e-Letters
Like to have your say? Give us your input!
Coordinating the Promotion of a Better Public Image – Monday, 3-Nov-2008
Dear Brent,
Thank you for your latest edition of Friday Offcuts, which contains comments and articles of great interest. Part of my business is in the capacity of Manager to the Australasian Paper Industry Association Limited, representing paper manufacturers, suppliers, and distributors. Our key objective is to promote a positive image of paper and print, and of the extended industry. As you know well, advocacy of our industry to government, business, and the community at large is hindered by the large number of groups and associations representing various segments of the industry, much of the time in an uncoordinated fashion.
At the moment we are working closely with various groups in Australia to promote our industry through such activities as the creation of a common "environmental" web site which will contain information from across the industry, and also in cooperating to promote our industry's interests to governments, business, and the community.
Your comments below in terms of peoples attitude to wood and carbon storage strike a chord. We have so far published one brochure which we distributed widely in Australia, with copies also going to New Zealand, simply titled "Paper...a fundamental part of daily living", and will soon publish a second brochure titled "Paper...naturally sustainable". The first brochure can be downloaded from our web site: www.australasianpaper.org , whilst the second brochure is soon to be printed. It would be appreciated if you could make your subscribers aware of our activities on promoting paper and our industry, and if you have any questions please feel free to ask.
Tony Wood of APIA Ltd
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Wood vs the Rest – Friday, 17-Oct-2008
While I am an ardent supporter of the sustainability of wood and wood products, and have long held the view that wood, as the only natural and prolific sequesterer of CO2 from the air, must be a powerful force in Climate Change abatement, I think we have to moderate our enthusiasm. Cement, Steel (and your next target Aluminium) all have their place in our civilisation. I'm not looking forward to flying to Australia in a wooden aircraft.
I believe society / civilization will become more rational about the use of the most appropriate materials when complex, holistic, evaluation processes such as Life Cycle Assessment achieve a capability to be incorporated into project planning for new structures and products. As the process of internalising environmental costs (based on LCA style evaluation) continues beyond GHG emissions we will see new cost relativities develop.
Don't get me wrong - I think it is high time that the Timber / wood industry publicised its sustainable credentials, its just that tit for tat comparison generally ignores important other features. I have confidence LCA will (eventually) provide robust, scientific support for those credentials.
John McArthur of Laminex Hamilton
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Global Warming Scepticism – Sunday, 5-Oct-2008
Thanks for the latest newsletter. Always interesting - and a great joke!
I don't think that global warming sceptics for the most part disagree that carbon is being burned and atmospheric CO2 levels are rising - although I have found that some people actually believe that sceptics think that.
Instead "we" are sceptical that there is a scientific link between rising
CO2 and rising global temperatures - although the reverse is true, i.e., rising temperatures have historically resulted in rising CO2.
The latest calamity being reported as a component of what is now referred to as "disastrous global warming" is the rapid melting of Arctic and Greenland ice - and also the Himalayan glaciers. So - why is this "global warming" only happening in the northern hemisphere I hear you ask?
For perhaps a more plausible explanation just google "black carbon" or go the following website www.sciencedaily.com
I remain a sceptic until I see the scientific evidence that rising CO2 is actually causing rising temperatures.
Bill Dyck of Science & Technology Brokerage
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Feed in Tariffs for NZ Sawmillers – Monday, 11-Aug-2008
This type of program was first implemented in the USA in 1978, but it is the German model, that begun in 1990 ("Stromeinspeisungsgesetz") and refined in the year 2000 ("Erneuerbare-Energien-Gesetz") when it became a Federally managed program that has proven to be the world's most effective practice for boosting adoption of renewable energy technologies and reducing GHG emissions.
It has been enacted in over 30 countries now and has stimulated phenomenal growth in uptake of all types renewable energy systems as well as significant employment growth in the industries manufacturing, installing and maintaining these systems.
As a result of feed-in tariffs Germany now produces Gigawatts of electricity just from domestic photovoltaics installations alone (no mean feat given their sunshine hours compared to New Zealand!).
The New Zealand Situation It is just astounding that feed-in tariffs have not been enacted in NZ - and the reason most people in Government and their economists will give you is that feed-in tariffs are "state subsidies". The European High Court has ruled on this argument stating without equivocation that they are not subsidies.
Feed-in tariffs are a valid market mechanism - small investors such as timber mill owners invest their own money in setting up cogen (where once it was not economic them to do so, given very long payback under current conditions) and a premium payment accrues for every kW exported to grid so that the mill gets reasonable payback and thereafter it is all supplementary income. Once implemented across a number of sites and generation types, and the investment has been repaid, the costs of power supply begin to reduce over time. Experience worldwide indicates that consumers are willing to pay this initial upfront premium for clean power and GHG reductions.
Regarding "subsidies" - what do they call this current dilemma in NZ where all business and millers on the spot market are paying through the nose - paying massive premium to the big generator retailers at current spot market prices. If that is not a subsidy from all taxpayers and businesses to Government and the generator / retailers then what is? Recent news has indicated that the current power crisis has cost New Zealand $3 billion!
What type of business do you know which gets massive windfall profits for sitting on their hands and doing very little - which is what is happening right now in NZ - and Government is benefitting, as owner of most of the generator / retailers, by receiving windfall stealth taxes.
It is worth noting that in most of the 30 countries where feed-in tariffs have been enacted the big incumbent generators have fiercely resisted their enactment spending huge sums to fight it in the courts.
Other benefits of feed-in tariffs include:
- Reduces our carbon exposure to Kyoto (as opposed to business as usual under current NZ model).
- Supports and underpins any emissions trading system
- Provides additional revenue streams to businesses such as struggling timber mills where cogeneration can be implemented as well as biogas power production from waste streams such as in meat works etc...
For more information visit following website: www.wind-works.org or contact Allan Mountain at Key Energy Ltd Ph: +64 7 574 8258 or mobile: +64 21 474 161
Allan Mountain of Key Energy Ltd
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Lack of SKilled Workers – Saturday, 9-Aug-2008
Dear Editor,
It is very sad for me to read that there is lack of skilled, qualified workers in the forestry sector. I for one have been looking for jobs in 3 years now and cannot find one. I hold MForsc, BCom. BForSc, GDCom and sadly cannot find a job. I hope a company out there can provide me one.
Thank you.
Maika T (Canterbury)
Maika Tabukovu of Self-Employed
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Wood Burns - You bet it Does – Monday, 4-Aug-2008
Thanks for the response Neil to last week's editorial. Wind Power was flavour of the week for last week's issue - with a number of high profile announcements made in the media - and of course, any generation of discussion as an editor is welcomed. Profiling of options for better utilisation of wood residues for energy production will always be done through Friday Offcuts - so please keep sending them through. Great listing of references.
Editor of Friday Offcuts
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Wood Burns? Surely not!? – Friday, 1-Aug-2008
Thanks for the excellent copy of Friday Offcuts. Just a little disappointed with the over-emphasis on solar and particularly wind energy in the opening section. I would have hoped that a forest-industry publication would be championing the role that woodfuel could play in meeting the targets for CO2 reduction. We're certainly making good inroads into the public and private sectors at the moment, with 6 of our woodchip boilers scheduled for installation in New Zealand schools in the next 6 months or so, and many more applications on the cards.
In a global context, woodfuel is by far the most widely deployed form of renewable energy, and in Europe provides over 50% of their current total renewable energy capacity, and 98% of their renewable heating, whereas NZ is wasting millions on solar heating subsidies that have no meaningful employment benefits and little chance of payback for the consumer. In NZ, Australia and a considerable number of other industrialised nations, the fact that wood burns and releases heat at up to 93% efficiency in a modern boiler system seems to be lost on everyone outside the forest and timber processing industry.
What say we have a meaningful industry programme promoting the benefits of wood as a renewable energy source? There are plenty of examples overseas with marketing and financial support for both the boilers and the costs of creating the supply chain :
www.newheat.org
www.regensw.co.uk
www.usewoodfuel.co.uk
woodenergybusiness.co.uk
www.fey.org.uk
I could go on...!
Neil Harrison of Living Energy Ltd
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Wooden Cars – Friday, 11-Jul-2008
Was interested to see the note on the wooden car in today's (11/07) Off-cuts. For the younger set who are unfamiliar with cars of the 60s I would note that the Marcos GT, a very fine sports coupe reposed on a semi-monocoque plywood chassis made of spruce and glued with Aerolite 3000, as used in boat building. The car was designed and built by Poms Jem Marsh and Frank Costin in 1960 based on aircraft construction. The natural material was stable, corrosion-free, and water and fire resistant. The car proved almost indestructable and went into production in 1964. The fibreglass body had beautiful lines similar to the E-type Jag but its demise was spelt in 1970 when tougher regulations in the USA put paid to the wooden chassis.
Gordon Hosking of Hosking Forestry Ltd
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Comment on article Eco-friendly measures in Swedish town – Tuesday, 29-Apr-2008
Having spent 3 months in Sweden some 11yrs ago it does not surprise me that somewhere in this country such measures have been taken.
