Australian timber industry news

Latvia’s state-owned forestry company, LVM, said it is still working to restore its IT systems weeks after a ransomware attack disrupted several internal and customer services. Source: The Record The attack, first disclosed in late June, knocked the company’s mapping platform and hunting application, as well as systems used to exchange information with contractors and customers offline. Latvian authorities said the attackers had likely been inside the company’s network for more than a week before they were detected. LVM’s chief technology officer, Maris Kuzmins, told local media earlier this week that the situation has stabilized, but returning operations to normal remains “quite challenging.” About two-thirds of customers with service contracts still do not have access to the affected systems, he said. According to Kuzmins, the attackers exploited a vulnerability in a system that had not been updated for two years, but he did not identify the affected software. The company previously said it had not received a ransom demand and would refuse to pay even if one were made. Latvijas Valsts Mezi is one of the country’s most profitable state-owned companies. It manages most of Latvia’s state forests; harvests and sells timber; maintains public recreation sites; and provides geographic information and mapping services. Latvia’s national computer emergency response team, CERT.LV, attributed the intrusion to a foreign, financially motivated ransomware group that has previously targeted companies and public institutions in NATO and European Union countries. Officials have not identified the group. The attackers leaked roughly 44 gigabytes of stolen data online, although investigators believe they accessed significantly more information than they ultimately published. According to CERT.LV, the exposed files include internal documents, email correspondence, software code repositories, digital certificates, cryptographic keys and user credentials. Election infrastructure is separate The attack also prompted scrutiny because LVM helped develop new functionality for Latvia’s electronic voter registration system, which allows voters to cast ballots at any polling station. Latvian authorities said the election infrastructure was not compromised because the software was developed in a separate environment and its code was never stored in LVM’s corporate repositories. CERT.LV said it had reviewed every software delivery made for that project and found no evidence of malicious code or unauthorized access, concluding the system is safe to use in the upcoming parliamentary elections. CERT.LV said the same threat actor also compromised a server belonging to Latvian pharmaceutical company Olpha, formerly known as Olainfarm. The Olpha breach has since been contained, with no evidence so far of broader damage beyond the affected server. Authorities said the two breaches were technically unrelated despite being attributed to the same threat actor. According to CERT.LV, the group behind the incident “continues its activities in Latvian cyberspace, purposefully searching for new potential vulnerabilities in the infrastructures of public- and private-sector organizations.”

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As demand grows for lower-carbon construction, transparent supply chains and robust sustainability reporting, organisations are increasingly looking for credible ways to demonstrate responsible sourcing. Source: Timberbiz The new PEFC Project Sourcing standard provides an independent, third-party certification framework that enables organisations to demonstrate that forest and tree-based materials used within construction and infrastructure projects have been responsibly sourced and are supported by verifiable evidence. To explore the opportunities presented by the new standard, PEFC recently brought together experts from Australia, Japan, Singapore, and the UK to share practical insights and real-world examples. The webinar provided a practical introduction to the new PEFC Project Sourcing standard, explaining how it supports responsible sourcing, material traceability and sustainability reporting while showcasing certified projects from around the world. The construction sector is under increasing pressure to reduce carbon emissions, improve material traceability and meet the requirements of green building rating systems and sustainability reporting frameworks. Jonathan Tibbits, sustainability consultant and lead author of the new PEFC Project Sourcing standard, explained that the revised requirements were developed specifically to meet these evolving needs. “At its core, the move to a standalone standard was intended to make project certification clearer, more consistent and more practical.” The new standard introduces several important developments, including applicant projects, multi-project certification and greater flexibility for organisations managing multiple developments. It also uses terminology and requirements designed specifically for construction projects while aligning with leading green building rating systems around the world. Mr Tibbits explained that these changes make certification more accessible while maintaining the robust, independent assurance that organisations increasingly need to support responsible sourcing claims. Kevin Hill, Managing Director of Nautilus Innovation, demonstrated how project certification creates value throughout the construction process, drawing on examples from hospitality developments across Asia and the Middle East. As organisations seek to communicate the environmental benefits of timber construction, Mr Hill emphasised that evidence has become just as important as ambition. “People don’t believe what you tell them anymore. They want to see evidence.” He described PEFC Project Sourcing certification as providing the trusted evidence trail needed to support sustainability claims, carbon reporting and responsible sourcing communications. Mr Hill also stressed the importance of considering certification from the outset of a project. “Project certification needs to be committed before, not after, a project.” The webinar also highlighted how project certification is already supporting construction projects in different markets. Makiko Horio, Deputy Secretary General of PEFC Japan (SGEC/PEFC Japan), shared how Japan has become the world’s leading market for PEFC Project Sourcing certification, with 33 certified projects ranging from schools and public buildings to commercial developments and the Austrian Pavilion at Expo 2025 Osaka. She explained that while the motivations vary between public and private sectors, responsible sourcing is becoming increasingly important across both. “Project certification is used across both private and public sectors, with a strong focus on locally sourced certified timber.” John Kirkby, Executive Director of PEFC UK, outlined how growing use of mass timber construction and increasing availability of PEFC-certified materials are creating new opportunities for project certification. Drawing on experience from projects including the London Olympic Village, HMS Victory and Timber Square in London, John explained how feedback from developers, contractors and certification bodies helped shape the revised standard. “We’ve listened to the users and hopefully have provided some real practical solutions.” The revised standard includes new mechanisms that make certification more practical, including continuous multi-project certification and improved trademark provisions that allow project owners to continue communicating their certified status after construction has been completed.” The webinar can be view at https://www.youtube.com/watch?v=mREs60z7y1k

