Victorian Legislation and Parliamentary Documentsi
Version No. 001
Forests (Softwood Holdings Agreement) Act
1975
Act No. 8748/1975
Version incorporating amendments as at 15 August 2000
TABLE OF PROVISIONS
Section Page
Short title 2
Definition, words and expressions 2
Act to bind the Crown 2
Ratification etc. of Agreement 2
Royalties etc. to be paid into Consolidated Fund 3
Costs and expenses to be paid out of Consolidated Fund 3
Regulations 3
SCHEDULE—Agreement 4
═══════════════
ENDNOTES 18
General Information 18
Table of Amendments 19
Explanatory Details 20
Victorian Legislation and Parliamentary Documents1
Version No. 001
Forests (Softwood Holdings Agreement) Act
1975
Act No. 8748/1975
Version incorporating amendments as at 15 August 2000
An Act to ratify validate approve and otherwise give effect to an
Agreement between the Forests Commission and Softwood
Holdings Limited with respect to the Establishment of an
Industry for the manufacture of Particle Board from Softwood
Timber obtained from Forests under the control of the Forests
Commission and for other purposes.
Preamble
WHEREAS an Agreement with respect to the
establishment of an industry for the manufacture of
particle board from softwood timber obtained from
forests under the control of the Forests
Commission was made on the Nineteenth day of
September, 1975 between the Forests Commission
of the one part and Softwood Holdings Limited,
being a company incorporated in the State of South
Australia and registered under the Companies Act
1938 as a company carrying on business in
Victoria of the other part:
AND WHEREAS by the said Agreement it is
provided that the Agreement shall not be of any
force or effect until it has been ratified validated
approved and otherwise given effect by an Act of
the Parliament of Victoria:
AND WHEREAS it is expedient to ratify validate
approve and otherwise give effect to the said
Agreement and to make other provisions as
hereinafter enacted.
Victorian Legislation and Parliamentary DocumentsAct No. 8748/1975
Forests (Softwood Holdings Agreement) Act 1975
2
BE IT THEREFORE ENACTED by the Queen's Most
Excellent Majesty by and with the advice and consent of the
Legislative Council and the Legislative Assembly of Victoria
in this present Parliament assembled and by the authority of
the same as follows (that is to say):
Short title
This Act may be cited as the Forests (Softwood
Holdings Agreement) Act 1975.
Definition, words and expressions
In this Act unless inconsistent with the context or
subject-matter—
(a) "Agreement" means the Agreement a copy
of which is set out in the Schedule and
includes the map annexed to the Agreement
as executed, a copy of which is lodged in the
Central Plan Office and numbered
VIC. F.C.4; and
(b) words and expressions have the meanings
respectively assigned to them in the
Agreement.
Act to bind the Crown
This Act shall bind the Crown.
Ratification etc. of Agreement
(1) The Agreement is hereby ratified validated and
approved and shall be given effect as so ratified
and as amended from time to time in accordance
with the Agreement.
(2) The Director-General of Conservation, Forests
and Lands is hereby empowered to carry out the
Agreement or the Agreement as amended from
time to time.
s. 1
S. 4(2)
amended by
No. 41/1987
s. 103(Sch. 4
item 29.1).
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Forests (Softwood Holdings Agreement) Act 1975
3
5. Royalties etc. to be paid into Consolidated Fund
All royalties and other moneys payable by the
Company to the Director-General of
Conservation, Forests and Lands pursuant to the
Agreement shall be paid into the Consolidated
Fund.
6. Costs and expenses to be paid out of Consolidated
Fund
All costs and expenses incurred by the State of
Victoria or the Director-General of Conservation,
Forests and Lands in carrying into effect this Act
and the Agreement shall be paid out of the
Consolidated Fund which is hereby to the
necessary extent appropriated accordingly.
7. Regulations
(1) The Governor in Council may make regulations
for or with respect to regulating and controlling
the manner of cutting, felling, obtaining or
removing softwood timber in or from the area of
supply.
(2) A person who contravenes or fails to comply with
a regulation under sub-section (1) shall be guilty
of an offence.
Penalty: 15 penalty units or imprisonment for
three months.
S. 5
amended by
No. 41/1987
s. 103(Sch. 4
item 29.2).
s. 5
S. 6
amended by
No. 41/1987
s. 103(Sch. 4
item 29.3).