Back in 1996 there was a recycling programme which charged households for the amount of waste they put out for garbage collection. This meant that most people not only recycled but companies were forced to have products for sale in recycleable material. Even McDonalds recycled!
The health benefits of timber was already being promoted as all the schools had ripped out their carpets and had floorboards - to assist in the reduction/prevention of ashtma.
Swedish houses and buildings are extremely well insulated and warm and this is a country that has a long chilly winter.
The trains had recently been converted to electricity as it was considered more environmentally sustainable.
And remember all of this was over ten years ago.
We could learn a lot from Sweden. And of course, the country has a timber industry as well.
Deb Carnes of Self
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Timber Innovation Company – Monday, 18-Feb-2008
A small correction to the story on this NZ initiative from last week. The proposed name for STIC is the Structural Timber Innovation Company (not Solid Wood, or Sustainable Wood as some would suggest).
Editor of Friday Offcuts
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Solid Timber Research – Saturday, 16-Feb-2008
It is great that a new initiative has been taken to promote solid wood. In each country there are strong lobbies or cartels e.g. steel, plastics, etc to mention a few, to discredit wood and promote use of fossil based materials to meet their short term goals.
In India in early forties and fifties we were busy finding timeber substitutes for such materials, which were either expensive or had to be imported. We even carried out extensive research to test locally available wood species to substitute imported wood species for specialised end uses like pencils, textile bobbins and shuttles, cricket bats, etc.
As the steel lobby became stronger and wood sector remained mainly with the Govt., wood was pushed out from many uses such as wooden poles for transmission lines, defence stores and subsequently from railway ties. Unremunerative prices for wood discouraged plantation of trees and by 1990 the country became deficient in wood and had to depend on imports. The research activities on wood processing also became dormant.
Since New Zealand is a top producer of plantation wood, such an effort will definitely have a positive effect on promotion of wood. Plantation woods are generally considered inferior and this initiative will take care of such problems.
India is now promoting bamboo in a big way. I wish they would think on similar lines and start developing appropriate technologies to promote this fastest growing woody material.
Satish Kumar of American Connexion, Dehra Dun, India
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Solid Timber Research Company – Friday, 15-Feb-2008
This is a long overdue initiative form the industry, which needs to overcome the marketing campaigns of the steel industry, particularly in Australia where timber use for anything but housing is largely unknown today.
There are a number of examples from the past of innovative timber design. I've always thought that one of the best examples of timber use is Ted Willson's design of the Kinleith dry drum chipper building in the 1980's. This includes significant noise reduction in the cladding, and a 15T overhead crane running on laminated timber crane beams.
One other thing that I feel is needed which the new organisation could undertake is education of engineers and architects at university level, and assist with organising education for trades level people. In Australia, I have spoken at length to staff and students at a couple of the leading Victorian universities, and all they learn is steel and concrete. In discussion with them, there was general disbelief that timber, and particularly pine, could be used as a major structural material in place of their two taught materials
Bruce Bellingham of GHD
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Biofuels – Wednesday, 13-Feb-2008
The article on Biofuels is a brilliant step in the right direction and should be seen as a way forward to value add to the forest industry. Given the current concerns about green house gas emessions, this project should be picked up and fully supported by both the government and the automotive industry to show their support to the reduction of green house emissions while allowing the automotive industry to move forward.
Malcolm Whitmore of ForestWorks Tasmania
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Biofuels – Friday, 8-Feb-2008
Wood to diesel. Your article on the stable biocrude process that CSIRO and Monash as a way of turning wood to biofuel is very big news indeed for the forestry sector. Of course, there are several more critical steps to go yet: manufacturing operational-scale plants, testing the economics of the entire process, etc. But you'd have to be blind not to see that a door has just opened into the future. I await developments with great interest.
Piers Maclaren of Piers Maclaren & Associates
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Victorian wind farm gets go-ahead – Monday, 4-Feb-2008
"The promotion for the project being used in the media includes avoiding production of around 750,000 tonnes of carbon dioxide every year - the equivalent of planting around three million hectares of plantation forest" - this seems wrong: at MAI of 10 tonnes wood per hectare per year (equivalent to around 10 tonnes CO2/ha/yr) 3,000,000 hectares of plantation would sequester 30 million tonnes of CO2 per year whilst growing? - how to get to the 750,000 tonnes CO2??
Bruce of FIAT
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Paper Bags – Friday, 1-Feb-2008
I was really surprised to know that paper bags cause more environmental hazards. I have personally seen plastic bags littering all around in cities and their use have now gone to high altitudes where they finally end up in water bodies, lakes and rivers. In cities they just litter around rail tracks and every where. The stray animals like cows, buffalos, etc consume these plastic bags, often with food and ususally die. The rest goes into the drains and underground sewage systems and clog the same. In the rains the clogged system create crises by flooding the roads and damaging them. This is the status of plastic bags in India. Most of the paper in India is now recycled. This tradition is at least 100 years old, where the paper sheets were dipped for some days in caustic soda and then the pulp was moulded into various utility containers. The containers were dried, painted and sold in the market or used in homes for various purposes. This kept the carbon locked in for several years.
Dr Satish Kumar of American Connexion Wood Products Newsletter
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Wind Farm Carbon emissions comparison – Friday, 1-Feb-2008
The figure of 750,000 tonnes/year presumably excludes the carbon emitted during the windfarm construction and construction of the wind turbines and other material from mined metals. What about carbon emitted during maintenance and actual production of power. 750,000 tonnes seems enormous. How many tonnes of carbon per year is produced by a coal fired power station?
Howard Perry of Self
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NZWood – Friday, 1-Feb-2008
Thanks for the heads up on this. Companies with advertising initiatives can build from this initiative.
Keith Mackie of WQI
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17th Jan 08 issue of off-cuts – Monday, 21-Jan-2008
Interesting to read your article on the phasing out of plastic bags, and how paper bags are the way to go...
Plastic bags take five times less energy to produce than the equivalent paper bag, are lighter, stronger and do not fail when wet. They also break down in sunlight. No wonder there is consumer resistance to going back to paper. . In a landfill situation, newspaper over one hundred years old has been dug up and can still be read. Also as a comment to the P&P industry, how many more indigenous forests in Australia will be cut down before the industry owns up to the fact. There is always more than one view on a subject, lets get a balanced view please, and use whole of life environmental comparisons please.
Bill Telford of Nelson Forests Ltd
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Plastic bags – Friday, 18-Jan-2008
Could not agree more with Steve Wilton on the issue of paper bags being worse for the environment than plastic bags! What nonsense to believe that plastic bags are better for the environment than paper bags from renewable resources! Please test the statement by "Clean Up Australia". I do agree with them that charging for plastic bags will not necessarily lead to reduction in quantity of bags around. We have that system here in South Africa and after a while people just get used to the cost of the bags and you're back to square one. The best approach would be to ban plastic bags altogether.
Ons can also put a charge for paper bags to encourage people to re-use or to get their own bags that they can re-use - like cloth ones. We now do see some of that here in South Africa since they started to charge for the plastic bags.
Anonymous
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Paper Bags Increase Greenhouse Gases – Friday, 18-Jan-2008
Surprised that the comment '... that substitutes like paper, will do worse for the environment by increasing greenhouse gases.' in this weeks item headed 'Plastic Bags to be phased out this year' went unchallenged by the Editor.
This is typical of the erroneous statments that woods competitors are successfully pushing in the media and which are becoming accepted by the public as true because the industry is not vigorously correcting them. In my view there needs to be legal action taken to stem the tide of this misinformation.
Paper bags from plantation forests are a sustainably produced product that rapidly bio-degrades in landfills (or as compost) and are carbon neutral. The carbon eventually released from a degraded paper bag was first extracted from the atmosphere by the tree from which the paper was manufactured.
Steve Wilton of Forest Enterprises Ltd
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Lifting of Gobal Log Prices – Wednesday, 5-Dec-2007
I find your Friday Offcuts newsletter interesting, informative and useful. You are doing a great job.
Today's (30 November 2007) newsletter carried a story on the Global Lumber/ Sawnwood Cost Benchmarking Report - 2006 & 2007 Q2. Your newsletter quotes, One of the most significant changes seen in the survey was the rise in delivered log costs in almost every region: since 2002, global log prices have increased by 66%."
I found the report's finding on the 66% increase in log prices interesting to the extent that it prompted me to see whether this global rise has lifted the prices of pine logs in Australia and NZ. A quick look at the June 2007 issue of Australian Pine Log Price Index (http://www.kpmg.com.au/Portals/0/PineLog-JanJun07.pdf) revealed that the trend lines of average stumpage for all sawlogs were flat. Next, I had a quick look at the NZ Radiata Pine Log Prices on MAF website (http://www.maf.govt.nz/forestry/statistics/logprices/index.html). For this purpose, I selected pruned and A grade logs for export market and P1,P2, S1 and S2 logs for domestic market. I found that price trend lines for all six categories of logs were also flat.
