Kim Booth: Forestry subsidies to go, but where is plan for full cost recovery business model?

The Liberal government must explain how it will ensure Forestry Tasmania moves to a self-supporting business model when the contingency fund public subsidies are removed from the 1st of July this year, said Greens Leader and Forests spokesperson Kim Booth MP.

“The Greens are long on the record calling for an end to public subsidies propping up the broken forestry business model, as we were also clear that the TFA did not require public funding of the native forest sector, but it appears the ramifications of pulling the plug may not be fully thought through by the Liberals.”

“The contingency fund was to provide a timeframe by which Forestry Tasmania was to be weaned from its historic reliance on the public purse, and transition to full cost recovery for its timber operations so it could stand on its own two feet.”

“Paul Harriss was silent on this vital detail today, begging the question whether the government can guarantee that when the contingency fund plug is pulled virtually overnight, that Forestry Tasmania will have in place the necessary new business model based on full cost recovery.”

“The Greens also believe that the withdrawn contingency fund must be redirected into essential public services, ye Mr Harriss also failed to clarify what the Liberals intend to do with these savings,” Mr Booth said.
Kim Booth MP | Greens Leader