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The UK Government has announced plans to launch a public consultation aimed at strengthening the country’s timber regulations. The initiative was confirmed in a statement issued by the Secretary of State for Environment, Food and Rural Affairs (DEFRA) and is expected to begin later this year. Source: Timberbiz The proposed consultation follows extensive discussions over the future of timber regulation in the UK. It also comes ahead of the European Union Deforestation Regulation (EUDR), which is scheduled to come into force at the end of 2026. The consultation is intended to ensure that the UK maintains an effective and practical regulatory framework while supporting sustainable forestry and responsible sourcing practices. Under the proposed changes, businesses operating in Great Britain with an annual turnover exceeding £1 million and using forest commodities or wood products would be required to undertake due diligence. The purpose would be to verify that timber and forest-based products have been produced in accordance with relevant local legislation in their country of origin. The proposal represents a significant step towards strengthening existing legal requirements for timber supply chains. Greater emphasis would be placed on responsible sourcing and legal compliance throughout the procurement process. The consultation has been welcomed by Timber Development UK (TDUK), which has consistently advocated stronger measures to combat global deforestation and forest degradation while maintaining practical implementation for the timber sector. David Hopkins, Chief Executive Officer of TDUK, said the organisation strongly supports the objective of modernising UK timber legislation to address global environmental challenges. According to Hopkins, aligning UK standards with evolving international regulatory frameworks, including the EUDR and recent amendments to the United States Lacey Act, would provide long-term benefits for the domestic timber industry. He explained that greater alignment with international requirements would assist UK businesses involved in global trade while also supporting the wider adoption of sustainable forest management practices across producing countries. Although TDUK supports stronger regulation, the organisation believes the UK should avoid directly replicating the European Union’s legislative framework without modification. Darren Mayes, Sustainability and Supply Chain Compliance Manager at TDUK, emphasised that the EUDR should not simply be transferred into UK legislation without considering domestic market conditions and international trading relationships. He noted that several timber-producing countries are already encountering challenges in complying with the EU regulation. According to Mayes, these implementation difficulties have created friction between producer nations and European markets. He warned that excessive regulatory complexity could discourage producing countries from continuing investment in improving forestry practices and strengthening supply chain governance. Instead, TDUK believes the UK has an opportunity to develop a balanced regulatory model that reflects international best practice while remaining practical for businesses. Mayes suggested that the UK could build on its established leadership in responsible timber sourcing by creating a framework that connects the approaches adopted by the European Union, the United States and timber-producing nations already working to strengthen their forestry legislation. The consultation is also expected to address the regulatory position of Northern Ireland. Under existing post-Brexit arrangements, the EU Deforestation Regulation will apply to businesses operating in Northern Ireland. As a result, companies importing timber products from Great Britain into Northern Ireland will need to comply with the European requirements. This creates additional compliance obligations for businesses trading across the UK internal market. The implications for supply chains are expected to be considered carefully during the consultation process. Hopkins highlighted the work already undertaken by TDUK and its members since Brexit to establish responsible sourcing systems designed specifically for the UK market. He stated that considerable effort has been invested in developing reliable and transparent supply chains that support sustainable timber procurement. Maintaining these achievements remains a priority for the organisation. Hopkins also stressed the wider environmental importance of sustainably sourced timber. He said responsibly managed wood products remain one of the most effective materials available to support climate change mitigation. However, these environmental benefits can only be fully realised through continued collaboration with international supply chain partners and forest-producing countries. TDUK has therefore encouraged the Government to ensure that the forthcoming regulatory framework remains practical, proportionate and achievable for businesses of varying sizes. The organisation also believes that the interests of international trading partners should be considered throughout the consultation process. Industry stakeholders are expected to participate actively as proposals are developed. Their experience will help inform regulations that strengthen legal compliance without creating unnecessary barriers to trade. The consultation follows more than two years of industry discussions, technical workshops and ongoing developments surrounding implementation of the EUDR. For many businesses across the UK timber sector, the Government’s announcement provides greater regulatory certainty and demonstrates continued commitment to strengthening responsible sourcing policies. The planned consultation is also viewed as an opportunity to ensure that the UK keeps pace with evolving international timber regulations while maintaining competitive and sustainable supply chains. As global expectations surrounding legal timber sourcing continue to increase, the forthcoming consultation is expected to play an important role in shaping the future direction of the UK timber industry and reinforcing confidence in sustainable forest product markets.

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After more than 63 years of family ownership, one of Australia’s respected timber businesses is preparing to begin a new chapter. Source: NTHA The Tilling family announced the sale of the Tilling Group to Claymark Australia, with the acquisition to be completed on 31 July 2026. While ownership is changing, the family views the transition as a way of continuing the legacy established by founders Norm and Judy Tilling and supporting the future of the business. For Tilling SmartFrame Managing Director Glenn Tilling, the announcement marks a significant milestone in a journey that began more than six decades ago. “Since its beginnings in 1963, the Tilling Group has had many significant landmark events, and today’s announcement is one of them,” Mr Tilling said. The story began in November 1963, when Norm and Judy Tilling opened a small timber factory in Eltham. From those early days, the business built its reputation on serving local builders and merchants with timber products defined by reliability, quality workmanship and a personal approach to service. What started as a modest operation was grounded in long hours, determination and a deep commitment to doing the work well. As the decades unfolded, that small Eltham factory began to grow beyond its original footprint. During the 1970s and 1980s, the business expanded its timber import operations and developed an international supply chain, strengthening Tilling Timber Imports and building capability that reached far beyond its local beginnings. In 1990, a new chapter of growth opened with the establishment of the Newcastle (Carrington Wharf) bulk receiving yard, significantly enhancing import and distribution capacity and extending the business’s national reach. Innovation continued through the 1990s. In 1994, the business was appointed exclusive Australian distributor of Willamette Valley Lumber Company’s LVL and I-joist products, bringing engineered timber solutions into the Australian market. In 1995, the SmartFrame engineered wood brand was launched, further shaping the direction of the business for years to come. As demand for engineered timber solutions grew, manufacturing operations were relocated to Kilsyth to support increasing value-added production and evolving industry needs. Through each stage of expansion, the business continued to evolve while holding closely to the values established at its beginning. Those values were formally recognised in 2021, when Norm and Judy Tilling were named industry icons by NTHA. In 2023, the business marked 60 years in operation, and leadership transitioned to Managing Director Glenn Tilling, continuing the family stewardship into its next generation. Today, Tilling stands as a manufacturer and wholesaler of engineered wood products. Its SmartFrame, FrameSmart, Architectural Products and SmartFrame Design Centre divisions support builders, designers and timber merchants across Australia with engineered timber solutions, technical expertise and support. Despite decades of growth and change, Mr Tilling said the relationships built along the way remain at the heart of the business. “The relationships we have built with our trading partners, particularly our customers, have been central to Tilling’s success and have shaped the Tilling Group into what it is today. The Tilling family and I sincerely thank you for your support and the journey we have shared over the years.” Tilling SmartFrame will continue operating under the Tilling name, retaining its existing staff and service standards following the change in ownership. “There will be no change to the service and relationships you have come to expect from us. We are confident this next chapter, under new ownership, will create further opportunities for your business,” Mr Tilling said.

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Natasa Sikman is among three new speakers confirmed for the 2026 Forestry Australia Symposium, bringing the view from inside federal policy to a program now set. The three-day event runs at the Rex Hotel in Canberra from Wednesday 7 to Friday 9 October. Source: Timberbiz Early bird registration is open until Sunday 12 July, after which standard rates apply. Ms Sikman has spent two decades in Federal Parliament, including a stretch as chief of staff to former Labor agriculture minister Joel Fitzgibbon, before moving into forest products advocacy. At the Australian Forest Products Association, she led policy and served as acting chief executive, and she now advises on federal government affairs at Chevron. It is a career built largely at the meeting point of forestry, policy and politics, which is much of what this year’s Symposium sets out to examine. Steve Whiteley and Sarah Norris have also been confirmed as speakers at the event. Mr Whiteley offers four decades of Tasmanian forest management, as independent chair of the State Fire Commission and, until his retirement in 2025, through 12 years as chief executive of Sustainable Timber Tasmania, the state’s public production forest manager. Ms Norris, is head of social impact and community at Snowy Hydro, and brings more than 15 years on major infrastructure, energy and government projects and a focus on the community side of large, complex builds. They join a bill confirmed over recent months: Janina Gawler of RST Solutions, previously an executive at Rio Tinto; Alexandra Gartmann of the Australian Farm Institute; and Luke Martin, former chief executive of Salmon Tasmania. Keynote addresses will come from journalist and author Stan Grant and Dr Simon Longstaff AO, executive director of The Ethics Centre. This year’s theme, The forestry story: Strategies for improved awareness, social licence and effective engagement, frames a program that builds on Forestry Australia’s 2025 Conference which was in Adelaide and its 2024 Symposium in Ballarat. It gathers the forest science and management community to work through how forestry explains itself to the audiences that will shape its future, from local communities and Traditional Owners to policymakers, the media and the public. The 2026 Symposium runs at the Rex Hotel, Canberra, from Wednesday 7 to Friday 9 October, across two days of plenary and concurrent sessions followed by a day of field trips. Early bird registration closes on Sunday 12 July, at $765 for members, $1,095 for non-members and $95 for full-time student members, inclusive of GST. Full registration covers all sessions, day catering, the Welcome Reception on 7 October, the Symposium Dinner on 8 October and one field trip on 9 October. Registration and the full program are available on the conference website, and invoices can be arranged through conference@forestry.org.au