A tentative conclusion is: the global rise in the delivered prices of logs appears not to have lifted the prices of pine sawlogs in both countries. One wonders: why? A food for thought and a topic for serious research for someone! Regards, and keep up the good work on Friday Offcuts.
U.N. Bhati of The Australian National University
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Tasmanian Pulp Mill - a Difference of Opinion – Monday, 17-Sep-2007
On Thursday 13 September 2007, ABC TV aired its Difference of Opinion program which was aimed at exploring both sides of the pulp mill debate. The forest industry in Tasmania sent a small number of representatives to support Jill Lewis (CEO - Timber Communities Australia) and Tim Woods (Assistant National Secretary of the Forestry & Furnishing Products Division of the CFMEU). Unfortunately the crowd was dominated by a large number of interstate personnel who were very much focussed on the Green issues. These people lacked respect for the forest industry panellists and regularly interjected. Therefore it was difficult for the pro-forest debate to make a suitable mark although Jill and Tim did excellently in the circumstances.
Nevertheless it is critical to get some points out:
1. Tasmania's forest industry is carbon positive - refer to the CRC for Greenhouse Accounting - so to is the Pulp Mill because it will reduce emissions by 1.1 million tonnes per year by reducing the need for fossil fuels and the transport of woodchips.
2. In Tasmania, more trees are planted then harvested - therefore we can hardly be accused of deforestation!!
3. Research shows that younger trees will absorb 60% of their total carbon absorpotion capacity in their first 50 years of growth.
4. Timber products retain carbon therefore harvesting does not emit carbon into the atmosphere - carbon emissions only occur when timber is burned or when it decays - old decaying trees left in the forest actually contribute to the greenhouse problem.
5. Tasmania's forest practices rate extremely well when compared to other countries.
6. The Greens and the extreme environmental activists do not want a Pulp Mill because they will then have to change the nature of their guerrilla marketing campaign from one targeting export woodchips to one targeting pulp and paper, with the latter being difficult for them to target.
7. The pulp mill and other downstream processing initiatives will stabilise the Tasmanian forestry industry and ensure long tern sustainability for many businesses, their employees and their rural communities.
8. A move to Hampshire will only create further transport problems as well as new and even more challenging environmental issues therefore this is not a viable option for social, economic and environmental reasons.
Finally, this debate should not be an election issue but unfortunately some are very good at feeding this situation. The bipartisan support enjoyed by the industry is being targeted by this negative campaign aimed at creating a potential election nightmare. Therefore this is about relevance for the Greens rather then anything productive. It is time for the true facts to come out and be explored and debated in a fair and reasonable manner.
Ferdi Kroon of Tasmanian Forestry Contractors Association
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Early days of Powered Sawmilling – Saturday, 18-Aug-2007
Your correspondent, Guy Cavanaugh, has asked for pointers re the earliest days of powered sawmilling ... I believe that this consisted of the application of steam power to the form of pit-sawing then in use in naval ship-yards in Britain ... Thus, early powered sawmills were very much akin to a large frame saw with single blade ...
I am wide open to being corrected ...
EDS
Evan D. Shield of Forestry / Forest Industry Consultant
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Guy Cavanagh's Enquiry on Machine Woodworking – Friday, 17-Aug-2007
Guy,
Woodworking machine developed as eary as the late 17 hundreds. In the industrial revolution, Sir Samuel Bentham invented machinery for prisons and shipbuilding starting 1770, and Marc Brunel in 1779. References I have are: Hjorth, Herman 1937 Machine Woodworking, Bruce Publishing Company, Milwaukee, USA, and Koch, Peter, Wood Machining Processes, 1964, who give earlier references, e.g. Manson, Judson H. Woodworking Machining-History from 1852 to 1952 Mechanical Engineering 74, No. 12 (Dec): 983-995. Bill McKenzie
W.M. McKenzie of Long retired
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Sawmilling History – Friday, 10-Aug-2007
Can anyone advise me where and when in the industrial revolution powered sawmilling began or give me a reference towards it. My guess is it is in the age of steam and is probably ist quarter of 19th century and will be probably in Britain or Sweden.
Guy Cavanagh of Consultant
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Investment in On-shore Processing – Monday, 9-Jul-2007
Your article this week suggests that the rising bulk freight, and better container rates, will encourage investment in sawmilling by off shore log users. Well, maybe buying up existing mills. Perhaps even square up the logs. But probably pretty small scale "Log Yard" type stuff.
Because if you look at a 10-20 year lifetime for a green field sawmill investment, and you look at the competitive costs of capital investment & operating costs in NZ, or in any of several Asian countries; and if you take a medium term view of freight rates ( if the high bulk rates persist, new bulk capacity will come along to take advantage of them, and the oversupply will force prices down) then NZ still isn't going to be the target for smart money in processing. ( Which is not to say it wont attract some dumb money.)
After all the Industry effort, and lots of smart people looking very hard, it still seems pretty clear that no-one wanting to make a good capital return is going to try & construct a new Greenfield sawmill in New Zealand. The drivers of uncertain RMA issues; higher capital construction costs & longer times; insecurity of log supply for an economic sized mill; difficulty of access to good international marketing & distribution chain; and currency volatility & risk, all indicate that there are better places than wood processing in NZ to invest. But Hell will freeze over before the Government, officials, and a few commentators who would like to see it happen accept the reality around them. ( If I can get 8% for very low risk Bank Deposits, & more in property, what return would I want for these kinds of risks? Its got to be forecast in the 15%-20% range, and the 20 year average you can forsee for a NZ Greenfield plant is nowhere near that, unless you kid yourself on the assumptions)
Twenty years ago, NZ had a real prospect of developing a portfolio of internationally competitive wood products businesses. We blew it. My perspective ( biased sawmiller) is that we blew it because the forest owners, the people who had most to gain from a strong local industry, took a determined short term view about maximizing log price every quarter; and lost sight of the economic value to them of a sound processing industry. The people whose businesses were built around a 20-30 year time horizon couldnt think beyond a 1 year time horizon. Instead of treating forestry as the foundation for a national industry, they treated it as a con-game, forecasting unrealistic future earnings, and then pushing too hard short term to justify their unrealistic forecasts. Result, massive forest write-downs, and losses to conned investors. And few people willing to invest $100m+ in processing, because once you sink that cost, the forest owners get all the available product stream margin.
Until the Government accepts that major new processing has to be made internationally competitive, by establishing sensible "rules of the game" - which is what Governments are there for), all the effort of pushing against reality for new investment with the odds stacked heavily to failure is a real waste of good people's time & efforts. The trouble is that Government is always willing to encourage others to risk their investment, and misrepresent the possibilities, ( viz the Jaakko Poyry studies) because that is easier than making effective change.
Gloomy, Im sorry. But I think its true,
Answers include sorting the RMA; and integrating forest & processing ownership, so that a long term view prevails. But more likely is just upgrading brown field plants, and industry rationalization ( read quasi-monopolisation) to achieve the scale needed for international marketing. And more nice looking, uneconomic forests that it makes no sense to cut down.
John Pearce of MSA
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Great Global Warming Swindle – Thursday, 5-Jul-2007
I have downloaded the "Great Glabal Warming Swindle", BBC programme, to my computer but have been unable to put it onto discs for distribution. I understand the ABC has been coerced into putting it to air, possible sometime in July.
Jack Gittins of Retired Forester
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Skills Shortage – Friday, 29-Jun-2007
Just so everyone understands, skills shortage in manufacturing is not unique to NZ and Australia, or Western Europe or the forestry industry for that matter.
Please read this article: http://www.maintenancememo.com/
Wanted: Factory Workers
John Yolton
John Yolton of SKF Global P&P Segment
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Forestry Skills Shortages - an Australian Perspective – Sunday, 24-Jun-2007
I couldn't agree more with you on this subject, focus of your intro to this week's OFFCUTS.
I shared this with Peter Kanowski, ANU and others who are involved in revamping forestry /industry training in Australia. As well as the proposed AFFA ( Commonwealth Govt) sponsored technical training programme for forest workers etc, the Oz universities (ANU, Melbourne, Southern Cross) are putting together a shared Masters programme for forestry that will build on a revamped more general first degree. However these initiatives leave wood science, process engineering and timber-in-construction engineering and architecture still lamenting. They really do need a champion.
Peter K has just sent me a copy of a recent FWPRDC report on a proposal for processing engineering training, which I have attached for your information and interest. If this gets off the ground (potential here for an ANZAC initiative?) it will fill one gap. But we really do need strengthening of the other complementary areas.
Ian Bevege of Private Consultant
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Skills Shortages – Sunday, 24-Jun-2007
I read your item on skills shortages in the industry and thought I would put in my two pennyworth.
Many moons ago (15 years I think) at a sawdoctoring conference I presented a paper predicting a major skills shortage in our industry in the next 10 to 15 years and the main cause was the industry itself. This has been brought about by the Cavalier way the industry treated their employees both in processing and forestry, when it was suggested apprenticeships should be done away with the Timber Industry Federation led the charge to support this and when a prominent SI Sawmill Owner at the time when asked where he was going to get his skilled workers told us "from other mills". Every time there is a slow down in the forest sector we have mass lay offs with half hearted efforts to find alternative outlets to save jobs, and sawmills closed at the drop of a hat for no apparent reason. How do they think bright young people perceive an industry that shows contempt for the people who really do want the industry to grow as a career with a future.
