Public Notification Letter

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1 2000 Powell Street, Ste. 600 Emeryville, CA USA main fax Public Notification Letter To: Interested Parties From: Scientific Certification Systems Date: September 10, 2012 Re: Notification of Pending FSC Certification Evaluation of PF Olsen (Aus) Pty Ltd s Group Certification Scheme Summary: As part of an FSC assessment, SCS is currently seeking stakeholder input regarding the forest management of PF Olsen (Aus) Pty Ltd s Group Certification Scheme. Please comment via , or call our offices or representatives to discuss (contact info below). PF Olsen (Aus) Pty Ltd is seeking Forest Stewardship Council (FSC) endorsed certification for their group forest management operations. The Forest Stewardship Council (FSC) is a non- profit organization devoted to encouraging the responsible management of the world s forests. FSC sets standards that ensure forestry is practiced in an environmentally responsible, socially beneficial, and economically viable way. The area under evaluation includes PF Olsen s Group Certification Scheme, consisting of 8 FMUs throughout Australia, totalling about 20,000 ha. PF Olsen is an independent forest management services provider acting for clients throughout Australia. PF Olsen (Australia) Ltd has also been engaged by the Trust Company (Australia) Ltd, to act as its agent and manage the land and forests estates owned by the Forestry Investment Trust (FIT) and the Australian and New Zealand Forestry Investment Fund (ANZFIF). The forest estate is located across Western Australia, Queensland, New South Wales, Victoria, South Australia and Tasmania. The PF Olsen Group Certification Scheme defines an FMU as a district (region). There are two types of members within the PF Olsen Group Certification Scheme:

8001 fax Public Notification Letter To: Interested Parties From: Scientific Certification Systems Date: September 10, 2012 Re: Notification of Pending FSC Certification Evaluation of PF Olsen (Aus)

2 Type I members are those who are forest managers, independent from PL Olsen, and who will continue to manage forests under their control following the PF Olsen group certification requirements. This includes Forestry SA who manages 16 properties owned by FIT SA in the Green Triangle Penola, South Australia Type II members consist of individual properties where the trees are under some type of PF Olsen Management. In this case PFO is responsible for implementing group certification requirements. There are 7 Type II members; ANZIFF Green Triangle Simpson, Victoria; FIT Victoria Green Triangle Hamilton, Victoria; FIT Gippsland Gippsland, Victoria; FIT Tasmania Northern Tasmania; FIT Kangaroo Island Kangaroo Island, South Australia; FIT South Coast WA Albany, Western Australia; FIT West Costs WA Bunbury, Western Australia Scope and Certification Evaluation Process Scientific Certification Systems (SCS), a FSC- accredited certification body based in Emeryville, California, will conduct this FSC evaluation. Due to the lack of an existing accredited regional standard, PF Olsen will be evaluated against the SCS Interim Standard for SCS Interim Standard for Natural Forest and Plantation Forest Management in Australia under the Forest Stewardship Council, V 1.0, which will be a locally- adapted version of the SCS Generic Interim Standard. SCS welcomes comments on the draft SCS Interim Standard for Region/Country as part of the process of adapting the standard for application in Australia. A copy of the draft standard is available at: or SCS upon request. Comments on the standard can be submitted to Mr. Graeme Lea (contact details below). Comments on the official FSC Standard for Australia can be submitted to info@fscaustralia.org. The Evaluation Process Includes the Following Phases: Public notification: distribution of the standard and solicitation of comments on the certification applicant; Audit planning and document review;

of PF Olsen Management. In this case PFO is responsible for implementing group certification requirements.

3 Field assessment: A representative sample of field sites and operations within the defined forest area are inspected by a team of auditors; Stakeholder consultation; Synthesis of findings: Compliance with the standard is ascertained and the certification decision is formulated; Reporting: A draft report describing the evaluation process, findings, and certification decision is produced; Peer review: The evaluation report is peer reviewed by 2 independent natural resource professionals; Delivery of final certification report; Certification decision: a public summary of the certification report is released, if certification is awarded. Evaluation Team Mr. Graeme Lea; FSC Lead Auditor Local Expert to Be Determined Call for Public Participation SCS welcomes comments on the forest management of PF Olsen or other topics pertinent to their seeking FSC certification, such as whether PF Olsen complies with the legal, social, technical, and environmental requirements of the standard or identification of high conservation value forests[1] within the PF Olsen Group Certification Scheme. Comments can be submitted via , standard mail, or facsimile to PF Olsen. The audit team can make arrangements to allow stakeholders to meet with them during the evaluation upon request. All comments and sources will be kept in strict confidence at the request of the commenter. Dates

review: The evaluation report is peer reviewed by 2 independent natural resource professionals; Delivery of final certification report; Certification decision: a public summary of the certification

