| 2007 Sustainability Report |
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President's Message
This is the Victorian Association of Forest Industries’ (VAFI) third Sustainability Report, reporting against goals and targets for the 2006/07 year.
There have been extraordinary challenges for the industry, with continuing resource losses through the 2006 State Election extension of National Parks in East Gippsland and the devastating forest fires. This year has seen major business consolidations, mill closures, continuing high prices and difficulties with the outcomes of the VicForests’ auctions.
Despite all this, VAFI members have continued to be deeply involved in their local communities and economies, and most members are planning environment management systems for their operations. This, together with VicForests attaining third party certification as a sustainable forest manager by the Australian Forestry Standard (AFS), attests to the industry’s environmental standards and commitment.
The native hardwood industry has much to commend it as a robust and viable part of Victoria’s economy and culture, especially in regional communities. It provides a diverse range of wood and paper products for local and overseas customers. In a carbon and water constrained country, this industry has environmental advantages along the supply chain. Sustainable production forests store carbon as they grow and much of that carbon remains in the wood and paper products manufactured, at the same time as new forests are regenerated. Sustainable forestry also optimises water use along the supply chain.
VAFI believes there is potential for the economic, social and environmental benefits provided by the Victorian timber industry to be considerably increased, but this will not
eventuate if there are continuing reductions to the timber resource and anti-forestry campaigning continues to damage hardwood products in the market place.
Urgent Government reforms are necessary to turn around the industry’s future in Victoria. VAFI is working hard, together with others, to bring about those reforms.
We thank our outgoing CEO, Tricia Caswell for her competent and passionate representation of the industry, especially her advocacy of our world’s best practice sustainable forestry.
We welcome our new Executive Director, Philip Dalidakis and hope his up-to-date understanding and knowledge of Government can help make these urgent reforms a reality.
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About This Report
VAFI’s goal is to have robust and sustainable forest industries in Victoria.
VAFI commenced industry-wide sustainability reporting in 2005 as part of its Vision 2025. The 2006 report detailed progress against goals across the four dimensions of sustainability: Economic, Social & Cultural, Environmental and Governance dimensions – referred to as the Triple Bottom Line Plus One (TBL + 1). This 2007 report continues to map the industry’s progress.
VAFI has produced a printed overview as well as this online report providing more in-depth information.
The report covers the 2006/07 financial year, July 1 2006 to June 30 2007.
Information is sourced from State and Federal Governments, independent research and from analysis of a survey distributed to VAFI’s members who represent 77% of the industry by sawlog volume.
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Introduction
The challenges for Victoria’s forest industries in 2006/07 continued to be the vulnerability of future supply of the resource, including the outcomes of the auction system, the impact on markets of ongoing, anti-forestry industries campaigns and perverse procurement related policies which affect the popularity of local native timber based products. To this was added the impact of the devastating forest fires. Since 2003, nearly half the available forest resource has been fire affected.
These challenges, together with the Victorian State Election on November 25, 2006, dominated much of VAFI’s activities through the year.
During the pre-election period, VAFI produced its own Policy Charter, which was adopted at the AGM. As well a Joint Policy was signed with Timber Communities Australia (TCA) and another with plantation industries organisations (view policy).
These documents and VAFI’s two earlier Sustainability Reports provided the basis for representation and lobbying across the entire political leadership in Victoria, from the Premier and Labor Caucus to National, Liberal and Green Party leaders and representatives. In addition, a comprehensive analysis of the major Party’s policies was undertaken and distributed (view analysis).
VAFI was also represented at major business and industry round tables and conferences inside and outside political, government and community forums.
Electorates were analysed and activities with TCA and the Construction, Forestry, Mining and Energy Union (CFMEU) were pursued, whilst VAFI members met with local political candidates to present the industry’s interests and their local issues.
