Australian Plantation Forestry Project

With the phase out of incentives from older managed forest investment schemes, rising production costs, difficult market conditions and attractive sale values, land is transitioning from carbon-sequestering plantations into to fallow or agricultural land. Australia is losing plantation forests and subsequently a timber asset that will be much needed as the demand for sustainable housing increases.

Single species forest plantations on short rotation sequester a minimal amount of carbon and can negatively impact biodiversity and other ecosystem services when compared to more diverse mixed species and native forests. However, the forestry industry is an important employer and contributor to the local and national economies, and innovative models must be explored to ensure the industry can become more sustainable, and contribute to national community and economic outcomes in the future.

This will be undertaken by providing carbon finance for the establishment of new single species plantations on unused land and convert shorter-rotation forests towards a longer harvest cycle – meaning trees are in the ground for longer, and more carbon is removed from the atmosphere than would normally occur.

Climate Action

This project will sequester 289,000 tonnes of carbon dioxide across 574 hectares of pine forest plantations over the life of the project.

Ecosystem Services

This project will support ongoing enhancement of regional ecosystem services including:

• Improved below and above-ground soil health and water filtration;
• Landscape resilience and regional temperature stability; and
• Habitats and feeding grounds for birds, bats, small mammals, insects and fungi.

Community & Economic Development

This project will strengthen communities and livelihoods in south-western Victoria. These impacts include support for:

• safe and stable employment in the region, which support the longevity of local communities.
• forestry and manufacturing industries that contribute to the local economy and provide valuable timber products for the wider Australian housing market.