1941.

VICTORIA

FOl{ESTS CO~IlVliSSlON O~F VICTC)l{IA, AusrrRALIA.

1,WENTY-SECOND ANNUAL Rl~PORT

FIN1\NCIAI_.4 YEAR 1940-41.

PRESENTED TO BOTH HOUSES OF PARLIAMENT PURSUANT TO ACT No. 3685, SECTION 40.

[Appro.:~~iniate Co&t of &por!.-Preparatlon, not given. Printing (950 copies). £41.]

~P. cil-ntltlltft)l; H. E. DAW, GOVERNMENT PRINTER, MELBOURNE. No. 18.-tls.]-14050/41. •

8UMM.ARY.

Area of Reserved Forest at 30.6.41 4,902,059 acres Area silviculturally treated 81,150 " Forest boundary surveys .. 32 miles Road and tramway surveys 69 " Area mapped and assessed 650,000 acres Area coniferous plantations- Total at end of 1940 planting 44,483 " New planting, 1940 season 382 " Number of fires in State Forests 143 Area burned-State Forest 22,027 acres Firebreaks, tracks, and roads constructed 1,101 miles Firebreaks, tracks, and roads cleaned 2,883 " Area patch-burned 49,517 acres Bush Fire Brigades- Total number of brigades at 30.6.41 483 Output of sawn timber from State Forests 136,631,192 super. feet Output of plantation-grown softwood timber 10,107,677 " " Output of pulpwood from State Forests 1,877,514 cub. ft. Royalties received on forest produce £233,269 Unemployment Relief Work- Number of men engaged 523 Gross Revenue £325,500 Gross Expenditure­ Forestry Fund £103,740 Votes and Special Appropriations £182,885 Loans current 1940-41- Timber salvage .. £169,453 Works .. £109,289 £278,742 Unemployment Relief .. £49,798 ANNUAl1 REPORT OF THE }~OR.ESTS CO~IMISSION OF VICTORL~ FOR THE YEAR ENDED 30TH JUNE, 1941.

INTRODUCTION. FORESTRY AND THE WAR EFFORT. Developments in the economic sphere during the past two years have provided concrete evidence of the extent to which this country is compelled to rely on her own resources for the supply of industrial raw materials in time of national emergency. This applies particularly to timber and other forest products. Drastic curtailment of imports consequent upon inevitable shipping restrictions has resulted in local sources of supply being taxed to capacity and a heavy strain being placed on forest industries. Raw material must be made available not only for normal industrial needs, which incidentally were partly catered for in pre-war days by imports and many of which have now expanded enormously, but also for innumerable supplementary requirements inseparable from the war effort. To maintain an army in the field both at home and overseas, and to participate in the production of essential war materials for general Empire use, necessitate the supply of huge quantities of timber for the housing of troops, maintenance of communications, and other specialized military requirements. To win the war is the primary concern for the time being, and under present circumstances other forestry activities must be to a great extent subordinated to a consideration of urgent utilization problems. So far as this State is concerned, a satisfactory feature of the present position is the development of adequate markets for rapid absorption of huge quantities of fire-killed timber. From the broad national aspect, the present crisis directs attention to the imperative necessity for taking every possible step to maintain adequate forest resources, and for the intensive protection and development of these resources. Surely nothing further is required to emphasize the absolute necessity for a sustained and vigorous forest policy backed solidly by the Government and the people. In little more than a century of settlement, destruction of the natural forest resources has proceeded apace. The future of this State is bound up with the retention of forest cover on vulnerable land features in order to safeguard and perpetuate the vital water supplies, without which all labour and money expended on progressive engineering works for harnessing streamflow, and on the reclamation and improvement of land for farming by the introduction of irrigation, will go for nought. Current concentrated exploitation to maintain maximum production for war industries, coupled with the rehabilitation measures rendered necessary as a result of destruction caused by the 1939 fires, will call for a specially sustained post-war effort to restore forest equilibrium. A sustained programme of reforestation and other silvicultural operations, supplemented by necessary protective measures, over a long period will be necessary to build up the forests to normal productiveness. Work of this nature should provide an excellent avenue for the employment of repatriated soldiers, as experience during the depression period of some years ago demonstrated the value of forest work as a reproductive medium for absorption of surplus labour. Such post-war forestry reconstruction not only will go far towards fulfilling ultimate economic demands, but also with careful planning and adequate financial support can provide permanent employment for large numbers of both skilled and unskilled workers. A comprehensive plan on these lines would envisage the establishment of communities in permanent forest townships, a decentralization measure of prime national importance.

CHARCOAL GAs FUEL. The necessity for maintaining essential road transport in operation in the face of drastically curtailed supplies of petrol has resulted in greater attention being concentrated on the production and use of charcoal gas for the generation of producer gas fuel for motor vehicles. Lately there has been adefinite increase in the number of makes of producer gas units manufactured as well as in the number of units installed by trade and private motor users. Uncertainty regarding petrol restrictions, coupled with unstable trade demands, was a factor not encouraging to private enterprise to develop the charcoal production industry, notwithstanding the efforts of this Commission to stimulate activity in this direction. It was then decided that it would be necessary for the State Government to supplement the production of charcoal by private enterprise in order to assure adequate supplies for an expanding market and to ·establish a high standard of quality in manufacture. Accordingly, the Commission has had installed plant capable of sustaining an output of from 8,000 to 10,000 tons of charcoal per annum. 4

The State Government has appointed Mr. A. V. Galbraith, Chairman of the Commission, to be Chairman of the State Producer Gas Committee which is charged with the responsibility of organizing the producer gas industry and advising regarding its development. Representatives of interested Government Departments, the Gas Producer Manufacturers Association, and motor transport organizations are members of the Committee. The Chairman of the Commission has also been appointed by the Commonwealth Government Approvals Authority for Victoria under National Security (Gas Producer) Regulations to ensure that units sold or offered for sale to the public conform to standard specifications and the test code. FIRE PROTECTION. The year 1940-41 has been a notable one from a fire protection standpoint and substantial headway has been made in implementing the policy outlined in the Commission's Annual Report of last year to the full extent that limiting factors of finance, labour, and equipment would allow. As indicated in last year's Report, the Commission's policy resolves itself into three main avenues of development, viz., control of fires originating in unimproved foothill lands under private ownership and threatening to extend into the valuable forest belts at the higher elevations, control of outbreaks within areas of concentrated milling and other industrial operations, and maintenance of secondary lines of defence within the forests themselves. Practical difficulties associated with the attainment of these objectives are manifold but not insuperable, and it is essential that as much as possible of the basic projects indicated be completed in the minimum of time if the main mountain forest tracts are to be preserved from ultimate total destruction. Adequate roading of the forests is necessary to provide ready means of access as well as to facilitate the operation of patrols and the rapid transport of men and fire fighting equipment. A protective buffer strip, at present under construction, along the vulnerable northern and north-western flanks of the main forest zones, which "ill be strengthened by periodic controlled burning of inflammable material and supplemented by strategic roads for rapid movement of men and equipment, will constitute a first line of defence against fires originating outside the forest boundaries. In view of the heavy work involved in creating these primary safeguards, and the necessity for the work to be completed in as short a time as possible, power machinery such a.s bulldozers, tractors, and graders is indispensable and towards this end the State Government has facilitated the purchase of a number of units of such equipment in addition to power pumps for direct fire fighting operations. TIMBER SALVAGE. Utilization of fire-killed timber in accordance with the proVIswns of the Salvage Plan has proceeded as rapidly as available equipment and labour would permit. A satisfactory output has been maintained, which so far has met trade requirements. Progress has been aided by a buoyant market resulting from urgent wartime demands for sawn timber. Operations have been directed primarily towards utilization for immediate conversion to meet current market demands rather than on salvage of logs for future milling, and all available labour has been concentrated on keeping mills working to full capacity. A feature of last year's salvage operations was the quantity of fire-killed immature Mountain Ash timber recovered to meet the requirements of the case-making and pulpwood markets. Utilization of this timber was rendered possible by the construction of roads by the Commission into areas not incorporated in the original Salvage Plan, and was prompted by the urgent necessity for utilizing this young timber which would very quickly have become a total loss owing to its rapid rate of decay. Thirty-two million superficial feet of this class of timber were recovered during the year.