I know it may sound like a winge but having been there through it all and the effects on training especially I would need to see a major change in our employers attitudes to their staff to be convinced they will ever attract anyone with major talent when they see other competing opportunities in other manufacturing which has shown long term stability and opportunities to advance.
In the mean time, keep up the good work
Tom O'Toole of Tom O'Toole
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Lack of Skills – Friday, 22-Jun-2007
It was interesting to read this editorial only two weeks after the IFA and NZ Institute of Foresters held their ANZIF Conference in Coffs Harbour, NSW.
At that event the issue of attracting students was high on the agenda. A student forum which was attended by students, academics and some graduates from most of the uni's in Aus and NZ identified that the perception of forestry in the community was one of the draw backs. Foresters are seen as loggers and not much more. Logging is viewed by urban communities as something that shouldn't happen - although one wonders why they continue to buy timber and paper if that's the case (I digress). Rural students often aren't attracted to forestry as a career because they want to go to the city for a new lifestyle (although I suspect most foresters these days are city based as well).
It is apparent that just by looking at the range of careers that graduate foresters end up doing, that forestry degrees are a ticket to a rich world of careers and experiences. They provide opportunities for travel, indoors and outdoors work, hands-on to academic careers etc. We all know this because we've done it. So how do we get this message across to young people (or even older people who may be looking for a life change).
Marketing is the key. Unfortunately nobody in Australasia has really bitten the bullet to market the industry in its whole sense - from seedling to timber product and all the other environmental benefits. The forest industry is much more than timber production, but this is the predominant image that we do market. Even then we have plantation users fighting native forest users - we can't even present a united voice within our own industry.
I think we need a change of attitude. We need to get the chip (pun intended) off our shoulder and concentrate on selling our industry as a sustainable and environmentally sensible industry. Rather than sending barbs to our opponents (both within and outside) we should engage with them to find what we have in common. Then our perception may begin to improve.
Finally the IFA is seeking to engage with industry and government to find ways of getting more students into forests and forest products degrees. We will be looking at holding a Tertiary Education Summit later in the year to come up with some soultions.
In the meantime NAFI and A3P have also received government funding to address skill shortages throughout the industry.
Peter Volker of Institute of Foresters of Australia
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Lack of Forestry Skills – Friday, 22-Jun-2007
Brent, as usual I was very interested to catch up on this week's edition of OffCuts and more especially your lead in editorial.
A big tick to everything you wrote, but I am sure and have been for a longtime, that the major problem is with the insecurity attached to the Forestry Industry.
There have been a huge number of instances even within Ernslaw and Blue Mountain where extremely capable, knowledgeable and highly educated young people have been caught up in "industry downturn" and have been somewhat forced to turn their "future" attentions to those less vulnerable pursuits often or more often resulting in them not only being lost from New Zealand Industry but in most cases from New Zealand.
I can recall from several years back, Jim Anderton suggesting that the Forestry companies of New Zealand themselves were responsible for the poor numbers and the lesser quality of the human resource within their industry. I wonder how he would respond now to questions on the same point.
We often talk to our employees about the "portability" of the industry units and the fact that they also have a similar relevance in like industries. However, in the ideal world we should selfishly protect our training so that in any other "world" it has very little relevance.
Most generally, the industry now has become a better payer, and with the apparent increase in opportunity and the increased mechanization on most sites, we should be able to "train and hold" a greater number of employees than what is apparent.
With the dollar remaining at its high and a Reserve Bank intent on increasing Interest Rates, all power to the Government as they attempt to "wipe out" both the Export Sector and the Domestic Housing - two of the "key" components of the continuation of our successful New Zealand Industry.
Keep up the good work.
Horace McAuley of Blue Mountain Lumber
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Australian Wood Manufacturing – Friday, 22-Jun-2007
Just noticed your reference to "wood processing is the country's second largest manufacturing sector (including harvesting) contributing AU$1 billion to Australia's GDP". I know statements to this effect have been made by others but I don't think they are correct and I don't think it does our industry any good to be using this data.
Some of following figures might help paint a more accurate picture.
The GVP for the primary production part of the Australian industry (logs delivered to mill door or wharf gate) in 05-06 was $1.666 billion (ABARE Forest and Wood Products Stats May 2007).
Value of turnover (gross) for wood and paper products in O4-05 was $18.269 billion made up of log sawmilling and timber dressing ($3.9 billion), other wood product manufacturing ($6.3 billion) and paper and paper products ($8.0 billion). Value added (net) for the same three categories was $6.479 billion.
ABARE says that forest products represent 5.4% of Australian manufacturing on turnover basis or 6.6% of manufacturing on value added basis. ABS data for 2002-03 shows wood and paper products as the 6th largest manufacturing category behind food, beverage and tobacco; machinery and equipment; metal products; petroleum, coal,chemcial and assoicated products; and printing, publishing and recorded media.
Richard Stanton of A3P
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Carbon offsetting - buyer beware – Friday, 25-May-2007
Look for carbon offsetting schemes to be the subject of firstly, major corruption and eventually standardisation and regulation.
Any business that is based on charging $ to assuade guilt over leaving a carbon footprint is rife for corruption. Who's to say how much 1km of driving or flying is worth in planted trees? Who ensures that the money goes to these causes? Who ensures that trees planted are not cut down 'forever'? Who ensures that the trees are not just planted but also survive? and who ensures that the same trees are not being sold more than once?
I urge consumers to be informed before investing in such schemes if you feel that you must.
Reducing your consumption or switching to alternatives would be a much more active way of doing your part. Carbon offsetting is a dangerous copout.
Steve Racz of Fa Dubois Ltd.
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Russian Softwood – Thursday, 10-May-2007
According to one of my Japanese customers the current export tax on Russian softwood of 6.5% will be increased to 20% in July 07 and is scheduled to be increased to 25% in April 2008 and 80% in Jan 2009. One has to assume that these tax proposals have been instigated as a result of concerns over deforestation. Popular rumour says logging is controlled by the Russian mafia so there may well be environmental issues. Logs are shipped out of Vladivostok to Japan and Korea and huge quantities go into China I have not been to Russian Siberia but the logs exported to Japan, notably red pine (Pinus sylvestris) and Siberian larch, are very tight grained and obviously growth rates in these Northern forests are slow and even if they do have any replanting program it will be a long rotation.
Ross Ibbotson of Forestry Consultant
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Finding the 'Great Global Warming Swindle' – Saturday, 5-May-2007
Try This link.
This is a bit torrent download. You will need a bit torrent client such as "bit tornado" found at http://www.bittornado.com/ Click on latest version.
Greg Jacob of Greg Jacob
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The Global Warming Swindle – Monday, 30-Apr-2007
I notice that the video link on the 'Great Global Warming Swindle' was (not surprisingly perhaps) hastily pulled for 'reasons unknown' ?. I must say that I found some of it fairly convincing and it provided support that debunked much of the surrounding hype. Do you know anyone who downloaded it perhaps ?. I would like to locate a copy. Any help would be appreciated.
Mike Shaw of Queensland DPI&F
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Timber vs. Steel – Saturday, 24-Mar-2007
The amazing comparison between recycling car bodies and timber forestry is a joke. A more honest comparison involving recycling timber would have a house lot denailed, docked,edged and dressed for the energy required to melt one wheel from one of those 6 cars.Come on concrete industry 'spokespeople' time to put your foot in mouth on this subject as well.
Greg Jacob of Greg Jacob
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Green Credentials of Steel – Saturday, 24-Mar-2007
Thanks for the feed back. According to the EWPAA it would have been great to do a direct comparison on a m3 basis unfortunately, the data compares only what is freely available in the public domain. The data was actually produced by the National Association of Forest Industries. They may well be able to provide a better comparison.
Editor of Friday Offcuts
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Emissions - woodworks vs steelworks – Friday, 23-Mar-2007
Perhaps a more appropriate way of comparing emissions from timber and steel production facilities would be to use the same terms as the steel ad - i.e. kg of each pollutant per house frame equivalent of production.
Michael Kennedy of DPI&F Qld
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The true 'green credentials' of steel – Friday, 23-Mar-2007
Hi there. In response to the request for further comparison of wood to alternatives and their respective effect of production on the environment we have found the web site, ecoselect.com.au really useful and concise. It outlines the amount of carbon emissions released per kg/m3 and shows the positive effect on the environment of using wood and negatives of steel/aluminium/concrete. The following text was copied from this website for your immediate digestion, however I couldn't paste in the graph for you - which is worth having a look at - so you'll have to go to the website directly to see it. I realise there are a host of other sources of information on this topic, but for now I hope this suffices.