S. 7(2)
amended by
No. 10235 s. 9.
Victorian Legislation and Parliamentary DocumentsAct No. 8748/1975
Forests (Softwood Holdings Agreement) Act 1975
4
SCHEDULE
THIS AGREEMENT is made the nineteenth day of September, One
thousand nine hundred and seventy-five between FORESTS COMMISSION
incorporated by the provisions of the Forests Act 1958 of the State of
Victoria of the one part and SOFTWOOD HOLDINGS LIMITED a company
incorporated in the State of South Australia with its registered office in the
State of Victoria situate at 131–141 Queen's Bridge Square South Melbourne
of the other part—
WHEREAS
Recitals
I. The Company is desirous of establishing in the State of Victoria within
the area of supply as hereinafter defined the industry of manufacturing
particle board from softwood timber obtained from forests controlled by
the Commission.
II. Before the Company incurs the expenditure necessary to establish the
industry it desires to be satisfied that sufficient softwood timber will be
available from the area of supply to enable it to carry on the industry.
III. The Commission has in the area of supply conifer plantations which it is
expanding at the rate of 360 hectares annually and the Commission
desires to be satisfied that it will have a market for softwood timber
produced in those plantations.
IV. The parties hereto desire to enter into this Agreement so that upon its
ratification validation and approval by Parliament the provisions
hereinafter appearing shall have full force and effect.
NOW IT IS HEREBY AGREED as follows:
PART I—PRELIMINARY
Definitions
In this Agreement unless inconsistent with the context or
subject-matter—
"the Act" means the Act of the Parliament of Victoria to be
passed to ratify validate approve and otherwise give
effect to this Agreement;
"this Agreement" includes this Agreement as from time to
time amended;
"area of supply" means that area in the Portland locality
surrounded by a purple verge on the map annexed
hereto;
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"Commission" means the Forests Commission and if that
Commission ceases to exist means the body corporate
or persons for the time being charged with the duties
or substantially the same duties now performed by the
Forests Commission;
"Company" means Softwood Holdings Limited and upon
each assignment to any other company in accordance
with sub-clause (1) of clause 4 hereof includes that
assignee company;
"cubic metres" means cubic metres true volume under
bark;
"forest officer" has the same meaning as in the Forests Act
1958;
"forest produce" has the same meaning as in the Forests
Act 1958;
"the industry" means the manufacture by the Company
within the area of supply of particle board from
softwood timber;
"minimum annual supply" means the annual quantity
which the Commission is to make available from time
to time under clause 13 hereof;
"month" means calendar month;
"softwood timber" means timber of the species Pinus
radiata Pinus pinaster and other coniferous species
suitable for the manufacture of particle board but does
not include any timber which the Commission
requires for sale as logs poles or fencing timber; and
"year" means a period of twelve months commencing on
the first day of July.
2. Interpretation
(1) In this Agreement unless inconsistent with the context or
subject-matter references to any Act shall include all
amendments and re-enactments thereof for the time being in
force and all supplemental legislation for the time being in
force whether by regulation rule proclamation or order made
or continuing under that Act or any amendment or re-
enactment thereof.
(2) The headings and sidenotes shall not affect the interpretation
of this Agreement.
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3. Agreement to be ratified by Act of Parliament
This Agreement shall not be of any force or effect until it
has been ratified validated approved and otherwise given
effect by an Act of the Parliament of Victoria.
4. Operation of industry by assignee company
(1) The Company shall be at liberty at any time with the prior
written consent of the Commission to assign its rights under
this Agreement to any other company.
(2) Upon each such assignment the assignee company shall by
virtue of the Act be subject to all the obligations and
conditions imposed upon the Company by this Agreement
so far as they remain in force and are capable of taking
effect.
(3) Notwithstanding any such assignment Softwood Holdings
Limited shall remain responsible to the Commission for the
performance of all the obligations and conditions imposed
upon the Company by this Agreement.
PART II—OPERATION OF THE INDUSTRY
Division A—Duration of Agreement
5. To cease on 30th June, 1996 or upon sooner determination
This Agreement shall remain in force until the thirtieth day
of June 1996 or until sooner determination in accordance
with the provisions hereof.
