Port Botany Update (NNF 2020/156)
Freight Rail Line Duplication Fast-Tracked
New detailed plans for two freight rail projects, that will ease traffic congestion on some of Sydney’s busiest roads, have been approved by the NSW Government.
The current single freight rail track between Mascot and Botany will be duplicated and a new passing loop will be added to the freight line between Cabramatta and Warwick Farm stations, allowing for freight trains up to 1,300 metres in length.
Minister for Transport and Roads Andrew Constance said the Botany Rail Duplication and Cabramatta Loop projects will improve current supply and help meet Sydney’s future freight demand.
“As the state’s largest container port the efficient operation of Port Botany is critical. Forecasts predict a whopping 77 per cent increase in the amount of freight it handles from 14.4 million tonnes in 2016 to 25.5 million tonnes by 2036,” Mr Constance said.
“For every extra freight train travelling on the Botany line, up to 54 trucks can be taken off Sydney’s roads.”
Minister for Regional Transport and Roads Paul Toole said the fast-tracked assessment will enable construction works to commence within the next six months.
“These projects are crucial because more freight is moved on rail lines and congestion is busted with fewer trucks on our roads,” Mr Toole said.
“This project will not only provide new rail infrastructure, but will inject around $400 million into the economy and create around 500 local jobs during construction.”
Both projects are been delivered by the Australian Rail Track Corporation with the Cabramatta Loop Project expected to be completed by mid-2023 and the Botany Rail Duplication expected to be completed by late-2024.
The two projects are the latest projects to be determined through the NSW Government’s Planning System Acceleration Program that is keeping people in jobs and the economy moving through the COVID-19 pandemic. To date, the program has created opportunities for more than 41,000 jobs and $18.2 billion in economic benefit.
https://www.transport.nsw.gov.au/news-and-events/media-releases/freight-rail-line-duplication-fast-tracked
ACFS Opens New ECP IN Port Botany
ACFS announces the opening of a new ECP in Port Botany which will be known as ACFS e-Depot 2. (refer to IFCBAA news article of last week on ECPs and related actions)
This new ACFS operated ECP will be located directly across the road from the ACFS e-Depot (on Port) and is expected to create additional storage capacity for ACFS of 4,500 TEUs.
Following on from last Friday’s update to Members on IFCBAA’s assessment and actions in relation to the major congestion issues being experienced with ECPs in Sydney, IFCBAA welcomes this initiative and acknowledges the efforts of NSW Ports, Transport NSW and ACFS in working with industry in what is hoped will be part of the solution to the current congestion issues.
MUA Industrial Action at DPW & Hutchison
Protected Industrial Action at DP World Australia
Dear Customers,
Since our previous advice on 3 August, the Maritime Union of Australia (MUA) has amended its notice to DP World Australia (DPWA) of Protected Industrial Action (PIA) at DPWA Terminals, encompassing work restrictions and additional stoppages.
The effect of the work restrictions varies across terminals and includes various bans on employees working in tasks above their normal grade, overtime, shift extensions, accepting late call-ins and ceasing advanced or delayed start times.
DPWA management regrets the impact this has on our Customers’ business and we appreciate your patience as we go through this process. DPWA remains committed to reaching a new Enterprise Agreement that delivers improved productivity and we will keep you updated as we progress.
The latest update of the Action and how it may impact you is detailed below.
From 4 August to 1 September, work stoppage for 1 hour per shift, at 05:00, 13:00, and 21:00 every day.
All terminal operations will be stopped during these hours.
Work restrictions continue to apply.
If you have any questions or concerns, please contact CCT Schedule:
Email: [email protected]
Phone : +612 9394 0131
Hutchison Sydney Industrial Stoppage Rescinded
Please be advised the Protected Industrial Action planned on Thursday 13.08.20 has been rescinded.
Yard will now operate from 0600-1030 on 13.08.20
Appointments will be released today at 1500 for these hours.
The Terminal has already adjusted Storage and recievals to cater for the notification.
We thank you for your understanding
Hutchison Ports
Hutchison Ports Sydney Infrastructure Levy Increase 8 September 2020
Hutchison Ports has announced an increase to the Infrastructure Levy on full containers from $63.11 to $88.83 per container (excl GST) effective 8 September 2020.
Hutchison Notice
Effective from 8th September 2020, an Infrastructure Levy of $88.83 will apply to full containers handled at Hutchison Ports Sydney.
To assist landside terminal users, Hutchison Ports Sydney has hitherto delayed further recovery of capital expenditure and other infrastructure costs. However it has now become necessary to adjust the Infrastructure Levy due to the current challenges that has impacted the Port Botany terminal. This adjustment only partially covers the cost of infrastructure expenditure necessary to deliver yard (rail and road) services.
The Infrastructure Levy will continue to apply to Transport Companies through the Truck Appointment System and Rail Operators.
Please contact Hutchison Ports Australia Commercial Department should you require any further information. Tel: (02) 9578 8500. https://www.hpaportal.com.au/HPAPB
IFCBAA Comment
IFCBAA accepts the stevedores need to recover costs and a return on their investments to deliver a profit for shareholders, however the increases are consistently in double digit percentages and out of step with Australian business conditions.
Hutchison’s announced increase is over 40%.
The stevedores’ ongoing increases in landside charges, to support “infrastructure investment and rebalancing revenue from water side to land side to account for landside costs”, is a well-worn path.
IFCBAA has highlighted on previous occasions, the stevedores are in a pseudo-oligopoly position whereby the increases in landside charges are unrestrained. The charges are non-negotiable. The ACCC has limited power to influence stevedores’ behaviour
Is there a willingness by State governments to take action, beyond the Pricing Reviews, Inquiries and Industry Engagement, which ultimately tell us what we already know? ie. contained in the ACCC Container Stevedoring Monitoring Report 2018-19
IFCBAA and industry participants will not give up and continue to lobby governments to legislate a cap to this unrestrained practice.
IFCBAA will keep members informed of developments.
Scott Carson
Commercial Manager