THIRD FoREsTRY CoMPANY, A.I.F. Early in 1941, approval was given for the recruitment of the 3rd Forestry Company, R.A.E., 2nd A.LF. and a call was also made for reinforcements for the two Australian forestry companies already abroad. The new unit was recruited from all States of the Commonwealth and has sailed for overseas service. Seven officers of the Commission's staff were released for enlistment in the Company, which also absorbed a large number of skilled and experienced forest and timber workers from this State. It is very gratifying to the Commission that reports received from overseas indicate that the efficiency and conduct of the units now operating in Great Britain are highly praised. 5 FOREST AREA. The area of reserved forest at 30th June, 1941, totalled 4,902,059 acres. Following are changes effected during 1940-41 :-

i - I Permanent Forest. Timber Reserves. Total Area.

Acres Acres Acres Area, 30th June, 1940 ...... 4,142,0ll 718,134 4,860,145 Excisions, 1940-41 ...... 152 . . 152 Additions, 1940-41 ...... 42,066 . . 42,066 I I Net area at 30th June, 1941 ...... ! 4,183,925 718,134 4,902,059 ! ---- SILVICULTURE OF IL'IlJIGENOUS FOREST&. Although the early part of the year saw continuation of the very dry conditions which prevailed in the first six months of 1940, plentiful rains in the latter part of summer were responsible for stimulating forest growth throughout the State. Young re-growth crops, both seedling and coppice, especially benefited. Particularly good growth is reported in young seedling stands on areas burned over in the 1939 fires, and all species have made rapid headway. The areas in the Mountain Ash belt which were burned over in 1939 show patchy regeneration, as indicated in last year's Report. Areas which have failed to regenerate, and in all probability will have to be re-stocked by hand planting, are now reasonably well defined, and it will be possible to arrive at a fairly accurate assessment of the extent and location of the areas requiring treatment. This will enable satisfactory plans to be formulated for systematic planting. Further progress was made in connexion with the planting of nursery raised tubed stock of Euc. regnans in the Toorongo district. This work is still largely in the investigational stage, and intensive experimental work for improvement of both nursery technique and field practice is being undertaken. One hundred and ten acres of planting were completed, and a total of 330,000 tubed stock propagated for next year's operations. Very encouraging results have been obtained from planting carried out to date. Trial planting of various species of poplar was carried out in suitable localities, mainly in the establishment of green breaks in the mountain districts where soil and climatic conditions are likely to be favorable for their development. It is intended to undertake planting on a more extensive scale during the coming year by the use of rooted cuttings. 8ilvicultural tending operations were again undertaken on a restricted scale, and in the main were concentrated on maintenance of previously thinned areas in the drier districts by removal of surplus coppice regrowth. Work carried out during the year was as follows :­ First thinning 5,326 acres Second or subsequent thinning 3,632 " Regeneration or liberation by ringbarking 1,755 " Removal of surplus coppice 70,437 "

Total area treated 81,150 "

MANAGEMENT OF INDIGENOUS FORESTS. 1. FOREST DEMARCATION. Thirty-two miles of forest boundary were surveyed and marked in the Dandenong, Erica, Mornington, Neerim, Niagaroon, Nowa Nowa, Orbost, Upper Yarra, Wombat, and Y arram Forest Districts. Surveys in connexion with t!J.e establishment of the State Sawmill at Erica included a detailed topographical survey of the area, and the setting out of the necessary roads, tram lines, railway siding, and stacking r.nd loading yards. Sixty-nine miles of roads and tramways were located and surveyed, and necessary plans and specifications prepared, in the Erica, Neerim, Niagaroon, and Upper Yarra Forest Districts. Incidental to this, 38 miles of trial grade lines were run. 6

2. STOCKTAKING AND FoREST MAPPING SuRVEYS. Stocktaking of timber resources was continued, involving detailed mapping and assessments as well as extensive reconnaissance work in the Euc. gigm;tw areas in Eastern Victoria. Volume and log tables were prepared for Euc. gigantea, based on last year's investigations. Detailed mapping and assessments were carried out on 50,000 acres carrying substantial quantities of milling timber of Euc. regnans and Euc. gi,qantea. Of this total, 20,000 acres from the Nunniong area falls in Bruthen District, 20,000 acres from the Mellick J\'Iunjie and 6,000 acres from the Basin area in Nowa Nowa District, and 4,000 acres from the headwaters of the Thomson River in "\Voods Point District. Unit expenditure on mapping and assessment was 4. 3d. per acre. A timber reconnaissance, which had been commenced the previous year, completed a survey of the resources of the mountainous areas in Briagolong District, covering the headwaters of the Barkly, Macallister, Moroka, Wongungarra, and Wentworth Rivers to a total of 550,000 acres. Timber reconnaissance of areas adjacent to assessed areas in Bruthen and Nowa Nowa Districts covered another 50,000 acres, and the total area reconnoitred was thus 600,000 acres. Unit cost amounted to 0. 2d. per acre.

PLANTATIONS AND NURSERIES. 1. SEASON. Aggregate rainfall throughout the various plantation areas for the twelve months ended December, 1940, was relatively low, and was more or less comparable with that of 1938. Registrations for the month of October were for the most part less than 1 inch, ahd with a prevalence of dry, north winds the position with regard to newly-planted stock was somewhat unfavorable. Better than average falls during November and December relieved the situation other than in the north-east, and rainfall for January was by far the best experienced during this particular month for more than ten years. As a result, fire hazard was reduced to a minimum, while growth of seedling and transplant stock was well sustained. Naturally regenerated stock of two years' standing also received such stimulus as to be assured of almost complete establishment. A hailstorm of unusual severity which occurred in the north-east early in December caused some damage over a strip of the Ovens plantation. Experimental pruning plots which were in the path of this storm were heavily pitted on the south-westerly exposure but, on the whole, are making satisfactory recovery. 2. WORKING PLANS. As indicated in last year's Report, new planting is being held in abeyance pending the re-stocking of areas which were destroyed by fire in 1939. As a result of these fires, equilibrium with respect to nursery stock has not yet been fully restored, but is expected to become normal by the 1942 planting season. The experimental area established in 1937 at Eildon Weir was increased by a further 22 acres to 129 acres. With the first two seasons' plantings subjected to almost drought conditions, development of the crop to this stage has been most encouraging. 3. PLANTING OPERATIONS. The total area planted during the 1940 season was 1,262 acres, made up as follows:- New work extensions 22 acres. Re-stocking cut-over areas 52 , Re-stocking burned areas 308 , Renewals in 1939 area 744 , Renewals in previously planted areas 136 ,

Total 1,262 " Acreage analysis of the various species planted is as follows:­ Monterey Pine (Pinus radiata) 578 acres. Western Yellow Pine (Pinus ponderosa) 466 " Corsican Pine (Pinus laricio) .. 142 " Douglas fir (Pseudotsuga taxifolia) 50 " Poplars 12 " Other species 14 " Total 1,262 " 7 The gross acreage of plantations at the end of the 1940 planting season amounted to 44,483 acres, and comprised the following species :- Monterey Pine 27,288 acres 61.4 per cent. ·western Yellow Pine 5,882 , 13.2 Corsican Pine 4,391 , 9.9 Maritime Pine 2,871 , 6.5 " Douglas Fir 2,712 , 6.1 " Other species 1,324 , 2.9 "

4. NuRSERY WoRK. Bulk sowing of coniferous seed in 1940 comprised Monterey Pine (Pinus radiata) and Western Yellow Pine (Pinus ponderosa). In addition there were sown small quantities of Sugar Pine (Pinus lambertiana), Redwood (Sequoia sempervirens), Californian Red Cedar (Abies magnifica), Sitka Spruce (Picea sitchensis) and Norway Spruce (Picea excelsa). Supplies of Pinus laricio and Pinus pinaster seed are at present unobtainable. Germination of Pinus radiata was relatively lower than is normally experienced with this species, but in the case of Pinus ponderosa was well up to average. Aggregate stocks for lining out this season, however, will fall short of last year. Useful stocks of well-grown Pinus radiata are available this season, and are being used chiefly in the planting up of fire-damaged areas at Bright, Narbethong, and Toorongo, re-stocking cut-over areas at Creswick, Frankston, and Mt. Macedon, and for renewals in 1940 planting areas. A considerable quantity of well-grown rooted cuttings of poplar are included in this season's planting programme, while increasing supplies of cuttings of this species are available for lining-out in various nurseries. The raising of Pinus radiata by vegetative culture of cuttings, which was last year instituted on an experimental scale at Bright, met with a certain measure of success, and provided much interesting although not necessarily conclusive data with respect to percentage " strike " as between noded, straight, and cut and split types of cuttings respectively. Correlation of further data relative to reaction of shoots of different ages and from variable parent stock is at present in progress. In some instances, development has been such as to permit of planting out this season, when further behaviour of the stock will be noted.

