{"id":"forests-softwood-holdings-agreement-act-1975","name":"Forests (Softwood Holdings Agreement) Act 1975","slug":"forests-softwood-holdings-agreement-act-1975","collection":"act","jurisdiction":"vic","status":"in_force","isInForce":true,"actNumber":null,"makingDate":null,"administeringDepartment":null,"currentVersion":{"id":176429,"registerId":"vic-forests-softwood-holdings-agreement-act-1975-current","compilationNumber":null,"startDate":"2026-04-05","status":"InForce","reasons":null,"registeredAt":null},"sections":[{"sectionNumber":"1","sectionType":"section","heading":"Forests (Softwood Holdings Agreement) Act 1975","content":"Victorian Legislation and Parliamentary Documentsi\nVersion No. 001\nForests (Softwood Holdings Agreement) Act\n1975\nAct No. 8748/1975\nVersion incorporating amendments as at 15 August 2000\nTABLE OF PROVISIONS\nSection Page\n1. Short title 2\n2. Definition, words and expressions 2\n3. Act to bind the Crown 2\n4. Ratification etc. of Agreement 2\n5. Royalties etc. to be paid into Consolidated Fund 3\n6. Costs and expenses to be paid out of Consolidated Fund 3\n7. Regulations 3\n__________________\nSCHEDULE—Agreement 4\n═══════════════\nENDNOTES 18\n1. General Information 18\n2. Table of Amendments 19\n3. Explanatory Details 20\n\nVictorian Legislation and Parliamentary Documents1\nVersion No. 001\nForests (Softwood Holdings Agreement) Act\n1975\nAct No. 8748/1975\nVersion incorporating amendments as at 15 August 2000\nAn Act to ratify validate approve and otherwise give effect to an\nAgreement between the Forests Commission and Softwood\nHoldings Limited with respect to the Establishment of an\nIndustry for the manufacture of Particle Board from Softwood\nTimber obtained from Forests under the control of the Forests\nCommission and for other purposes.\nPreamble\nWHEREAS an Agreement with respect to the\nestablishment of an industry for the manufacture of\nparticle board from softwood timber obtained from\nforests under the control of the Forests\nCommission was made on the Nineteenth day of\nSeptember, 1975 between the Forests Commission\nof the one part and Softwood Holdings Limited,\nbeing a company incorporated in the State of South\nAustralia and registered under the Companies Act\n1938 as a company carrying on business in\nVictoria of the other part:\nAND WHEREAS by the said Agreement it is\nprovided that the Agreement shall not be of any\nforce or effect until it has been ratified validated\napproved and otherwise given effect by an Act of\nthe Parliament of Victoria:\nAND WHEREAS it is expedient to ratify validate\napprove and otherwise give effect to the said\nAgreement and to make other provisions as\nhereinafter enacted.\n\nVictorian Legislation and Parliamentary DocumentsAct No. 8748/1975\nForests (Softwood Holdings Agreement) Act 1975\n2\nBE IT THEREFORE ENACTED by the Queen's Most\nExcellent Majesty by and with the advice and consent of the\nLegislative Council and the Legislative Assembly of Victoria\nin this present Parliament assembled and by the authority of\nthe same as follows (that is to say):\n1. Short title\nThis Act may be cited as the Forests (Softwood\nHoldings Agreement) Act 1975.\n2. Definition, words and expressions\nIn this Act unless inconsistent with the context or\nsubject-matter—\n(a) \"Agreement\" means the Agreement a copy\nof which is set out in the Schedule and\nincludes the map annexed to the Agreement\nas executed, a copy of which is lodged in the\nCentral Plan Office and numbered\nVIC. F.C.4; and\n(b) words and expressions have the meanings\nrespectively assigned to them in the\nAgreement.\n3. Act to bind the Crown\nThis Act shall bind the Crown.\n4. Ratification etc. of Agreement\n(1) The Agreement is hereby ratified validated and\napproved and shall be given effect as so ratified\nand as amended from time to time in accordance\nwith the Agreement.\n(2) The Director-General of Conservation, Forests\nand Lands is hereby empowered to carry out the\nAgreement or the Agreement as amended from\ntime to time.\ns. 1\nS. 4(2)\namended by\nNo. 41/1987\ns. 103(Sch. 4\nitem 29.1).\n\nVictorian Legislation and Parliamentary DocumentsAct No. 8748/1975\nForests (Softwood Holdings Agreement) Act 1975\n3\n5. Royalties etc. to be paid into Consolidated Fund\nAll royalties and other moneys payable by the\nCompany to the Director-General of\nConservation, Forests and Lands pursuant to the\nAgreement shall be paid into the Consolidated\nFund.\n6. Costs and expenses to be paid out of Consolidated\nFund\nAll costs and expenses incurred by the State of\nVictoria or the Director-General of Conservation,\nForests and Lands in carrying into effect this Act\nand the Agreement shall be paid out of the\nConsolidated Fund which is hereby to the\nnecessary extent appropriated accordingly.\n7. Regulations\n(1) The Governor in Council may make regulations\nfor or with respect to regulating and controlling\nthe manner of cutting, felling, obtaining or\nremoving softwood timber in or from the area of\nsupply.\n(2) A person who contravenes or fails to comply with\na regulation under sub-section (1) shall be guilty\nof an offence.\nPenalty: 15 penalty units or imprisonment for\nthree months.\n__________________\nS. 5\namended by\nNo. 41/1987\ns. 103(Sch. 4\nitem 29.2).\ns. 5\nS. 6\namended by\nNo. 41/1987\ns. 103(Sch. 4\nitem 29.3).\nS. 7(2)\namended by\nNo. 10235 s. 9.\n\nVictorian Legislation and Parliamentary DocumentsAct No. 8748/1975\nForests (Softwood Holdings Agreement) Act 1975\n4\nSCHEDULE\nTHIS AGREEMENT is made the nineteenth day of September, One\nthousand nine hundred and seventy-five between FORESTS COMMISSION\nincorporated by the provisions of the Forests Act 1958 of the State of\nVictoria of the one part and SOFTWOOD HOLDINGS LIMITED a company\nincorporated in the State of South Australia with its registered office in the\nState of Victoria situate at 131–141 Queen's Bridge Square South Melbourne\nof the other part—\nWHEREAS\nRecitals\nI. The Company is desirous of establishing in the State of Victoria within\nthe area of supply as hereinafter defined the industry of manufacturing\nparticle board from softwood timber obtained from forests controlled by\nthe Commission.