"In any appraisal of the environmental performance of a product, 'Cradle to the Grave' or Life - Cycle Assessment and total embodied energy are key factors to consider. Life-cycle assessment or analysis (LCA) means measuring the total impact of a product on the environment - from when the raw materials are extracted, through the product's life, to when it is disposed of or recycled. Embodied energy is the energy required to obtain raw materials, process them and produce the building material; the energy used in transporting the material (at all stages); and the energy used in construction.
Timber accounts for 50 per cent of the industrial raw materials used in the world, but only four percent of the energy required to convert these raw materials into useful products. The manufacture of other construction materials such as steel, aluminium and concrete consumes vast amounts of our non-renewable resources and releases large amounts of carbon dioxide into the atmosphere - considerably more than during the manufacture of timber.
The net effect of timber products is in fact a cleansing of the atmosphere - no alternative material can claim this fact. Steel is manufactured from non-renewable resources such as iron ore, alloy metal ores, coal and limestone. Although the supply of those resources at current rates of usage is guaranteed for many hundreds of years, the same may not be true for some of the minerals (chromium, nickel, cobalt, vanadium) needed to form the alloys which give steel its special properties. In the manufacture of iron and steel, there are emissions to air of carbon monoxide, sulphur dioxide, and nitrogen oxides (totalling 40 kg per tonne of steel), and to water of heavy metals and oils.
Large quantities of solid waste (mainly slag, such as metal oxides) are created during manufacture, in addition to smaller quantities of hazardous waste, which may require disposal to landfill. About 15,000 litres of contaminated water (containing hydrocarbons and other organic compounds, sulphides, phenolics, ammonia, metals, cyanide, oil and grease) are produced for each tonne of steel*. * Williamson et al 2001.
The most notorious by-products of aluminium production are caustic red mud and red sand. Over 15 million tonnes (dry base) are generated each year in Australia and over 200 million tonnes are presently stockpiled. Aluminium smelting is the source of fully fluorinated compounds (FFCs) which are much more powerful greenhouse gases than carbon dioxide and have extremely long half-lives. Fortunately, controls over these compounds are improving. During their period of active growth trees take in carbon dioxide from the atmosphere, release oxygen and sequester or "fix" the carbon in woody tissue - thus lessening the greenhouse effect.
Half a tree's mass is carbon, so using timber for long-life products such as floors, windows, building products and furniture ensures the carbon remains fixed as a solid material, not as carbon dioxide in the atmosphere. Mature trees have little ability to continue to sequester carbon dioxide because their growth rates have slowed down. Carbon storage does continue in the ecosystem in, for example, root systems and branches on the forest floor. Trees are harvested when they are at the stage of life where they have a reduced ability to fix carbon. By continually regenerating harvested mature trees with actively growing young trees continued sequestration is ensured, with a greenhouse positive result."
Damian McCue of Koppers Wood Products Pty Ltd
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The true 'green credentials' of steel – Friday, 23-Mar-2007
I was interested in your article regarding the production of steel and the amount of Chemicals used and Volatiles produced by the production of steel as compared to timber production and I assume treatment thereof. I feel however, that the letter (the background to the story) missed the mark somewhat as a comparison between Hyne and Blue Steel production per tonne or cubic metre would better highlight the difference rather than total capcity. All this says to me is that Blue Steel produce a hell of a lot of product, a fact most of use would probably already expect.
David Smith of Willmott Forests
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Lessons in how to make a monster – Friday, 9-Mar-2007
They should have sold tickets. The Ministry of Agriculture and Forestry's Sustainable Land Management and Climate Change policy road show just hit Dunedin town. It all relates to the policy "discussion document" produced by MAF before Christmas. Essentially, forest growers provide a surplus of internationally tradable carbon credits for those new forests planted since 1990. The Government has chosen to take ownership of those credits, and at least some of the costs associated. These credits didn't exist before the Kyoto Protocol so, argues the Government, they don't belong to the forest growers. The government can use these credits to "balance the books" by offsetting the carbon sink (the growing forests) with those industries that are a carbon source - including intensive agriculture, transport and some industries.
Sounds fair. The forest grower indirectly donates carbon to its construction industry competitors; the producers of steel, concrete and aluminium. It sounds a bit like lending your reserve front row forward to your arch rival because their one fell sick - just to make a game of it. It will not come as a complete surprise that there is just a tiny bit of resistance to this sort of charity. "We want the credits to sell on our own right," suggest some forest owners. Then they'll sell their front row forward to whomever they decide. That will offset the effective subsidisation of a competitive producer. Other forest growers are saying that the ownership of the credits is not the most important point - so long as the Government keeps all the costs as well as the credits, and the Government ensures the surplus benefits go back to those land uses that plant and maintain trees, through research or encouragement of innovative tree planting and processing options, etc., rather than direct competitors.
But then, just to make the forest growers move from a slight heat under the collar to a full blown rage, the Government reacts to 30,000 hectares of deforestation occurring mainly through three companies in Canterbury and the Waikato by suggesting a charge on deforestation in the order of $13,000 per hectare. There is a fable about straws and camel's backs that may be fitting, though in this case it's more like an anvil than a straw. It remains an "option" at this stage within the "discussion document", but MAF's liking for this "option" is obvious with their strong defence.
And in doing so, they've created a monster. The Government's fear is that any deforestation will involve a cost to them. They fear that the current deforestation may continue. They think they need to come down hard to stop things immediately. When I say "they", I mean the policy analysts in Wellington head office. If they had bothered to talk to regional staff, or, now here's a thought, forest growers that are not part of the various lobby groups, they might have realised that it is not as widespread as they might think, and in most regions may not be significantly greater than the amount of conversion out of forest into farmland that was occurring in the past - a farmer felling a block for instance, and putting it back into pasture while perhaps planting trees somewhere else. This is the usual dynamics of land use. Nature does the same. It abhors stasis more than a vacuum.
The deforestations that are occurring currently are all special cases. Their common feature is that they all involve conversion to dairy farming. In the case of the Waikato, the buyer and developer happens to be a Government-owned company. A little directorial control may have solved the problem. In the Canterbury cases, the forests are on exceptionally poor soils - literally four inches of dust on top of river gravel - that used to be so poor for farming that they were planted in trees. The forests that resulted were not good forests. With the rise in irrigation and dairy renaissance, the soils are now just the berries for a little dairy hydroponics - just add water and fertiliser, and never mind the downstream households drawing water from the aquifer. But apparently the forest grower ought to pay for the resulting environmental degradation, or at least the carbon balance cost; never mind the other ones relating to the hydroponics. And never mind other land uses that convert from extensive farming to intensive farming. "Equity" is not a word that springs to mind throughout this interesting parable on policy making.
And here's the really interesting part; the suggested "option" of charging forest owners has probably done far more harm than good. The idea that not only will Government claim the credits, but will impose additional costs on the sector that provided them with those credits in the first place, as well as reduce their competitiveness, and will charge them for getting out of a land use that is apparently not the apple of the Government's eye, has meant that some growers are, not surprisingly, considering their future options. The "option" of a charge for deforestation and conversion to farming is not yet law, but growers do not trust MAF head office officials (the ones that go straight from university to an office job with both their arrogance and ignorance intact) not to draft that law. The implications are obvious, if you're going to get out, get out right now. That's the monster, and the Government made it all by itself.
Chris Perley of Chris Perley & Associates
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Secret Sawmiller's Business – Monday, 19-Feb-2007
We take your point Simon - less jargon. Well over half of our readers are from wood products companies and terms like "quad-roll log turner" or "optimised log infeed" will be very familiar to them. That of course doesn't help the other readers who are perhaps less familiar with the workings and terminology used for plant in a modern wood processing or manufacturing operation.
Editor of Friday Offcuts
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Secret Sawmiller's Business – Friday, 16-Feb-2007
New standard in industry jargon and "secret sawmiller's business"
"The new primary breakdown line will feed an optimized edger .... and an existing gang .....and will include a quad-roll log turner, a short optimized log infeed with slewing and skewing to maximize recovery, and conical chip heads. A vertical feed module with a sharp chain will feed an L&B-style quad bandmill with separator outfeeds."
Source: Friday Offcuts 19/2/07
Simon Olding of Olding Associates
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Carbon tax – Thursday, 8-Feb-2007
When reading a waiting room magazine recently aimed at the construction industry the energy footprint of concerete vers. steel was being discussed .concerete was looking good that week because portland style of manufacturing could now be replaced with new methods more energy efficient.the ratio between the two to produce a beam to span x and support y was at most 2 :1 .I would like to know where timber,, laminated,or lvl,, kiln or air dried compares with each other and then to steel or concrete .The way the talk was running a battle was looming and ground could be lost to other construction materials.... like wood .If the energy ratios are to matter more between matierals in the neer future the "wood miles" negitave that transportation of engineered construction components to Australia would seem insignificant compared to the affore mentioned ratios....
Greg Jacob of greg jacob
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Sweeping Changes to Weyerhaeuser Down-Under – Sunday, 14-Jan-2007
In relation to today's Friday Offcuts I wish to point out an error in the item headed "Sweeping Changes...".