STOCK SUMMARY-PLANTING AND NURSERY SEASON, 1940. Total area planted (comprising new work, 22 acres ; re-stocking, 360 acres ; and renewals, 880 acres)-1,262 acres. (a) Plants used for 1940 season- Planted direct from local nurseries 430,711 Transferred from local nurseries 291,600 'l'otal 722,311

(b) Plants raised in nurseries for future planting-~ Lined-out in local nurseries from locally-raised stock 2,967,300 Two-year-old stock held in local nurseries .. 106,610 Seedlings held in drills and beds 90,000 Total 3,163,910

(c) Plants distributed from State Nurseries to­ State schools 14,696 General public 56,436 Road planting schemes 9,256

Total 80,388

(d) Sowing of coniferous seed 496 lb. , eucalypt seed 7 " 8

5. NATURAL REGENERATION. As indicated earlier, re-establishment by natural regeneration of specific areas at Bright and Creswick appears to be assured of success. In the former area, where the parent crop had been fully cleared, occasional blanks have this season been spot planted, while at Creswick the distribution of seedling growth is relatively complete throughout and requires little if any supplementation from the occasional seed trees standing on the area. Other areas which have reached an advanced stage of silvicultural treatment, and which already give promise of useful regeneration, are now being progressively opened up to final thinning standard, chiefly in the Bright, Creswick, Scarsdale, and Y arrowee districts.

6. CULTURAL OPERATION~. Pruning and initial thinning operations covered approximately 600 acres during the past twelve months, and embraced plantations in the Otways, north-east, and Ballarat districts. In these operations more extensive use is now being m ld~ of the long-h:mdle:l tree secateurs. Second, and in some instances final, thinnings were carried out at Eright, Creswick, Harcourt, Macedon, Ovens, Scarsdale, and Yarrowee, and covered a total area of approximately 900 acres. 7. UTILIZATION OF PLANTATION MATERIAL. The demand for timber for war purposes is now such that practically the whole of the log output, chiefly from thinnings, is being utilized directly or indirectly for defence orders for the manufacture of boxes and cases, the demand for which is well in excess of normally available supplies. ]'ortunately it is possible to mill pine logs down to an under-bark diameter of 4 inches-sometimes less-which permits of very close utilization. Moreover, there is now a further defence project which will utilize extensive quantities of material down to 3 inches in diameter for the manufacture of cellulose, and to a lesser degree of charcoal. Similarly, this small-sized timber is being increasingly used in connexion with the manufacture of paper pulp. While supplies are still far short of meeting current and increasing demands for pine timber, the position in this respect is being steadily overcome year by year as additional age groups come to the utilization stage. Actually, log outturn during 1940--41 exceeded the previous year's figure by 20 per cent. The position in regard to timber suitable for the manufacture of match splints from locally grown softwoods is receiving earnest consideration. In this connexion the trade was recently supplied with orders of select Pinus radiata, when it was found that clear timber of this species machined and finished to a standard almost equal to that of aspen. The volume of timber produced in various plantations throughout the year is as follows :-

Plantation. Volume Output of Logs. Nature of Operatiolll!. ··-----·------·--··------·-- -··---···---- super feet. Anglesea 36,443 Selection felling Belgrave 61,583 Thinning Bright 2,628,345 Thinning Creswick 1,268,589 Clear felling Creswick 388,954 Thinning Glen park 548,459 Salvage felling Harcourt 866,966 Thinning Killawarra 77,186 Clear felling Mt. Beckwith 313,891 Thinning Mt. Disappointment .. 315,904 Salvage felling Mt. Macedon 363,214 Selection felling Macedon Lower 101,678 Thinning Moonlight Flat 63,656 Thinning Ovens 976,956 Thinning Scarsdale 565,084 Thinning Yarrowee 636,199 Thinning

Total 9,213,107

The above figure is further increased by a total of 894,570 superficial feet of pulpwood obtained from tops and small thinnings procured during silvicultural operations at Bright, Creswick, Ovens, and Scarsdale. Inclusive revenue from thinning and felling operations throughout the year amounted to £27,705, while from the sale of trees and shrubs raised in State nurseries a further £678 was realized. 9

FOREST PROTECTION. (a) FIRE PROTECTION. Seasonal Conditions and Fire Hazard. The year 1940 was one of widespread drought. Rainfall at Erica, for example, where the annual mean is 45 inches, totalled only 22 inches at the close of September. Even prior to October several outbreaks of fire had occurred, two in the Scarsdale district extending to about 3,000 acres each. Other outbreaks had occurred in the Tanjil milling areas, normally one of the wettest regions in the State, and it is of interest to record that one fire in the Eastern Tanjil during August was finally arrested by a fall of snow. Early in October, the drought broke and bountiful rains were experienced regularly up to the end of January, reducing the fire danger during that period to minimum proportions. A very rapid growth of green vegetation occurred throughout the fire-killed Ash forests, constituting a further safeguard against the rapid spread of fire from slash in those areas. In view of the powers with which it was endowed by the Act of 1939, together with the favorable season, the Commission considered it unnecessary, for the first time in 14 years, to issue the Proclamation under Section 69 of the Principal Act. The vagaries of the season established beyond doubt the necessity for the amendments made to Section 68 of the Principal Act by Section 5 of the Act of 1939. Whereas under the old Act it was no offence to light a :fire within the forest prior to 1st November, the forest officer now had power to control the ill-judged use of fire throughout the dry spring of 1940. On the other hand, when the drought finally broke, landholders in mountain country had the advantage of an extra fortnight in November and in March to effect necessary burning off. Area Burned. During the year 143 fires in forest reserves and Crown lands were reported, burning a total area of 22,027 acres. Forest reserves were affected to the extent of 17,242 acres, of which area 10,087 acres were lightly burned, whilst in Crown lands 4,785 acres were burnt, 3,646 acres not severely. Ca,uses of F-ires. Of the 143 fires reported, 99 originated from known or strongly suspected causes, details of which are given hereunder :------! Origin. Number l)f Percentage l)f outbreaks. known t-auses.

______,,___ , __ - -~ ------

Grazing interests ...... 9 9·0\) Settlers and landowners (burning-off, &c.) . . .. 20 29·30 Miners and pros pec't{, rs ...... 7 7·07 Sportsmen, fishermen, camper;;;, tourists, &c. . . .. 16 16·16 :Forest licensees and workmen ...... 12 12·12 Locomotives ...... 1 1· 01 Rabbitcrs ...... 1 1·01 Lightning ...... 7 7·07 Cigarettes ...... 2 2·02 Producer-gas units ...... 1 1·01 Log friction ...... 1 1·01 Deliberately lit ...... 9 9·0fJ Otlwr known or suspPcted eauseH ...... 4 4·0i

\)() 100·00 Unknown ...... 44

Total number of fires ...... 143

Hazard Reduction. Considerable impetus was given to works in this category during the year. It was recognized from the outset that the maximum effort must be devoted to constructing a means of combating external hazards, since it is now accepted that all the great conflagrations of the past have arisen from the convergence of relatively small fires which have swept into the forest from lands beyond the reserved forest boundaries. Policy aims at limiting this hazard, and preventing the encroachment of such fires into forest areas. As a step in this direction marginal protection zones are being created, particularly in the mountain forest country, which will have 10 an ultimate depth of approximately 20 chains, and on which all standing dead timber will lHl felled, fire lines and shaded firebreaks constructed and the forest floor cleaned up. The work was commenced during the year in Niagaroon (Ginter's), Upper Yarra (Black Sands-Brittania Creek), Dandenong (McCrae's Creek), and Otway West (Irrewillipe) districts. Internal protective works including firebreak maintenance, re-opening and extension of patrol tracks, controlled burning operations, internal roading development, and construction of shaded firebreaks in conjunction with roads were continued in all districts. Particular attention was given to salvage areas in the central highland country, where £reline construction necessitated extensive use of heavy power machinery. During the year, additional orders were placed for 6 power graders, 7 trail builders, 1 tree-dozer, and 8 medium-powered tractors with logging winches. These units do not include machines ordered for salvage logging operations exclusively.

