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Business
Natasha Schapova and Bec Symons

Victoria's native timber logging communities shocked by acceleration of industry's end

The budget announcement has rocked Victorian timber communities. (ABC News: Richard Willingham)

The decision to end native timber logging was meant to bring certainty to Victoria's timber towns. But for the people living in those communities, the decision to shut down the industry by the end of the year has raised more questions than it has answered.

In the past year, several timber mills have stopped operating or closed and in the past six months the state's only paper mill stopped producing white paper.

Sawmill workers, loggers, and log truck drivers now all have an end date on their jobs.

The Victorian government used Tuesday's budget to deliver the final blow and announced an allocation of $200 million to help with the transition away from the industry.

The funding brings support for the sector to $875 million, which includes existing support services for workers and money to transition to plantation timber.

The government also announced there would be new hardwood plantations established, but mills are sceptical about availability.

Daniel Pote says the announcement left people in tears. (ABC Gippsland: Natasha Schapova)

It has been a difficult couple of days for the timber community of Powelltown, east of Melbourne.

Powelltown Sawmills chief executive Daniel Pote said the announcement was a "sad day" for all involved.

"That took us all by surprise and there's a lot of shock … a lot of adults who yesterday were in tears and worried about their job — it was devastating news," he said.

"It doesn't give us enough time as an industry to transition to something else."

In the past few years, Powelltown Sawmills bought new machinery to produce hardwood products as it worked towards an end date of 2030.

"A lot of equipment we use will be redundant and won't be able to be used in other industries," Mr Pote said.

"So it makes it really difficult to get that return on investment for some of that equipment.

"But at the moment, we're just trying to work out exactly what's going to happen over the next period of time for all our workers."

Eighty per cent of workers at the small town's mill live within 10 kilometres of the workplace, leaving many with not just job uncertainty but a fear of having to relocate their families.

Peter Podolinsky says the end of the native timber industry will have a huge effect on the community. (ABC Gippsland: Jarrod Whittaker)

Flow-on effects

Peter Podolinsky has lived in Powelltown since he was a toddler and while he has never worked in the industry, he has reaped the benefits of living in a timber town.

His football club was started 100 years ago by smaller mills that started a league to play against one another while raising money for charity.

Most of the players are sawmill workers or what Mr Podolinsky calls "offshoots" — tradies and their partners who work with the wood provided by the mill.

The town's sporting clubs are all sponsored by local businesses.

"The whole timber industry across the board has been very, very generous with their support to cricket, football, netball, in forms of not just in sponsorship but they've always lent machines to do things or whatever, whenever we ask for something," Mr Podolinsky said.

"They're there, they're helping and they're just a terrific, terrific asset to communities like this."

Mr Podolinsky says the sports club, seen here hosting a fire drill in 2019, has greatly benefited from timber businesses. (ABC News: Emilia Terzon)

Other than monetary support for community clubs and families, Mr Podolinsky told the ABC the absence of the skills and equipment the mill had on hand would be felt in times of emergency.

"I have a real area of concern in bushfires having been here in the '83 Ash Wednesday bushfires, and knowing how people within the timber industry contributed towards that firefighting when it gets to that crucial point," he said.

"Once those people with those skills to drive the machines, the bulldozers the excavators — once they've gone off to other things, it will be a very interesting time in the event of another bushfire."

Daniel Andrews says the court effectively brought the end-date forward. (AAP: Julian Smith)

Premier cannot 'pretend' to keep logging

Victorian Premier Daniel Andrews said the government's decision to bring forward the end of the industry was driven by the reality of the situation.

He said Supreme Court injunctions on native forest logging, which have halted harvesting in some coupes, brought it forward.

"We had a plan of 2030, the courts have essentially brought that forward," Mr Andrews said.

"I'm not being critical of them — it's just a fact.

"The sort litigation that's been run, that's not going to end anytime soon.

"You simply cannot pretend that we can keep logging … do you use the intervening periods to support workers … or do you kick it down the road and pretend?"

Many businesses were left without timber when the government-owned logging company VicForests stopped harvesting in November last year after an adverse Supreme Court ruling.

The court ruled VicForests broke the law by failing to adequately protect the yellow-bellied glider and the endangered greater glider in Central Victoria and Gippsland.

It ordered the company to undertake more rigorous surveys for the two species in logging coupes, expand protected areas, and maintain minimum levels of eucalypts in identified glider habitats.

The forests in the Noojee area attract visitors from Melbourne. (ABC News: Ben Knight)

Tourism to replace timber?

Noojee, a timber town with a population of 177, is a stone's throw from Powelltown and falls within Baw Baw Shire.

Like Powelltown, its weekday trade once relied on the timber industry.

On weekends, tourists flock from Melbourne to enjoy the forest backdrops and country hospitality in the pubs.

Baw Baw Shire Deputy Mayor Michael Leaney said the council had been working with Noojee community members to develop plans for a transition away from timber.

"It's always a challenge when there are changes in the industry," he said.

"It's happened many times before, whether it be the power industry, whether it's been the change of the automotive industry, people sometimes, unfortunately, have to move in order to have a job that suits their family circumstances and suits them.

"However, our role as council is to work very closely with the local community to minimise the amount of impact and to come up with new ideas and new ways that we can ensure that our smaller communities survive into the future."

Cr Leaney said it was now more important than ever to ensure good internet connections so people could work remotely.

"A lot of people are now living in [small towns] and perhaps commuting, and of course today with people working from home, and telecommuting, that's actually become a really viable option," he said.

"Ensuring that these small towns have really good internet connections is important.

"A lot of people are making that choice because they love the lifestyle of being in these small communities with a great environment around them."

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