The outcome of the election meant limited, but nevertheless further reductions in the timber resource with extensions to the National Parks in East Gippsland of nearly 35,000 ha.1 To compensate for this and as part of Labor’s policy of no job losses, an Industry Transition Taskforce (ITT) was promised, along with $1M 2 to be made available for small log processing and adjustments to harvesting. The ITT was still not established at the end of this reporting year.
Since the election, the dominant issues have been around the impact of the forest fires, auctions and discriminatory procurement policies.
VicForests log auctions have stimulated significant change within the Victorian timber industry. These changes present numerous challenges for VAFI members including rapid industry consolidation, significant increases in log prices and reduced resource tenure and security.
National five-star energy ratings for new buildings include operational, not embodied energy. Consequently the process ignores complete lifecycle impacts of building materials, and treats native timber unfairly by perverting procurement policies away from timber. Other rating systems discriminate unfairly by only recognising particular certifications, for example Green Star and others recognise only Forest Stewardship Council (FSC) certified timber.
VAFI continues to work closely with Wood Products Victoria (established in June 2006) and relevant lead Government and voluntary agencies in order to arrest the ongoing discrimination against native hardwood timber as a construction material. Significant but slow progress is being made.
Finally, VAFI has provided a submission to the Victorian Environmental Assessment Council (VEAC) River Red Gum Forests Investigation, and continues to partner with TCA and others for an ongoing, sustainable industry along the Murray River.
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About VAFI
VAFI is the peak industry body of the native hardwood processing industry in Victoria. Its work spans representation of members’ interests to Government, political and community leaders, the development of forest related policy, issues management, advice to members, research and analysis.
VAFI Membership
VAFI is a membership based organisation with three classes of membership;
> full membership, associate and affiliate membership.
Full members are: “any person, firm or company who is or usually is an employer carrying on tree-growing, processing of timber, kiln seasoning of timber, or independent logging operations in Victoria or in areas adjacent thereto”
Associate members are: “any person, firm, partnership, company, corporation, association (whether incorporated or not) or unincorporated body involved in the forest industries”
Affiliate members are: “any sawmilling and/or logging association of any other Association”3
In 2006/07, there were 14 full members (with 9 non-renewals through the year), 6 associate members (with 7 non-renewals) and zero affiliate members of VAFI. This change in membership reflects the rapid consolidation across the industry.
Funding
VAFI’s funding in 2006/07 was derived from membership fees, rent from property, grants for project work from Government Departments and this year a special election levy was raised. All income is used for the work of the Association.
VAFI Income and Expenditure for the Year Ended 30 June |
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2007 $ |
2006 $ |
Revenue |
1,368,726 |
3,720,949 |
Admin, management & organisation expenditure |
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(294,622) |
Depreciation expense |
(15,309) |
(31,043) |
Employee benefits expense |
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(705,758) |
Consulting expenses |
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(353,015) |
Public affairs, communications & functional expenses from ordinary activities |
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(413,276) |
Surplus/(Deficit) from ordinary activities before income tax expense |
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1,923,235 |
Income tax expense |
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- |
Surplus from ordinary activities after income tax expense |
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1,923,235 |
The fee structure was reviewed during the year and adjusted to reflect industry consolidation and needs.
Affiliations
VAFI is involved in a number of sustainability, forestry and business initiatives. These involve subsidiaries, joint initiatives, memberships, representations, partnerships, sponsorships and events.