Fire Suppression Equipment. The Commission secured delivery of six Johnson H.O.K. portable fire pumps, which operated with conspicuous success during last summer. Orders have been placed for the supply of additional pumps. For the drier areas, orders have been placed for a large number of knapsack pumps. As a means of tendering water for these and for assistance in suppression work generally, the Commission has placed orders for twenty, and secured delivery of ten, utility trailers equipped with 200-gallon tanks, pumps, and hose.

Detection. Arrangements were made with the Royal Australian Air Force for the continuance of aerial fire patrol during the season. An initial flight was made but, thanks to a most favorable summer season in the central highlands plus an endeavour to reduce calls upon the Air Force to a minimum, no duty flights were necessary. The programme of tower construction to permit constant detection coverage was extended. Towers were built in East Gippsland at several points in the Orbost and Bruthen districts. A new type timber tower was erected at Yea Rock (Niagaroon) and four tree towers up to 100 feet in height were constructed at Tanjil Bren (2), Mt. Beenak, and Egg Rock (East Beenak).

Communication. Owing to difficulties in procuring wire, little progress was made with telephone line construction, which was practically limited to connecting up forest quarters. Fire towers were connected wherever practicable. The experiments instituted in August, 1939, with two American S.P.F. type radiophones, proved so successful that the Commission secured during the year twenty-six additional units of similar type for both portable and semi-permanent operation.

Safety of Life. In accordance with Section 13 of the Forests Act 1939, the Commission completed its survey of the dugout position in connexion with industrial operations in State forests and sawmills within the fire-protected area, and satisfactory refuges were constructed where necessary. The Commission constructed all necessary dugouts for the protection of its employees at forest camps and townships, these being of a type which will serve as a suitable pattern for future constructions. In association with the Mines Department, tests of the ventilation of and air purity in dugouts were carried out. Protective Works. The following is a summary of fire protection works carried out during the year 1940-41 :- Length of new firebreaks constructed 220 miles. , , firelines constructed 332 " , , existing fire breaks- (a) made passable for vehicular traffic 174 " (b) otherwise cleaned or re-opened 750 " Length of existing firelines- (a) made passable for vehicular traffic 16 " (b) otherwise cleaned or re-opened 1,119 " Length of forest roads and motor tracks constructed (excluding utilization roads under the salvage plan) 339 " Length of forest roads and tracks maintained 1,014 ., 11

Area of strip and patch burning ...... 49,517 acres. Dams, springs, &c., constructed or rendered usable for fire protection purposes 83 Fire lookout towers erected 12 Fire protection huts erected .. '13 Dugouts constructed- (a) by the Commission .. 19 (b) by forest licensees 128 Length of new forest telephone line erected 88 miles. , telephone line maintained .. 228 " Fire Prevention PulJlicity. The Commission continued its publicity campaign through the medium of lectures, wireless talks, press articles, and advertisements, posters, and by distribution of publicity material and displays of forest products, for the purpose of encouraging the public to exercise care in the use of fire in order to safeguard the State's rural assets.

Staff' Conferences. Four conferences were held during the year, at which were discussed general aspects of fire protection, as well as specific matters incidental to the relationship of industrial forest operations to the fire problem, particularly in the sawmilling districts.

Busk Fire Brigades. The number of brigades has risen to 483, an increase of 26 over last year. 367 are registered under the Bush Fire Brigades Act, as compared with 315 registered at 30th June, 1940. The Bush Fire Brigades Vote was increased from £1,175 in 1939-40 to £2,000 for 1940--41, which enabled more apparatus to be provided to brigades. As the average grant per brigade is still little more than £3, it will be realized that it will take some considerable time to equip these organizations efficiently unless they can supplement their appliances from funds raised· locally. Unfortunately, many landowners are not in a position to provide adequate financial contributions to the local brigade. The Commission has continued to give its fullest support to the bush fire brigade movement, and its officers have conducted all the secretarial and a great deal of the organization work of the Bush Fire Brigades Association. It is felt that far more effective results could be accom­ plished by more intensi,·e organization of existing brigades and the creation of new ones, and that an official should be appointed to devote full time to this duty. During the summer months the fire hazard on private property in some districts is particularly acute. In a bad season, extensive fires have swept through these areas, and because of the absence of suitable firebreaks an enormous amount of damage has occurred before the outbreaks could be extinguished. Unless these properties are within a fire protected area, there is no authority requiring the owners to remove fire hazards or to take precautions to prevent the spread of fires. It is considered that the powers granted to a registered brigade, whereby fire hazards may be removed at the request or by permission of the landowner, are insufficient to reduce the menace on private property, and in consequence many brigades are impo~nt to take sufficient action to safeguard their respective districts. An early conference is desirable between the Country Fire Brigades Board, the Bush Fire Brigades Association, and the Commission to discuss an amicable working arrangement regarding bush fire fighting. At the present time certain misunderstandings have arisen regarding areas for fire protection as defined by the Forests Acts, the Busk Fire Br(qades Act 1933, and the Fire Brigades Act 1928 respectively. The Bush Fire Brigades Act does not permit a bush fire brigade to exercise the powers and authorities of the Act in a fire district as defined by the Fire Brigades Act 1928. Consequently some bush fire brigades operating in forested areas some distance from reticulated water supplies have stated that they may be forced to disband as a result of the incorporation of their areas within a fire district under the Fire Brigades Act. Such a development would be very regrettable in view of the excellent service rendered by the bush fire brigades in fire suppression in the past, and because of the fact that these brigades are specially equipped for operations in bush country. It is felt that a conference between the bodies concerned might bring about a clearer under­ standing. 12

(b) FOREST PESTI:i. No reports have been received of any abnormal damage resulting from this source. (c) PROSECUTIONS. Prosecutions relating to offences against the provisions of the various acts administered by the Commission during 1940-41 were as follows :- Number of prosecutions 16 , convictions 13 , , cases dismissed 3 Amount of fines . . £27 10s. , costs . . £13 7s. 7d. , compensation £60 17s. lld.

UTILIZATION. TIMBER PRODUCTION. The all-time record revenue from Victorian State Forests during 1940-41, totalling £325,500, is perhaps the best indication of the activity in timber production during the year. The falling off of timber imports due to the war, coupled with record civil and military building figures and heavy consumption of timber for wooden export cases, created an unprecedented demand for home grown timber. This resulted in the output of sawn hardwood reaching the record figure of 136,631,192 superficial feet, representing an increase of 36,718,365 superficial feet or 36.7 per cent. over the previous year's output. Of this total, 8,750,000 superficial feet of hardwood case logs were directly produced and marketed by the Commission. An increase occurred also in the output of pine timber from State softwood plantations, the total reaching 10,107,677 superficial feet, compared with 8,369,277 superficial feet for the preceding financial year. The output of hardwood poles showed a very big increase, the larger sized poles marketed reaching a total number of 28,770. This included 26,455 Messmate and Stringybark telegraph poles shipped to the Egyptian Government at the end of the previous year. Smaller poles to the extent of 289,316 lineal feet were sold, an increase of 209,042 lineal feet over the previous year's output. Many poles were directly produced and supplied by the Commission to the military authorities. Other items of forest produce which were in heavy and increased demand included railway sleepers (an increase of 62,018 compared with the previous year's output), piles (increase 52,892 lineal feet!, pulpwood (increase 16,38~ units), eu~alyptus oil (increase 93 010 lb.), and charcoal (mcrease 685 tons). A pleasmg feature m the production of railway sleepers was the ~~reement reached with the R~i~ways Dep~rtment to ac~ept White Stringybark (Euc. cug.enwtd~s) sleepers. The .. rec?gm~10n of this . valuable . bm~er will result in a much more mtens1ve and extended utihzatwn m sleeper hewmg areas m G1ppsland. A slight decrease in output of fencing material was due no doubt to difficulties in procuring labour for rural and farm work. Generally speaking the demand for forest produce of all types was well maintained, with the major items showi~g hea·vy increases. ?'his pro~uction could have been. increased very considerably had sufficient labour been avmlable. 'Ihe shortage of labour m all branches of the timber industry became progressively more acute, and was responsible for the closing down of some plants and the working of others with greatly reduced crews. Petrol rationing came into. operation during the year,, and as a result the large quantities of timber and logs pre_vwusly transported by road d1r~ct from co!-lntry ?entres to Melbourne were diverted to rail haulage, extra petrol . for timber. cartmg bemg made available almost exclusively for cartage to the nearest railhead. This caused some initial hardship and delays in delivery, and necessitated the provision of additional railway facilities for handling the increased traffic. Output of . timber from privately-owned lands. aga~n assumed very considerable proportions, and m the. absence ,of ac?urate figures I.s esti~ated to have been at least equivalent to the previOus year s estimated productiOn, VIZ. 30,000,000 superficial feet (Hoppus measure). Of this total, approxima~ely 5~ per cen.t. would .cor:sist of hardwood logs and the remainder of softwood logs, mcludmg supphes of thmmngs from School Endowment Plantations. Prices of timber remained very firm throughout the year. An increase of 2s. 6d. per 100 superficial feet on all items was authorized by the Prices Commissioner, and took effect from 15th March. 13