The item refers to "...the appointment of a new CEO at the company's US headquarters". This is not correct. Steve Rogel has been the CEO at Weyerhaeuser nearly 10 years and in 2006 agreed to defer his scheduled retirement to 2009. I refer you to Weyerhaeuser's May 2006 press release, which I have copied below for your information along with the website link.
Following the September 2006 promotion of Sandy McDade to the role of senior vice president and general counsel, the responsibilties for Weyehaueser's International operations changed. Craig Neeser (Senior Vice President, Canada) expanded his responsibilities to include responsibility for Weyerhaeuser's International businesses (including Australia). I refer you to Weyerhaeuser's September 2006 press release, which I have copied below for your information along with the website link.
Regards
Tony Morse
Acting General Manager
attach.
News Release
Weyerhaeuser CEO Steven R. Rogel Agrees to Defer Retirement Until 2009
FEDERAL WAY, Wash., May 3, 2006 - Weyerhaeuser Company (NYSE: WY) today announced that Steven R. Rogel, chairman, president and chief executive officer, has agreed to defer his retirement until 2009 at the request of the board of directors. Rogel, 63, had intended to retire in 2007.
In making the request, the board said that Rogel's continued leadership while Weyerhaeuser implements its strategic plans would be in the best interest of shareholders and other stakeholders.
"I am honored by the board's request and look forward to continuing my work with our strong management team," Rogel said. "This team, along with the board, has developed a plan to achieve sustained, profitable performance; focused strategic growth; and return capital to shareholders. I look forward to effectively executing that plan."
Rogel joined Weyerhaeuser in 1997 as its president and chief executive officer and was elected chairman of the board in 1999.
Weyerhaeuser Company, one of the world's largest integrated forest products companies, was incorporated in 1900. In 2005, sales were $22.6 billion. It has offices or operations in 18 countries, with customers worldwide. Weyerhaeuser is principally engaged in the growing and harvesting of timber; the manufacture, distribution and sale of forest products; and real estate construction, development and related activities. Additional information about Weyerhaeuser's businesses, products and practices is available at http://www.weyerhaeuser.com.
For more information, please contact:
Media - Bruce Amundson , (253) 924-3047
Analysts - Kathryn McAuley , (253) 924-2058
News Release
Weyerhaeuser Names McDade, SVP and General Counsel; Neeser Assumes Additional International, Industrial Duties
FEDERAL WAY, Wash., September 11, 2006 - Weyerhaeuser Company (NYSE: WY) today announced that Sandy D. McDade has assumed the role of senior vice president and general counsel effective Sept. 5. McDade previously served as senior vice president, International and Industrial Wood Products.
Craig D. Neeser, previously senior vice president, Canada, assumes expanded responsibilities as senior vice president, International and Industrial Wood Products effective Sept. 5. He retains his Canadian responsibilities.
McDade began his career at Weyerhaeuser in 1978. During a 20-year career in the Law department, he held numerous positions including corporate secretary and assistant general counsel. He has also served as vice president, Strategic Planning and senior vice president, Canada. McDade has played a critical role in a number of portfolio changes, most recently leading the team that successfully negotiated the combination of the Weyerhaeuser Fine Paper business with Domtar Inc. (TSE/NYSE: DTC).
McDade holds a law degree from Seattle University (formerly the University of Puget Sound).
Neeser has extensive international and manufacturing experience extending back to 1978. During his career, Neeser led numerous wood products manufacturing operations for MacMillan Bloedel in Canada and was senior vice president, Solid Wood when Weyerhaeuser acquired MacMillan Bloedel in 1999. He also had responsibilities for all MacMillan Bloedel operations in Japan, Mexico, China, Australia and the European Agency system. At Weyerhaeuser, Neeser served as vice president, British Columbia Coastal Group before assuming the role of senior vice president, Canada.
Neeser holds a bachelor of science degree in forestry management from the University of Alberta.
Weyerhaeuser Company, one of the world's largest integrated forest products companies, was incorporated in 1900. In 2005, sales were $22.6 billion. It has offices or operations in 18 countries, with customers worldwide. Weyerhaeuser is principally engaged in the growing and harvesting of timber; the manufacture, distribution and sale of forest products; and real estate construction, development and related activities. Additional information about Weyerhaeuser's businesses, products and practices is available at http://www.weyerhaeuser.com.
Tony Morse of Weyerhaeuser Australia
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NSW Bush Fires – Monday, 4-Dec-2006
Reading Friday's Offcuts your lead story struck close to home.
I live less than 5km from the site of the "20 Forests" fire near Oberon NSW. My wife and I watched the massive column of smoke with some trepidation last Sunday afternoon. Earlier that day we had dutifully run around and setup our fire pump and laid out the hoses. We had done one more run around with the tractor to clear any standing grass and picked up the closer windfall and branches from the stand of 200 year old gray gums near the house. The wind was taking the smoke (and the fire thankfully) away from us, but the haze still filled the valley below us. That night the sky glowed a dull orange but the ridge line at the top of the fire was completely blacked out by the thick smoke.
Bush fires are fought largely by volunteers with professional support from captains on the ground and pilots in the air. Locally the wildlife rangers (national parks service), and the NSW forestry department maintain fire fighting capability. Because I run my consulting business from home I have the flexibility to be part of the Rural Fire Brigade, but had never received a call up until last week. On this fire the hard yards had been done by more experienced crews, but they were exhausted just trying to contain the fire in the heat and the high winds. At the peak of the fire there were over twenty trucks and three helicopters on the fire. We were brought in last Thursday to help with the mopping up and putting out hot spots. The fire had burned only about 300ha, about ½ native bush and ½ private pine plantations; it was on very steep ground and parts of the native brush were virtually inaccessible. Existing breaks in the forest and some fast bull dozer work had contained the fire short of the State owned pine plantations. The privately held stands looked to be a total loss, only good for chip at best. The native bush, having evolved to deal with regular fires, was in surprisingly good condition with only the occasional tree completely destroyed. I've been in burned out native forest 12 months after a fire and it's often hard to tell there had ever been a fire. The trees regenerate by sprouting leaves from every available surface giving them a furry look and the native brush and grasses move in quickly.
Our little fire was a relative success story with no one hurt or homes damaged; only one vehicle damaged by rolling over on a steep trail. The big one in the mountains is another story; all they can do there is protect property and watch the native bush burn. At last count they had up to 90 aircraft on that fire alone. That fire was started by dry lightening. The "20 Forest" fire, like too many others, appeared to have started at someone's weekend bush camp where investigators apparently found a butchered kangaroo, cartridge casings, and a smouldering camp fire - we hope charges will be laid soon.
David Mitchell of Mitchell Engineering Associates
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Food and wood miles – Sunday, 19-Nov-2006
I get a great deal of value out of your "Friday Offcuts" and enjoyed your recent editions. The Global Warming Report info is very interesting and the emerging concept of "Food Miles" and "Wood Miles", could indeed be of concern. However, by the same logic, we should also look at the Carbon footprint of all our other commodities and other fuel-using activities, perhaps "tourism miles" (a 100kg tourist traveling 7000 miles to New Zealand and back).
With a complete Carbon footprint for each commodity, we could make real choices about the materials we use (steel, copper, oil, aluminium, etc.) and wood will likely come out on top each time. An interesting calculation would be the amount of fuel, per ton mile, for moving a unit of finished lumber, by sea, to a major market vs. the "local" equivalent being moved by road transportation.
My point is, even though New Zealand is geographically isolated from its major markets, if such "Carbon footprinting" is going to become de rigueur, it should be used for each commodity and service. Putting everyone in the same boat will assure equal pain and thus no whipping boy, like New Zealand timber or Kiwifruit.
I wonder what would happen if we were heading into another period of Global Cooling? Twelve thousand years ago, my office was under 2-miles of ice...
Anonymous
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"Team Green" correction – Thursday, 12-Oct-2006
Further to the e-letter from the editor of Friday Offcuts re "A skewed vision from team green" in the Weekend Australian 16-17 September, I think it might have been better had he mentioned, as was stated by the Australian, that Alan Oxley, who wrote the article, is the "Principal of ITS Global, who recently analysed the forestry situation in PNG for Rimbunan Hijau and produced a report on the industry's economic importance". This is the same report to which readers' attention was drawn on 18th August.(Abridged)
David Gough of Forestry Pacific P/L
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Clarification of information – Tuesday, 19-Sep-2006
Thanks to the "Offcuts team" for the good info they provide.
A small correction to the article in Friday 15 OCtober 2006 - "Tasmanian plantations surveyed". The main industrial softwood plantation forest owners on public land (State Forest)in Tasmania are Norske Skog and a joint venture between Forestry Tasmania and GMO Renewable Resources (not Private Forests Tasmania - PFT is a small state govt agency and does not own any resource, but provides independent advice to government and especially private growers of all types of resource.) Rayonier has a management contract with FT/GMO to manage the softwood plantations in the JV - but Rayonier does not own them.
