NORTH EAST RALLY - 14 February 2007

Ladies and Gentleman I wish that all of you didn't need to be here today.

I wish that I and the other speakers didn't need to be here today. However one person I wish was here today is the Premier. Because the Premier who is also the Forestry Minister needs to explain how the decision made 2 weeks ago is in the best interests of Scottsdale, the North East community and the State of Tasmania.

I know that you don't believe it is. I certainly don't believe it is and he should be here rather than cowardly deserting this community.

I want to explain why I think this is the wrong decision and why I think it is an unlawful decision.

Firstly, though let me recap on the last 12 months. Negotiations broke down early last year between Auspine and Rayonier. We supported the calls for mediation we wanted them back at the negotiating table. Auspine to demonstrate its genuine desire to arrive at an outcome that would enable logs to arrive at these mills at a fair price, they even offered to make publicly available its offers so that people knew it had nothing to hide.

This was rejected by the Government for nearly 12 months only for the Premier in November to finally agree to support mediation. However, that support was short lived because within 5 days another player was allowed by Forestry Tasmania to enter into negotiations. We know the result of that.

However the Premier believes that the best commercial outcome has been achieved for the State of Tasmania. I like you struggle to understand how destroying the economic and social fabric of this community to create 100 jobs in another community could possibly be the best outcome for the State of Tasmania.

Let me explain why I believe this decision is wrong, why it is unlawful and why it should be reversed.

The Forestry Act says:

Section 12A (1) - The corporation must treat the level of employment deriving from the use of public forest resources as an important consideration when examining options for competing claims for crown wood including the provision of wood supply agreements.

Section 8 (1) The corporation has the following functions:

(f) to foster an internationally competitive wood production and processing industry in Tasmania

Bob Gordon had even confirmed this when he said on the 30th January;

"Forestry Tasmania has an obligation to consider employment implications in its commercial dealings".

I don't believe losing jobs and destroying communities was ever the intent of the legislation when it says employment is to be an important consideration.

However the most damming piece of evidence that supports my proposition that Forestry Tasmania has not met its obligations under its own Act was made by a Minister of the Government last Friday when Michelle O'Byrne in her haste to criticize those people who were prepared to give up their time to attend the Task Force meeting convened by Michael Ferguson.

Ms O'Byrne said

"Rather than sit around talking, the State Government is already taking action, commissioning a social and economic impact study to provide a shared understanding of the contribution made to the Dorset municipality by Auspine and its employees

She went on to say

"It is premature to be convening a task force when the results of an impact study are not finalized".

How could employment considerations have been taken into account when Ms O'Byrne in her capacity as a Minister of the crown confirms that the Government does not even now have the results available to it, of the study which supposed to determine what the employment impact might be.

Furthermore adding to my concerns and I am certain to yours as well is the fact that the Premier and the head of Forestry Tasmania have both said that this deal provided the best commercial return for the State of Tasmania.

Bob Gordon head of Forestry Tasmania even supported the Premiers claim that this was the best commercial outcome for the State saying "…we also have an obligation to maximize the commercial return from the public resource and certainly the FEA arrangements will improve our bottom line".

It is even harder to understand their logic, when we now know that Auspine were prepared to match any offer, pay any price to get supply and keep these Mills operating

What appears logical to me is that Forestry Tasmania could have accepted Auspine's offer - still improved its bottom line and this community could have kept it's mills operating.

Where to from here.

Well what needs to be tested is the proposition that Forestry Tasmania has not met its obligations in respect of the Forestry Act.

That is why we have requested the Auditor General to investigate this matter. We are currently awaiting his decision.

A Parliamentary committee if allowed by the Parliament is another vehicle that could be used and I wish Tania Rattray-Wagner success in gaining the agreement of her colleagues in the upper house. This will take time though.

Auspine could test the decision in a court of law but this will also take time.

The only option available that provides for a timely outcome is for the Premier to accept that he needs to review this decision.

He needs to review this decision and if it is an unlawful decision it should be reversed.

In finishing let me say that I know the people of this community aren't frightened of a fight.

I know that the people of this community will stand up and be counted.

Rest assured that I and my colleagues are prepared to stand and fight alongside you.

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