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A Bay of Plenty rūnanga boss is optimistic locals will benefit from an industrial bio-energy hub proposed in one of New Zealand’s largest plantation forestry estates. Source: RNZ Investors and Te Rūnanga o Ngāti Manawa are exploring the possibility of building a new bio-refinery hub around Kaingaroa Forest Estate, between Rotorua and Taupō. The concept was driven by NZ Bio Forestry – a New Zealand company launched in 2018, with shareholders in Singapore and Taiwan – on a mission to utilise plantation forestry in reducing the reliance on fossil fuels. It wanted to turn forestry biomass into biofuels, bio-chemicals and residues from a New Zealand-based bio-refinery. The company, backed by the forest’s major shareholding iwi, agreed to carry out a feasibility study for a forestry-based processing centre around Kaingaroa and Murupara Villages. The forest spanning about 200,000 hectares was returned to tangata whenua in 2009, marking one of the largest Te Tiriti o Waitangi/Treaty of Waitangi settlements. It is now owned by a central North Island iwi collective and leased out to commercial entities like major employer Kaingaroa Tipu, formerly Timberlands, with its logging operation. With Ngāti Manawa representing about 5000 mana whenua, chair Kani Edwards said, while the project was still in its early stages, he hoped it would create jobs for locals. “There are a lot of boxes that need to be ticked in order to get this off the ground, but if we get this right, it would be incredible,” he said. “For too many years, both Kaingaroa and Murupara have been in economic decline, and we think this is the opportunity that can change that.” The largely Māori area was once a bustling centre for forestry workers during the logging booms of recent decades, after it was first planted about a century ago. Since then, many private forestry companies have come and left the area or headed to nearby Rotorua and Taupō instead. Edwards said, over the years, many workers and their whānau exited the villages hunting work, so the community now faced acute socio-economic challenges it was trying to address. “Murupara and Kaingaroa, we have some of the highest social and economic issues probably in the Bay of Plenty,” he said. “We have one of the highest unemployment rates, we have some of the highest social and health problems as well. “First and foremost, if we can get our people into full-time employment and get stable incomes coming in, then that sets the tone for everything else and the families can start getting better quality of life.” Among other things, Edwards hoped that a sawmill would be introduced in the hub. NZ Bio Forestry chief executive and owner Wayne Mulligan said it wanted to utilise the abundant and durable forestry resource, while boosting regional development. “It’s about helping the foresters – they’re in a bit of a slump to be honest – and to help them see that what they’re growing can be put to more uses than export logs. “We look to Manawa – to Murupara and Kaingaroa Village – as the place where New Zealand’s next industrial transformation can begin.” Over the next six months, it will investigate opportunities in advanced wood processing, renewable energy, green chemistry, land assessments and other high‑value bio‑based industries in the area. Any future development would be subject to due diligence, commercial viability, governance approvals, regulatory processes and community engagement. If successful, construction would begin this year or early next. The company wanted to replicate what it called a scalable model for an industrial forestry-based hub at other sites across Aotearoa. The rūnanga held community meetings regarding the project last week.

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Timber Queensland has joined The Queensland Farmers’ Federation (QFF) is as its newest peak body member. QFF CEO Jo Sheppard said QFF welcomed the opportunity to work alongside a critical industry which is deeply embedded in regional communities, and which contributes significantly to the Queensland economy. Source: Timberbiz Timber Queensland is the peak forest and timber industry body in Queensland with a unique and diverse membership base consisting of businesses from growers, harvesters, sawmillers, treaters and merchants through to timber users including manufacturers, architects and builders. “As an industry with a well-established local manufacturing base, timber contributes almost $4 billion to the state economy and supports around 23,000 jobs, 70 percent of which are regionally based,” Ms Sheppard said. “We also know that the forest and timber industry faces many of the same challenges as the broader agricultural sector, including biosecurity, secure access to productive land, awareness and attraction for a workforce with diverse skilling requirements, and managing rising input costs, including fuel. “There are also significant opportunities for this industry – growing demand both domestically and globally for timber as a construction material, carbon markets, bioenergy and other opportunities to add value to waste streams, and the State Government’s 25-year Queensland Future Timber Plan. “It will be fantastic to have Timber Queensland at the table as part of the QFF peak body membership and QFF looks forward to working alongside Timber Queensland to proactively navigate these challenges and opportunities to position the industry and its supply chain for a profitable, productive and sustainable future. “QFF is a great vehicle that enables agricultural peak bodies to come together and work collaboratively on policy and cutting-edge projects. It is so important – we cannot do it alone and we are stronger together.” Timber Queensland CEO Mick Stephens said it is important to acknowledge that forestry and wood products are an integral part of the food and fibre supply chain, making it logical to work collaboratively with other peak agricultural industry bodies through QFF. “Many of the issues and opportunities for the timber industry are the same as for broader agriculture, such as workforce development and training, regulation, market access and resource security,” Mr Stephens said. “In particular, we are excited by the opportunities for better integration of forest assets and wood production trees with farming as additional sources of income through timber, carbon and related natural capital markets. “The Queensland Government has also set an ambitious goal of revitalising and growing the timber industry as part of the Queensland Future Timber Plan, including through plantation expansion and related agroforestry activities. “Forestry and downstream processing can provide a broad range of on-farm benefits such as shade and shelter for livestock, improved soil and water quality and business resilience as well as much needed timber to build our growing demand for homes and public infrastructure. “We look forward to working with the QFF and other member bodies to promote a strong and prosperous future, through well-targeted policy advocacy and industry development in Queensland”. Timber Queensland joins QFF’s membership which consists of 20 state and national peak agricultural industry organisations who collectively represent more than 13,000 primary producers across Queensland.

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AFPA has welcomed the sale of the Rushy Lagoon property in north-east Tasmania to expand Australia’s sovereign capability in sustainable timber production. Source: Timberbiz The Foreign Investment Review Board (FIRB) has approved UK-based investment company Gresham House to purchase the large property near Launceston and allow forestry development along with other agricultural production. “We welcome this important strategic investment to help support and grow Australia’s sovereign capability for sustainable timber production and supply,” AFPA acting deputy Chief Executive Dominic Lane said. “During the building boom in COVID, we couldn’t rely on imports to meet our housing needs in Australia, so new opportunities to strengthen our sovereign capability and investment are critical. “We also know various forms of agriculture can co-exist in Australia to provide long-term and sustainable benefits to regional communities, local jobs, the national economy and wider population.” In recent years, there has been a significant reduction in forestry plantations, with Australia’s national plantation estate falling by 264,000 hectares from 1.973 million hectares in 2014-15 to 1.709 million hectares in 2024-25. Fortunately, a bipartisan national commitment for federal plantation grants in 2022 has helped to reverse this decline, and enabled estates to grow. “We sincerely thank Federal Agriculture and Forestry Minister the Hon Julie Collins for administering these important grants; however we are still more than 260,000 hectares below the 2014-15 plantation levels, which remains a concern,” Mr Lane said. “It was fantastic to see both major parties recognising the importance of growing the total area of production forestry with bipartisan support for this grant program at the 2022 election. “The choice between wood or steel by a homebuilder also makes a big difference between starting with a healthy carbon credit or a deficit. A typical timber house frame absorbs 9.5 tonnes of carbon dioxide from the atmosphere.”

