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SenateWednesday 12 August 2026

COMMITTEES

Senator COLBECK (Tasmania) (19:17): I move: That the following matters be referred to the Rural and Regional Affairs and Transport References Committee for inquiry and report by 30 November 2026: (a) the regional impact on agricultural production in north-eastern Tasmania from the conversion of Rushy Lagoon from irrigated beef and dairy to a radiata pine plantation; (b) the impact on the regional economy of north-eastern Tasmania from the conversion of Rushy Lagoon from irrigated beef and dairy to a radiata pine plantation; (c) the impact on the biodiversity of north-eastern Tasmania of 9000 ha of radiata pine plantation; (d) the impact on local water tables of 9000 ha of radiata pine plantation on Rushy Lagoon and the consequent impact on the Ramsar wetland on the property; (e) the adequacy of agricultural assessments undertaken as part of the Foreign Investment Review Board process, approval for Australian Carbon Credit Unit and consideration of a Conversion Grant; (f) the adequacy of consultation with local communities and the Tasmanian Government over Commonwealth Government-promoted conversion of Tasmania's largest farm; (g) the ability of agricultural production to compete with multi-level government investment and incentives promoting the conversion of agricultural land to carbon forestry; (h) the influence of large-scale government agency investment into agricultural land on statutory considerations of national interest in foreign takeover considerations; (i) the adequacy of safeguards to protect productive agricultural land and Australia's food security; (j) similar examples around Australia of agricultural land being converted to plantations for carbon storage; (k) the influence of carbon credits (both domestic and international) on land-use change in Australia; and (l) any other matters.

I have to say, right at the outset of this motion, I am disgusted that, if the government feel that this is such a great deal, they're not prepared for it to be properly scrutinised. There is so much that stinks about the sale of Rushy Lagoon. There is so much that stinks about this deal and all of the things that have gone on around it that it warrants proper investigation.

I'm not surprised that the Labor Party is saying no, but I am surprised that the Greens are saying no because some of the environmental considerations of this particular project are considerable. They've been glossed over; they've been ignored. The Labor members in Tasmania have trotted out the talking points.

I listened to a contribution by Senator Dowling today, and, clearly, he was just using the talking points because he did not know what he was talking about. He was talking about the fact that 9,000 hectares of the property would go into plantation with the rest available for agriculture. What he doesn't understand is that 11,000 hectares of this 21,700 hectare property are native vegetation and Ramsar listed wetlands.

If, according to his dissertation today, those 11,000 hectares of native vegetation and Ramsar listed wetlands are going into agriculture, that's not the outcome that anybody's looking for. It just demonstrates that Labor members are coming in here; they've got the talking points, and they're told what they have to say. It just stinks.

It just stinks when you look at the facts that relate to this particular project. You would have expected me, as someone who's a former forestry minister and who's worked in the agriculture portfolio, to be supporting this project, but I'm not, and I'll tell you why. Rushy Lagoon is a 21,700-hectare irrigated beef and dairy farm.

The members of the Labor Party opposite try to pass it off as class 5 and class 6 land, which shows they don't understand agriculture and they don't understand farming like the people in the local community understand agriculture and farming. The ACTING DEPUTY PRESIDENT ( Senator Marielle Smith ): Senator Polley on a point of order? Senator Polley: Regarding the exclusions in the senator's contribution, the classification is done by the state government.

The ACTING DEPUTY PRESIDENT: Senator, that is debating point, not a point of order. Senator Polley: It is classified as 5 and 6. It's not about our interpretation— The ACTING DEPUTY PRESIDENT: Senator Polley, please resume your seat.

Senator Colbeck interjecting— The ACTING DEPUTY PRESIDENT: I'm ruling on a point of order, Senator Colbeck. Senator Polley, resume your seat. That's not a point of order.

Can I please encourage senators to behave in an orderly manner for the last nine minutes? Senator COLBECK: The point of order just demonstrates that these people have absolutely no idea what they're talking about. Trying to deflect the blame to the state government with respect to the land classification shows they don't understand what they're talking about or what land classifications actually do or what is possible for this property.

They have no idea about the possibilities for this farm and the processes that have gone into this sale and— Senator Carol Brown: It's all about politics for you. Senator COLBECK: If you stop interjecting, Senator Brown, you'll understand what's going on here. For example, I have referred to the Auditor-General the $8.8 million grant that was given by this government effectively to itself, because I think this grant warrants investigation.

Let's go through the details of the $8.8 million grant, remembering that the Clean Energy Finance Corporation has invested $69 million of Australian taxpayers' money in the purchase of this property as an equity partnership and has then granted themselves— Honourable senators interjecting— The ACTING DEPUTY PRESIDENT: Senator Colbeck, resume your seat, please.

Senators, I'm calling you to order. Senator Canavan, it's your own colleague that I'm trying to assist here. Can we please come to order and allow Senator Colbeck to make his contribution in a way which allows him to be heard?