6. Saver of rights
The expiration or determination of this Agreement shall not
affect the enforcement of any right obligation or liability
already existing under it.
Division B—Timber Rights
7. Rights of lessees etc.
Nothing in this Agreement shall affect the rights powers and
privileges acquired by any person (whether before or after
the commencement of the Act) under the Forests Act 1958
or any other Act.
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8. Sale of forest produce or grant of licences not restricted
Subject to the right of the Company under sub-clause (1) of
clause 11 hereof to obtain softwood timber in the area of
supply and compliance by the Commission with its
obligations under clause 13 hereof to make available to the
Company the minimum annual supply of softwood timber
nothing in this Agreement shall restrict the Commission's
rights pursuant to the Forests Act 1958 to sell or grant
licences to obtain forest produce.
9. Plan of utilization
(1) Not later than the thirty-first day of March 1976 and the
thirty-first day of March in each year thereafter the
Commission shall draw up and deliver to the Company a
plan of utilization for the supply of softwood timber for the
following year and a provisional plan for the supply of
softwood timber for the next two years.
(2) The plan of utilization and the provisional plan shall set out
the areas of the area of supply from which softwood timber
may be obtained during the relevant period and shall specify
the location and area of each area and the respective
quantities of softwood timber which the Commission
estimates will be obtainable in each area.
(3) The Commission and the Company may during the currency
of any plan of utilization agree to a modification of the plan.
(4) The Company shall conform with each plan or modified
plan of utilization.
10. Company to comply with Forests Act &c.
The Company shall comply with the provisions of the
Forests Act 1958 and with all regulations for the time being
in force under the Act.
11. Company's right to softwood timber
(1) Subject to the provisions of this Agreement the Company
without obtaining any lease licence permit or authority shall
have the right to obtain softwood timber by its servants
agents or contractors from the area of supply.
(2) The Company shall obtain softwood timber—
(a) from heads and other parts of trees remaining from
logging and pole and post cutting operations;
(b) from all standing trees indicated by a forest officer;
and
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(c) as required by the Commission from timber felled or
felled and removed by or on behalf of the
Commission.
(3) The Commission may in its discretion if so requested by the
Company modify the Company's obligation to take
softwood timber felled or felled and removed by or on
behalf of the Commission but any of such timber not taken
by the Company shall for the purpose of clause 13 hereof be
softwood timber made available to the Company by the
Commission.
12. Purpose for which timber is to be used
The Company shall use the softwood timber made available
to it under this Agreement for the purpose of the industry.
13.
(1) Subject to the provisions of clause 25 hereof the
Commission shall make available to the Company from the
area of supply a minimum annual supply of softwood timber
which unless increased pursuant to the provisions of sub-
clause (3) hereof shall be—
(a) During the year 1976–1977—200 cubic metres;
(b) During the years 1977–1978 to 1979–1980
inclusive—22 000 cubic metres;
(c) During the years 1980–1981 to 1982–1983
inclusive—30 000 cubic metres;
(d) During the years 1983–1984 to 1985–1986
inclusive—33 000 cubic metres;
(e) During the years 1986–1987 to 1988–1989
inclusive—35 000 cubic metres;
(f) During the years 1989–1990 to 1991–1992
inclusive—35 000 cubic metres;
(g) During the years 1992–1993 to 1994–1995
inclusive—37 000 cubic metres;
(h) During the year 1995–1996—37 000 cubic metres.
(2) The Commission may in its discretion make available to the
Company in any year a quantity of softwood timber from
the area of supply additional to the minimum annual supply.
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(3) At any time but not less than once in each period of five
years while this Agreement remains in force the volume of
softwood timber available in the area of supply shall be
assessed by the Commission and on the basis of the volume
so determined the Commission and the Company may agree
to increase or decrease for any period commencing from the
first day of July next following the date of such agreement
the minimum annual supply referred to in sub-clause (1)
hereof for that period and any minimum annual supply so
agreed upon may likewise be further increased or decreased.
14. Specifications of softwood timber
The Company shall not be bound to accept any softwood
timber which—
(a) is not sound and free from rot doze blue stain and
charcoal;
(b) is not sufficiently straight for the manufacturing
processes for the time being employed in the industry;
(c) is less than 2 metres in length or such other minimum
length as is agreed to from time to time by the
Commission and the Company; or
(d) is less than 8 centimetres or more than 30 centimetres
in cross-sectional breadth under bark.