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The CEFC, Aviva Investors and Gresham House have launched a groundbreaking $142 million project to invest in sustainable forestry plantations in Tasmania, creating local jobs and injecting significant capital into the regional economy while generating high integrity Australian Carbon Credits Units (ACCUs) and protecting an important Ramsar wetland. Source: Timberbiz The new Tasmania Natural Asset Trust (TNAT) platform is an afforestation and natural capital platform to be managed by Gresham House Asset Management (GHAM). It has investments from the CEFC, Aviva Investors and Gresham House Limited. The cornerstone asset for the platform is a vast 21,745ha property in northern Tasmania Rushy Lagoon. This critical investment converts degraded farmland into a production model that will boost the Australia’s forestry industry, create local jobs, support sustainable timber production, introduce sustainable grazing and protect the unique environment. The pioneering project will combine commercial softwood plantations on low productive land with large-scale conservation and ecological restoration and sustainable grazing. This is expected to provide a major boost to Tasmania’s forestry industry. The Radiata Pine trees produced by the project are expected to be processed locally by Tasmanian-based sawmills and supplied into the Australian market. This will alleviate some of Tasmania’s wood supply pressures and help divert harvesting away from native forests. It is expected to stimulate the local economy, creating jobs for contractors, sawmill operators, field surveyors and planting crews. In addition, sustainable agricultural activities will continue in designated areas across the property. “This critical investment converts degraded farmland into a production model that will boost the Australia’s forestry industry, create local jobs, support sustainable timber production, introduce sustainable grazing and protect the unique environment,” CEFC Head of Natural Capital, Heechung Sung said. “It is a demonstration of the power of institutional capital to drive economic development for regional communities while also supporting decarbonisation and positive environmental outcomes.” Direct benefits are expected to include: More than 190 new jobs over the life of the project. Production of approximately five million tonnes of timber and 3.2 million ACCUs. Timber will be grown under Forestry Stewardship Council (FSC) certification or Program for the Endorsement of Forest Certification (PEFC) and be processed by Tasmanian sawmills to help offset a critical shortage of construction timber in the Australian housing market.   “This initiative represents a long-term equity investment in nature and Australian forestry that will provide significant local employment and contractor opportunities. By utilising high-integrity Plantation Forestry and Environmental Plantings Australian Carbon Credit Unit methods, the economics support the establishment of this new large scale investment opportunity, generating commercial returns,” Ms Sung said. Greta Talbot-Jones, Director of Natural Capital at Aviva Investors and co-Portfolio Manager of the Carbon Removal Fund, said that it is an important project in Tasmania with the potential to create real economic benefits for the region and repair a degraded area of land through considered and sensitive afforestation. “We think it will be a great example of how our investment activity can deliver long-term investment outcomes, whilst having a positive and real-world benefit on the surrounding habitat and within local communities. “Working with the CEFC and Gresham House, alongside local land and development partners in Tasmania, gives us clear, direct reporting lines which are vitally important in helping to deliver on our financial and sustainability ambitions to create positive change and long-term value.” Dorian van Raalte, Associate Director, Forestry and Natural Capital at Gresham House said that TNAT is a new model for sustainable land management in Tasmania. “By combining climate-positive forestry with restoration of high-value habitats, we aim to deliver durable natural capital outcomes while supporting regional jobs and skills. Our management approach prioritises safeguards, certification and transparent monitoring, including the protection of the Lower Ringarooma Ramsar site.” Rushy Lagoon includes ecologically significant wetlands and threatened species, with part of the purchase area intersecting the internationally recognised Floodplain Lower Ringarooma River Ramsar Site. Alongside restoration of the wetlands and conservation areas, the project design will include protective buffers and hydrology safeguards to help maintain the ecological character of the Ramsar site.

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With the depths of winter upon us, we are starting to see softening oil prices and reduced export related costs giving a flicker of light at the end of the tunnel. Let’s hope that light is not a train. Traditionally, the third quarter of the year sees the bottom of the log market and the emergence of some green shoots in terms of demand and price. This year appears to be a trend follower, albeit we haven’t seen the severe price reductions in late Q2 that we have in previous years. Interestingly, the bottom of the cycle has been less severe year-on-year for the past 4 years, with the bottom of the 2026 cycle only 5% below the 12-month average. This is compared to 8% in 2025, 10% in 2024 and 25% in 2023. We need to view these numbers with caution however, as 2026 is only just past halfway and there’s plenty of potential speedbumps ahead which, as we know from recent events, can come out of nowhere. If we look back at the export log price history over the past 7 years it is obvious that export pricing has become increasingly more stable over time, with the previous 9 months being the most stable in memory. This doesn’t mean that stability has led to increased forest owner returns, it just means that returns are more predictable, not more palatable. June saw a reduction in spot prices of around $8/JAS (based on SNI prices), which was a result of the Trump effect. Increased war-related freight costs and foreign exchange stung the cost side. while poorer buyer sentiment saw CFR sales prices take a dip. July At Wharf gate (AWG) prices have bounced back somewhat from the June reduction into the early $120’s/JAS (A grade shorts) as all of the aforementioned factors have reversed. It is expected that August will be higher again and more reminiscent of the previous 9 months. Freight is expected to reduce later in the month from the mid $US40s to somewhere in the high $US30s, foreign exchange has taken a bath to a 7-month low in the mid $US0.56 range and the CFR price is expected to gain a couple of $US. The $US:NZ will likely be affected by the Reserve Bank’s posturing in July as they contemplate a rate hike, although the expectation of this is lower now due the economic damage from the Iran debacle. Much of our ability to lever prices higher will be a direct result of total New Zealand supply. Large-scale wind events in the upper South Island and lower North Island continue to put significant volumes of log into the market. Also, although the lower North Island salvage is now mostly complete, the Nelson/Tasman cleanup still has a way to go. This volume is not price sensitive so will continue to hit the wharves regardless of the market. What this does mean in the medium to longer term is that we now have significant holes in the longer-term supply equation. This has played out in the CNI following Cyclone Gabrielle, with a significant reduction in harvest levels around Taupo as those forests now recover from a massive windthrow salvage program. The ability for this harvest capacity to move elsewhere is limited as there simply aren’t the large-scale opportunities anywhere else in the country (with the exception of Gisborne but that’s another story). The likely scenario is that New Zealand supply will decrease incrementally over the next few years as these large tracts of forest recover from the wind-related decimation of their age classes. Wind damage is now becoming an expected rather than a random event and many forest managers now have sold battle plans for when, not if, this happens in their estates. Current China inventory sits around the 2.5 million mark, which is down very slightly on June, and daily consumption is in the early to mid-50,000 m3 range, which is expected for this time of year as the market starts to pull out of the rainy season. Daily consumption is expected to increase toward the back end of August as the China construction season ramps up pushing consumption through 60,000 m3/day. This is likely the point that we will see the squeeze on supply and better opportunities for price increases, provided Trump doesn’t have another military brainwave. India continues to tick over with around 12 vessels planned for July from NZ, Australia, Uruguay and the USA. Monsoon rains have slowed construction and also affected the movement of freight which will likely have a flow-on effect to log demand. T he Indian Purchasing Managers Index (PMI) has dropped to 54.2 for June, down from 55 in May and the second weakest since mid-2022. While still in positive territory (above 50) it does reflect the reduced demand from European markets. There appears to be plenty of excitement from Indian buyers around the pending FTA, however, it is very unlikely that NZ will see the full value of the tariff reduction. It will, however, create additional demand which will pull supply away from China likely creating more total demand pressure for NZ radiata. Domestic mills in the SNI have been hand-to-mouth with log supply as weather and poor production start to bite. Sawmills in the South Island have seen increased demand for lumber as the effect of the Eves Valley mill closure in Nelson becomes evident. Latest data from Stats NZ shows a 19% increase of issued residential building consents to the end of May 2026 compared to the previous 12-month period. This is the end of three successive years of decline but is however, still 25% below the 2021–2022 period. Commercial consents still show declines with a 19% reduction over the same period, but farm buildings bucked the commercial trend with an increase of 34%, which is not surprising considering the current sheep, beef and dairy prices. The planting season is off to a slow start with drier conditions around the country. Total planting numbers will be significantly down […]