PULPWOOD PRODUCTION. Total sales of pulpwood from forest areas in accordance with the terms of the Wood Pulp Agreement Act 1936 were 1,877,514 cubic feet, comprising 26,523 cubic feet of mature, and 1,796,586 cubic feet of immature, Mountain Ash, 54,156 cubic feet of Pinus radiata and 249 cubic feet of Cypress Pine (Callitris), the last named being a small consignment for experimental purposes. Of the total output, 1,796,586 cubic feet were obtained from trees killed during the 1939 fires. Of this, 242,273 cubic feet were procured by the Commission under contract to the Australian Paper Manufacturers in association with clearing or case-log getting operations. Pine pulpwood was obtained from thinnings and tops under 4 in. in diameter, too small to be marketed for other purposes. Its utilization for this purpose ensures maximum utilization in the harvesting of pine areas. District and plantation outputs were as follows Erica District ·.. 109,529 cubic feet. Neerim District 469,445 " Niagaroon District 95,304 " Otway West District 339,508 " Upper Yarra District 749,237 " Yarram District 60,086 " Mildura District 249 " Bright Plantation 1,937 " Creswick Plantation 14,643 " Ovens Plantation 16,255 " Scarsdale Plantation 21,321 " Total .. 1,877,514 "

TIMBER SALVAGE. Progress in the work of salvaging fire-killed timber may be summarized as follows:-­ (1) Provision of Ingress : By the construction of 31 miles of roads and 5 miles of tramline during the past financial year, the Commission has now completed 52! miles of forest roads for the extraction of fire-killed timber, and 15! miles ?f 3-ft. gauge steel t:am lines. ~ccess has prov~d to be a determining factor m the salvage of c:ertam areas, particularly those smtable for the extraction of logs for supplying city mills, and the work is being continued steadily. In addition to the completed work above, construction of the formation has been carried out on 8 miles of roadway and 2! miles of tramway destined for the extraction of fire-killed timber in the near future. (2) Re-establishment of the Sawmilling Industry: During the financial year 1940--41, 66 sawmills established in the forest or in nearby country towns operated on fire-killed timber exclusively. Two more mills are under construction, and are expected to be in operation shortly. Two mills cutting dead tin1ber were destroyed by fire, but one has been rebuilt and the crew of the second has been working as another shift on the other mill on the allotted area. Direct milling is the most satisfactory method of utilizing killed timber, and the expanding market available for the sawn product in all grades has resulted in progressively increasing concentration on this aspect of salvage by all privatB operators. In spite of the serious lack of suitable labour in the forests, country sawmills have sawn 138,000,000 superficial feet of fire-killed logs during the year. With the addition of 37,000,000 superficial feet of smaller logs supplied during the year by both private operators and the Commission for case timber and pulpwood, the total volume of fire-killed logs which has now been milled stands at 271,000,000 superficial feet. War-time conditions have retarded the establishment of new milling plants, and many 14

of those operating are not yet able to work to capacity because of lack of suitable labour and in some cases shortage of plant or replacement parts. The allotment of new areas of fire-killed timber has been continued as these have become accessible, and several more mills should reach the stage of steady production during the coming financial year. (3) Salvage J1..,elling and Dumping : These operations comprise the building up of reserve stocks of logs for future conversion to sawn timber. The Commission has continued and extended its own operations in this direction, mainly in those areas not yet reached by extraction roads or tramlines. Both day labour and contract works have been carried out, the contracts let in 1940--41 for felling and hauling to dumps covering 13,000,000 superficial feet situated in the Tanjil, Thomson Valley, and Rubicon areas. In some cases, Commission-owned equipment is being worked by the contractors. Haulage by both steam winch and crawler type tractor is employed, with satisfactory results and at reasonable cost. Additional agreements entered into with sawmillers cover a further 38,000,000 superficial feet, making a total of 332,000,000 feet covered by sawmillers' salvage agreements. Thirty-one million superficial feet of logs were salvage-felled during the year, and an additional 31,000,000 feet have been felled and hauled to dumps. Several million superficial feet are felled and logged, ready for dumping, but lack of machinery and labour have delayed hauling. The Commission is not now carrying out salvage-felling only, as dumping afl'ords better protection of the logs, simplifies extraction in the future, and reduces damage to the forest during utilization. The above figures bring the total volume of timber salvage-felled, and felled and dumped, to 61,000,000 and 36,000,000 superficial feet respectively. Attack by timber borers has been noted in salvage-felled timber in several localities, standing trees also being occasionally affected, but damage up to date has been slight and the attack is heavy in only one locality. Dumped logs generally are in very good condition, and where water-sprays have been in operation continuously, protection appears to be complete. ·while current milling has conformed reasonably well to the programme set down, it has not been possible to keep salvage-felling and dumping up to the desired rate of progress. The reasons for this were set out in the Commission's Report for the previous financial year, and while a marked acceleration has been effected, particularly in the Commission's own works, it has proved impoHsible to approach the planned rate of progress. The major factor occasioning serious delay has been the general shortage of skilled labour. Not only has it been impracticable to transfer any large number of men from other States, as was expected when the Salvage Plan was originally formulated, but many employees have left their work in the Victorian forests for war service and city employment. In spite of labour shortage and lack of eq1iipment for logging and conversion, salvage by utilization for the current market is proceeding at a high rate, and further expansion of output is expected. The supply of logs to centrally established mills by the Commission and by sawmillers and other private operators has rapidly increased in the past year. Case-log supply in particular has reached a high figure in a comparatively short time, and fire-killed timber is playing an important part in supplying the demand formerly met by imported timber for case manufacture in Victoria. Over 14,000,000 superficial feet of small-diameter case-logs were recovered during the year, and the demand is increasing. The main sources of supply are Lake Mountain, Mt. St. Leonard, and scattered patches in the Upper Yarra, Neerim, Erica, Niagaroon, and Otway districts. \Vhile supplies can be maintained, there is every prospect of a further steady increase in the market for these small logs and for billets split from larger, faulty timber, which enable utilization for cases of the sound timber in l_9gs which otherwise it would be uneconomic to cut. Another aspect of case manufacture which has become more prominent is the supply by bush mills of flitches cut in sizes suitable for resawing later into case shooks. 15

It is now obvious that, while the war continues, timber salvage will be concentrated more on current utilization than on felling and dumping for future needs. The provision of further routes for log extraction is vitally necessary, as is the opening up of all possible fire-killed areas still available for timber supply. Present market conditions make it practicable and economic to use logs of smaller size and with more defects than formerly. This factor, with the generally good condition of the larger fire-killed trees, makes it possible to extend the period originally allowed for completion of the Salvage Plan, with every prospect of saving as much of the fire-killed .timber as was planned. From the point of view of the present market and its war-time requirements, as much as from that of timber recovery, it is imperative that all skilled workers and all equipment working in fire-killed timber be retained in this work. A summary of the operations for 1940-41 is as under :- Superficial feet (log measure). Felled and converted 138,000,000 Felled for case timber and pulpwood 32,000,000 Salvage felling only 31,000,000 Salvage felling and dumping 31,000,000 Total log volume recovered 232,000,000

Total quantity recovered to 30th June, 1941 368,000,000

SALVAGE OF SMALL IMMATURE FIRE-KILLED TIMBER FOR CASE MANUFACTURE. This matter was referred to in the Commission's 1939-40 Annual Report, and is dealt with generally in this Report under the heading of Timber Salvage. Of the 14,000,000 superficial feet of small, fire-killed case logs produced during the year, a total of 8,750,000 superficial feet was directly produced and marketed by the Commission, the balance being obtained under licence and sold by private operators. Commission logging camps were extended and new camps established, while a heavy programme of mountain roading had to be undertaken to provide ingress to new areas. The logs were distributed amongst the case manufacturing trade, chiefly in Melbourne, and the cases produced from them have been largely used in the export overseas of mjlitary supplies of all kinds. In spite of having been standing fire-killed for 2! years, logs down to 6-in. diameter are still being utilized and the high quality of the cases produced has been maintained. As a result of the amount of roading and preparatory work completed this year, a greatly increased output of this small timber will be possible in 1941-42.

