IPART is reviewing Forestry Corporation of NSW’s (FCNSW) benchmarking report on its native timber harvesting and haulage costs for the period from 1 July 2019 to 30 June 2022.
Section 91 of the NSW Forestry Act 2012 (the Act) requires FCNSW to review, benchmark and report on its native timber harvesting and haulage costs every 3 years. It also requires IPART to review FCNSW’s report and make recommendations for reducing these costs.
This is IPART’s third review under Section 91 of the Act.
In our previous reviews, we have found that native timber harvesting and haulage costs have been reasonable. In reviewing these costs for this period, we recognise the impacts of the 2019-20 bushfires and flooding events and regulatory changes.
The outcomes of this review would apply to FCNSW but may affect forestry industry stakeholders and native timber customers with implications for the state of native timber forests and environment in NSW.
Following submission of the report on this review to the Treasurer in September 2024, we became aware that our usual fact check process had not been completed. We requested the Treasurer delay publication of this report, and we engaged with FCNSW and Treasury as part of this fact check process.
The Tribunal considered and approved clarifying amendments to the report following this fact check process. An amended final report that supersedes the previous report was provided to the Treasurer on 6 November 2024.
A list of the amendments is set out in an appendix to the amended final report.