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IKEA is one of the world’s largest consumers of wood. Almost 15 million cubic metres of the material are used every year in cheap IKEA products with millions of trees felled for the mass production machine. Source: Danish Film Institute IKEA Loves Wood (‘IKEA elsker træ’) is a Danish investigative documentary that looks at IKEA’s forestry practices in the Rumanian Carpathian Mountains, an area with some of the last old-growth forests of Europe. Biologists, environmental groups and local activists say the Swedish furniture giant’s timber production is having a significant impact on old-growth forests and biodiversity. IKEA, however, states that it doesn’t tolerate illegal or unethical practices and that its suppliers are carefully selected. A trailer in English for the documentary is at: https://www.youtube.com/watch?v=IodzOvrrfNA The documentary is available to view in Danish with English subtitles at: https://www.dw.com/en/ikea-loves-wood/video-77861212

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A research initiative has demonstrated that there is “major potential” for English-grown timber in sustainable construction. The Building from England’s Woodlands project, funded by the Forestry Commission’s Woods into Management Forestry Innovation Fund, has demonstrated that England’s broadleaf forests could play a role in delivering low-carbon buildings, supporting biodiversity and strengthening domestic supply chains. Source: Inside housing The project, led by the New Model Institute for Technology and Engineering (NMITE), Edinburgh Napier University, Built Environment – Smarter Transformation (BE-ST), Ecosystems Technologies and dRMM Architects, explored how English-grown timber can be used more effectively in modern building systems. It found that English hardwoods can play a significant role in structural applications when selected and specified appropriately. The project also developed hybrid engineered timber products that combine hardwood and softwood within the same structural element. Testing showed that hybrid cross-laminated timber and glued-laminated timber products (glulam) met all required strength and durability criteria using existing manufacturing methods. The use of hardwood in key structural zones also allowed for material savings of approximately between 10% and 15%. Real-world examples included the Building from Forests display at the Victoria and Albert Museum in London, and the installation of a hybrid hardwood-softwood glulam beam in NMITE’s new Skills Hub building in Hereford. The project also found that the greater use of English timber could reduce embodied carbon, increase long-term carbon storage in buildings, support more resilient and biodiverse forests, and strengthen rural economies through local manufacturing and value-added processing. The findings mark a step towards a future where forests, manufacturing and construction work together to create sustainable buildings while supporting healthier landscapes and stronger local economies, the research said. The research also aligns with the UK government’s Timber in Construction Roadmap and wider net zero ambitions. David Bole, head of green economy and skills at the Forestry Commission, said: “By unlocking the potential of our forests, we can reduce reliance on imported and carbon-intensive materials, support healthier and more resilient woodlands, and create new opportunities for sustainable growth across the forestry, manufacturing and construction sectors.” Louise Rogers, impact manager of housing and manufacturing at BE-ST, said: “This work directly supports the ambitions of the Timber in Construction Roadmap by providing evidence that innovation, domestic manufacturing capability and supply chain collaboration can help accelerate the transition to a lower-carbon built environment.” Last month, researchers at the University of Manchester found that future climate change will need a clear shift in the sector towards summer cooling requirements in social housing. In April, a housing association urged social landlords to step up their efforts to improve biodiversity, saying it is “in the sector’s interest” to invest in nature recovery.  

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How is an energy shock driving up costs across the wood products supply chain and clouding the 2026 housing recovery. Source: Fastmarkets The North American wood products market entered 2026 carrying the weight of a difficult 2025. Weaker housing starts, modest repair and remodeling activity and declining furniture production kept demand under pressure across major product categories. Now, a new force is moving through the market: an energy shock tied to the Iran war. To understand why it matters, we need to compare where the market stood in 2025 with what the 2026 outlook now shows. From soft demand in 2025 to a cost-driven 2026 In 2025, the story was largely about weak demand. While softwood lumber demand declined, other wood products also saw a downturn, including US hardwood lumber, OSB, plywood, particleboard, MDF, I-joists, and LVL. Pricing for softwood lumber was weak in the third and fourth quarters, because demand decreased in the second half of the year and inventory built up. Now firmly into 2026, demand pressure remains, but a major energy disruption sits at the centre of the outlook. Approx 20% of global LNG supply and 15% of oil supply have been disrupted, representing what is the biggest energy supply shock in history. The result is a market dealing with both soft demand and rising input costs; a stagflationary shock. How the energy shock moves through the supply chain The effects are already visible across multiple stages of the wood products supply chain: Logging operations are feeling the squeeze from soaring fuel costs. We anticipate that a sharp rise in diesel prices in early 2026 could have a serious impact on logging activity in the coming quarters as consumer demand continues to be soft. Mills and wholesalers. Mills and wholesalers have introduced fuel surcharges to deal with the spike in fuel costs. These surcharges continue to challenge the middle part of the supply chain, with downstream users having little ability to absorb the cost increases. Resin and wax costs. For panel producers, resin and wax costs are a source of further pressure. These petrochemical products account for anywhere between 10-35% of variable production costs for products like OSB, plywood, particleboard and MDF. Shipping disruption is spreading from Europe to the Middle East, Africa and Asia as freight rates rise. That disruption creates additional uncertainty on key wood product trade routes. Consumer spending. Higher energy prices act as a tax on consumers. They reduce household wealth and weigh on discretionary spending, including home purchases and repair and remodeling activity. The energy story is therefore both a cost issue and a demand issue.   The key variables for a housing recovery Our analysis of the 2026 housing market suggests a potential recovery, but several challenges could stand in its way. Key variables, such as inflation and interest rates, will play a significant role. Uncertainty around these factors could influence Federal Reserve decisions, potentially keeping mortgage rates elevated. Additionally, we expect lower real disposable income, partly due to higher energy costs, to impact residential construction activity. Our forecast reflects this pressure on both new construction and remodeling projects, with the energy situation being a major influence on demand trends for 2026 and a potential rebound in 2027. So, why is this important for wood products? The sectors most crucial to this industry—housing, repair and remodelling, freight and logging—are very exposed to the unprecedented supply disruptions in energy markets, either through direct costs or the effect of higher energy costs on interest rates. While we don’t believe a recession is likely, discretionary and rate-sensitive parts of the economy that drive wood products demand remain vulnerable. The most direct signal to monitor is the pace of inflation, which has spiked due to the current energy supply chain disruptions. The inflation picture influences interest rates, which are a key headwind on housing affordability and discretionary spending for home improvement. Both of these are key to driving wood product demand. The quicker this inflation shock is resolved, the quicker a more sustained rebound in wood products demand will be realized. You can view the full report at https://www.fastmarkets.com/forest-products/wood-products/wood-products-market-analysis-2026/