\nII. Before the Company incurs the expenditure necessary to establish the\nindustry it desires to be satisfied that sufficient softwood timber will be\navailable from the area of supply to enable it to carry on the industry.\nIII. The Commission has in the area of supply conifer plantations which it is\nexpanding at the rate of 360 hectares annually and the Commission\ndesires to be satisfied that it will have a market for softwood timber\nproduced in those plantations.\nIV. The parties hereto desire to enter into this Agreement so that upon its\nratification validation and approval by Parliament the provisions\nhereinafter appearing shall have full force and effect.\nNOW IT IS HEREBY AGREED as follows:\nPART I—PRELIMINARY\n1. Definitions\nIn this Agreement unless inconsistent with the context or\nsubject-matter—\n\"the Act\" means the Act of the Parliament of Victoria to be\npassed to ratify validate approve and otherwise give\neffect to this Agreement;\n\"this Agreement\" includes this Agreement as from time to\ntime amended;\n\"area of supply\" means that area in the Portland locality\nsurrounded by a purple verge on the map annexed\nhereto;\nSch.\n\nVictorian Legislation and Parliamentary DocumentsAct No. 8748/1975\nForests (Softwood Holdings Agreement) Act 1975\n5\n\"Commission\" means the Forests Commission and if that\nCommission ceases to exist means the body corporate\nor persons for the time being charged with the duties\nor substantially the same duties now performed by the\nForests Commission;\n\"Company\" means Softwood Holdings Limited and upon\neach assignment to any other company in accordance\nwith sub-clause (1) of clause 4 hereof includes that\nassignee company;\n\"cubic metres\" means cubic metres true volume under\nbark;\n\"forest officer\" has the same meaning as in the Forests Act\n1958;\n\"forest produce\" has the same meaning as in the Forests\nAct 1958;\n\"the industry\" means the manufacture by the Company\nwithin the area of supply of particle board from\nsoftwood timber;\n\"minimum annual supply\" means the annual quantity\nwhich the Commission is to make available from time\nto time under clause 13 hereof;\n\"month\" means calendar month;\n\"softwood timber\" means timber of the species Pinus\nradiata Pinus pinaster and other coniferous species\nsuitable for the manufacture of particle board but does\nnot include any timber which the Commission\nrequires for sale as logs poles or fencing timber; and\n\"year\" means a period of twelve months commencing on\nthe first day of July.\n2. Interpretation\n(1) In this Agreement unless inconsistent with the context or\nsubject-matter references to any Act shall include all\namendments and re-enactments thereof for the time being in\nforce and all supplemental legislation for the time being in\nforce whether by regulation rule proclamation or order made\nor continuing under that Act or any amendment or re-\nenactment thereof.\n(2) The headings and sidenotes shall not affect the interpretation\nof this Agreement.\nSch.\n\nVictorian Legislation and Parliamentary DocumentsAct No. 8748/1975\nForests (Softwood Holdings Agreement) Act 1975\n6\n3. Agreement to be ratified by Act of Parliament\nThis Agreement shall not be of any force or effect until it\nhas been ratified validated approved and otherwise given\neffect by an Act of the Parliament of Victoria.\n4. Operation of industry by assignee company\n(1) The Company shall be at liberty at any time with the prior\nwritten consent of the Commission to assign its rights under\nthis Agreement to any other company.\n(2) Upon each such assignment the assignee company shall by\nvirtue of the Act be subject to all the obligations and\nconditions imposed upon the Company by this Agreement\nso far as they remain in force and are capable of taking\neffect.\n(3) Notwithstanding any such assignment Softwood Holdings\nLimited shall remain responsible to the Commission for the\nperformance of all the obligations and conditions imposed\nupon the Company by this Agreement.\nPART II—OPERATION OF THE INDUSTRY\nDivision A—Duration of Agreement\n5. To cease on 30th June, 1996 or upon sooner determination\nThis Agreement shall remain in force until the thirtieth day\nof June 1996 or until sooner determination in accordance\nwith the provisions hereof.\n6. Saver of rights\nThe expiration or determination of this Agreement shall not\naffect the enforcement of any right obligation or liability\nalready existing under it.\nDivision B—Timber Rights\n7. Rights of lessees etc.\nNothing in this Agreement shall affect the rights powers and\nprivileges acquired by any person (whether before or after\nthe commencement of the Act) under the Forests Act 1958\nor any other Act.\nSch.\n\nVictorian Legislation and Parliamentary DocumentsAct No. 8748/1975\nForests (Softwood Holdings Agreement) Act 1975\n7\n8. Sale of forest produce or grant of licences not restricted\nSubject to the right of the Company under sub-clause (1) of\nclause 11 hereof to obtain softwood timber in the area of\nsupply and compliance by the Commission with its\nobligations under clause 13 hereof to make available to the\nCompany the minimum annual supply of softwood timber\nnothing in this Agreement shall restrict the Commission's\nrights pursuant to the Forests Act 1958 to sell or grant\nlicences to obtain forest produce.\n9. Plan of utilization\n(1) Not later than the thirty-first day of March 1976 and the\nthirty-first day of March in each year thereafter the\nCommission shall draw up and deliver to the Company a\nplan of utilization for the supply of softwood timber for the\nfollowing year and a provisional plan for the supply of\nsoftwood timber for the next two years.\n(2) The plan of utilization and the provisional plan shall set out\nthe areas of the area of supply from which softwood timber\nmay be obtained during the relevant period and shall specify\nthe location and area of each area and the respective\nquantities of softwood timber which the Commission\nestimates will be obtainable in each area.\n(3) The Commission and the Company may during the currency\nof any plan of utilization agree to a modification of the plan.\n(4) The Company shall conform with each plan or modified\nplan of utilization.