4 The field evaluation is scheduled to commence during the week of September 17 th, SCS will make arrangements to meet with interested parties during the evaluation if appropriate, but it is preferred that comments are submitted before the evaluation commences. Dispute Resolution Procedure As provided by the FSC Interim Dispute Resolution Protocol and the SCS Forest Conservation Program Quality Manual, dispute resolution procedures are in place and available to interested parties at Additional Information More information about FSC and SCS can be obtained from and Information on PF Olsen can be found at A copy of the Standard to be used can be requested from SCS, or found online at: Please contact us Graeme Lea FSC Lead Auditor 2000 Powell St, Suite 600; Emeryville CA 94608, USA Tel graeme.lea@ftcg.com.au Brendan Grady SCS Director of Forest Management Tel +1 (510) , Fax +1 (510) bgrady@scsglobalservices.com [1]High Conservation Value Forests possess one or more of the following attributes: a) forest areas containing globally, regionally or nationally significant: concentrations of biodiversity values (eg. endemism, endangered species, refugia); and/or large landscape level forests, contained within, or containing the management unit, where viable populations of most if not all naturally occurring species exist in natural patterns of distribution and abundance b) forest areas that are in or contain rare, threatened or endangered ecosystems c) forest areas that provide basic services of nature in critical situations (eg. watershed protection, erosion control) d) forest areas fundamental to meeting basic needs of local communities (eg. subsistence, health) and/or critical to local communities traditional cultural identity (areas of cultural, ecological, economic or religious significance identified in cooperation with such local

Dispute Resolution Procedure As provided by the FSC Interim Dispute Resolution Protocol and the SCS Forest Conservation Program Quality Manual, dispute resolution procedures are in place and

5 communities). Also see Principle 9, in the FSC Principles and Criteria. Regards, Victoria Solbert Certification Coordinator Natural Resources Division SCS GLOBAL SERVICES 2000 Powell Street, Ste. 600, Emeryville, CA USA direct fax Setting the Standard for Sustainability SCS proudly introduces the Kingfisher certification mark, signifying products and services that deliver proven environmental, social and quality benefits.

600, Emeryville, CA 94608 USA +1.510.452.6395 direct +1.510.452.6882 fax vsolbert@scsglobalservices.

6 [1]High Conservation Value Forests possess one or more of the following attributes: a) forest areas containing globally, regionally or nationally significant: concentrations of biodiversity values (eg. endemism, endangered species, refugia); and/or large landscape level forests, contained within, or containing the management unit, where viable populations of most if not all naturally occurring species exist in natural patterns of distribution and abundance b) forest areas that are in or contain rare, threatened or endangered ecosystems c) forest areas that provide basic services of nature in critical situations (eg. watershed protection, erosion control) d) forest areas fundamental to meeting basic needs of local communities (eg. subsistence, health) and/or critical to local communities traditional cultural identity (areas of cultural, ecological, economic or religious significance identified in cooperation with such local communities). Also see Principle 9, in the FSC Principles and Criteria.

species exist in natural patterns of distribution and abundance b) forest areas that are in or contain rare, threatened or endangered ecosystems c) forest areas that provide basic services of nature

FSC STANDARD FSC CONTROLLED WOOD STANDARD FOR FOREST MANAGEMENT ENTERPRISES. FSC-STD-30-010 (Version 2-0) EN

FOREST STEWARDSHIP COUNCIL INTERNATIONAL CENTER FSC STANDARD FSC CONTROLLED WOOD STANDARD FOR FOREST MANAGEMENT ENTERPRISES FSC-STD-30-010 (Version 2-0) EN 2006 Forest Stewardship Council A.C. All rights