SUM3fARY STATEl\fENT OF FOREST PRODUCE FROM ·wHICH ROYALTY WAS RECEIVED DURING THE InNANCIAL YEAR 1940-41. 1. TIMBER AND FIREWOOD. Sawn timber, hardwood 73,130,970 super. feet. Mill logs and case logs, hardwood 1C9,482,935 , , Fencing material- Posts, strainers, and stays 505,071 number Droppers 55,420 , Pickets 7,087 " Palings 610,256 " Rails .. 11,247 " Beams 726,813 super. feet. Railway sleepers 343,214 number. Piles 160,424 lineal feet. Poles- Various 28,770 number. Various 289,316 lineal feet. Mining Timber­ Sleepers 1,575 number. Various 239,021 lineal feet. Various 38,340 super. feet. Pine logs 8,923,671 ll " Pulpwood 21,695 units. Cases 120 number. 16 Sundries- Laths .. 60,325 number. Staves ~9,116 " Slabs .. 56,147 , Stakes 1,115 " Chopping logs 1,021 lineal feet. House blocks 3,277 number. Firewood- Green and dry split and improvement wood 440,699 tons. Tops and dry long wood 15,356 loads.

2. MINOR PRODUCE. Eucalyptus oil 404,172 lb. Residual oil 1 , Kino 3,407 , Wattle bark 302 tons. Charcoal 1,650 " Sand, gravel, loam, and stone 36,416 cubic yards.

ERICA TRAMWAY. Haulage over the tramway for the year comprised 6,127,233 superficial feet of sawn timber and 1,069 units of pulpwood. Freight revenue totalled £5,820 14s. 6d.

STATE SAWMILL. In furtherance of the Salvage Plan, the Commission established a sawmill in proximity to the township of Erica to expedite the utilization of large quantities of fire-killed timber in the Thomson Valley and at the same time assist in supplying sawn timber to fulfil urgent Defence and Government orders. An up-to-date milling plant was erected and is now in full operation. The plant comprises twin breaking-down saws, two rip benches, and a swing docker. An extension of the Victorian Railways narrow gauge line from Erica railway station was constructed into the mill yard to permit of loading timber direct from the skids into railway trucks. Logs are transported to the mill over the Commission's steel tramway, the haulage units being two Diesel locomotives purchased and operated by the Commission. The output of sawn timber during the first six months' operations to 30th June totalled 424,268 superr.cial feet.

STATE TIMBER SEASONING WORKS, NEWPORT. This branch of the Commission's activities handled a greatly increased volume of timber, and in addition to normal operations provided facilities for the seasoning and supply of large quantities of timber for defence purposes. During the year additional air-drying facilities were provided and the construction of further up-to-date kilns commenced. The revenue from the State Seasoning ·works reached the record figure of £26,712.

UNEMPLOYMENT RELIEF WORKS. The amount expended on forestry work from Unemployment Relief Funds during 1940-41 was £49,797 12s. 3d. The number of men given employment was 523.

BUILDINGS. The amount expended on building work during the year was £13,044. In addition to renovations and improvements to existing buildings, the following work was carried out :- New residences for district dficers are in course of construction at Toolangi, Daylesford, Y arrawonga, Yarram. Kallista, and Erica. Foremen's cottages were completed at Mt. Taylor, Mirboo North, Gembrook, Labertouche, Marysville, Dartmoor, Murrungowar. and Korweinguboora, in addition to five cottages for the employees of the State Sawmill at Erica. New offices and storerooms were erected at Erica, Mirboo North, Toolangi, and Kallista. A workshop and machinery depot was constructed at Noojee for repair and servicing of machinery in adjoining districts, and a building erected at Newport for the grading and distribution of charcoaL 17 RESEARCH. Experimental silvicultural work was continued in connexion with the propagation and planting of Euc. regnans tubed stock, natural regeneration in Box, Ironbark, and Cypress Pine areas, and treatment of coppice regrowth. Research is in progress dealing with types of decay occurring in Euc. regnans timber. Causal fungi have been isolated and identified, and cultures prepared. Inoculation of Euc. regnans timber has been carried out to determine whether the fungi isolated are responsible for the decay. A special investigation is proceeding with regard to decay in Euc. regnans pulpwood. Investigations initiated during the previous year with regard to degrade in fire-killed Euc. regnans logs as the result of pinhole borer attack were continued. Experimental dumps installed in the Thomson Valley and Tanjil areas were maintained, and further valuable data obtained in connexion with preservative treatment of salvaged logs. A special investigation is at present in progress by an entomologist of the Agricultural Department into the incidence and control of borer attack. Experimental work involving schedules for operating reverse draught kilns and analysis of charcoal has been undertaken.

EDUCATION AND TRAINING. Five students graduated from Creswick Forestry School at the end of last year and were appointed to the Commission's staff. Five trainees enrolled at the commencement of the current school year bring the total number of students in residence at the School to fifteen. Mr. R. W. Bond, of the Commission's staff, completed the Science course at Melbourne University and graduated in the degree of B.Sc. with honours in all subjects, including awards of exhibitions in Botany Parts II. and III. Mr. A. B. Coldicutt has commenced the course of study for the Engineering degree at the University. STAFF. The Commission desires to place on record its appreciation of the loyal co-operation of its staff throughout what has proved to be a particularly strenuous and difficult year. In view of the extra work imposed by the greatly intensified industrial demand for all forms of forest produce, a heavy burden has had to be carried by a staff already seriously depleted by the enlistment not only of many permanent officers but also of experienced foremen, district clerks, and skilled forest employees. Twenty-four members of the permanent staff are now on full-time duty for the duration of the war in the Australian Imperial Forces, Royal Australian Navy, Royal Australian Air Force, and Home Defence Forces. Members who enlisted during the year were Messrs. A. vV. Shillinglaw, H. R. Hopkins, T. W. Loughrey, S. C. Butler, J. Brown, J. C. Ridoutt and K. L. Chambers in the 3rd Forestry Coy., 2nd A.I.F., and K. W. Kosky in the Royal Australian Air Force. During its 22 years of administration, the Commission experienced much difficulty, especially in the early stages, in implementing a sound forest policy, largely because of a lack of appreciation by the the general public of the vital role of forestry in national economy. Unfortunately forestry and forest conservation call for subjugation of certain selfish individual interests so that the State as a a whole may best be served. A liberal public spirit on the part of such individuals has not always been evident, and reactionary measures taken from time to time have been subversive to a generally beneficial forest policy for the State. The last decade, however, has witnessed a distinctly favorable change in the general attitude of the community towards the necessity for forest conservation, a factor which has proved of great value to the Commission. Throughout this difficult developmental period, the Commission has been fortunate in having the most enthusiastic and generous support of a well trained staff which had of necessity to be progressively augmented to keep pace with increased forestry activities. A practical reflection of the latter is the attainment of a seven-fold increase in the annual revenue of the Department since the Commission was first constituted. As the Commission is naturally the one body which can adequately appreciate the heavy responsibilities devolving on its staff as a result of the great expansion of forestry development, it is anxious to ensure for officers of the Service status commensurate with these responsibilities. With this in mind, the Commission is desirous that the claims of its officers for adjustment of classification will receive early favorable 14060/41.-2 18 recognition, and at the same time secure rectification of certain existent anomalies. In fact these adjustments are necessary not only to maintain a uniform standard of efficiency, but to prevent exodus from its service of specially trained officers, with consequent detrimental effects not only to forestry development, but to the general interests of the State. In addition to the necessity for their scientific conservation, our forests have developed into a first class business proposition for the State and the increase and protection of the Crown revenue in this respect, therefore, becomes a matter for prime consideration in its widest aspect.

FORESTS COMMISSION OF VICTORIA.