Senator COLBECK: The sensitivities demonstrated by their behaviour in the chamber, Madam Acting Deputy President Smith! There was a $69 million equity investment by the Clean Energy Finance Corporation into the purchase of this property. On top of that, through the Department of Agriculture, Fisheries and Forestry's Support Plantation Establishment program, there is an $8.8 million grant to buy the trees to plant on the property.

This grant has to be expended by 30 June next year. Apart from the fact that that probably won't be possible because they missed the window for trees to be planted this year, there are a couple of requirements of this grant program that this government has not met and that it was impossible for them to meet. One of the grant guidelines of the Support Plantation Establishment program requires the applicant to demonstrate that the applicant has long-term access to the land.

Senator Carol Brown interjecting— Senator COLBECK: No. Actually, I'm reading from the grant application guidelines, Senator Brown, so you'll learn something here. The grant guidelines require the applicant to demonstrate the applicant's long-term access to the land.

The grant application for this $8.8 million grant was submitted on 5 November last year. The grant was approved in May this year. The ownership of this property wasn't given approval by the Treasurer until June of this year, so it was impossible for the new owners of the property to demonstrate ownership and long-term control of the property, because they didn't have approval to own it.

So this grant has been issued in breach of the guidelines. Section 4.3 of the guidelines also declares that the following are not eligible to apply for a grant: a corporate Commonwealth entity, a non-corporate Commonwealth entity, a non-corporate statutory authority. The Clean Energy Finance Corporation is a Commonwealth corporate entity and is a 49 per cent owner.

Therefore, under the guidelines, it is not eligible. And so on what basis has this grant been delivered? The government has effectively delivered to itself an $8.8 million grant in contravention of the guidelines.

Of course, as I said before, the project must be completed by 30 June 2027, and they're not going to start planting trees until June next year. They're not planting all of those trees within that timeframe. It is simply not possible.

Of course, when we asked the government—when the Senate said to the government, 'You must provide all documentation in relation to the Clean Energy Finance Corporation investment into this property by Tuesday of the last sitting week'—what did the government do? Now, you would expect that, if they weren't going to comply, they'd write and say, 'We're not going to meet the deadline' or, 'We want some extra time.' The government's completely ignored it—not a single peep from this government.

If this is not corrupt, it's verging on corruption, I have to say. This grant is verging on corruption, because the guidelines have not been met. The guidelines could not be met.

It wasn't possible. The proponents did not own the land when the grant application was submitted and approved. They didn't receive approval to purchase the land until after both of those processes had been completed, so on what basis could the grant have met the guidelines?

And of course, when you look at all the grants announced, the $8.8 million is more than double any other grant in the entire program. The next-largest was about $2.3 million. So the government is giving itself an $8.8 million grant.

We're supposed to be grateful. We're supposed to be grateful for a conversion of a farm that will be less productive under trees than it will be under agriculture. Senator Carol Brown interjecting— Senator Scarr: Point of order.

There are consistent interjections from Senator Brown. You've already attempted to call Senator Brown to order. I just ask you.

We're nearly at adjournment. It would be nice if my colleague could finish his speech in silence. The ACTING DEPUTY PRESIDENT: I will reiterate my call to order, please, senators on all sides.

Let's allow Senator Colbeck to finish his speech. Senator COLBECK: We only see these usual personal reflections when they can't get their way or can't make an argument. We have a $69 million investment into this property, which will reduce its agricultural productivity.

They talk about, supposedly, 109 jobs. I don't believe them. I don't believe that there are 109 jobs in this.

There won't be 109 jobs even in the planting. Then there'll be 30 years of growth where there might be four or five jobs, and there may be some jobs in the sawmilling industry in 30 years. But I don't believe what's being said about there being 109 jobs in this.

And you've got the rubbish from the Clean Energy Finance Corporation saying that this will help divert harvesting away from the native forest industry. Well, last time I looked, you don't get radiata pine out of native forest. They are different trees with different purposes and different environments.

You don't get radiata pine from a native forest. So the propaganda and the mumbo jumbo that's coming through this process is absolutely obscene. The investment in this property will probably halve the value of production coming off that farm over the next 30 years.

If any of the people opposite had been prepared to go out and have a look, they would have known. There's one contractor up there who has business cleaning up failed plantations in that region. I have to say I am genuinely concerned for the environmental outcomes with the impact on the water table of the Ramsar-listed wetlands.

I think that's a genuine concern, which is why it surprises me that the Greens won't support this. It is a genuine concern. The first 30 years of a tree plantation's growth are the heaviest on water use, and the advice that I have from people who know is that this will lower the water table and negatively affect the Ramsar-listed wetlands that are on that property.

In their haste to say this is a wonderful idea, in their haste to support a project where they don't really understand what the real impact is because they haven't been out to talk to people about it, this is the dodgiest process. It stinks to high heaven. The whole process is compromised because the government won't give us any access to any of the information that we should have access to as a part of the consideration of this project.

Debate interrupted.

SourceSenate, Wednesday 12 August 2026 — official recordTA-260812-senate-31781ec8c3ce:s151