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From a timber-built statue to creative glulam marketing concepts, students at Millicent North Primary School are proving they could be the next generation of Green Triangle timber ambassadors. Source: Timberbiz Grade five and six students have spent the past term exploring the potential of locally produced Glued Laminated Timber, known as glulam, and the opportunities it could create for regional manufacturing and construction. Using a problem-based learning framework supported by the Department for Education’s Student Pathways and Careers division, guided by Dr Sue Gaardboe, the 10-week initiative connected students with a genuine forest industry challenge. The project was developed in partnership with the Green Triangle Forest Industries Hub (GTFIH), which has developed a world first glulam product made exclusively from locally grown bluegum (eucalyptus globulus). With the product now commercially available and entering early market adoption, the Hub recognised the value of gaining fresh marketing perspectives from young people as part of its broader market-building efforts. The first of its kind primary school program was facilitated by GTFIH Workforce Development Manager Lara Kroeger and supported by Australian Bluegum Plantations’ Georgina Macklin. Ms Kroeger said the project demonstrated the power of meaningful collaboration between education and industry. “This was not an easy project for the students to take on. Glulam is a technical product, and the topic asked students to think about forestry, manufacturing, marketing and community awareness,” Ms Kroeger said. “But the school fully embraced it, and it was fantastic to see the students’ curiosity grow over the term. The more they learned, the more confident they became in talking about our industry. By the end of the program, they had truly become young ambassadors for the role forestry and timber can play in our region.” Ms Kroeger said year 5/6 teacher Sarah Gellion played a key role in helping students explore a complex industry challenge in a practical and meaningful way. Throughout the term, students took part in classroom session on plantation forestry, glulam and the local timber supply chain, before heading into the field for a full-day excursion to see the industry at work. The showcase included a blue gum chipping operation hosted by PF Olsen (now Stand Forestry) and Qube Forestry; a softwood clear fall with OneFortyOne and Fennell Forestry; plus, a classroom overview about glulam manufacturing supported by WTIBeam. Drawing on their experiences, students presented their initial marketing concepts to industry partners, receiving feedback to refine their ideas before delivering their final presentations this week to a full house of parents, teachers and industry representatives. ABP’s Georgina Macklin said the students’ final ideas were shaped by the challenge that many people simply do not know what glulam is or where it can be used. “They turned that insight into practical ideas for increasing community awareness and showing the potential of increasing the usage of locally made glulam,” Ms Macklin said. ABP CEO Darren Shelden applauded the students’ creativity and enthusiasm. “The outcomes delivered in this 10-week program were exceptional,” Mr Shelden said. “It clearly demonstrates the value of problem-based learning when industry and education work together. These students developed a stronger understanding of our sector, sharpened their critical thinking skills and built confidence through public speaking and presenting. “Most importantly, this project reflects our industry’s commitment to investing in the next generation.” To recognise the students’ efforts, GTFIH and ABP gifted students LEGO harvester sets, while WTIBeam owner Jason Vulcz donated a giant Jenga set to the classroom and chopping boards for the teachers, all made from locally grown bluegum.

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WA has three programs underway to add more trees with Treebate, the Tree Recovery Program and now 850 trees to be planted in Perth. Source: Timberbiz South Perth planting The City’s annual tree planting program is underway, helping to increase canopy cover, provide shade, support local biodiversity and create greener neighbourhoods. This winter, 850 new 35L trees will be planted across streets and open spaces in the City of South Perth. The planting program began on 1 July and will introduce a range of native and locally suited species across verges, drainage sumps and public reserves. Planting is expected to be completed by the end of September. All 850 trees were grown in the City’s nursery, with 481 to be planted as street trees, 95 in drainage sumps and 274 in public reserves. The planting program features hardy native species, including coral gum (Eucalyptus torquata), white paperbark (Melaleuca preissiana) and marri (Corymbia calophylla), chosen for their suitability to local conditions. These waterwise, heat-tolerant species are well adapted to urban environments and will help create a greener, more resilient city that is better equipped to cope with a changing climate. The tree planting program forms part of the City’s broader urban greening approach, supported by its Urban Greening Strategy adopted in 2025, which outlines long-term efforts to expand canopy cover, enhance biodiversity and improve climate resilience across the City. Residents can request a street tree for their verge where there is suitable space. Approved trees are planted as part of the City’s annual winter planting program and receive regular watering during their first two summers to help them establish. Treebate program WA’s Government’s Treebate program was announced in January last year. The program aims encourage Western Australians to plant native trees on their properties. For the next four years, up to 10,000 Western Australians a year can claim a rebate on the purchase of a native tree to plant on their private property as part of the new Treebate initiative. Western Australians who purchase a native tree from a local nursery can make a claim of up to $150 via the ServiceWA app. All Western Australians aged 18 years and over are eligible to claim one native tree. To receive the rebate you must: Choose a native tree with a canopy that reaches at least three metres in height when mature. Have a photo of the plant label showing the scientific or common name to upload in your claim. Get a tax invoice as proof of purchase. You will need a valid tax invoice to claim your rebate.   Shot-Hole Borer program WA has been hit by the shot-hole borer and the state’s Tree Recovery Program supports people and places following the loss of trees due to Polyphagous shot-hole borer. The Department of Water and Environmental Regulation is managing the delivery of the WA Tree Recovery Program, working closely with residents, local governments and the Perth Zoo to replant trees lost from the effects of Polyphagous shot-hole borer (PSHB). Shot-hole borer has been impacting trees in backyards across Perth in recent years. If you are a resident impacted by tree loss due to shot-hole borer, you may be eligible for a rebate worth up to $150 for every tree you replace.

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Three new spatial datasets provide a national picture of feral deer distribution across Australia. One dataset provides gridded maps of known feral deer occurrence, while the other two provide modelled estimates of the current relative abundance of fallow deer and sambar deer respectively. Source: Timberbiz Developed in collaboration with state and territory governments, CSIRO and other stakeholders, these datasets provide the first nationally consistent picture of feral deer distribution and help fill an important knowledge gap for a wide range of users. Feral deer occur in every state and territory and are widespread in New South Wales, Victoria, the ACT and Tasmania, with more limited distributions elsewhere. Six deer species are present in Australia. Fallow, sambar, red and rusa deer are widespread across multiple jurisdictions, while chital deer are largely confined to Queensland and New South Wales, and hog deer to Victoria. Deer cause significant damage to forests throughout the world. They cause damage with heavy grazing, browsing on young saplings and ring-barking mature trees. They also inhibit forest regeneration, diminish plant biodiversity, and can trigger soil erosion and the spread of invasive weeds. More information at: https://www.agriculture.gov.au/abares/research-topics/invasive-species/feral-deer

