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August 28th, 2013 
Peter Nolan
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Frustrations are building over a lack of information about when money from the forest peace deal will be paid out.
A north-east development group is hoping to turn the region’s fortunes around, but the plans could be scrapped if the money is not secured soon.
The Dorset Renewable Industries Group wants to revamp Gunns’ former Ling Siding sawmill, near Scottsdale, to create about 40 jobs.
“The integrated processing hub would basically be a treatment plant that would operate on the site,” said the group’s Dale Jessup.
“We would also be looking to things like bio-char pellets.”
The group was planning to buy the site from Gunns receivers Korda Mentha, using a promised $2.8 million from the forest peace agreement’s $100 million economic diversification fund.
But the group does not know when the money will come through.
“The receiver has made it very clear with our group that we need to have funding certainty,” said Mr Jessup.
“If we haven’t got that funding certainty our bid probably will not be counted.”
It could be months before the Federal money flows, but with bids closing Friday, the region’s mayor, Barry Jarvis, is concerned that time is running out.
“My fear is that obviously with our local group working with a receiver, you know they may not see any clarity around til about Christmas”
Korda Mentha says there has been some interest in the Scottsdale site.
The Recievers are also preparing to sell the Bell Bay pulp mill site and permit, as well as more plantation forest.
The Federal Liberal and Labor parties have guaranteed the 100 million dollar package, but will not make any commitment on timing until after the Election.
Topics:
business-economics-and-finance,
industry,
timber,
scottsdale-7260,
tas
Source Article from http://www.abc.net.au/news/2013-08-28/north-east-project-hangs-in-the-balance/4920002
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