15. Price of softwood timber
(1) For all softwood timber obtained by it under this Agreement
the Company shall pay—
(a) as to softwood timber which the Company by its
servants agents or contractors removes or fells and
removes the royalty payable from time to time under
this Agreement; and
(b) as to softwood timber either felled or felled and
removed by or on behalf of the Commission—the
royalty as aforesaid and a charge to be agreed upon
from time to time between the Commission and the
Company for—
(i) the cost to the Commission of felling or felling
and removal of softwood timber in or from the
particular area; and
(ii) the overhead expenses of the Commission in
connection therewith.
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(2) Failing agreement within fourteen days on the charge
referred to in paragraph (b) of sub-clause (1) hereof the
charge shall be determined by the Commission but so that
the charge for the cost of felling or felling and removal of
softwood timber in or from any area shall not exceed the
actual cost to the Company of or the payment made by the
Company to contractors for felling or felling and removal
(as the case may be) of softwood timber at that time in
similar form in or from areas which are similar with respect
to yield of softwood timber physical circumstances of
extraction and situation in regard to means of transport.
16. Company's obligations to take or pay for softwood timber
(1) Subject to the provisions of clause 26 hereof the Company
shall be bound in each year in which the minimum annual
supply of softwood timber to which it is entitled in that year
is available to it either—
(a) to take not less than 90 per centum of the minimum
annual supply; or
(b) if it takes less than 90 per centum of the minimum
annual supply to pay royalty to the Commission on
the deficiency at a rate equal to the royalty rate
payable in that year under clause 18 or 19 hereof.
(2) If the Company during either or both of the two years next
following any year in which there is a deficiency obtains a
quantity of softwood timber in excess of the minimum
annual supply the royalty payable on such excess shall be
reduced by the amount of royalty paid in respect of the
deficiency.
(3) After the expiration of the tenth year from the first day of
July 1976 "90 per centum" in paragraphs (a) and (b) of sub-
clause (1) hereof may from time to time be modified by
agreement between the Commission and the Company but
shall not be reduced below 75 per centum.
17. Payment of royalty
The following provisions shall apply with respect to royalty
payable under this Agreement:
(a) Royalty shall be payable at such times after the
amounts have been ascertained and in such manner as
the Commission from time to time determines.
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(b) If any royalty due by the Company remains unpaid for
sixty days after the Commission has demanded
payment thereof the Commission may without
limiting the obligations of the Company under
clause 16 hereof by notice in writing to the Company
suspend its right to obtain softwood timber under this
Agreement until payment is made.
(c) If the Company disputes the amount of any payment
demanded by the Commission it may make the
payment under protest and thereafter shall be entitled
to take proceedings for recovery of any amount in
excess of the amount it was liable to pay.
18. Royalty during first period
During the period of one year from the first day of July 1976
the royalty payable shall be at the rate of $4.53 per cubic
metre.
19. Review of royalty
(1) During each successive period of three years from the first
day of July 1977 the royalty payable shall be at the rate
agreed upon by the Commission and the Company.
(2) Failing agreement thereon not later than fourteen days after
publication by the Commonwealth Bureau of Census and
Statistics of the figures for the end of the preceding calendar
year relating to the Earnings and the Index referred to in
paragraphs (a) and (b) hereof respectively the royalty
payable shall be at the rate calculated by varying the rate
payable during the preceding period of three years in the
same proportion as the average of the proportional variation
in the said figures at the beginning and the end of the
preceding period of three calendar years in regard to—
(a) the Average Weekly Earnings per Employed Male
Unit; Victoria; and
(b) the Wholesale Price Index of materials used in
building other than house building: Melbourne:
Timber, Board and Joinery
except that for the period of three years commencing from
the first day of July 1977 the rate shall be calculated by
varying the rate of $4.53 per cubic metre in the same
proportion as the average of the proportional variation in the
said figures at the beginning and the end of the period of
two years ended on the thirty-first day of December 1976.
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(3) If the Commonwealth Bureau of Census and Statistics
ceases to publish the figures referred to in either paragraph
(a) or (b) of sub-clause (2) hereof a new method of
calculating any variation in the royalty shall be agreed upon
by the Commission and the Company or failing agreement
within thirty days shall be determined by the Commission.