\n10. Company to comply with Forests Act &c.\nThe Company shall comply with the provisions of the\nForests Act 1958 and with all regulations for the time being\nin force under the Act.\n11. Company's right to softwood timber\n(1) Subject to the provisions of this Agreement the Company\nwithout obtaining any lease licence permit or authority shall\nhave the right to obtain softwood timber by its servants\nagents or contractors from the area of supply.\n(2) The Company shall obtain softwood timber—\n(a) from heads and other parts of trees remaining from\nlogging and pole and post cutting operations;\n(b) from all standing trees indicated by a forest officer;\nand\nSch.\n\nVictorian Legislation and Parliamentary DocumentsAct No. 8748/1975\nForests (Softwood Holdings Agreement) Act 1975\n8\n(c) as required by the Commission from timber felled or\nfelled and removed by or on behalf of the\nCommission.\n(3) The Commission may in its discretion if so requested by the\nCompany modify the Company's obligation to take\nsoftwood timber felled or felled and removed by or on\nbehalf of the Commission but any of such timber not taken\nby the Company shall for the purpose of clause 13 hereof be\nsoftwood timber made available to the Company by the\nCommission.\n12. Purpose for which timber is to be used\nThe Company shall use the softwood timber made available\nto it under this Agreement for the purpose of the industry.\n13.\n(1) Subject to the provisions of clause 25 hereof the\nCommission shall make available to the Company from the\narea of supply a minimum annual supply of softwood timber\nwhich unless increased pursuant to the provisions of sub-\nclause (3) hereof shall be—\n(a) During the year 1976–1977—200 cubic metres;\n(b) During the years 1977–1978 to 1979–1980\ninclusive—22 000 cubic metres;\n(c) During the years 1980–1981 to 1982–1983\ninclusive—30 000 cubic metres;\n(d) During the years 1983–1984 to 1985–1986\ninclusive—33 000 cubic metres;\n(e) During the years 1986–1987 to 1988–1989\ninclusive—35 000 cubic metres;\n(f) During the years 1989–1990 to 1991–1992\ninclusive—35 000 cubic metres;\n(g) During the years 1992–1993 to 1994–1995\ninclusive—37 000 cubic metres;\n(h) During the year 1995–1996—37 000 cubic metres.\n(2) The Commission may in its discretion make available to the\nCompany in any year a quantity of softwood timber from\nthe area of supply additional to the minimum annual supply.\nSch.\n\nVictorian Legislation and Parliamentary DocumentsAct No. 8748/1975\nForests (Softwood Holdings Agreement) Act 1975\n9\n(3) At any time but not less than once in each period of five\nyears while this Agreement remains in force the volume of\nsoftwood timber available in the area of supply shall be\nassessed by the Commission and on the basis of the volume\nso determined the Commission and the Company may agree\nto increase or decrease for any period commencing from the\nfirst day of July next following the date of such agreement\nthe minimum annual supply referred to in sub-clause (1)\nhereof for that period and any minimum annual supply so\nagreed upon may likewise be further increased or decreased.\n14. Specifications of softwood timber\nThe Company shall not be bound to accept any softwood\ntimber which—\n(a) is not sound and free from rot doze blue stain and\ncharcoal;\n(b) is not sufficiently straight for the manufacturing\nprocesses for the time being employed in the industry;\n(c) is less than 2 metres in length or such other minimum\nlength as is agreed to from time to time by the\nCommission and the Company; or\n(d) is less than 8 centimetres or more than 30 centimetres\nin cross-sectional breadth under bark.\n15. Price of softwood timber\n(1) For all softwood timber obtained by it under this Agreement\nthe Company shall pay—\n(a) as to softwood timber which the Company by its\nservants agents or contractors removes or fells and\nremoves the royalty payable from time to time under\nthis Agreement; and\n(b) as to softwood timber either felled or felled and\nremoved by or on behalf of the Commission—the\nroyalty as aforesaid and a charge to be agreed upon\nfrom time to time between the Commission and the\nCompany for—\n(i) the cost to the Commission of felling or felling\nand removal of softwood timber in or from the\nparticular area; and\n(ii) the overhead expenses of the Commission in\nconnection therewith.\nSch.\n\nVictorian Legislation and Parliamentary DocumentsAct No. 8748/1975\nForests (Softwood Holdings Agreement) Act 1975\n10\n(2) Failing agreement within fourteen days on the charge\nreferred to in paragraph (b) of sub-clause (1) hereof the\ncharge shall be determined by the Commission but so that\nthe charge for the cost of felling or felling and removal of\nsoftwood timber in or from any area shall not exceed the\nactual cost to the Company of or the payment made by the\nCompany to contractors for felling or felling and removal\n(as the case may be) of softwood timber at that time in\nsimilar form in or from areas which are similar with respect\nto yield of softwood timber physical circumstances of\nextraction and situation in regard to means of transport.\n16. Company's obligations to take or pay for softwood timber\n(1) Subject to the provisions of clause 26 hereof the Company\nshall be bound in each year in which the minimum annual\nsupply of softwood timber to which it is entitled in that year\nis available to it either—\n(a) to take not less than 90 per centum of the minimum\nannual supply; or\n(b) if it takes less than 90 per centum of the minimum\nannual supply to pay royalty to the Commission on\nthe deficiency at a rate equal to the royalty rate\npayable in that year under clause 18 or 19 hereof.\n(2) If the Company during either or both of the two years next\nfollowing any year in which there is a deficiency obtains a\nquantity of softwood timber in excess of the minimum\nannual supply the royalty payable on such excess shall be\nreduced by the amount of royalty paid in respect of the\ndeficiency.\n(3) After the expiration of the tenth year from the first day of\nJuly 1976 \"90 per centum\" in paragraphs (a) and (b) of sub-\nclause (1) hereof may from time to time be modified by\nagreement between the Commission and the Company but\nshall not be reduced below 75 per centum.