Despite the spin doctors at Sustainable Timbers Tasmania claiming $34.9 million on-book profit, the detail of the 2018/19 Annual Report shows that the government business enterprise has run at a loss of over $33.4 million.
Actual native of logging operations again made a loss ($15.5 million), with revenues from logging of $150.3 million against a cost of logging of $165.8 million.
The reported on-book profit is underwritten by:
Direct State Government grants have increased to 21.9 million (up 35%).
Rollover unspent funds from the torn-up Tasmanian Forest Agreement account for another $3 million.
A $43.3 million paper income from revaluation of the 'biological assets' (the trees).
This does not include the off-book costs of freight subsidies, historic debt transfers (including the transfer of unfunded superannuation liabilities to Treasury) or grants to contractors and millers.
The annual report shows woodchip was overwhelmingly the main product from logging native forests (70%), with construction grade timber making up just 0.9% of volumes and specialty and craft timbers being just 0.85% of volumes.
"Sustainable Timbers Tasmania is an oxymoron. It cuts down precious native forests at a loss. Ironically, the losses this year were less than the last three years because they logged less. The more they log the more money they loose, with taxpayers footing the bill," said takayna / Tarkine Campaigner Scott Jordan.