(4) If any variation in the royalty rate is not determined prior to
the commencement of any new three-yearly period the
Company shall continue to pay royalty at the rate payable
during the preceding period and as soon as the new rate has
been determined an adjustment shall be made
retrospectively to the commencement of the new period.
20. Construction of roads, tracks &c. by Company
The Company shall not within the area of supply construct
any road track or passage or any chute without the prior
consent of a forest officer and shall not within the area of
supply construct any tramway flume or building or erect any
haulage or conversion unit without the prior written consent
of the Commission.
21. Determination of quantity of softwood timber
(1) The quantity of softwood timber upon which royalty is
payable under this Agreement shall be determined in such
manner (allowance being made for bark) as may be agreed
upon by the Commission and the Company or failing
agreement within thirty days as the Commission may direct.
(2) The place at which the quantity of softwood timber is to be
measured shall be as fixed by the Commission from time to
time after consultation with the Company.
(3) If the quantity of softwood timber upon which the royalty is
payable is to be determined from its mass—
(a) the Company shall provide at its plant within the area
of supply a weighbridge of a pattern which meets the
requirements of the Weights and Measures Act 1958
and shall while this Agreement remains in force have
the weighbridge maintained and periodically verified
and stamped in accordance with the provisions of that
Act;
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(b) at all times while the weighbridge is in accurate
working order and is currently verified in accordance
with the Weights and Measures Act 1958 the
quantity of softwood timber upon which royalty is
payable under this Agreement shall be determined by
weighing it on the weighbridge;
(c) weighing shall be carried out by a person currently
licensed as a weighman under the Weights and
Measures Act 1958;
(d) the Company shall periodically provide to the
Commission evidence that the weighbridge is
currently verified and that each weighman is currently
licensed in accordance with the Weights and
Measures Act 1958; and
(e) at all times the weighbridge is not in accurate working
order the quantity of softwood timber upon which
royalty is payable under this Agreement shall be
determined in such manner as may be agreed upon by
the Commission and the Company or failing
agreement within fourteen days as the Commission
may direct.
22. Company to comply with conditions
The Commission may from time to time give to the
Company written notice of conditions which shall apply in
the areas from which it is obtaining softwood timber under
this Agreement and the Company shall comply with the said
conditions and ensure that any contractors who are engaged
in obtaining softwood timber under this Agreement have
notice thereof.
23. Requirements in regard to servants &c., of the Company
(1) The Company shall keep the Commission informed by
notice in writing of the names of its servants agents and
contractors who are engaged in obtaining softwood timber
under this Agreement.
(2) The Company shall supply to each such person for
production when required by a forest officer evidence in a
form satisfactory to the Commission that he is engaged in
obtaining softwood timber under this Agreement and the
Company shall forthwith inform the Commission in writing
whenever any such person ceases to be so engaged.
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(3) (a) The Company shall include in every contract by it
with a contractor for obtaining softwood timber under
this Agreement provisions requiring the contractor to
comply with the Forests Act 1958 the regulations
made under the Act and the conditions referred to in
clause 22 hereof.
(b) The Company shall upon making any such contract
forthwith give to the Commission written notice of
the contract specifying the name of the contractor the
duration of the contract and the quantity of an area
from which softwood timber is to be obtained
thereunder.
(4) The Company shall if so required by the Commission
terminate the contract of any contractor who in the opinion
of the Commission has failed to comply with the Forests
Act 1958 the regulations made under the Act or the
conditions referred to in clause 22 hereof.
24. Further agreement
(1) In the first three months of the last year of this Agreement
the Commission shall if the Company seeks a further
Agreement to assure to it supplies of softwood timber for
the continuance and expansion of the industry investigate
the development of the industry and if satisfied that the
Company needs to have supplies of softwood timber assured
to it by a further Agreement enter into negotiations with the
Company for that purpose.
(2) When a further Agreement has been agreed upon and
executed the Commission shall (if necessary) recommend to
the Minister of Forests that a Bill be introduced into the
Parliament of Victoria as soon as possible to ratify validate
approve and otherwise give effect to it.