Memberships include:
- National Association of Forest Industries (NAFI),
- Environment Business Australia (EBA),
- Committee for Economic Development of Australia (CEDA),
- Progressive Business,
- Associations Forum,
- Australian Institute of Company Directors (AICD),
- Earthwatch,
- Australian Industry Group (AIG),
- Forest Stewardship Council (FSC)
VAFI is represented on the governing boards/councils or advisory panels of the following groups:
- Environment Business Australia (EBA) - Council,
- Timber Training Creswick - Director,
- AustralWood,
- Australian Timber Industry Certification Pty Ltd (ATIC) – Director & Co Secretary,
- National Association of Forest Industries (NAFI) - Board,
- Forest Industry Council, Stakeholder Group for Biodiversity and Land,
- The Living Murray Community Reference Group
- PNG Sustainable Development Program Ltd,- Board of Directors,
- Commissioner for Environmental Sustainability Reference Group, Victoria,
- SA Water Corporation – Sustainability Advisory Group,
- Jewish National Fund (JNF) Environmental Scholarship Fund,
- Sustainable Melbourne Fund, City of Melbourne Board - Trustee,
- CSIRO Energy & Transport Sector Advisory Council,
- Wood Products Victoria Pty Ltd - Board
Joint initiatives include:
- Seminars with Ensis, Australian Paper, Victoria’s Commissioner for Sustainability;
- The Industry Environmental Management System project with Sustainability Victoria funding, and in-kind support from participating organisations;
- Ongoing initiatives with plantation growers and farm forestry.
VAFI provides donations/support to:
- Women Chief’s; and
- National Trust – “Wooden Wonders” book published in 2006.
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About the Industry
The native hardwood processing industry in Victoria is stringently regulated. Over the past 30 years, it has undergone many changes. This has continued in the last 12 months as the effects of changes to resource allocation after the last State election, the auction system, resource prices and forest fires are felt.
The Resource
Victoria has a total area of 7,837,000 ha4 of native forest, 87%5 of which is in public ownership. The area of hardwood plantations is 175,330 ha,6 mostly in private ownership.
Department of Sustainability and Environment figures show that 51% of Victoria’s public native forest, or 3.5m ha,7 is now formally held in nature reserves. This is an increase over last year (46% and 3.05m ha), due to the change in tenure of a number of State Forests which have now become National Parks. Just 12%8 of public forest is suitable and available for harvesting, with only 1.1%9 of this area harvested in any one year. In addition, only 14,000 ha10 of Victoria's hardwood plantations are managed for sawlog production.

In 2006/07, the volume of D+ grade sawlog supplied from public forests was 421,237m3, plus 104,016m3 of E Grade sawlogs and 1.19 million tonnes11 of logs for wood fibre and low grade timber products. This represents a 23% decline of D+ sawlog supply compared with 2005/06, and a 15% average decline over the last 2 years.

Products
Timber harvesting produces sawlogs and residual logs or pulp logs, which are processed into a vast array of products for markets in Australia and overseas.
Hardwood sawlogs of different grades and species are processed to produce:
> appearance products such as furniture, cabinetry, doors and polished flooring;
> structural products such as high strength structural beams, construction framing;
> railway sleepers; and
> pallets and palings.
VAFI’s member survey shows that 39% of processed sawlog is recovered to sawn timber, with the remaining mill residue being used for other applications such as for use in dairy farms, garden mulch and bio-fuel energy generation and wood chips from sawmill
residue used to produce high quality paper. So nearly 100% of the sawlog is put to use.
Residual wood is used predominantly to produce high quality paper products

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Performance across the Triple Bottom Line Plus One
This report builds on VAFI’s 2005 and 2006 Sustainability Reports, with the following summary of VAFI’s 2006/07 performance against targets, along with the key challenges facing the industry.
VAFI submissions to Government Inquiries and consultants’ reports referred to are available from www.vafi.org.au/research
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Governance Challenges
The last 12 - 24 months have seen significant modernisation of the management and governance structures of forest industries in Victoria. This includes the structure and process for selling logs, the structure of the harvesting and haulage sector and ongoing consolidation of timber processors. These changes are summarised and represented below.
The number of mills processing native timber in Victoria has fallen from 167 in the 1980s, to 5212 by 2007.

VAFI Governance
The changing structure of the industry led to VAFI rethinking its own organisation. In December 2006, new rules were lodged with the Industrial Registry, making the organisation more relevant and appropriate in a fast consolidating industry.