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Contemporary Amperex Technology (CATL), the world’s largest battery manufacturer, has entered into a strategic investment partnership with CarbonScape, a New Zealand-founded developer of sustainable bio-based graphite materials for battery applications. Source: Timberbiz The collaboration combines CarbonScape’s innovative biographite technology with CATL’s extensive experience in industrialization, manufacturing, and large-scale deployment. The transaction provides CATL with board representation, and positions it as an important industrialization partner in the further development and scaling of CarbonScape’s technology, as automakers and policymakers seek low-carbon, locally sourced and cost-competitive anode materials for the US and European graphite supply chain. New Zealand-based bio-graphite developer CarbonScape announced that CATL has made a strategic investment in the company. The partnership will combine CarbonScape’s bio-graphite technology with CATL’s industrialization expertise to accelerate large-scale deployment and support commercialization in Europe and other global markets. CarbonScape said its technology converts forestry by-products into battery-grade graphite with a target cost comparable to conventional graphite while offering a significantly lower carbon footprint. The rapid growth of electric mobility and energy storage is expected to drive significant demand for battery-grade graphite. CarbonScape has developed a proprietary process that converts forestry by-products into battery-grade graphite suitable for lithium-ion battery applications. Through this collaboration, CATL will contribute its expertise in industrial scale-up, manufacturing operations, process optimization, and commercialization. “This partnership is about far more than capital. It provides access to CATL’s unparalleled expertise in scaling and mass production, world-class facilities, global market reach, and a clear pathway to gigafactory-scale deployment,” Ivan Williams, CEO of CarbonScape said “It validates the strategic importance of biographite in the future of electrification and uniquely aligns technical de-risking with route-to-market readiness. Together, we aim to bring commercial biographite production online by the end of the decade.” Vincent Ledoux-Pedailles, Chief Commercial Officer of CarbonScape said that graphite is the forgotten giant of the battery supply chain – the single largest material in every EV battery by volume, yet the majority of that supply is oil-based. The multi-year collaboration spans both technical and commercial objectives: Technology de-risking and scale-up: CarbonScape and CATL will validate the technology at demonstration scale at CATL facilities, and refine the process in preparation for full-scale commercial plants. Strategic investment and financing: CATL, along with Lochpine Capital, is now a strategic shareholder in CarbonScape and provides strategic support to the company. Their investment helps fund technology de-risking and scale-up, strengthening CarbonScape’s position for future commercial deployment. The partnership structure includes equity-based incentives aligned with the successful commercial deployment of CarbonScape’s technology. Graphite is the single largest material component in lithium-ion batteries by volume, representing up to 50% of the battery cell. Each electric vehicle contains roughly 50–100 kg of graphite, more than lithium, nickel, and cobalt, making it one of the most critical materials for the energy transition. Global demand for battery-grade graphite is expected to grow approximately six-fold between 2025 and 2040, driven by the rapid expansion of electric vehicles and energy storage. Meeting this demand will require substantial new production capacity and the development of alternative, more sustainable supply sources that are less carbon intensive than synthetic graphite but still cost competitive. Today more than 75% of graphite used in batteries comes from an oil-based feedstock. CarbonScape’s technology addresses both challenges by enabling the production of battery-grade graphite from widely available forestry by-products. This approach supports the development of regional supply chains while helping battery and automotive manufacturers meet increasingly stringent sustainability and regulatory requirements.

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Visitors to Mount Gambier’s newly opened Forestry Centre of Excellence are now greeted by a striking centrepiece: a handcrafted Scrimber table made by plantation industry stalwart David Quill. Source: Timberbiz Scrimber, a bold engineered-wood innovation invented in Australia in the mid-1980s by the CSIRO, has long since disappeared from local production. But for Mr Quill, the principal of Eumeralla forestry consulting, the material never lost its appeal. A friend had a small supply of offcuts tucked away from Mount Gambier’s ‘old pilot plant days’, and when he finally put blade to board, he discovered something unexpected. “I thought it would tear out and fight me the whole way,” he said, “but it proved to be beautiful wood to work with – it’s strong, stable and surprisingly forgiving.” Scrimber, commercially produced by Scrimber International from 1990 in Mount Gambier, used low-value softwood pulp-grade logs from thinnings with no traditional commercial value. The wood was crushed, mixed with adhesive, moulded and heat treated to create structural lengths up to 12m long. The product was locally recognised as a showcase element in the Mount Gambier Airport, prior to its recent replacement. The table took five full days of painstaking work to complete, a notable accomplishment given Mr Quill’s ongoing battle with MND and the restricted mobility that comes with it. Yet the project was driven by something deeper than craftsmanship alone. It began as a tribute to a friend, who was a former Scrimber pilot-plant worker diagnosed with terminal cancer who wished to see a table made from the resource before he passed. Mr Quill honoured that wish with his assistance, and from there, interest snowballed as word spread and memories of the material resurfaced. Professor Jeff Morrell, director of the Forestry Centre of Excellence, said the table had sparked plenty of interest among guests to the centre, with one visiting Adelaide University engineering professor revealing they had worked on the original CSIRO Scrimber project in its foundation days. “Reactions like this reinforce the piece’s value as a living link to the region’s innovation heritage,” Professor Morrell said. “This table is a stunning piece of craftsmanship and a tangible reminder of South Australia’s pioneering work in engineered wood and the creation of this unique engineered material. We are genuinely honoured to have David’s work here; it brings another link to our great timber history into the centre and fantastic it was made by a great champion for our research program.” Despite the challenges of MND, Mr Quill continues to create. When not making furniture, he has created a collection of decorative chopping boards using various wood species which are sold to raise funds for MND Australia. One recent sale fetched more than $1000.  