\n17. Payment of royalty\nThe following provisions shall apply with respect to royalty\npayable under this Agreement:\n(a) Royalty shall be payable at such times after the\namounts have been ascertained and in such manner as\nthe Commission from time to time determines.\nSch.\n\nVictorian Legislation and Parliamentary DocumentsAct No. 8748/1975\nForests (Softwood Holdings Agreement) Act 1975\n11\n(b) If any royalty due by the Company remains unpaid for\nsixty days after the Commission has demanded\npayment thereof the Commission may without\nlimiting the obligations of the Company under\nclause 16 hereof by notice in writing to the Company\nsuspend its right to obtain softwood timber under this\nAgreement until payment is made.\n(c) If the Company disputes the amount of any payment\ndemanded by the Commission it may make the\npayment under protest and thereafter shall be entitled\nto take proceedings for recovery of any amount in\nexcess of the amount it was liable to pay.\n18. Royalty during first period\nDuring the period of one year from the first day of July 1976\nthe royalty payable shall be at the rate of $4.53 per cubic\nmetre.\n19. Review of royalty\n(1) During each successive period of three years from the first\nday of July 1977 the royalty payable shall be at the rate\nagreed upon by the Commission and the Company.\n(2) Failing agreement thereon not later than fourteen days after\npublication by the Commonwealth Bureau of Census and\nStatistics of the figures for the end of the preceding calendar\nyear relating to the Earnings and the Index referred to in\nparagraphs (a) and (b) hereof respectively the royalty\npayable shall be at the rate calculated by varying the rate\npayable during the preceding period of three years in the\nsame proportion as the average of the proportional variation\nin the said figures at the beginning and the end of the\npreceding period of three calendar years in regard to—\n(a) the Average Weekly Earnings per Employed Male\nUnit; Victoria; and\n(b) the Wholesale Price Index of materials used in\nbuilding other than house building: Melbourne:\nTimber, Board and Joinery\nexcept that for the period of three years commencing from\nthe first day of July 1977 the rate shall be calculated by\nvarying the rate of $4.53 per cubic metre in the same\nproportion as the average of the proportional variation in the\nsaid figures at the beginning and the end of the period of\ntwo years ended on the thirty-first day of December 1976.\nSch.\n\nVictorian Legislation and Parliamentary DocumentsAct No. 8748/1975\nForests (Softwood Holdings Agreement) Act 1975\n12\n(3) If the Commonwealth Bureau of Census and Statistics\nceases to publish the figures referred to in either paragraph\n(a) or (b) of sub-clause (2) hereof a new method of\ncalculating any variation in the royalty shall be agreed upon\nby the Commission and the Company or failing agreement\nwithin thirty days shall be determined by the Commission.\n(4) If any variation in the royalty rate is not determined prior to\nthe commencement of any new three-yearly period the\nCompany shall continue to pay royalty at the rate payable\nduring the preceding period and as soon as the new rate has\nbeen determined an adjustment shall be made\nretrospectively to the commencement of the new period.\n20. Construction of roads, tracks &c. by Company\nThe Company shall not within the area of supply construct\nany road track or passage or any chute without the prior\nconsent of a forest officer and shall not within the area of\nsupply construct any tramway flume or building or erect any\nhaulage or conversion unit without the prior written consent\nof the Commission.\n21. Determination of quantity of softwood timber\n(1) The quantity of softwood timber upon which royalty is\npayable under this Agreement shall be determined in such\nmanner (allowance being made for bark) as may be agreed\nupon by the Commission and the Company or failing\nagreement within thirty days as the Commission may direct.\n(2) The place at which the quantity of softwood timber is to be\nmeasured shall be as fixed by the Commission from time to\ntime after consultation with the Company.\n(3) If the quantity of softwood timber upon which the royalty is\npayable is to be determined from its mass—\n(a) the Company shall provide at its plant within the area\nof supply a weighbridge of a pattern which meets the\nrequirements of the Weights and Measures Act 1958\nand shall while this Agreement remains in force have\nthe weighbridge maintained and periodically verified\nand stamped in accordance with the provisions of that\nAct;\nSch.\n\nVictorian Legislation and Parliamentary DocumentsAct No. 8748/1975\nForests (Softwood Holdings Agreement) Act 1975\n13\n(b) at all times while the weighbridge is in accurate\nworking order and is currently verified in accordance\nwith the Weights and Measures Act 1958 the\nquantity of softwood timber upon which royalty is\npayable under this Agreement shall be determined by\nweighing it on the weighbridge;\n(c) weighing shall be carried out by a person currently\nlicensed as a weighman under the Weights and\nMeasures Act 1958;\n(d) the Company shall periodically provide to the\nCommission evidence that the weighbridge is\ncurrently verified and that each weighman is currently\nlicensed in accordance with the Weights and\nMeasures Act 1958; and\n(e) at all times the weighbridge is not in accurate working\norder the quantity of softwood timber upon which\nroyalty is payable under this Agreement shall be\ndetermined in such manner as may be agreed upon by\nthe Commission and the Company or failing\nagreement within fourteen days as the Commission\nmay direct.\n22. Company to comply with conditions\nThe Commission may from time to time give to the\nCompany written notice of conditions which shall apply in\nthe areas from which it is obtaining softwood timber under\nthis Agreement and the Company shall comply with the said\nconditions and ensure that any contractors who are engaged\nin obtaining softwood timber under this Agreement have\nnotice thereof.