Bob Loone
Many struggling farmers are suffering reduced viability due to the impacts of MIS forestry plantations: lowered water table, shading, etc. Now suffering farmers are receiving large rises in council rates as revaluations are applied across the State. Essentially all this is because of the Federal Government’s unfair and discriminating MIS plantation forestry policies, fanatically supported and promoted by Honourable Senator Eric Abetz, Minister for Forestry. These policies will continue to reduce the viability of genuine and sustainable farmers.
Rate rises in the rural sector is primarily caused by the high prices being paid for farms and agricultural land by Managed Investment Scheme (MIS) Corporations for non-agricultural and unsustainable forestry plantations.
The Federal Government gives 100% tax exemption to MIS “investments”. The “investments are highly profitable for MIS plantation forestry corporations. They have had and are reported to currently have huge amounts of cash to pay high prices for farms, raising the value of all rural land making it unaffordable for genuine farmers who do not have access to tax free “investments”. The MIS Corporation driven higher land value is causing genuine farmers, (many of whom are struggling because of the high prices they have had to pay to compete with the MIS Corporations), to have to pay higher council rates.
Federal Government tax deductions, given as an incentive to “investors” amounts in lost taxes to about $3,000 for every hectare of farmland purchased by the MIS corporations. Of much more concern is that these tax deductions are driving the purchase of farmland which is being stripped of its fertility, and the wealth it generates denied to both the present and future generations. In general terms the ordinary Australian taxpayer is indirectly subsidising this MIS plantation forestry disaster, the worst disaster to ever beset our agricultural industry and our rural economy.
And while we subsidise these forestry companies, councils lose rate revenue. Plantation forestry companies usually destroy, remove or devalue rateable capital assets from the land — houses, gardens, fences, irrigation, barns, dairy/shearing sheds and other buildings, and remnant vegetation, leaving nothing but vast tracts of monoculture trees. By removing capital assets council rates are reduced. No council rates are ever paid on forestry plantation trees regardless of their size, value or impacts on communities.
Heavy vehicles accelerate damage to council roads and bridges, increasing maintenance costs and putting upward pressure on council revenue i.e. rates.
Many struggling farmers are suffering reduced viability due to the impacts of MIS forestry plantations: lowered water table, shading, etc. Now suffering farmers are receiving large rises in council rates as revaluations are applied across the State. Essentially all this is because of the Federal Government’s unfair and discriminating MIS plantation forestry policies, fanatically supported and promoted by Honourable Senator Eric Abetz, Minister for Forestry. These policies will continue to reduce the viability of genuine and sustainable farmers.
MIS plantation forestry destroys or severely impacts farms, neighbours, local economy, environment, jobs, health, water, and social viability of our rural municipalities.
In all Council Planning Schemes MIS plantation forestry developments should be classified ‘Prohibited’ or ‘Discretionary’, never as ‘Permitted’ which the Draft revised PAL Policy irresponsibly tries to impose because plantation forestry is non-agricultural and is destructively fettering away Tasmania’s agricultural industry.
Bob Loone
Deputy Mayor
Meander Valley Council