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Forest & Wood Communities Australia (FWCA) has called on the Australian Greens to support the proposed Senate disallowance of Labor’s Improved Native Forest Management carbon method ahead of the expected Senate vote on 18 August 2026, saying the vote will expose whether the party genuinely opposes carbon offsets or only opposes them when they deliver its preferred anti-forestry outcome. Source: Timberbiz The Improved Native Forest Management method allows state governments to generate Australian Carbon Credit Units by ceasing planned timber harvesting in defined areas of multiple-use public native forests. It also requires reduced wood extraction across the broader project area and imposes a 100-year permanence obligation. FWCA Chair and Director Steve Dobbyns said the method is not simply a conservation measure. It is a carbon-crediting mechanism that monetises the closure and restriction of sustainable native forestry. “This disallowance motion is a test of principle,” Mr Dobbyns said. “The Greens can vote to disallow this method, or they can admit they are prepared to support forest offsets when those offsets are used to shut down sustainable native forestry. “They cannot condemn carbon credits as a licence for big polluters one day, then defend the same offset mechanism when it is used to bankroll their preferred political outcome.” Mr Dobbyns said the INFM method raised serious concerns that FWCA and others had warned about from the beginning. “The first issue is additionality. “If governments have already made political commitments to close or reserve these forests, then the public is entitled to ask whether the carbon credits represent genuine new abatement or whether taxpayers and emitters are being asked to pay for a decision that was already politically intended. “The second issue is leakage. Timber demand does not disappear when harvesting is stopped in one region. It shifts to private forests, interstate supply, imported timber, steel, concrete and other substitute materials. If that leakage is not fully and honestly accounted for, the claimed carbon benefit is little more than accounting theatre. “The third issue is permanence. A 100-year carbon obligation is not a short-term policy adjustment, particularly when that century-long commitment is effectively being paid for through just 15 years of carbon credit payments. It is a century-long restriction on future forest management, timber supply, regional employment, housing materials and the capacity of future governments to respond to changing circumstances.” FWCA said the method also has implications beyond the specific areas where harvesting formally ceases. “This method is not limited to drawing a line around a park and walking away,” Mr Dobbyns said. “It operates across whole forestry regions and requires reduced wood extraction across the broader project area. That means the economic and supply impacts can extend well beyond the immediate carbon protection areas, and risks creating a financial incentive for governments to constrain or discourage private native forestry activity in surrounding landscapes, particularly where increased private harvesting could undermine claimed abatement through leakage. “That matters for sawmills, haulage contractors, harvest crews, timber workers, builders, manufacturers and regional towns that depend on a predictable supply of Australian hardwood.” Mr Dobbyns said the Greens’ own public comments had already exposed the contradiction at the centre of the debate. “The NSW Greens have criticised the idea of turning forests into carbon banks and offsets for climate polluters. On that point, we agree,” he said. “So, the question for the federal Greens is simple: will they vote according to that principle, or will they protect a method that does exactly what they claim to oppose?” FWCA said the INFM debate should not be misrepresented as a choice between conservation and forestry. “This is a choice between credible climate policy and political carbon accounting,” Mr Dobbyns said. “Australia needs carbon methods that are transparent, scientifically robust, fully account for leakage, and support active, adaptive forest management for carbon storage, fire resilience, biodiversity, cultural values and long-term forest health. “What we do not need is a carbon-crediting mechanism that shuts down one of the most heavily regulated timber industries in the world, increases pressure on imports and substitute materials, and then pretends the emissions consequences disappear.” Mr Dobbyns said the method also undermines Australia’s broader sovereign capability in timber and housing supply. “Australia is already under pressure to meet future timber demand,” he said. “Reducing domestic hardwood supply for the next 100 years will not help build homes, support local manufacturing or reduce reliance on imported timber from countries that may not meet Australian environmental, labour or governance standards. “You do not protect the global environment by closing well-regulated Australian production and outsourcing demand elsewhere.” FWCA said the proposed disallowance is now an integrity test for every party in the Senate. “If the Greens vote to disallow the method, they are standing by their stated opposition to forest offsets for polluters,” Mr Dobbyns said. “If they vote to protect it, they are not opposing dirty offsets. They are simply choosing which regional communities; workers and industries should be sacrificed to create them. “The Greens now have to choose – principle or politics.”

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The following is an open letter to Chris Bowen, Minister for Climate Change, Energy, the Environment and Water regarding the recent INFM announcement, it was written by John Raison a former CSIRO chief research scientist. Dear Minister The recently determined Improved Native Forest Management in Multiple-use Public Native Forests (INFM) ACCU method that aims to estimate high integrity carbon (C) offsets by ceasing harvest of native forests had been widely criticised. Opposition has come from associations representing the forestry and farming sectors, rural communities whose livelihoods depend on continued sustainable harvesting, trade unions, conservation groups, the Australia Institute, forest managers and many in the science community. The reasons for the strong push back include: clear failures to uphold the integrity standards of the ACCU scheme, especially additionality, leakage and ability to verify credits claimed; adverse socio-economic impacts which will greatly exceed any potential C benefit; a lack of transparency around how earlier concerns have been addressed and justification for the revised model; and strong concern that low-integrity credits will created and used to off-set (‘greenwash’) pollution from use of fossil fuels. Here, I focus on key weaknesses resulting from the misuse of science in developing the INFM. Much of this material was provided to the ERAC as part of the final consultation phase for the INFM method in early 2026. The determined method will generate bogus carbon credits with serious consequences for the credibility of the ACCU scheme. The INFM method is not supported by sound scientific evidence The proposed method has a weak conceptual foundation – by assuming that cessation of sustainable harvesting in native forests will result in a net reduction in greenhouse gas (GHG) emissions and thus can provide reliable abatement. When a full and accurate life cycle analysis (LCA) approach is applied there is no evidence that this is the case and the reverse is more likely (Ximenes et al. 2016, Raison 2024). The LCA framework should include changes in forest C stocks; emissions from transport and processing wood products; changes in C stocks in wood products in use and in landfill; emissions avoided by using wood residues to replace fossil energy or by substituting wood products for more emissions-intensive construction materials; and any ‘indirect’ leakage of emissions that will result from increased production of wood products in other jurisdictions. Only one Australian study has adopted a complete and accurate LCA approach (Ximenes et al. 2016). That study, which included case studies in two important native forest regions in NSW, concluded that sustainable harvesting of native forests and the subsequent use of forest biomass to produce harvested wood products (HWP) or energy can make a positive contribution to mitigating national net C emissions. Some studies, such as those of Keith et al. (2014, 2015) have overestimated the benefits of ceasing harvesting because they have either been incomplete, used inappropriate parameters to estimate components of the total C balance, or overestimated the rate of C gain in older forests and the ability of unharvested forests to store C for the long-term. This has led to the incorrect conclusion that cessation of harvesting would provide better long-term C outcomes than sustainable management for wood production (Raison 2024). It is thus not possible to create reliable C credits by the cessation of native forest harvesting. Carbon stock change estimated by FullCAM will be highly uncertain. FullCAM estimates of long-term C stock change following disturbance by either harvesting or fire in highly heterogeneous (representing a wide range of species, forest ages and structures and site growing conditions) native forests remain uncertain. Detailed efforts to calibrate FullCAM for native forests (Forrester et al. 2025) found that the model has very low precision and some bias. Further, the model has not been independently tested for its reliability in estimating temporal change in C stocks following forest disturbance by harvesting or fire. Given the likely high level of uncertainty in FullCAM estimates of changes in C stocks at the time of harvesting, in regrowth and in unharvested forests, it is essential that the INFM method include a requirement for independent estimation of stock change based on solid field inventory. The credits estimated by the method are not verifiable. The method specifies the need to use ‘representative’ forest plots to describe combinations of forest type, forest age and silviculture. No guidance is provided on how representativeness can be determined, only a recipe on how plots that are used for modelling should be constructed in FullCAM. The spatial surfaces used to run FullCAM do not provide precise estimates of model inputs at specific forest locations. The INFM method also requires that representative plots should be ‘validated’ using an ‘iterative’ process to get a good match (+ or – 5%) between model outputs and prior records of harvest area and wood harvest – there is no guidance on how to do this. However, ‘tweaking’ model parameters to achieve this may well compromise the ability of the model to make reliable forward predictions. To run FullCAM requires a range of detailed parameters which are usually poorly known e.g. the % of harvested stems going to various wood products, the average age of trees, the age of the oldest trees – how can reliable estimates of these be obtained at specific locations? These issues mean model predictions will be very uncertain and there is no process in place to verify them. Estimating baseline C emissions is complex and unreliable/unverifiable. The INFM method critically depends on estimating a reliable baseline (what would have happened without any cessation of harvesting in the project). The method proposes that the baseline harvest level be estimated as the latest modified sustained yield to be calculated based on correlations between prior estimates of sustained yield and the annual amount of harvested wood. Arbitrary adjustments (reductions) are made depending on the strength of the correlation (R2) – if is > or equal to 0.7 then the annual harvest is calculated as the average log production to sustainable yield ratio over the baseline period. This is […]

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