\n23. Requirements in regard to servants &c., of the Company\n(1) The Company shall keep the Commission informed by\nnotice in writing of the names of its servants agents and\ncontractors who are engaged in obtaining softwood timber\nunder this Agreement.\n(2) The Company shall supply to each such person for\nproduction when required by a forest officer evidence in a\nform satisfactory to the Commission that he is engaged in\nobtaining softwood timber under this Agreement and the\nCompany shall forthwith inform the Commission in writing\nwhenever any such person ceases to be so engaged.\nSch.\n\nVictorian Legislation and Parliamentary DocumentsAct No. 8748/1975\nForests (Softwood Holdings Agreement) Act 1975\n14\n(3) (a) The Company shall include in every contract by it\nwith a contractor for obtaining softwood timber under\nthis Agreement provisions requiring the contractor to\ncomply with the Forests Act 1958 the regulations\nmade under the Act and the conditions referred to in\nclause 22 hereof.\n(b) The Company shall upon making any such contract\nforthwith give to the Commission written notice of\nthe contract specifying the name of the contractor the\nduration of the contract and the quantity of an area\nfrom which softwood timber is to be obtained\nthereunder.\n(4) The Company shall if so required by the Commission\nterminate the contract of any contractor who in the opinion\nof the Commission has failed to comply with the Forests\nAct 1958 the regulations made under the Act or the\nconditions referred to in clause 22 hereof.\n24. Further agreement\n(1) In the first three months of the last year of this Agreement\nthe Commission shall if the Company seeks a further\nAgreement to assure to it supplies of softwood timber for\nthe continuance and expansion of the industry investigate\nthe development of the industry and if satisfied that the\nCompany needs to have supplies of softwood timber assured\nto it by a further Agreement enter into negotiations with the\nCompany for that purpose.\n(2) When a further Agreement has been agreed upon and\nexecuted the Commission shall (if necessary) recommend to\nthe Minister of Forests that a Bill be introduced into the\nParliament of Victoria as soon as possible to ratify validate\napprove and otherwise give effect to it.\nDivision C—Suspension of Obligations and Conditions\n25. Suspension if forests damaged &c.\nIf any of the softwood plantations in the area of supply are\ndamaged or destroyed by fire disease or other cause to such\nan extent that it is impracticable for the Commission to\ncomply with the provisions of clause 13 hereof or if by\nreason of anything beyond the control of the Commission it\nis prevented from complying with those provisions the\nCompany shall have no claim against the Commission for\nthe non-fulfilment of its obligations under those provisions\nso far as non-fulfilment is due to any such cause.\nSch.\n\nVictorian Legislation and Parliamentary DocumentsAct No. 8748/1975\nForests (Softwood Holdings Agreement) Act 1975\n15\n26. Damage or destruction of plant &c.\n(1) If—\n(a) the Company's plant or any works used by it for the\npurpose of manufacturing particle board within the\narea of supply are damaged or destroyed by fire or\nother calamity;\n(b) by reason of anything beyond the control of the\nCompany it is delayed in establishing the industry;\n(c) the carrying on of the industry becomes commercially\nimpracticable because of a recession in the particle\nboard manufacturing industry in Australia;\n(d) by reason of war strike lockout or action in the nature\nof a strike or lockout the Company is impeded from\nobtaining softwood timber or carrying on production\nof particle board;\nthen in any of those events—\n(i) the Company may apply to the Commission for\nsuspension or a reasonable modification of the extent\nor operation of its obligations under clause 16 hereof\nor for an extension of time for the performance or\nobservance thereof;\n(ii) the Commission upon any such application by the\nCompany may grant a suspension of the said\nobligations or a reasonable modification of their\nextent or operation or an extension of time for their\nperformance or observance;\n(iii) if the Company is dissatisfied with the decision of the\nCommission upon any such application the matter\nshall if the Company so elects be submitted to\narbitration.\n(2) Arbitration pursuant to the preceding sub-clause shall be\neffected as follows:\n(a) The matter shall be referred to two arbitrators one to\nbe appointed by the Company and one by the\nCommission.\n(b) The provisions of the Arbitration Act 1958 shall\napply to the reference.\nSch.\n\nVictorian Legislation and Parliamentary DocumentsAct No. 8748/1975\nForests (Softwood Holdings Agreement) Act 1975\n16\n(3) The arbitrators or umpire or some person appointed on their\nbehalf may investigate the Company's affairs and accounts\nso far as may be necessary to assist them to determine any\nmatter referred to them and the Company shall give them\nfull access to all accounts and papers necessary for that\npurpose and shall afford them full information and\nassistance.\nDivision D—Determination of Agreement by Commission\n27. Commission may determine Agreement in certain events\nIf the Company—\n(1) enters into liquidation (other than a voluntary\nliquidation for the purposes of reconstruction and\nassignment of rights under this Agreement);\n(2) delays the commencement of commercial production\nof particle board from softwood timber at a rate not\nless than 350 tonnes per month beyond the year\nending on the thirtieth day of June 1978; or\n(3) contravenes or fails to comply with the terms and\nconditions of this Agreement—\nthe Commission may thereupon determine this Agreement.\nDivision E—Supplemental\n28. Amendment or determination by agreement\nThe Commission and the Company may by agreement—\n(a) from time to time amend this Agreement by such\nadditions deletions and variations of matters of detail\nas may be necessary or desirable to facilitate the\ncarrying on of the industry; and\n(b) at any time determine this Agreement upon such\nterms as they deem fit.\nSch.\n\nVictorian Legislation and Parliamentary DocumentsAct No. 8748/1975\nForests (Softwood Holdings Agreement) Act 1975\n17\nIN WITNESS whereof the parties hereto have executed this Agreement the\nday and year first before written.