The state government has abandoned a $2-million plan to build a plantation nursery in a remote eastern Victorian town, casting a pall over its plans to transition away from native timber logging.
In 2019, when the Andrews government announced its plan to phase out native timber logging by 2030, many in the industry asked where the replacement supply would come from.
About a year later, the government announced part of its response — a plantation nursery in the remote east Gippsland town of Nowa Nowa that would create 30 jobs.
A former sawmill on the outskirts of the town of less than 200 people was picked to embody the state's transition from native timber to plantation.
Eighteen months later, the site lies dormant.
Site 'unsuitable'
Despite initial government media releases claiming construction was set to begin, progress at the site stalled and was recently cancelled.
The ABC understands legacy contamination from diesel leakage has polluted parts of the site and that remediation works are underway.
VicForests is looking at other uses for the site.
In response to a question on notice from Nationals Upper House member Melina Bath in August 2021, Minister for Regional Development Mary-Anne Thomas said investigations into the site were still underway.
"Development of the Nowa Nowa site as a location for the nursery has taken longer than anticipated by VicForests, but it is important that proper due diligence is undertaken to ensure the suitability of the site and success of the nursery," she said.
But this week a Victorian Government spokesperson said the project would no longer take place at the site.
"Further assessments have found the Nowa Nowa site is not suitable for development as the main site for the commercial scale state forest nursery," the spokesperson said.
Ms Bath said the government had announced the project without adequate planning.
"I don't think the Andrews government had done the homework on the site, or access, or water," she said.
"I think they put out a press release without any homework being done.
"The Andrews government has failed to deliver on any commitments in relation to plantation industry, and this is just another example of how the Andrews government is failing any sort of commitment to regional people."
Commitment sought
Councillor Tom Crook told the East Gippsland Shire Council this week that it should be lobbying the government to honour its commitment to the site.
"Including undertaking the steps required to fully remediate and decontaminate the area so it is fit for purpose," he moved.
The motion was carried.
Mayor Mark Reeve said it was important for the township that the nursery went ahead as planned.
"Having those jobs in Nowa Nowa would provide a very important economic boost, it would reactivate the town," he said.
Councillor Jane Greacen noted during the meeting that the delay of the nursery would mean a delay on plantation timber harvesting in decades to come.
"It's a bit disappointing this plantation nursery hasn't already started its operation," she said.