STATEMENT Ol!' EXPENDITURE FROM LOANS CUII.RENT DURING THE FINANCIAL YEAR 1940-41. E:epe'lllliture. A utlwrization.

1940. :£ 8. d. :£ 8. d. £ 8, d. 1938. :£ 6. d. :£ 6. d. :£ B. il June 30. July 1. Under Act No. 4607- Amount authorized under ltem 1. Forests . • 20,008 9 11 Act No. 4607- Item 2. Plantations 13,538 10 9 ltem 1. Forest~~ .. 55,000 0 0 ----33,547 0 8 Item 2. Plan tatioilll 20,000 0 0 ---- 75,000 0 0 1941. 1940. June 30. July 1. Under Act No. 4607- Amount authorized under Item 1. Forest~! . . 34,991 10 1 Act No. 4754- Item 2. Plantation• 6,461 9 3 Item 1. Forests 100,000 0 0 ----41,452 19 4 Item 2. Plantations 50,000 0 0 75,000 0 0 ----150,000 0 0 1941. June 30. Under Act No. 4754- Item 1. Forest~! . • 47,008 4 0 Item 2. Plantations 20,827 15 5 ----67,835 19 5 ---- 67,835 19 5 B&l.a.noe carried down (Authomation)­ Under Act No. 4754- Item 1. Forests . . 52,991 16 0 Item 2. Plantations 29,172 4 7 ----82,164 0 7 ---- 82,164 0 7 £225,000 0 0 £225,000 0 0

1941. July 1. By Balance brought down (Authorization)­ Act No. 4754- Item 1. Forest~! •• 52,991 16 0 Item 2. Plantations 29,172 4 7 82,164 0 7

FORESTS COMMISSION OF VICTORIA.

STATEMENT OF EXPENDITURE FROM STATE FoREsTs {TIMBER SALVAGE) LoAN AND APPLICATION AcT No. 4632, FOR THE FINANCIAL YEAR, 1940-41. Expenditure. Authorization. 1940. £ B. d. £ 8. d. 1939. £ •• d. June 30. July 1. Under Act No. 4632- Amount Authorized under Act No. 4632 •. 475,000 0 0 Swtion 4 (a) .. 23,463 18 11 Section 4 (b) 4,319 13 2 Swtion 4 (e) . . 32,904 15 5 60,688 7 6 1941. June, 30. Under Act No. 4632 Section 4 (a) 69,043 9 5 Section 4 (b) 11,737 6 11 Section 4 (c) . . 88,672 1 4 169,452 17 8 Balance carried down (Authorization)­ Under Act No. 4632 244,858 14 10 £475,000 0 0 £475,000 0 0 1941. July 1. By Bala.noe brought down Aot No. 4632 £244,858 14 10 19

FORESTS COMMISSION OF VICTORIA. STATEMENT o.r FoRESTRY FUND As AT 30TH JUNE, 1941.

1941. £ 8. d. £ 8. d. 1940. £ 8. d. £ 8. d. June 30. July 1. To Expenditure­ By Balance carried forward 30,836 12 7 Forests 85,895 4 5 Receipt-a during the Plantations 10,538 14 1 year-Amount set Nurseries 3,434 11 4 aside by the Treasurer General 3,871 10 8 of Victoria under Act -----103,740 0 6 No.3685- Balance 44,412 5 8 Section 37 (2) (a) 32,000 0 0 Section 37 (2) (b) 85,315 13 7 117,315 13 7

£148,152 6 2 £148,152 6 2

1941. July 1. By Balance brought forward £44,412 5 8

FORESTS COMMISSION OF VICTORIA. STATEMENT SHowiNG THE CosT oF RELIEF WoRKs FOR THE FINANCIAL YEAR 1940-41. £ 8. d. £ s. d. Expenditure authorized from- Unemployment Relief (Act 4097) . . . . 48,212 0 9 Public Account-Unemployment Reliet Fund 1,455 14 2 Commonwealth Defence Works •• 129 17 4 £49,797 12 3

FORESTS COMMISSION OF VICTORIA. STATEMENT OF REVENUE AND APPROPRIATED EXPENDITURE FOR THE FINANCIAL YEAR ENDED 30TH JUNE, 1941. Revenue. Expenditure. Amollllt paid into Consolida.OOd Revenue. Expenditure llllder Votes, &c.

£ &. d. £ 8. d. £ 8. d Rente- Sala.ries of Field and Office Statl', Grazing Licences, &c. 14,450 0 2 &c. 67,445 11 0 Fees .• 452 5 0 Travelling Expenses, Forage, RoyaJ.ties 233,269 3 0 Stores, &c. 17,663 18 11 85,109 9 11 Mi.soella.neous- School of Forestry 1,070 16 5 Revenue-St&te Mill, Erica 1,172 12 4 Timber Seasoning Works 26,240 19 4 Revenue-Seasoned timber, Newport 26,504 5 8 Foresters' Quarters .. 2,250 0 0 Forest Tramways . . . . 7,133 7 4 Expenses in connexion with Bush Charcoal 241 9 4 Fire Brigades . . • . 1,996 5 4 Sundries 2,912 4 I Working Expenses of Forest Departmental 39,365 2 9 Tramway at Erica . , 3,667 14 7 Expenditure in collllexion with Loch Valley Tramway .. 100 0 0 Vermin Destruction in Forests 1,150 0 0 Eucalyptus Oil Distillation 1,785 3 2 Administration of Wild Flowers Act 15 0 0 Utilization of Thinnings 24,705 17 5 Interest and Sinking Fund­ Charges re Loan Foresters' Quarters 397 8 10 Poles for Egyptian Railways 7,513 18 1 State Sawmill, Erica .. 13,484 4 9 Charcoal Production . . . . 4,310 3 1 Supply of Timber to C'wealth Government 9,088 8 9 97,775 19 9 BaJ.a.nce 142,615 0 0 £326,500 9 8 £326,600 9 8

Cost of Special Works (exclusive of Supply of Timber) carried out on behalf of Commonwealth Government:­ Military Camps tree planting (£504: 18s. 9d.); Sleepers, Pucka.punyal (£1,629 15s.)--£2,134 13s. 9d. 20

FORESTS COMMISSION OF VICTORIA.

EUCALYPTUS OIL DISTILLATION, WELLSFORD.

MANuFACTURING AND TRADING AccoUNT FOR YEAR El'.'"DED 30TH JUNE, 1941. 1940. 1941. July 1. £ s. d. £ s. d. June 30. £ .s. G. £ s. G. To Stock on Hand 1,004 15 10 By Sales-Head Office 2,463 2 4 1941. Sales-Local 1 18 5 June 30. 2,465 0 9 To Working Expenses 1,900 12 9 Stook on Hand 1,886 5 0 Interest on Capital 58 14 7 Depreciation 220 4 8 Head Office Supervision and Audit Fee 10 0 0 2,189 12 0 Profit .. 1,106 17 11

£4-,301 5 9 £4,301 6 9

BALANCE-SHEET AS AT 30TH JUNE, 1941.

£ 11. d. £ 11. d. £ 11. d. £ 8. d. Oa.pital . . . . 1,468 4 7 Buildings and Plant 1,468 4 7 Depreciation Reserve Account Stock on Hand . . 1,836 5 0 Balance at 30th June, 1940 . . 1,220 4 8 Treasurer of Victoria- Addition for Year 1940-41 220 4 8 Balance at 30th June, 1940 • . 6,021 2 1 1,440 9 4 Receipts paid to Consolidated Revenue 2,465 0 9

8,486 2 10 Leu Working Expenses, provided by Vote, &c. .. 1,900 12 9 Interest on Capital . . 58 14 7 Profit and Loss Account Head Office Supervision and Audit Balance at 30th June, 1940 .. 5,805 13 3 Fee 10 0 0 Addition for year 1940-41 .. 1,106 17 11 1,969 7 4 ---- 6,912 11 2 6,516 15 6 £9,821 5 1 £9,821 5 1 21

FORESTS COMMISSION OF VICTORIA.

ERICA TRAMWAY.

REVENUE AocoUNT FOR YEAR ENDED 30rH JUNE, 1941.