\nThe common seal of Forests Commission\nwas hereto affixed in the presence of:\nF. R. Moulds\nCommissioner.\nA. J. Threader\nCommissioner.\nThe common seal of Softwood Holdings Limited\nwas hereto affixed in the presence of:\nE. A. Alstergren\nDirector.\nP. E. Fitz-Gerald\nDirector.\n═══════════════\nSch.\n\nVictorian Legislation and Parliamentary DocumentsAct No. 8748/1975\nForests (Softwood Holdings Agreement) Act 1975\n18\nENDNOTES\n1. General Information\nThe Forests (Softwood Holdings Agreement) Act 1975 was assented to on\n5 November 1975 and came into operation on 5 November 1975.\nEndnotes\n\nVictorian Legislation and Parliamentary DocumentsAct No. 8748/1975\nForests (Softwood Holdings Agreement) Act 1975\n19\n2. Table of Amendments\nThis Version incorporates amendments made to the Forests (Softwood\nHoldings Agreement) Act 1975 by Acts and subordinate instruments.\n–––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––\nForests and Country Fire Authority (Penalties) Act 1985, No. 10235/1985\nAssent Date: 10.12.85\nCommencement Date: 10.12.85: s. 2\nCurrent State: All of Act in operation\nConservation, Forests and Lands Act 1987, No. 41/1987\nAssent Date: 19.5.87\nCommencement Date: S. 103(Sch. 4 items 29.1–29.3) on 1.7.87: Government\nGazette 24.6.87 p. 1694\nCurrent State: This information relates only to the provision/s\namending the Forests (Softwood Holdings\nAgreement) Act 1975\n–––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––\nEndnotes\n\nVictorian Legislation and Parliamentary DocumentsAct No. 8748/1975\nForests (Softwood Holdings Agreement) Act 1975\n20\n3. Explanatory Details\nNo entries at date of publication.\nEndnotes","sortOrder":0}],"analysis":{"flash_summary_failed":{"failed":true,"reason":"A positive credit balance is required for all requests, including BYOK, so fallback providers remain available. Add credits at https://vercel.com/d?to=%2F%5Bteam%5D%2F%7E%2Fai%3Fmodal%3Dtop-up to continue.","source":"analysis-cron"},"summary":{"complexity_score":4,"scope_assessment":{"changed":false,"description":"Insufficient text was provided to assess whether the scope of the Act changed from its original intent. The metadata shows the Act remains 'in force' and has a consolidated version, suggesting amendments have been made, but the nature and extent of any scope changes cannot be determined from the information supplied."},"complexity_factors":["Insufficient legislative text was provided — only metadata and version history were visible, making full analysis impossible","Agreement-based legislation (where an attached schedule or agreement is the operative document) can be complex because the legal obligations are embedded in the agreement rather than the Act itself","Intergovernmental or commercial agreements involving forestry rights often involve multiple overlapping legal instruments","Historical legislation from 1975 may interact with subsequent forestry, land, and environmental laws that have significantly changed the regulatory landscape","Softwood plantation law sits at the intersection of property law, commercial law, and environmental regulation"],"plain_english_summary":"The Act gives statutory force to a formal agreement concerning Victoria’s softwood plantations, making the parties’ arrangements about ownership, management or commercial use legally binding. \n\nIt primarily affects government forestry agencies, private timber interests and regional communities dependent on plantation operations, and matters because it locks in commercial and management commitments for an important timber resource."},"issue_detection":{"absurdities":[],"contradictions":[]},"flash_summary":{"complexity_score":4,"scope_assessment":{"changed":false,"description":"The Act's core purpose is to ratify and give statutory force to the private Agreement between the Forests Commission and Softwood Holdings Ltd; that remains unchanged. Subsequent amendments recorded in the endnotes (mid‑1980s) appear to modernise administrative references (e.g. departmental/office titles), adjust penalty or procedural cross‑references, and update appropriation/financial wording rather than expand the Act's substantive scope. In short, the instrument continues to implement the original supply/royalty/operational scheme rather than growing significantly beyond its original purpose."},"complexity_factors":["Short Act (7 sections) but with a substantive Schedule that contains the operative Agreement (28+ clauses) — split of law vs schedule increases navigational steps","Numerous defined terms in the Schedule (e.g. \"area of supply\", \"minimum annual supply\", \"softwood timber\", cross‑defined via the Forests Act) requiring cross‑reference","Fixed timetable of minimum annual supply volumes across multiple non‑consecutive year bands (Schedule cl.13) — several specific numeric entries to track","Royalty review formula referencing external published indices (Average Weekly Earnings and a Wholesale Price Index) and fallback procedures if those statistics cease (Schedule cl.19)","Multiple conditional regimes and exceptions (take‑or‑pay; suspension for damage or force majeure; measurement fallback when weighbridge is unavailable) creating layered rules (Schedule cl.16, cl.25, cl.21)","Cross‑references to other Acts (Forests Act 1958, Weights and Measures Act 1958, Arbitration Act 1958) increasing interpretative complexity","Administrative discretions with procedural requirements (plans of utilization, Commission's power to determine charges after 14 days, consent requirements for works) — many operational decisions left to the Commission (Schedule cl.9, cl.15(2), cl.20)","Arbitration procedures that permit investigatory powers into company accounts (Schedule cl.26(2)–(3))","Assignment and residual liability rules (company can assign with Commission consent but original company remains liable) — layered contractual/statutory liability (Schedule cl.4)"],"plain_english_summary":"**What this law does (mechanically)\n\n- Ratifies and makes legally binding a written Agreement between the Forests Commission (the State agency responsible for public forests) and Softwood Holdings Limited (the company) about supplying softwood timber for a particle‑board manufacturing plant in a defined \"area of supply\" near Portland (see s.4 and the Schedule).  