In 2021 the NSW Government amended the Forestry Act 2012 to allow renewable energy projects in softwood plantations. Potential projects are limited to State forest pine plantations and would not be permitted in native forests.

This change allowed Forestry Corporation to start investigating how, where and what opportunities exist to manage renewable energy and renewable timber production side-by-side.

In line with the Act, the opportunities being investigated would use less than 0.7% of Forestry Corporation’s softwood plantation land. Any land used would be replaced by an area at least twice as big as the development, which would be established to plantation.

The legislation requires that any renewable energy project on State forest plantations must not result in Forestry Corporation failing to meet its wood supply commitments.

In order to be considered, renewable energy technologies must be able to co-exist with plantation trees. In 2022 we invited industry to express an interest in investigating opportunities for renewable energy projects in these locations. Wind farms were suggested as the best opportunity given they can operate in plantation forests without having long-term impacts on tree growth or plantation operations, as they sit above the tree canopy.

At this stage, other renewable energy technologies and storage projects such as pumped hydro (where water is released from a reservoir and channelled through turbines to generate electricity) or large-scale batteries are not being further investigated.  Similarly, solar farms are not compatible with plantations, as they occupy larger areas of land and use sunlight which is needed to grow trees and are not being considered.

Wind turbines generate energy from a renewable resource, which supports many government strategies for reducing carbon emissions and the transition towards a supply of renewable energy.

They can operate in plantation forests without having long-term impacts on tree growth or plantation operations, as they sit above the tree canopy. Pine plantations are good locations for wind projects because they:

• are large areas, often in windy locations
• include access to powerlines
• have a good existing road and transmission network
• are away from homes.

Suitable renewable energy developments that complement ongoing timber production could provide benefits to regional communities and maximise the use of existing land assets.

As the land manager, Forestry Corporation went to the market to understand where and how renewable energy projects might operate alongside renewable timber production. In March 2022, Forestry Corporation invited renewable energy companies to indicate whether they were interested in establishing renewable energy projects in pine plantations and the most feasible locations and technologies.

Forty-seven renewable energy companies registered their interest, respondents overwhelmingly identified wind power as the most feasible technology, and pine plantations near Black Springs, Sunny Corner, Bondo, Orange and Laurel Hill as the most promising locations for initial investigations.

Forestry Corporation then invited expressions of interest in July 2022 from renewable energy companies who might genuinely consider developing projects in these locations. A total of 94 submissions were received and following review of these submissions, the most feasible initial locations were determined to be Black Springs, Sunny Corner, Bondo and Orange.

In early 2023, Forestry Corporation asked for formal proposals from renewable energy companies who had submitted the most suitable proposals in the expressions of interest phase.

In reviewing proposals Forestry Corporation considered:

• how the proposal can be managed alongside Forestry Corporation’s obligations to produce renewable timber, access to plantations and management of any potential fires.
• the project’s renewable energy potential.
• the proponent’s commitment to community consultation and delivering benefits to First Nations people and the community.

Following the assessment, permits were issued to:

• Sunny Corner State Forest to the Mainstream Renewables Power and Someva Renewables Joint Venture
• State Forests in the Bondo (Tumut) area to Neoen
• State Forests in the Orange area to Iberdrola Australia
• State Forests in the Black Springs area to TagEnergy.

At this stage permits have been issued to investigate renewable energy opportunities in four State forests. Under the amendment to legislation, less than 0.7% of State forest plantation land can be used for renewable energy projects. At this stage there are no additional plans to develop renewable energy projects in other softwood plantations.

Renewable energy projects must be able to co-exist with plantation trees. We went to market and consulted with industry, determining wind projects are likely to work well in softwood plantations because the plantations are large areas, often in windy locations, away from homes and near existing powerlines and roads.

Having these projects in State forests is a way to maximise the use of public land and help the Government achieve their renewable energy targets.

Forestry Corporation is the land manager and can issue permits to renewable energy companies to use the land. We will balance renewable energy together with the existing uses of the State forests including timber production, recreation, tourism, apiary and grazing.

No. The legislation only allows renewable energy projects to be considered in State forest softwood plantations.

The legislation only allows renewable energy projects to be considered in less than 0.7% of the State forest softwood plantations. At this stage there are no additional plans to develop renewable energy projects in other softwood plantations.