1941. £ 8. d. £ 8. d. 1941. £ 8. d. June 30. June 30. To Working Expenses­ By Freight 5,469 4 6 Transportation .. . . 876 14 11 Other Revenue 351 10 0 Way and Works 540 4 6 Rolling Stock .. 2,423 10 1 3,840 9 6 Net Revenue Account 1,980 5 0

£5,820 14 6 £5,820 14 6

NET REVENUE AocoUNT FOR Yua ENDED 30:rH JUNE, 1941.

1941. £ 8. d. £ 8. d. 1941. £ 8. d. June 30. June 30. To Interest on Capital 2,328 13 6 By Revenue Aecount 1,980 5 0 Head Office Supervision and Audit Fee 33 3 0 Reserve Account 977 10 10 Allowances 1 11 11 Depreciation 594 7 5

£2,957 15 10 £2,957 15 10

RESERVE AocoUNT AS AT 30TH JUNE, 1941.

1941. £ 8. d. 1940. £ s. d. Jane 30. July 1. To Net Revenue Account 977 10 10 By Balance 1,121 14 4 Balance 144 3 6

£1,121 14 4 £1,121 14 4

FORESTS COMMISSION OF VICTORIA..

ERICA TRAMWAY.

BALANCE-SHEET AS AT 30TH JUNE, 1941.

£ B. d. £ 8. d. £ 8. d. £ 8. d. Ca.pita.l •. 58,216 18 6 Steel Tramways-Western Reserve Account .. 144 3 6 and Ea.stem Tyem •• .. .. 50,870 8 6 Sundry Creditom .. 94 13 2 Rolling Stook . . . . 2,403 8 9 Lu8 Depreciation .. 594 7 5 1,809 1 4 Sundry Debtom 459 11 4 Trea.Bttrer of Victoria.­ Acoount- Ba.lanoo at 30th June, 1940 . . . . 5,898 5 11 Receipts paid to Consolidated Revenue . . 5,526 2 11 ----11,424 8 10 LuB Working Expenses provided by Vote, &c. 3, 745 16 4 Interest on capital. . 2,328 13 6 Head Office Super . . vision and Audit Fee 33 3 0 ---- 6,107 12 10 ---- 5,316 16 0 £38,455 15 2 £58,455 15 2 22

FORESTS COMMISSION OF VICTORIA.

STATE SAWMILL, ERICA.

TRADING AccoUNT FOR PERIOD ENDED 30TH JuNE, 1941.

1941. £ s. d. £ s. d. 1941. £ 8. d. £ 8. d. June 30. June 30. To Wages 1,828 19 6 By Sales 1,164 1 4 Haulage 146 911 Stock on hand- Royalties, &c. .. 2,608 11 7 Timber 3,645 8 2 Stores, Tools, and Stores 2 3 6 Materials .. 31 8 1 3,647 11 8 4,615 9 1 Profit and Loss Account 196 3 11

4,811 13 0 4,811 13 0

PRoFIT AND Loss AccoUNT FOR PERIOD ENDED 30TH JUNE, 1941. 1941. 1941. June 30. June 30. To Superintendence 50 0 0 By Trading Account 196 3 11 Travelling and Incidentals .. 74 12 9 Sundry Rentals 11 4 0 Head Office Supervision and Audit Profit and Loss Summary 154 6 9 Fee 5 5 0 Depreciation .. 90 8 5 Interest on Capital 141 18 6

861 14 8 861 14 8

PRoFit AND Loss StmMARY AS AT 30TH JUNE, 1941. 1941. 1941. June 30. June 30. To Profit and Loss Account 154 6 9 By Balance 154 6 9

154 6 9 154 6 9

BALANCE SHEET AS AT 80TH JuNE, 1941. Capital .. 8,972 3 7 Land and Buildings 2,062 3 3 Treasurer of Victoria Account­ Less Depreciation 8 11 10 Working Expensea pro­ 2,053 11 5 vided by Vote 4,562 1 2 Plant and Machinery 5,038 7 10 Head Office Supervision Less Depreciation 50 7 8 and Audit Fee 5 5 0 4,988 0 2 Interest on Capital 141 13 6 Tramways and Rolling Stock 1,871 12 6 4,708 19 8 Less Depreciation 31 311 Less Receipts paid to 1,840 8 7 Consolidated Revenue 1,172 12 4 Stock on Hand­ 3,536 7 4 Timber 3,645 8 2 Sundry Creditors 178 0 8 Stores 2 3 6 3,647 11 8 Sundry Debtors­ Timber 1 1 0 Cottage Rentals 1 12 0 2 13 0 Profit and Loss Summary 154 6 9

12,686 11 7 12,686 11 7 23

FORESTS COMMISSION .OF VICTORIA.

TIMBER SEASONING WORKS, NEWPORT.

TRADING AccouNT FOR YEAR ENDED 30TH JuNE, 1941.

1940. £ 8, d. £ 8. d. 1941. £ 8. d. £ 8. d. July I. June 30. To Stock on Hand­ By Sales- Timber 8,284 9 2 Timber .. 26,279 7 11 Stores, &c. 125 0 0 Cartage 497 8 0 8,409 9 2 Freight 84 16 3 1941. June 30. 26,861 12 2 To Wages .. 5,323 3 6 Less Returns 149 17 9 Purchases .. .. 19,342 11 9 26,711 14 5 Freight inwards . . 1,753 5 5 Stock on Hand­ Stores, Tools, and Timber .. 13,713 7 4 Materials .. 1,231 11 7 Stores 663 19 9 Oil, Fuel, and Power 553 15 8 14,377 7 1 28,204 7 11 Profit and Loss Account 4,475 4 5

£41,089 1 6 £41,089 1 6

PRoFIT AND Loss AccouNT FOR YEAR ENDED 30TH JuNE, 1941.

1941. £ 8. d. £ 8. d. 1941. £ s. d . June 30. June 30. To Superintendence- By Trading Account 4,475 4 5 Salaries 250 0 0 Sundry Rents 10 0 0 Wages 399 3 0 649 3 0 Maintenance and Repairs 679 3 0 Travelling and Inciden- tals 271 16 6 Ground Rent 73 8 2 Insurance .. . . 334 16 5 Cartage and Freight Out· wards .. .. 183 3 5 Discount and Allowances 42 1 11 Bad Debts 10 12 0 Depreciation •. 294 18 5 Interest on Capital 591 11 6 Head Office Supervision and Audit Fee 55 5 0 3,185 19 4 Profit and Loss Summary 1,299 5 1

£4,485 4 5 £4,485 4 5

PRoFIT AND Loss SUMMARY AS AT 30TH JUNE, 1941.

1941. £ 8. d. 1940. £ 8. d. June 30 July 1 To Balance £1,311 17 3 By Balance 12 12 2 1941. June 30. Profit and Loss Account 1,299 5 1

£1,311 17 3 £1,311 17 3 24

FORESTS COMMISSION OF VICTORIA.

NEWPORT SEASONING WORKS.

BALANCE SHEET AS AT 30TH JtJ'NE, 1941. .£ 8. d. .£ s. cl. .£ s. cl . .£ s. d• Capital ...... 14,789 5 0 Buildings 2,248 19 6 Treasurer of Victoria Account-- Less Depreciation 56 4 6 Balance at 30th June, 2,192 15 0 1940 2,724 10 6 Machinery and Fittings .. 1,901 19 4 Working Expenses pro­ Less Depreciation 142 12 11 vided by Vote, &c ... 26,576 12 4 1,759 6 5 Interest on Capital . . 591 11 6 Railway Siding .. 223 17 1 Head Office Supervision Less Depreciation 5 11 11 and Audit Fee 55 5 0 218 5 2 Permanent Improvements 1,341 13 0 29,947 19 4 Less Depreciation 33 10 10 Less Receipts paid to 1,308 2 2 Consolidated Revenue 26,504 2 3 Sundry Debtors .. 4,170 6 2 3,443 17 1 Stock on Hand- Sundry Creditors .. 4,481 2 8 Timber . . 13,713 7 4 Profit and Loss Summary­ Stores, &c. . . 663 19 9 Balance at 30th June, 14,377 7 1 1940 . . 12 12 2 Profit for financial year 1940-41 1,299 5 1 1,311 17 3

24,026 2 0 24,026 2 0

Forests Commission of Victoria.

A. V. GALBRAITH, Chairman.

W. W. GAY, Oomtnissioner.

T. W. NEWTON, Commissioner.

G. K. COCKBURN, Secretary. Melbourne, November, 1941.

By Authority: H. E. DAW, Government Printer, Melbourne.