The full Agreement is set out in the Schedule to the Act and takes effect as law.\n\n- Empowers the Director‑General of Conservation, Forests and Lands (the State official) to carry out the Agreement on the State's behalf (s.4(2)).\n\n- Requires all royalties and other payments from the company under the Agreement to be paid into the State's Consolidated Fund (s.5) and directs that State costs of implementing the Act and Agreement be paid from the Consolidated Fund (s.6).\n\n- Allows the Governor in Council to make regulations controlling cutting/removal of softwood in the area of supply and makes breach of those regulations an offence (s.7).\n\n- The Schedule (the Agreement) sets out detailed operational rules: definitions; the area of supply; duration (to 30 June 1996 unless earlier ended); the company’s right to obtain certain softwood timber without separate lease or licence; minimum annual supply volumes for specified years; timber specifications; royalty rates and a formula for reviewing royalties using published earnings and price indices; measurement and weighbridge requirements; obligations to take (or pay for) a specified minimum proportion of the supply (a \"take‑or‑pay\" obligation); rules on assignment, suspension for force majeure or damage, arbitration, and events allowing the Commission to determine (end) the Agreement (see Schedule clauses 4, 5, 11–19, 21, 16, 25–27, 28).\n\n\nWho this affects and who decides\n\n- Primary private party affected: Softwood Holdings Limited (and any assignee company that takes its rights under the Agreement). The company gains a priority right to obtain softwood timber from the defined area and accepts obligations (take‑or‑pay, compliance with the Forests Act/regulations, contractor requirements) (Schedule cl.11, cl.16, cl.10, cl.23).\n\n- Public parties affected: The Forests Commission (or its successor body) and the Director‑General of Conservation, Forests and Lands. The Commission controls supply, sets plans of utilization, may set or determine certain charges, and may suspend or terminate the Agreement in specified circumstances (Schedule cl.9, cl.15(2), cl.24, cl.27).\n\n- Who pays: the company pays royalties and any agreed charges for felling/removal; if the State incurs costs enforcing or giving effect to the Act these are charged to the Consolidated Fund (s.5–6; Schedule cl.15). If the company fails to take minimum volumes it must pay royalty on the deficiency (take‑or‑pay) (Schedule cl.16).\n\n- Who decides: the Commission has significant administrative discretion (delivering annual and provisional plans of utilization, determining charges if parties cannot agree, fixing measurement points, giving written conditions for areas, granting or refusing consent to works, and making decisions about suspension/termination). Many decisions are subject to bilateral agreement, and certain disputes can be referred to arbitration (Schedule cl.9–11, cl.15(2), cl.21, cl.22, cl.25–26).\n\n\nWhy it matters (practical consequences, incentives and trade‑offs)\n\n- Certainty for investment: by making the Agreement law, the Act gives the company an enforceable supply position (minimum annual volumes for specified years and a procedure for reviewing volumes every five years) which reduces supply risk for the particle‑board venture (Schedule cl.13, cl.24). That certainty is a concentrated benefit to the company.\n\n- Demand risk allocation: the Agreement transfers demand/market risk to the company through the take‑or‑pay obligation (Schedule cl.16). If the company does not take at least the specified proportion (90% originally), it must pay royalty on the shortfall.\n\n- Revenue mechanics and price risk sharing: royalties are payable into the Consolidated Fund (s.5). The royalty review ties future royalty adjustments to published wages and a wholesale price index (an indexed formula, Schedule cl.19). That ties payments to macroeconomic variables rather than leaving price entirely open — a mechanism that reduces some price‑level risk for the Commission while leaving other commercial risks with the company.\n\n- State administrative discretion and compliance burden: the Commission retains broad operational discretion (plans, charges, measurement rules, consent to works, contractor oversight and the right to terminate for breach or insolvency). The company must comply with the Forests Act and regulations and must ensure contractors do the same, which creates substantive compliance obligations (Schedule cl.9, cl.15, cl.21–23, cl.27). Those discretionary powers concentrate decision‑making in the public agency and create implementation risk (how the Commission exercises discretion affects the company’s costs and operations).\n\n- Operational restrictions and transaction costs: the company needs prior consents for construction in the area and must maintain a verified weighbridge if mass measurement is used (Schedule cl.20, cl.21). The need to obtain Commission consent for assignments and to give notices about contractors adds administrative steps.\n\n- Suspension and force majeure: the Agreement contains explicit suspension and arbitration provisions where plantations are damaged or the company’s plant is affected, or where other uncontrollable events occur (Schedule cl.25–26). That reduces—but does not eliminate—exposure to catastrophic events.\n\n- Competition and opportunity cost: the Agreement gives the company priority access to certain softwood supplies in the area, subject to specifications and to the Commission's continuing rights under other legislation (Schedule cl.8). This concentrates the economic value from those forest resources into the company’s project for the life of the Agreement; the Commission retains the right to sell or licence other forest produce but must meet the company’s minimum annual supply obligations.\n\n\nCosts, risks and implementation notes (concrete)\n\n- Fiscal flows: royalties paid by the company flow into the Consolidated Fund (s.5). The State funds administrative costs of carrying out the Act/Agreement from that Fund (s.6).