There are in addition to the State forest softwood plantations about 12,000 ha of privately owned softwood plantation in the state with Gunns Limited and Norske Skog having the major share and the balance made up of many private property landowners. Private Forests Tasmania annually collates some data on the private property forest area and reports on the harvest from private property -our annual report on our website is a useful starting point for more detail - see www.privateforests.tas.gov.au.
Andy Warner of Private Forests Tasmania
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A skewed vision from team Green – Sunday, 17-Sep-2006
In line with recent discussions relating to Greenpeace's campaign against Rimbunan Hijau and its forestry operations in PNG, an excellent article appeared in the Weekend Australian, 16-17 September 2006. The article looks at how Greenpeace is using one of the largest forestry investors in PNG as a proxy attack on commercial forestry in the region. Every one of the allegations against the company being made by Greenpeace was examined and it was concluded that "Greenpeace's rhetoric stands in stark contrast to the hollowness of its claims".
The article concluded; "For more than 15 years, Greenpeace and WWF have hankered for a global forest convention to implement their goal of replacing commercial forestry with eco-forestry world-wide. Only some European companies support this. Developing countries mistrust their motives and the US does not support it. So the strategy is to whip up concern about illegal logging and goad Governments into using trade sanctions to bring developing countries to heel". It appears that Rimbunan Hijau as the largest forestry business in PNG and commercial forestry in PNG is just a pawn in a much bigger campaign.
Reports on the issue include:
Two ITS reports: "The Economic Importance of the Forestry Industry to PNG" and "Whatever it Takes: Greenpeace's Anti-forestry Campaign in PNG", www.forestryanddevelopment.com
WWF reports and news: www.wwf.org.uk/researcher/issues/forests/index.asp
Australian Conservation Foundation: www.acfonline.org.au
The Editor of Friday Offcuts
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Another take on logging operations in PNG – Wednesday, 13-Sep-2006
Thankyou for drawing our attention to the report commissioned by Rimbunan Hijau: "Whatever it takes - Greenpeace's anti-forestry campaign in Papua New Guinea", Friday Offcuts, 18th August 2006.
I wonder if any of your readers have also seen the article in the Sydney Morning Herald (SMH), Sept 9-10, 2006, page 22, entitled "Loggers remain a law unto themselves". It is essentially about the Rimbunan Hijau (RH) logging operations in Papua New Guinea(PNG) and the Solomon Islands, written by the paper's Asia-Pacific editor, Hamish McDonald, which I believe is an objective, well informed piece of writing about a complex and depressing issue. For those of us who are at all interested in the forests and the well being of the people of PNG, I also believe that we won't find much objectivity in the consultant's report mentioned above, which was paid for by RH, with the express purpose of making them appear like knights in shining armour.
I don't hold much of a torch for the conservationists. For many years during the rise of the conservation movement and the unnecessary demise of production forestry in most of our State Forests in Australia, I was employed as a forester with the Queensland Forestry Department. And I saw how they operated. However it was Senator Graeme Richardson, the numbers man for the labour government of the time (not a very nice man if you remember him), who gave the conservationists the opportunity they needed. All he needed was to have the voters in Sydney and Melbourne on side; the people from the big cities who knew very little about the real country, except that, from their remote lounge-rooms, they didn't want any trees to be cut. The conservationists delivered and the rest as they say, is history. All governments in the developed world now ignore these green
'opportunists" at their peril.
However, for the people of developing nations the scenario is often the other way around. In PNG, the conservationists, though vocal (mostly with good reason), are really ignored, and here Rimbunan Hijau is the principal "opportunist". There is no doubt that almost from the time of independence, PNG has seen a disappointing line of corrupt governments and public service departments and it wasn't long, before this, combined with the relatively abundant forest resources, presented an opportunity too good to miss for RH. As your readers probably know, RH developed their particular style of doing business some time ago in Malaysia and since then they have siezed similar opportunities in quite a few developing nations.
I worked in forestry in Malaysia about 20 years ago and a few years ago I did a job for an RH subsidiary in Malaysia. I know a bit about how they operate. More recently I completed a forestry consultancy in PNG (not for RH) and in all of these positions I have tried to be objective and to base my observations on fact.
PNG has enormous potential. It has vast mineral wealth and soils and a climate that can grow anything. It also has many honest and intelligent people who love their country with a passion, despite the corruption that most of their leaders engage in, and the poor or absent services that we in Australia and New Zealand all take for granted. These are the ones who are really missing out because of the opportunistic nature of businesses that operate the way RH does. I think most of them reluctantly accept that a certain level of corruption is often the way of things, but for some time now the level of corruption has been rising to new heights of greed. Although the "corruptors" may be paying in total, something approaching a "fair price", only part of the price is reaching consolidated revenue. Do your readers know that subsistence living has actually increased in PNG by 10 percent over recent years? This means that there are more people following a subsistence life than there were about 10 years ago. They can't get paid jobs in the towns and cities and the government certainly isn't allocating very much money to the provinces.
Do your readers also now just how much RH has spread its tentacles in PNG? Apart from having a substantial interest in, if not outright ownership of, something like 90 percent of the logging companies in PNG, RH also owns businesses in real estate, transport, supermarkets, shipping, oil palm, banking and one of the two newspapers in Port Moresby. They are huge and have become untouchable. The SBS report, now apparently withdrawn, on police brutality on behalf of RH, and the PNG Government report on employment conditions and immigration irregularities at a large RH milling complex, now also withdrawn, were not simply concocted by conservationists.
I urge your readers to get on the web and read the SMH item. They will be told how the well respected PNG Treasurer, Bart Philemon, was sacked by the Prime Minister because he wanted to extend audits into the National Forestry Authority, which issues logging permits. But such an incident is only the tip of the ice-berg. The people of PNG deserve better. We in Australia and New Zealand certainly wouldn't put up with anything like the amount of corruption and patronage engaged in by the PNG government and the
"opportunists". Shouldn't we stand behind the people of PNG and help them benefit from their forest resources?
David Gough of Forestry Pacific P/L
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PNG forest management – Friday, 1-Sep-2006
Part of my background is the founder of the Pacific Heritage Foundation in PNG in 1992, and the Executive Director for 10 years. The primary aim was to stop the Asian loggers' rape of PNGs forests, but it quickly became obvious that there were many socio-economic problems resulting from industrial logging even more serious than the biodiversity destruction. We were successful in establishing many portable sawmills as an alternative to logging, and we worked with others to attempt to demonstrate that techniques such as "selective tending" could produce serious economic results in logged areas by allowing selected species to survive amongst the creepers, vines and other post-harvest rubbish. Admittedly a monoculture such as E deglupta isn't a natural forest, but these planted areas employ villagers in their home areas, give potentially good cash returns, and reinforce the traditional connection to the land. In West New Britain conditions, deglupta can give MAI's up to 100 cm/ha/yr.
"Following your article on Rimbunan Hijau, the following is of interest in demonstrating a serious alternative. However, note the section of the report that has been highlighted - it seems to mean that the landowners do not appear to have any asset security over trees which they plant on their own land. Rather than encourage this type of development the Forestry Department not only lacks any legislative capacity to ensure security of planted assets, they appear to be more in partnership with foreign loggers than with their fellow citizens."
Conservation brings progress
Out in West New Britain province, in Ulamona Village, Bialla District, the villagers have managed to stave off the stifling encroachment of a relentless drive by the Oil Palm Industry to manage a timber area. The villagers are not new to logging. Having had more than 80 years (since 1927) of sawmilling by the Catholic Church and since 1994 when the mission handed over the facility to the locals by Ulamona Sawmill Development Corporation (USDC). The villagers have witnessed the ups and downs of a logging-based village economy. Young men with skills acquired from the factory have gone on to work for firms in Kimbe, or Rabaul, Lae and Madang, sending back money for the upkeep of home by relatives, who go on to pay for education and health fees, among other necessities. It has made them one of the most socio-economically well off villages in the country.
Back in the early 90s, they decided to set up a firm, the Galilolo Development Corporation (GDC), to be a vehicle to carry their economic aspirations. Through one of their own sons, University of Papua New Guinea biologist, Dr Simon Saulei, they opted to go into reforestation. The GDC planned to reforest 3000 ha logged over areas with Kamarere (Eucalyptus deglupta), which is native to the Ulamona area as well as other native species. The main aims were threefold: l To sustain a long term timber supply; l TO rehabilitate the land after the flooding of 2002/2003 as a result of excessive removal of forest cover through almost a century of logging; and l TO provide another means of income from the traditional gardening, and cash cropping, especially cocoa, coconut, and now palm oil. The landowner company took a 15ha area and reforested it with Kamarere using 40 per cent of their royalty from the Mission. Their drive hit a snag when funds ran out, compounded by the ramifications of the flooding until March 2003. That's when they decided to reactivate the project by floating shares within the village. They raised K25,000.
The GDC in March 2005, negotiated for a Timber Authority (TA) license to carry out salvage logging operations on both fell and remnant forest areas with a view to carry out reforestation on these 3000ha logged over areas. The reforestation project levy generated from logs extracted would be used for reforestation project, while royalty payments made directly to the landowners. The National Forest Authority funded a K30,000 nursery last May, through negotiations by Dr Saulei, who is now professor and dean of research and post-graduate studies at the University of Papua New Guinea. And that was about it.