The substantive change was the creation of a single Executive Committee, consisting of a President and four Vice Presidents and three Executive members, elected annually by the members. This replaces the old dual committee structure of Executive and Management Committees. The new rules are available on VAFI’s web site. Can we hyperlink to the rules please.
VAFI representatives attended events for all the major parties, Labor Party, Liberal Party and National Party, contributing resources and personnel to policy development and completing and distributing a comparative analysis of all their policies prior to the State Election in November 2006.
VAFI is currently engaged in discussions with the National Association of Forest Industries (NAFI) in order to establish joint arrangements for personnel and service provision which optimise policy outcomes and administrative efficiencies for members.
In January 2007, VAFI merged its four external stakeholder advisory groups into one; the Community Council. Further detail about VAFI’s Community Council is provided, in “Opening the Industry to the Community”.
VAFI’s long-term governance goals for the industry are:
> To optimise and extend VAFI membership; and
> To establish a whole of industry voice.

In 2007/08, VAFI aims to:
> Increase VAFI membership to 80% of D+ sawlog volume; and
> To extend the reach of the Community Council to influence key policies and leaders.
Opening the Industry to the Community
In the past, forestry industries in Victoria have been weighed down by community misunderstanding, and so the industry has tended to be defensive and isolated. In order to be transparent and strengthen communication with the community, VAFI established four external community advisory groups in 2004. These were the Community Council, the VAFI Investment External Advisory Group, the VAFI Environmental Services from Forests External Advisory Group and the VAFI Business Services External Advisory Group.
These were merged into a single Community Council in January 2007. Members of the Council are well-respected, influential leaders in their industry sectors; business, academia, the professions and civil society. They provide VAFI with excellent advice and contacts as well as feedback on community views and possible ways forward.
VAFI established a forum for the Council to meet in an open, non-political environment, so issues facing the industry could be discussed candidly. Over the years, a level of trust and mutual respect has developed between the members of the Council, VAFI members and other representatives from the forest industries.
VAFI has gained invaluable insight and guidance for its future direction from the Council. In addition, Council members have learnt more about the complexity of the issues facing the forest industries and have been able to represent that in their constituencies. In effect, the Council members have become both advisors to the industry, and ambassadors for it, as they take the knowledge learned from Council discussions back to their respective areas of work, life and influence. The Council also informed VAFI’s policy position for the State Election.
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Economic Challenges and Performance
The Victorian forest industries, along the supply chain, contribute an estimated $1.8bn13 to the State economy, through employment, taxes paid and fees paid for resources. They provide employment at the primary industry level of forest management and harvesting, through to processing, product manufacture and distribution. Many of these jobs are located in regional Victoria, providing the core for some of our remote communities.
Devastating Forest Fires
One of the challenges facing processors is the immediate and future impact of the Victorian forest fires over 2006/07. These have had a significant impact on the resource base, and will continue to do so for many years to come. Approximately 19,000 ha14 of mature mountain and alpine ash was killed in the fires. Ash is the premium native hardwood sourced from Victorian forests, with high grade ash sawlogs reaching $15015 a cubic metre. This compares with an average $33 per cubic metre16 for salvage sawlog and pulpwood logs, so the loss of this quality resource is a devastating impact. The projections for hotter, drier summers and consequently mega fires are a major future risk. Analysis and mapping of future scenarios for drought and climate change will be essential.
Auction System and Resource Security
The forest industries compete in a tough global market with firms of larger scale and cheaper resource and labour prices. Consolidation is providing improved access to a diminishing resource, and allowing some of the larger firms to aim for much needed economies of scale so that Victorian companies can be competitive and grow. But ongoing modernisation of the industry is capital intensive, requiring a level of confidence for long-term investment. The current timber auction system is not providing this confidence. Almost all respondents to the VAFI member survey reported that the current timber auction system had increased uncertainty and insecurity in future log supply, and provided a disincentive for investment.
