owners in that region. This does highlight how many of these sawmills (and other primary processors) were initially setup as a business case with low cost, renewable power generation as part of the equation, are now having to deal with power pricing that would never have been contemplated in their wildest dreams. In contrast, some sawmills have their own power generation from the burning of residues and would actually be better off running solely as a power generator during these periods. The electricity crisis may have wins for those holding NZU’s as generators throw coal (imported Indonesian coal that is) and gas into boilers as fast as they can. This has generated a 170% increase in emissions from the same period last year and the highest total emissions level since June 2021. This increase in emissions will chew a hole into the NZU stockpiles held by generators which will need to be replaced at some point. Interestingly, coal-based generation emissions increased 265% in the second quarter of this year which is an increase of around 500,000 tonnes of CO2 – something to think of as you’re driving your EV to work, scowling at anyone with an exhaust pipe while believing you’re saving the planet. The latest NZU auction failed without bids high enough to clear the auction floor price of $64/NZU. Following this the NZU price reached a five-month high of $62.25 before settling back down into the mid $61 territory. Total NZU holdings have now dropped to 144 million, which is the first time below 150 million since mid-2021. If you were a betting person, you’d be looking at holding your NZU stash. All in all, there’s a bit of light at the end of the tunnel, albeit a candle flickering in the wind. Export prices look to be firming, summers’ coming, and things will dry out. Pricing will be very unlikely to reach the peaks of previous summer rally’s and in terms of supply, we definitely don’t need a big price spike related supply slug to hit China later this year. So as summer progresses, help the industry out – get out there and build that deck, crack on with that house extension and put new palings on the fence. Our farming cousins would appreciate it if you could also chew on a lamb chop while doing it! Marcus Musson is a Forest360 Director. He holds a Bachelor of Forest Science with Honours from Canterbury University, New Zealand, and specialises in steep slope cable harvesting, marketing and value recovery initiatives.  

Forestry NOW 2024

Australian timber industry news - Fri, 04/10/2024 - 02:36
Forestry NOW 2024 – Australian Forest and Timber’s annual State of the Industry Review which includes observations from our political leaders, national industry leaders and more – is now live at https://forestrynow.com.au/ And it’s worth taking the time to check out the digital profiles in Forestry Equipment NOW which include details on company information, products and services. You can easily access the digital profiles by clicking on the logo.

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