"Numerous efforts in convincing the acting managing director as well as the PNGFA board to approve our TA and license for this reforestation project has not been approved yet",Professor Saulei says. He stresses it was initiated by landowners at their own expense. "The explanation for this delay, the PNGFA says, is because of fear of legal repercussions as there is nothing in the Forestry Act that concerns TA license issuance regarding the empowerment of resource owners to develop their own forest resources themselves or the issue of reforestation projects initiated by resources owners on their own land." "It's absurd."
Despite this hitch, the GDC is looking at the 15,000 ha area previously logged on Lolobau Island, just off the coast of Ulamona, as a potential area of reforestation. Assistance has been sought from the Department of Agriculture, overseas aid agencies including those from the EU and Japan as well as the United Nations Development Program (UNDP). Prof Saulei is also seeking assistance from the World Bank through the Prototype Carbon Fund, Bio-Carbon Fund and the Community Carbon Fund mechanisms under the Clean Development Mechanism type of investment espoused by the Kyoto Protocol. The villagers are still keeping their eyes peeled and their ears up.
Maxwell Henderson of Starfibre Australasia Pty Ltd
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Carbon Trading Scheme – Tuesday, 29-Aug-2006
In response to Stephen's comments, point taken. Follow up information supplied by Stephen includes a link, www.emissionstrading.net.au/ to the discussion paper and supporting economic modelling. The paper lists the top 10 expanding industries under the three different modelled scenarios. Forestry is in the top ten under all three. The wood products industry expands under all three scenarios and also makes the top 10 in two of the scenarios (page 116). There is also favourable discussion of the role of the forestry sector, particularly in relation to sequestration and the use of offsets.
The Editor of Friday Offcuts
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Australian Carbon Trading Scheme – Tuesday, 29-Aug-2006
Thanks for today's Friday Offcuts. I find them most informative.
However, I want to raise a point about the article titled "Howard attacks Australian carbon trading scheme". The article is about the release of a discussion paper on a possible national carbon emissions trading scheme. To clarify - the paper was prepared and released by the Australian States and Territory Governments. The article gives the impression that the proposed scheme is a bad idea as it gives prominent coverage to negative comments by the Australian Prime Minister half the article and in the title.
I don't think the article serves your readers well. If you actually read the discussion paper, the forestry industry and wood products industry are clear "winners" under the various scenarios assessed under the proposed trading scheme. This did not come across in the article. In fact - the impression given is that it is a bad thing for the forestry/wood products industry as it gives so much weight to the Prime Minister's comments. Whatever your views on climate change or carbon trading, I think it important that you present to the industry a balanced approach on this very important debate.
Stephen Mitchell of Timber Development Association
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Boron for H3.1 – Friday, 14-Jul-2006
An application was made to have Boron treated timber approved for use in H3.1 situations. The final draft for this amendment (no. 3) to include Boron treated timber for use in H3.1 situations also included a change relating to the determination of complete sapwood penetration for Boron H1.2 and H3.1. Currently determination of complete sapwood penetration for Boron H1.2 to establish compliance with NZS 3640:2003 is using the spot test (Tumeric acid), AS/NZS 1605:2000.
The change in A3 to 3640 involves analysis of the central one ninth, with no minimum level of Boron specified only that it exceeds the level found in untreated timber. Potentially less than 0.01 % BAE m/m. There are companies interpreting 3640 and 1605 without A3, conveying a message that analysis instead of spot test is acceptable in relation to reporting compliance. Standards NZ is currently seeking an overseas expert to cast a deciding vote on A3 as the technical committee could not reach agreement on the change in relation to determining complete sapwood penetration for Boron.
Anonymous
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"Coals to Newcastle or ice to eskimos" – Friday, 9-Jun-2006
"Coals to Newcastle or ice to eskimos" or exporting completed housing timber frames to N.Z. made of Russian grown wood products and its not 'if', its when? It appears China is well ahead for ideas of their futuristic planning for wood products. This idea is not new, over the decades overseas made wood products have been imported into N.Z. but with the exception that this is bigger, and easily fitted into shipping containers. At the end of the day, what are our forest industry 'thinkers' doing?
Willis Hapi of Ngati Porou Whanui Forests Ltd
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New Zealand 61 out of 61 – Friday, 19-May-2006
Can I suggest you google "IMD World Competitiveness Yearbook". There are a number of references to both this recently released report and articles in relation to NZ's position.
The Editor of Friday Offcuts
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New Zealand 61 out of 61 – Friday, 19-May-2006
I found the article on NZ's ranking 61 out of 61 etc very confusing and i really have no idea what message it was trying to convey. Could I have a broader explanation of what the author was on about?
Anonymous
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Editor's response: timber treatment news – Wednesday, 19-Apr-2006
We agree with you that it is a big issue for the timber industry in Australasia. As detailed in the media release put out by the Commerce Commission, there is no doubt that TimTech's entry into the NZ market and its ability to conduct business were affected by this cartel. The full release from the Commerce Commission can be viewed on www.comcom.govt.nz//MediaCentre/MediaReleases. It was the size of the fine and the crackdown by the Commerce Commission on the practice of companies working together to reduce and hinder competition that was the key point covered in the short story in last week's Offcuts. This is the first significant case of its type in New Zealand since the maximum penalties for cartel behavior were doubled.
At this stage, as High Court Proceedings against other NZ and Australian timber treatment companies and company executives are still continuing. A hearing against overseas defendants protesting against the Court to hear these claims according to the Commerce Commission is likely to occur in late 2006 or early 2007. Progress on these hearings will be reported in Offcuts as information comes to hand.
Editor of Friday Offcuts
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Record $3.6 million fine for Koppers Arch – Tuesday, 18-Apr-2006
I was very disappointed by your story about KA's fine! What a twist on the news!! The story isn't about the bungled ComCom release! The story is about the biggest fine in NZ's history for cheating the timber treaters & TimTech Chemicals by means of totally illegal Cartel behaviour!
The suppression order on the other companies was lifted about 45 - 60 minutes after the media release. The only names suppressed are those of the 7 individual executives.
As you know, KA pleaded guilty to an "Overarching" agreement with Osmose (and their earlier iterations)to fix prices, share customers, rig bids, not to compete with each others customers & also to exclude & eliminate TimTech from the market.
I am disappointed in your one sided reporting of this story.
Ron Eddy of TimTech Chemicals
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Saving us from Greenpeace – Tuesday, 29-Aug-2006
I was interested in your article on Greenpeace and Rimunan Hijau in PNG re their "illegal logging operations". I have never had time for Greenpeace whatsoever because they are over funded pack of arrogant dills who are mostly a law unto themselves, Greenpeace may save the forests and whales but who is going to save us from Greenpeace?
I have been dealing with RH in PNG for some three years and have spent a lot of time in PNG over the past 15 years on and off. Some facts for you to ponder on this. Some few months back a large barge carrying 16 Cat D7's, nine log trucks, several excavators, chain saws and many illegal immigrants who did not go through customs at Port Moresby landed down the coast under the guise of starting a palm oil plantation. Anyone will tell you that palms do not grow in this area. These illegal thugs were carrying guns ( guns to plant palms?) and were actively breaking the laws of PNG.
This was followed by another barge with more equipment and they proceeded to log an area that included land on 100 year lease to Galley Reach Holdings ( the second oldest company in PNG) after quickly cutting some 5000 m3 of logs of all species.
" ILLEGALLY " the manager of that company protested to anyone who would listen including Greenpeace who asked for a substantial amount of money to intervene, No money came forward and Greenpeace were silent!!!
Further to the Greenpeace reports of the local people being exploited by RH with rapes, starvation, bashings and hut burnings used to get them to work for RH. I have visited the large RH operations in remote areas such as Kamousie, Kikori River, Edevu, Sarco, and Bulolo and seen first hand that their is no evidence at all of these people suffering under RH employment, They are happy workers who are given smoko, lunch and biscuits to take home in the evening. I know a happy Papua New Guinean when I see one.
I asked my old mate Bob Tate of Forest Industry Association straight out three weeks ago in his POM office was there illegal logging taking place and he said over 90% of all logging was legal with people having the correct government approvals for the work. Bob has been there for over twenty years.
Just a few snippets for you. I'll be able to update you on my return from another visit up there this month.
keep up the good work.
Anonymous
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The power of e-letters and the internet – Friday, 14-Apr-2006
Thanks for your work with the excellent newsletter - and the new service. The internet is certainly a real plus for improving communication. Communication is tough enough within a larger company. It gets even tougher across the industry. I see that car companies are now increasingly using electronic media to reach their customers. In a recent article Ford Australia were reported to have just booked out space for the next year on three leading Australian automotive classified websites doubling their internet spending. It's all part of the company's concerted strategy to "own" the internet and to "muscle out the competition". There is even a name now given to describe new car buyers searching on line for models, "new car eyeballs". Keep up the good work.
Anonymous
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