The ongoing transition from larger diameter logs from older trees, to smaller diameter regrowth, will require capital to re-engineer many mills, and to introduce state of the art, value-adding technology. Despite the uncertainty of resource availability and outcomes of the auction system, many VAFI members are investing for the future of the industry, with an estimated $7m invested in new technology and processes reported by survey respondents in the last 12 months. This represents approximately $23,902 invested per 1,000 m3 sawlog processed. There are indications that potential investment (of several hundred million dollars) may be available, unless increasing risks around resource security make it unprofitable and it is invested elsewhere.
Environmental Procurement Standards
Another challenge facing the industry is the unfair treatment of native timbers in environmental specifications and rating tools for building and construction. Many of these have no credible life cycle basis; while a number demand Forest Stewardship Council (FSC) certified timber but do not recognise Australian Forestry Standard (AFS) certified timber. Work is underway to rectify this.
In the 5-Star Thermal Regulations, Government provided a concession for timber sub-floor construction to offset errors in the energy rating software, FirstRate4. The errors have been corrected in FirstRate 5, so the concession has been withdrawn, but energy raters are not moving to the new software rapidly. The errors in FirstRate4 effectively downgraded the performance of timber sub-floors; to make up this deficit many energy raters switch the floor construction from timber to concrete slabs. This is an economic concern for the timber industry; whilst the perverse environmental outcome is that for an average sized house, each floor converted to concrete slab means 15 tonnes more carbon dioxide (embodied in the concrete manufacture) emitted to the atmosphere. Discussions are continuing to ensure embodied energy and overall environmental benefits of native timber are recognised in these models.
VAFI’s long-term economic goals for the industry are:
> To have a viable, long term industry plan;
> To have fair and transparent pricing and allocation;
> To redress the trade imbalance;
> To increase the Victorian value-add; and
> To maintain the regional economic base.


In 2007/08, VAFI aims to:
> Achieve whole of government commitment to a robust, viable industry with a new Timber Industry Strategy;
> To fine tune the allocation, distribution and pricing system;
> Monitor the application of Government policy and resources committed to action on illegally imported timber;
> Develop a comparable, credible methodology for assessing value-adding across the industry; and
> Achieve recognition of third party forestry certification systems which are credible, scientifically based and internationally accredited, in environmental procurement and building standards.
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Social and Cultural Challanges and Performance
As major employers in regional Victoria, forest industry companies contribute to sustaining the social fabric of local communities. This is not only through the health and safety of employees, but also by contributing to local community activities. VAFI members continued to contribute to their communities financially and through donations of product, as well as use of equipment and staff time. The 2006/07 forest fires were a dramatic example of how much the industry contributes. The 2007 Report from the Ministerial Taskforce on Bushfire Recovery reported that “around 200 industry personnel and approx $30 million worth of industry-owned equipment was being used in the fight against the fires.”20
A More Aware and Engaged Public
Away from the regional communities, forest industry companies are having to respond to the challenge of a more aware and engaged public that is interested in their activities and impacts across a range of issues. VAFI has responded to this challenge with the establishment three years ago of its Community Council, as a means of keeping the industry informed of community expectations, and educating community leaders about the issues and challenges faced by the industry. (refer to Governance: Opening the Industry to the Community) Can we hyperlink this?.
VAFI has assisted members to respond to criticisms by: improving the occupational health and safety (OH&S) of the industry through SafetyMap Initial Level training and facilitation, improving the environmental impacts of mills through the introduction of environmental management systems (EMS) training and advice, and improving transparency by introducing regular sustainability reporting.
VAFI’s long-term social goals for the industry are:
> An enhanced social licence to operate;
> Ongoing social and cultural contribution to regional communities;
> Continuous improvement in the OH&S of the industry;
> Improvement in the industry’s reputation as an employer of choice;
> Continuous improvement in the employee/industrial relations of the industry.
These informed VAFI’s election position.