\n\n- Enforcement and penalties: regulations may be made to control cutting/removal in the area; contravening regulations can attract a specified penalty (s.7). The Commission can suspend the company’s timber rights for unpaid royalties (Schedule cl.17(b)).\n\n- Arbitration and evidence powers: where the company disputes suspension/variation decisions the Agreement provides for arbitration (Schedule cl.26) and gives arbitrators powers to inspect the company’s accounts and require information (Schedule cl.26(3)).\n\n- Time limits and expiry: the Agreement contains a fixed expiry date (30 June 1996) subject to negotiated renewal if the company seeks continuation near the end of the term (Schedule cl.5, cl.24).\n\n\nKey sections to look at for implementation: s.4 (ratification and Director‑General power), s.5–6 (financial flows), s.7 (regulations and penalty), and Schedule clauses 11–19 (rights, specifications, pricing), 16 (take‑or‑pay), 21 (measurement), 25–27 (suspension, arbitration, termination) and 28 (amendment by agreement).\n\n(Official statements of purpose in the Act are treated as claims: the Act states it exists to ratify and give effect to the Agreement. Testing that claim shows the Act's practical effect is to convert the parties' negotiated allocation of supply, pricing and risk into enforceable statutory rights and duties, with costs borne by the company (royalties, compliance) and administrative discretion and implementation responsibility resting with the Commission and the Director‑General.)"},"kimi_summary":{"content_quality":"ok","complexity_score":4,"scope_assessment":{"changed":false,"description":"The legislation remains tightly focused on its original purpose: ratifying and giving effect to the 1975 Agreement between the Forests Commission and Softwood Holdings Limited. The amendments noted (1985 and 1987) are purely mechanical—updating penalty units and changing departmental titles (from Forests Commission to Director-General of Conservation, Forests and Lands). There is no evidence of scope creep; the Act has not been repurposed or expanded beyond the original timber supply agreement."},"complexity_factors":["The Act itself is only 7 sections (approximately 3 pages), but incorporates a detailed Schedule containing a 28-clause commercial agreement (approximately 14 pages)","Extensive cross-referencing between the Act and the scheduled Agreement, including definitions that point back to the Agreement","The Agreement contains nested conditional logic, particularly in clauses dealing with royalty calculations (clause 19), suspension of obligations (clauses 25–26), and the \"take or pay\" provisions (clause 16)","Multiple amendment references in the margins (though these are historical notes rather than operative text)","Technical specifications for timber measurement including weighbridge requirements and Weights and Measures Act compliance (clause 21)","Indexation formula for royalty adjustments tied to Bureau of Census and Statistics data (clause 19(2))","Arbitration provisions with specific procedural requirements (clause 26(2))"],"plain_english_summary":"This is a Victorian law from 1975 that rubber-stamps a commercial deal between the state's Forests Commission and a company called Softwood Holdings Limited. The company wanted to build a particle board factory in the Portland area using timber from state pine plantations. Before investing millions in the factory, the company wanted a guaranteed supply of wood. The Forests Commission wanted a guaranteed buyer for its timber. So they signed a contract, and this Act makes that contract legally binding.\n\n**What the law does:**\n- **Ratifies the Agreement**: Turns the private contract into law, so neither side can easily back out.\n- **Sets up the timber supply**: The Commission must supply set amounts of softwood (mostly Pinus radiata) each year, starting at 200 cubic metres in 1976–77 and ramping up to 37,000 cubic metres by the early 1990s.\n- **Creates a \"take or pay\" obligation**: The company must take at least 90% of its allocated timber each year, or pay royalties (fees) on the shortfall anyway.\n- **Sets the price**: Royalties start at $4.53 per cubic metre and get adjusted every three years based on wage and materials price indexes.\n- **Allows assignment**: The company can sell or transfer its rights to another company, but the original company remains on the hook if the new one messes up.\n- **Provides escape clauses**: Either side can suspend obligations if disasters strike—fires, disease, war, strikes, or if the particle board market collapses.\n- **Ends in 1996**: The deal automatically expires on 30 June 1996 unless both parties negotiate an extension.\n\n**Who it affects:**\n- **Softwood Holdings Limited** (and any company it sells the business to): Gets guaranteed timber supply but must build and operate the factory.\n- **The Victorian Government/Forests Commission**: Must supply the timber and gets royalty payments, which go into the state's Consolidated Fund (the government's main bank account).\n- **Local contractors**: Anyone cutting timber for the company must follow Forests Act rules and Commission conditions.\n\n**Why it matters:**\nThis is a classic example of a \"state agreement act\"—a law that locks in a specific commercial deal to encourage industrial development in a regional area. It gave Softwood Holdings the confidence to invest in Portland, knowing they wouldn't run out of raw material. For the state, it created a market for plantation timber and (presumably) local jobs. These kinds of acts were common in the 1970s to kickstart regional industries, though they can be controversial because they bind future governments to deals made decades earlier."}},"importantCases":[],"_links":{"self":"/api/acts/forests-softwood-holdings-agreement-act-1975","history":"/api/acts/forests-softwood-holdings-agreement-act-1975/history","analysis":"/api/acts/forests-softwood-holdings-agreement-act-1975/analysis","conflicts":"/api/acts/forests-softwood-holdings-agreement-act-1975/conflicts","importantCases":"/api/acts/forests-softwood-holdings-agreement-act-1975/important-cases","documents":"/api/acts/forests-softwood-holdings-agreement-act-1975/documents"}}