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Department of State Growth

Wood and Fibre Processing Innovation Program 2016

In July 2016, the Tasmanian Government announced the Wood and Fibre Processing Innovation Program, with up to $1.25 million in funding available.

Grants of up to $100 000 were made available through the Program to support the development of projects that utilise forest harvesting and timber processing residues and/or agricultural plant residues to create value-added products in Tasmania.

A total of 41 applications were received during the seven-week submission period. Thirteen projects were successful in gaining grant funds worth a total of $1 242 600, and the total value of the projects is more than $7 million. The table below shows the successful applicants, the grant amounts, and a brief description of the projects.


Project description

Funding amount

ARTEC Australia Pty Ltd

Incorporate within the kiln drying facility a process that allows for all docking waste to be dried to an acceptable level for sale into the market using flue gas heat from the boiler to be sold alongside ARTEC Australia's sawdust briquettes. The project will be followed by a future investment in drying waste from the chipping operation and producing these into briquettes for commercial application.

$100 000

Botanical Resources Australia Manufacturing Services Pty Ltd

Undertake a detailed evaluation of pellet production using a range of products including trialling different feedstocks such as timber residue materials for use in an existing large scale pelletiser.

$87 500

Dorset Renewable Industries Pty Ltd

To further develop a project for a wood pellet plant at Ling Siding, Scottsdale. The proposed project if implemented will convert wood processing waste into solid biofuel (wood pellets).

$100 000

Dovetail Timbers Pty Ltd

Build a new residue processing and engineering (residue engineering) plant. This will extend the capacity to process low-grade logs and residues and facilitate continued production expansion. New innovative sawmilling equipment will be built which is specifically designed to efficiently process select forest residue. Outputs will include green sawn timber, seasoned timber, dressed timber and a wide variety of engineered timber products for architectural and construction applications.

$94 600

East Tamar Maintenance Services Pty Ltd

Construction of a biomass fuel production facility, set up and equipping of a fabrication facility for the assembly of biomass fuelled appliances for domestic and mid-range commercial / industrial applications.

$95 000

Howard Heritage Holdings Pty Ltd

Upgrade of workshop equipment to enable more efficient production of thick veneer products from lower grade logs and craft wood.

$100 000

Huon Valley Timber Pty Ltd

Through a staged process, change an existing timber drying kiln's fuel source from LPG to residues generated on site from mill operations.

$100 000

Meander Valley Council

Initial work on the development of a business case for the design and operation of a large scale bioenergy generation and local distribution network.

$100 000

Mondelez Australia Pty Ltd

Preliminary two-part feasibility study; the first to determine if an existing boiler can be converted from natural gas to a dual-fuel feed of biomass (woodchips or other forestry by products) and natural gas; and the second involving the installation of an embedded 300 kW steam turbine to generate electricity for the site.  The project, if implemented, will result in production of steam and electricity for the site with potential for an approximate 70% reduction in site greenhouse gas emissions.

$100 000

Norske Skog Paper Mills (Australia) Ltd

Trial the utilisation of wood residue in the existing boiler with the aim of replacing a proportion of the black coal with a mixed fuel source utilising biomass. The project will include necessary engineering and operational changes followed by thorough testing.

$100 000

Pentarch Forest Products Pty Ltd

Phase 1 is a feasibility study for an onsite solid biofuel plant to turn a woodchip processing by-product into a valuable and renewable solid biofuel in the form of solid biofuel briquettes. If the project is viable and the proponent commits to construction, phase 2 involves the construction of the biofuel plant.

$100 000

Stronach Industries Group Pty Ltd

Enhance current timber processing and manufacturing centre with the infrastructure and technology to value add timber waste into an environmentally friendly commodity. This will involve provision of a down-line timber processing centre to convert timber off-cuts, timber shavings, and sawdust into compressed products including hot blocks, aromatic briquettes, and garden, pet, poultry and equine products.

$96 500

Wood Pellets Tasmania Pty Ltd

Integration of a shaving process and baling operation into an existing pelleting operation in order to both secure and diversify the biomass accessible to the pelleting operation and to diversify the business' range.

$69 000