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Environmental Challenges and Performance
Climate Change and Timber
As the need for action around climate change increases in Australia, the benefits of using native timber compared with other building materials are becoming more known and accepted. Building materials such as steel, concrete, bricks and aluminium require extremely high amounts of energy to produce, and are generated from the mining of non-renewable resources. Trees store carbon as they grow; the carbon is then locked in the final timber based product. New trees grown on harvested land continue to store more carbon over time until they are harvested, and the carbon is locked in the products produced, and so the cycle continues.

The challenge is to raise awareness and understanding of these greenhouse benefits. VAFI continues to work to achieve this, by producing research, holding seminars, lodging submissions on emissions trading and ongoing discussions with regulators, the building and construction industry as well as architects, designers, academics and furniture makers.
VAFI EMS
In 2006 VAFI was a successful applicant of the Victorian Government’s Sustainability Fund. The Sustainability Fund has been established by the Victorian Government, from the Victorian Landfill Levy, to support projects that foster sustainable resource use and have economic and social benefits for Victorian communities.
Through the Fund, VAFI received a grant of $167,000 to develop and implement environmental management systems in processing mills. VAFI staff and members are also contributing $104,000 ‘in-kind’ value to the project. Donna Noonan, an experienced environmental engineer is managing the project, and has recruited 15 sites to implement the program throughout 2007.
Participating sites are taking part in the following activities:
- environmental management training;
- environmental site assessments;
- assistance with identifying and prioritising potential environmental impacts; and
- assistance with developing systems to manage potential impacts including systems for monitoring and setting improvement targets.
VAFI’s long-term environmental goals for the industry are:
> To work towards best managed forests in the world;
> Increase and diversify the resource base;
> Enhance protection of Australia’s biodiversity; and
> Decrease waste to landfill, use of primary source water and greenhouse gas emissions from the processing industry.
These informed VAFI’s election position.

**Which is an increase on the area available since the VAFI 2005 Sustainability Report. This increase is due to a change in modelling techniques.
In 2007/08, VAFI aims to:
> Continue to promote improvements in Victorian forest management;
> Collaborate with experts and Government agencies to investigate new ways of assessing sustainable yield, and have this adopted by Government; and
> Determine the area of private forested land available for sawlog harvest.
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Engaging with Members and Communities
VAFI engages with its members on a regular, ongoing basis, and with the community on behalf of its members.
Members
VAFI’s first obligation is to its members, and it engages regularly with members about a range of concerns and issues, through a number of mechanisms.
Direct Contact
VAFI provides services and responds to queries through direct contact with its members by: site visits, phone and email.
- Issues monitoring;
- Advice on industrial relations, OH&S, environmental management and contractual information;
- Information dissemination;
- Connecting members with specialist service providers;
- Meetings with members for policy and action;
- Regular email Bulletins;
- Representation and negotiations on behalf of members; and
- VAFI website with an exclusive members’ section.
Management and Executive Committee
Meetings are held three - four times a year. During the year, VAFI altered its governance structure (refer Governance hyperlink here), to consolidate the two Management and Executive Committees into one Executive Committee.
Members of the Executive Committee at June 30 2007 were:
Greg McCormack (President)
Darrin McKenzie (Vice President)
Vince Erasmus (Vice President)
Bob Humphries (Vice President)
Nick Murray (Vice President)
Gary Demby
Peter Mitchell
Rowan Reid
Paul Madden (Observer)
As well as discussing VAFI business and policy, guest speakers were invited to each Executive Committee meeting to provide expert discussion on particular issues. The guest speakers in 2006/07 were:
- Jan Davis, CEO, Grocom and John Osmelak, CEO, Furnishing Industry Association of Australia (FIAA) on October 6, 2006
- Kevin O’Loughlin CEO Bushfire CRC on February 16, 2007
- Margot Spalding, Jimmy Possums on May 18, 2007
Seminars and Workshops
Seminars and Workshops are held for members and VAFI stakeholders to provide professional development and networking opportunities, encourage discussion and provide guidance for policy development.