Division C—Suspension of Obligations and Conditions
25. Suspension if forests damaged &c.
If any of the softwood plantations in the area of supply are
damaged or destroyed by fire disease or other cause to such
an extent that it is impracticable for the Commission to
comply with the provisions of clause 13 hereof or if by
reason of anything beyond the control of the Commission it
is prevented from complying with those provisions the
Company shall have no claim against the Commission for
the non-fulfilment of its obligations under those provisions
so far as non-fulfilment is due to any such cause.
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26. Damage or destruction of plant &c.
(1) If—
(a) the Company's plant or any works used by it for the
purpose of manufacturing particle board within the
area of supply are damaged or destroyed by fire or
other calamity;
(b) by reason of anything beyond the control of the
Company it is delayed in establishing the industry;
(c) the carrying on of the industry becomes commercially
impracticable because of a recession in the particle
board manufacturing industry in Australia;
(d) by reason of war strike lockout or action in the nature
of a strike or lockout the Company is impeded from
obtaining softwood timber or carrying on production
of particle board;
then in any of those events—
(i) the Company may apply to the Commission for
suspension or a reasonable modification of the extent
or operation of its obligations under clause 16 hereof
or for an extension of time for the performance or
observance thereof;
(ii) the Commission upon any such application by the
Company may grant a suspension of the said
obligations or a reasonable modification of their
extent or operation or an extension of time for their
performance or observance;
(iii) if the Company is dissatisfied with the decision of the
Commission upon any such application the matter
shall if the Company so elects be submitted to
arbitration.
(2) Arbitration pursuant to the preceding sub-clause shall be
effected as follows:
(a) The matter shall be referred to two arbitrators one to
be appointed by the Company and one by the
Commission.
(b) The provisions of the Arbitration Act 1958 shall
apply to the reference.
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(3) The arbitrators or umpire or some person appointed on their
behalf may investigate the Company's affairs and accounts
so far as may be necessary to assist them to determine any
matter referred to them and the Company shall give them
full access to all accounts and papers necessary for that
purpose and shall afford them full information and
assistance.
Division D—Determination of Agreement by Commission
27. Commission may determine Agreement in certain events
If the Company—
(1) enters into liquidation (other than a voluntary
liquidation for the purposes of reconstruction and
assignment of rights under this Agreement);
(2) delays the commencement of commercial production
of particle board from softwood timber at a rate not
less than 350 tonnes per month beyond the year
ending on the thirtieth day of June 1978; or
(3) contravenes or fails to comply with the terms and
conditions of this Agreement—
the Commission may thereupon determine this Agreement.
Division E—Supplemental
28. Amendment or determination by agreement
The Commission and the Company may by agreement—
(a) from time to time amend this Agreement by such
additions deletions and variations of matters of detail
as may be necessary or desirable to facilitate the
carrying on of the industry; and
(b) at any time determine this Agreement upon such
terms as they deem fit.
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IN WITNESS whereof the parties hereto have executed this Agreement the
day and year first before written.
The common seal of Forests Commission
was hereto affixed in the presence of:
F. R. Moulds
Commissioner.
A. J. Threader
Commissioner.
The common seal of Softwood Holdings Limited
was hereto affixed in the presence of:
E. A. Alstergren
Director.
P. E. Fitz-Gerald
Director.
═══════════════
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General Information
The Forests (Softwood Holdings Agreement) Act 1975 was assented to on
5 November 1975 and came into operation on 5 November 1975.
Endnotes
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Forests (Softwood Holdings Agreement) Act 1975
19
2. Table of Amendments
This Version incorporates amendments made to the Forests (Softwood
Holdings Agreement) Act 1975 by Acts and subordinate instruments.
–––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––
Forests and Country Fire Authority (Penalties) Act 1985, No. 10235/1985
Assent Date: 10.12.85
Commencement Date: 10.12.85: s. 2
Current State: All of Act in operation
Conservation, Forests and Lands Act 1987, No. 41/1987
Assent Date: 19.5.87
Commencement Date: S. 103(Sch. 4 items 29.1–29.3) on 1.7.87: Government
Gazette 24.6.87 p. 1694
Current State: This information relates only to the provision/s
amending the Forests (Softwood Holdings
Agreement) Act 1975
–––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––
Endnotes
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Forests (Softwood Holdings Agreement) Act 1975
20
3. Explanatory Details
No entries at date of publication.
Endnotes