Renewable Energy Zones (REZs) are areas the NSW Government has identified as having potential for new renewable energy generation projects supported by investment in new transmission infrastructure from each of these locations. Renewable energy projects can be proposed outside REZs. For more information on REZ, refer to the NSW Government Renewable Energy Zone website.

All new renewable energy projects must go through the normal application and approval process. See the NSW Government’s wind energy website for more information about the planning and approval process for potential projects.

At this stage we are only considering wind projects as they were overwhelmingly seen as the best option by renewable energy companies, and our due diligence has confirmed that they can work alongside the existing uses of the State forests.

See the timeline below (click on image for higher resolution).

Renewable energy companies will need to seek approval from the NSW Government, in the same way as any other proposal on private property. We have no role in approving renewable energy projects for construction.

Any permits we issue are for access to the land only and are not a guarantee that development will proceed. See the NSW Government’s renewable energy website for more information about the planning and approval process for potential projects.

Renewable energy companies issued a permit will have to go through the same assessment and approval processes as any project proposed in NSW.

The projects are expected to be State Significant Developments, which means Federal and State planning requirements will apply.

We have no role in assessing or approving renewable energy projects. In investigating and planning their projects, renewable energy companies will need to:

• complete wind studies
• carry out environmental and other studies (including noise, landscape and visual impact, water and soil, biodiversity, waste, traffic and transport, hazard and risk, Aboriginal and non-aboriginal heritage)
• consult with Traditional Owners, the community and stakeholders
• design the project
• negotiate grid connection
• seek NSW Government planning approval.

We are not responsible for carrying out these investigations but will support renewable energy companies where we can. We expect the planning and approval phase to take up to six years.

If the projects are approved, there will be strict conditions imposed by the NSW Government to minimise impacts to the environment and community.

See the NSW Government’s renewable energy website for more information about the planning and approval process for potential projects.

In investigating projects, renewable energy companies will need to, at a minimum, carry out studies on the wind resource, noise, landscape and visual impact, water and soil, biodiversity, waste, traffic and transport, hazard and risk, Aboriginal and non-aboriginal heritage values.

Requirements for these studies are determined by the Department of Planning, Housing and Infrastructure.

In investigating projects, renewable energy companies will need to carry out studies that assess any potential impacts to biodiversity and identify mitigation measures for these potential impacts. Requirements for these studies and mitigation measures are determined by the Department of Planning, Housing and Infrastructure.

If a project is not approved, the renewable energy company will determine the next steps in consultation with the Department of Planning, Housing and Infrastructure and Forestry Corporation.

The approval process is expected to take 4-6 years, including:

• environmental studies
• collection of wind and technical data
• project design
• engagement with Traditional Owners, community and other stakeholders
• negotiation of grid connection
• NSW Government planning application and approvals.

Construction would only start once development approval is granted. See the NSW Government’s renewable energy website for more information about the planning and approval process for potential projects.

Renewable energy companies will work with owners of the transmission infrastructure to determine if there’s a need for new transmission infrastructure as part of their investigation process. As much as possible, companies will use the points where existing transmission lines cross State forest to connect their project to the electricity network. If there is a need for new transmission infrastructure to be built, it would be subject to the normal NSW Government planning processes.

We expect it would take up to eight years before any wind farm would become operational.

This time would be required for environmental studies and assessment, consultation, and obtaining the necessary NSW Government approvals, (which could take around 4 – 6 years) and the construction and commissioning process (around 2 – 3 years).

The investigation permit we issue is not a guarantee that development will proceed.

Once renewable energy companies have completed site investigations, wind studies, environmental, planning and consultation processes to determine whether a wind farm would be feasible, they would need to seek approval from the NSW Government, following the same rules as any other project in NSW. We have no role in assessing or approving renewable energy projects for construction.

This investigation process is expected to take up to six years. If the projects are granted development approval, we will issue a construction and operation permit, which would allow access to the land for the construction and operation of the wind farm.

Forestry Corporation is not a renewable energy supplier, so has needed to work with renewable energy companies to understand what opportunities for renewable energy production might be possible across the State. The market process identified the locations out of the 225,000 hectare pine plantation estate that have the most potential.

We recognise that engaging with communities is essential and now that opportunities have been identified and permits issued, detailed community consultation by the proponent will start as part of the normal project planning process.

