Australian Greens Leader Senator Christine Milne today called on Prime Minister Gillard to show leadership to protect Tasmania's forests, following wasted expenditure of $130 million on an intransigent logging industry.

"Prime Minister Gillard needs to show the same leadership demonstrated by Bob Hawke in the 1980s when he worked with the Greens in balance of power in the Tasmanian Parliament to double the size of the Tasmanian Wilderness World Heritage Area," Senator Milne said.

"While I cannot ignore that this is an environmental win for Tasmania, I am very sorry for the jobs that have been lost.

"I want to secure jobs for Tasmania, I want a flourishing economy. Gunns pulp mill however was not part of this equation. Its closure comes as no surprise - only last month the company announced a $1 billion loss, following a $350 million loss last year and charges of insider trading laid against its former chairman John Gay last November.

The Australian Greens today condemned the Government and Coalition for refusing to request the Indonesian government to fully enforce its law that protects the Tripa forest in Indonesia.

Reports that palm oil companies and Indonesian police have been intimidating villagers and clearing and burning the Tripa forests in Indonesia are shocking, the Australian Greens said today. The protected Tripa forest is home to the threatened Sumatran orangutan, and people have reported grave health problems from forest burning, as well as threatened livelihoods.

Australia's first comprehensive analysis of Tasmania's entire forest carbon storage capacity, launched today by Tasmanian Greens Minister for Climate Change Cassy O'Connor, shows that our forests are worth more standing up than logged.

The new research shows that as a baseline, Tasmania's forests could hold between 3 and 4.4 billion tonnes of C02 equivalent, and reducing the timber harvesting rates would significantly increase the rate of carbon sequestration.

The Illegal Logging Prohibition Bill passed through the House of Representatives today is a step in the right direction to curbing the illegal timber trade, but more needs to be done to strengthen the legislation to really stop the illegal destruction of our planet's remaining forests.

The Greens are calling for a clearer definition of illegal logging, solid criteria for due diligence on timber sources and better assessing and reporting compliance in the legislation.

The Gunns statement to the Australian stock exchange today confirms that the Tamar Valley pulp mill is dead in the water and is not now or has ever been economically viable, the Australian Greens said today

Tasmania now faces Gunns conducting a clearing out sale as Mr L' Estrange oversees the writing down of assets in an attempt to salvage the company.

The federal government needs to step in to stop the withdrawal of the Tarkine National Coalition from the Tasmanian forest agreement talks, Greens Leader Christine Milne said in Canberra today.

"Minister Bryan Green's behaviour in approving mine leases in contentious areas while the talks are at a critical point is absolutely unacceptable and the federal environment minister needs to take this in hand," Senator Milne said.

Federal Environment Minister, Tony Burke's comments ruling out a blanket heritage listing of the Tarkine owing to the presence of existing mining developments should be seen for what they are: yet another excuse to facilitate mining, Australian Greens Leader, Christine Milne said today.

"Minister Burke is raising a furphy in order to avoid his responsibility to immediately protect the heritage values of the Tarkine.

"The minister thinks it's "pretty hard" to argue that the Savage River mine be considered as having natural heritage values.

Christine Milne speaks on the Tarkine, the Budget, Rupert Murdoch and more