Public rally warns shareholders and investors against proposed pulp mill

A huge rally on Saturday August 23 saw thousands of people march through Launceston in opposition to Gunns' pulp mill and should send a clear message to shareholders and companies considering supporting the carbon-polluting pulp mill - it will not be allowed to proceed.

Thousands march in opposition to Gunns' proposed pulp mill

A huge rally on Saturday August 23 saw thousands of people march through Launceston in opposition to Gunns' proposed pulp mill and should send a clear message to shareholders and companies considering supporting the carbon-polluting pulp mill - it will not be allowed to proceed. Already, international companies tipped to join Gunns in the project have categorically ruled it out.

The Rally, organised by Tasmanians Against the Pulp Mill featured gardening personality Peter Cundall and CSIRO pulp and paper expert Warwick Raverty, both of whom condemned the mill and the fast-track, undemocratic process that saw it approved in the Tasmanian Parliament.

Potential joint venture partners rule out involvement

On the Thursday before the rally, the Australian Financial Review reported that “industry sources suggested Gunns approached parties including Finish rivals Stora Enso and M-real to seek finance for the mill.”

However, The Wilderness Society contacted Stora Enso and M-real seeking urgent clarification on whether or not that would be involved in Gunns' environmentally destructive pulp mill and they have both ruled out any involvement in the project. Others may still be interested, including Swedish pulp and paper giant Sodra.

International investors being courted by Gunns should be concerned about the heavy dependence of the pulp mill on logging native forests. In Europe, where pulp mills are predominantly plantation based, a company seen investing in native forest logging would be seen as taking a step backwards towards the bad old days. In an era of emerging carbon accountability, they would also be taking a risk that the native forest feedstock the mill depends upon might be protected to help the fight against climate change.

Local opposition to Gunns' proposed pulp mill continues

Logging native forests emits massive amounts of greenhouse gasses into the atmosphere and conservative analysis of the emissions from logging needed to feed the mill estimate that it would add 2% to Australia’s greenhouse gas emissions. That’s the equivalent to putting an extra 2.3 million cars on the road.

With the ANZ bank rejecting the pulp mill, a joint venture appears Gunns’ only real option to raise enough money to build the mill. Anybody considering assisting with the project should take note of the overwhelming local opposition to the pulp mill. Rally after rally of thousands of people highlights the fact that this pulp mill is deeply unpopular and is not a socially viable proposition.