Seminars held over 2006/07 included: (can we hyperlink to each of these?)
- Forest Industries Policy Charter launch - August 24, 2006
- “Why Plantations Will Never Replace Native Forest Industries in Victoria” - September 20, 2006
- VAFI Forest Explorer Launch - November 13, 2006, launched by Mr Jason Alexander, CEO of Earthwatch.
- “How Forest Industries, Wood and Paper Can Help Save the Planet from Global Warming” - March 9, 2007 (Joint seminar with Australian Paper)
- “Working Together for Forest Industries, Wood and Paper Products” - May 8, 2007 (Joint members meetings with TCA)
- “How Forest Industries, Wood and Paper Products Can Help Address Water Issues” - June 28, 2007 (Joint seminar with Victoria’s Commissioner for Environmental Sustainability)
VAFI Sustainability Awards
Each year, VAFI seeks applications from members for its VAFI Sustainability Awards. At VAFI’s Annual Dinner on October 6, 2006, the Victorian Minister for Agriculture, the Hon Bob Cameron was joined by VAFI’s Community Council Chair, Mr George Littlewood to present the 2006 Awards to:
- Hallmark Oaks of Cann River for Occupational Health and Safety;
- Reid Bros Sawmillers of Yarra Junction for Environmental Sustainability;
- ITC Timber Heyfield for Innovation; and
- JL Gould Sawmills of Alexandra for Community Engagement.
Communities
VAFI is committed to maintaining and improving dialogue with many sectors of the community, and engages with its diverse stakeholders in a variety of ways.
Stakeholders are identified as those impacted by forestry and related operations, regulators and those with expressed interest or involvement with forest industries.
Stakeholder |
Who are they? |
Interests & concerns |
Engagement methods |
Employees & contractors |
Direct staff, and specialist contractors. |
All VAFI issues |
-Regular weekly staff meetings. |
VAFI member companies |
Full and Associate Members |
-Resource access, allocation and pricing
-Online auction system
-Fair treatment in environmental standards |
-Direct contact through email, phone, site visits, regular email Bulletins, members section of web-site.
-Executive Committee meetings
-Seminars and workshops |
Government |
Federal MPs, State MPs, local councillors |
Industry issues related to their portfolios or electorates. |
-Regular meetings
-Special interest meetings
-Electoral policy analysis paper and discussion (prior to State Election) |
Regulatory agencies & Govt Departments |
VicForests, DSE, DPI, EPA, WorkSafe Victoria. |
-Compliance
-Innovation
-Pricing and Allocation |
-Presentations to VAFI Executive Committee.
-Regular meetings |
Non-Government Organisations |
Greenpeace, ACF, TWS, WWF, FOE, Trust for Nature |
-Illegal imports
-Plantations
-Biodiversity
-Protected areas
-Certification |
-Group meetings
-Individual meetings |
Regional Communities |
Local Governments
Politicians |
Sustainability of Communities |
Ongoing dialogue |
Timber Communities |
TCA |
Industry and local wellbeing |
-Ongoing dialogue
-Joint presentations to members |
Upstream Supply chain |
Harvesters & haulage contractors, VicForests |
-Forest management and codes
-Pricing & Allocation |
Ongoing dialogue |
Downstream supply chain |
Merchants, export agents, retailers |
Pricing and Allocation |
-Seminars
-Issue based dialogue |
Forest industry employees, unions and industry affiliates |
CFMEU, VFHCC,
ACTU |
-EBAs
-OH&S
-Jobs
-Wages |
-Issue based dialogue with members
-VAFI Community Council. |
Consumers of industry products |
The public |
-good quality, well priced products from well managed forests |
-media
-EcoSelect program
-VAFI Community Council |
Investors |
-Individuals
-Investment Institutions |
Policy Frameworks
Incentives |
VAFI Community Council |
Scientific experts |
Universities, CSIRO, individuals with expert knowledge |
Environmental and technical issues |
-VAFI Community Council
-Submissions
-Reports |
Forest users |
Bushwalkers, beekeepers, non-commercial firewood collectors, tourism operators |
-Access |
VAFI Community Council |
Education/training institutions |
Creswick Training Centre |
-Funds
-Students |
VAFI Representation on Board |
Other Industry associations |
VFF, Minerals Council of Australia, Seafood Industry Victoria |
-Resource security
-Government policies |
-Meetings
-Seminars
-Events |
The mechanisms used to engage with stakeholders vary;
In 2006/07 VAFI held:
- One-on-one meetings with the Premier, Ministers, Shadow Ministers and leaders of the major political parties (State and Federal level), local and regional politicians, Department Secretaries and senior officers of relevant State Government Departments and Agencies;
- Group meetings involving representatives of the plantation industry, timber communities and non-government organisations;
- Information sharing seminars (see list in Engaging with Members) which were attended by a diverse representation of stakeholders;
- Consultations with External Advisory groups; and
- Informal discussions.
