The Albanese and Rockliff Governments have officially committed to work together towards a bilateral agreement to support sustainable forestry in Tasmania into the future.
From July 1 2027, the Albanese Government's historic environmental law reforms will bring forestry operations covered by Regional Forest Agreements (RFA) under Federal environmental regulation.
Forestry operations in RFA regions will be required to meet national environmental standards, bringing the sector into line with all other industries, while supporting a sustainable and well-regulated future.
Federal Minister for the Environment and Water, Murray Watt has issued a Notice of Intention to develop a draft bilateral agreement that would accredit Tasmania's forest management framework alongside new national environmental standards.
The Albanese Government is working closely with all RFA states - Tasmania, New South Wales and Western Australia - to develop landscape-scale approvals for forestry under the reforms.
To support this transition, the Australian Government announced $28 million over two years in the 2026-27 Budget to help states with RFAs align their forest management systems with new requirements under the national environment law.
Up to $8.5 million is available to Tasmania to support this work, recognising the scale and importance of its public native forestry sector, alongside its plantation and private forestry industries.
This funding builds on the Albanese Government's $600 million investment in the forestry sector since coming to government. This includes the recently announced $300 million Forestry Growth Fund which will help grow the forestry industry, support delivery of the Timber Fibre Strategy, and deliver long-term, sustainable impact to maximise forestry contributions to housing and net zero transformation.
"We believe in a strong and environmentally sustainable future for Tasmania's forestry industry, and these reforms will see the sector meet the same environmental standards we apply to every other industry across Australia.
"We will be working with the Tasmanian Government over the coming months to develop and then formalise the bilateral agreement which will support the industry to operate in line with national environmental laws.
"Once signed, a new bilateral agreement will support landscape-scale approval of forestry operations in Tasmania."
Quotes attributable to Tasmanian Minister for Business, Industry and Resources, Felix Ellis:
"The Tasmanian Government welcomes the formal commitment to bilateral negotiations as an important step toward securing the long-term future of Tasmania's sustainable forestry industry.
"For decades, the Regional Forest Agreement has provided the foundation for a strong and sustainable forestry industry in Tasmania, supporting regional jobs, investment and responsible forest management.
"It is important that accreditation of Tasmania's Forest Practices System continues, providing strong environmental protections while avoiding unnecessary duplication and red tape.
"We will continue working closely with the Australian Government to secure a practical and durable accreditation pathway that gives industry certainty, protects investment and ensures a sustainable source of timber products critical to our economy and future housing needs."
Quotes attributable to Minister for Agriculture, Fisheries and Forestry, Julie Collins:
"Our Government will continue working closely with industry, unions and the Tasmanian Government to support Tasmania's forestry industry and the jobs it supports.
"We have already delivered a $300 million record investment to back Australia's forestry industry, because we know the critical contribution forestry makes in Tasmania and across the country.
"We are continuing to back the future of the industry with a new $300 million Forestry Growth Fund which will bring our total investment to $600 million."