We have had the community in mind when setting the baseline framework with the renewable energy companies. Companies will be required to comply with the Energy Policy Framework, which is expected to be finalised by the NSW Government in the near future. This includes things like ensuring that development is guided by meaningful consultation with neighbouring communities, and the benefits of energy development are directly realised by the localities and regions hosting infrastructure.

Project teams will engage with communities and must provide opportunities for community input in design, identifying impacts and opportunities that will arise from the project, and longer-term partnerships that deliver community benefits. Project teams will consult with the community about topics such as placement of infrastructure, and opportunities for local job opportunities and regional development.

Community members are encouraged to consider what investments they would like to see from project developers in the community for the long term.

Forestry Corporation are committed to specific engagement with relevant Aboriginal Traditional Owners and knowledge holders to understand the cultural values associated with these areas and how local Aboriginal communities would like to engaged in the process going forward.

The Energy Policy Framework, which is expected to be finalised by the NSW Government in the near future, includes provisions to ensure benefits of energy development are directly realised by the localities and regions that host the infrastructure. The permits issued by Forestry Corporation to renewable energy companies include commitments for community benefit sharing opportunities.

Renewable energy projects will be developed under forest permits. The permits include commitments for the local community to share in the benefits from the project, which will include things like opportunities for providing services and employment to the project.

The risk of a project to birds and bats is considered during the planning process and any potential impact on fauna must be addressed in the design and management of the project to meet the requirements of the NSW Department of Planning, Housing and Infrastructure.

As with any machinery, wind turbines do make noise, however, modern well-designed wind turbines are generally quiet in operation when compared to the noise of road traffic, trains and construction activities. Importantly, they will be placed in forest locations away from residents.

Renewable energy companies will need to carry out noise studies as part of the environmental assessment to identify potential impacts from noise. The NSW Government sets noise criteria, within which renewable energy companies are expected to operate as part of the environmental assessment process. Companies will be required to comply with the Energy Policy Framework, which is expected to be finalised by the NSW Government in the near future.

Renewable energy companies will be responsible for identifying and mitigating any road and traffic impacts from the wind projects. They will do this with extensive community consultation and traffic and transport studies, and in agreement with the relevant road managers (local councils, Transport for NSW and Forestry Corporation).

Renewable energy companies will want to minimise inconvenience to you as much as possible, they will use existing access points, easements and roads where they can.

Companies will be required to comply with the Energy Policy Framework, with updates expected to be finalised by the NSW Government in the near future.

There are planning rules that control how close turbines can be built to houses and this will be considered as part of the planning process. Most turbines will be well within the plantation.

Companies will be required to comply with the Energy Policy Framework, which is expected to be finalised by the NSW Government in the near future.

Less than 0.7 percent of total softwood plantation estate can be used for renewable energy projects. We will continue to meet our long-term wood supply commitments because the plantation land used for energy renewal projects will be replaced by an area that’s at least twice as big as the development to be used for softwood plantation.

Renewable energy companies are responsible for funding the purchase of this land. Replacement land will be a similar distance to local timber producers and have the same or better productivity and rainfall than the land it replaces.

We will continue to use detailed modelling and harvest scheduling to manage the amount of timber we supply to customers in line with our long-term timber supply agreements.

We will work with the forest industry to deliver wood supply throughout the phases of these projects.

In reviewing proposals, we particularly considered how well the proposal can be managed alongside renewable timber.

Once built, wind turbines would sit above the treetops, meaning other activities in our forests like timber production, tourism, apiary, grazing, and recreation will not be impacted.

Replacement land will be used for softwood plantation and incorporated into Forestry Corporation’s holdings.

Once built, wind turbines would sit above the treetops, meaning other activities in our forests like tourism, apiary, grazing, timber production and recreation will be able to continue.

As a firefighting authority, we manage fire risk in State forests and have carefully considered renewable energy proposals through this lens.

Our studies indicate that wind farms are unlikely to cause bushfires and may even reduce the risk of lightning starting a bushfire. Companies have made commitments to supporting FCNSW in its bushfire prevention and firefighting capacity as part of their permits. Renewable energy companies will also carry out detailed fire risk assessments as part of the NSW planning approval process.

Following a rigorous assessment process Forestry Corporation issued investigation permits as follows:

• the Mainstream Renewables Power and Someva Renewables Joint Venture in Sunny Corner State Forest
• Neoen in State forests in the Bondo (Tumut) area
• Iberdrola Australia in State forests in the Orange area
• TagEnergy in State forests in the Black Springs area.