VAFI also engaged with stakeholders by:
- Attending key events and seminars; and
- Was a member of relevant organisations such as the Committee for Melbourne, Committee for Economic Development of Australia (CEDA) and Progressive Business.
To improve transparency and understanding of the industry, VAFI CEO Tricia Caswell presented to many forums and seminars, provided interviews and opinion pieces to Australian, State and local media.
VAFI was an active participant in several Government Inquiries, providing written submissions on behalf of the forest industries. These included:
- The National Emissions Taskforce;
- The Draft National Climate Change Adaptation Framework;
- The DSE Framework of Indictors for Sustainable Forest Management;
- The Victorian Renewable Energy Target;
- Victorian Government Bushfire Recovery Taskforce;
- The Australian Government’s discussion paper on illegal logging; and
- Free Trade Agreement negotiations with Japan.
Victorian Forest Industries Explorer
On November 13, 2006, VAFI launched the Victorian Forest Industries Explorer (hyperlink to Explorer), an interactive online resource to help the community learn more about and understand the Victorian Native forest industry.
Work commenced on a high school competition to engage students from year’s 7 – 10 in learning about the Victorian forest industry, using the Forest Industries’ Explorer. The competition will run through the first half of 2007/08.
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The Future
As VAFI heads into 2008, CEO Tricia Caswell will be moving on to work on sustainability with other industries and organisations. She will remain fulltime as Special Projects Consultant until the end of 2007 to help with the transition to the new Director. Next year she will manage the Community Council and stakeholder seminars as a special project for VAFI.
A new Executive Director, Mr Philip Dalidakis has been appointed, and will continue to progress towards achieving VAFI’s goals and targets – which cannot be achieved by the industry in isolation.
The industry’s future continues to be dependent on the policy setting of State Government and the understanding of the community of the sustainability of the industry.
Disclaimer: This report was prepared by VAFI with assistance provided by Global Sustainability at RMIT University. Every effort has been made to ensure that information and quotations sourced or supplied from third party material is accurate at the date of publication. Global Sustainability at RMIT University accepts no liability whether expressed or implied for the accuracy or completeness of the information of data contained or referenced in this report. VAFI accepts no responsibility for any revisions or addenda to any third party material made after the date of publication, or for errors in information or quotations contained in third party material prior to its being sourced by or supplied to VAFI.
VAFI wishes to thank the following for contributing to their 2007 Sustainability Report.
- All VAFI members who have contributed time, data and images for this report
- VAFI staff: Jilly Charlwood, Maritza Kefalianos and Donna Noonan
- VAFI Executive
- George Littlewood and the Community Council
- TPC Solutions
- Global Sustainability at RMIT University
- DSE staff: Gordon Hickey, Lee Miezis, Dugal Wallace, Victoria Betts
- DPI staff: Kendra Dean
- VicForests staff: Pat Groenhout, Sarah Lewis
References:

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