In late February Treasurer Mike Baird and Roads and Ports Minister
Duncan Gay announced the appointment of Nicholas Whitlam as Chairman of Sydney
Ports Corporation.
This was in addition to his role as Chairman of Port Kembla Port
Corporation.
Mr Baird said in a statement “I’m
sure his experience will be invaluable in his new role, as the Government
prepares for the long term lease of Port Botany and Port Kembla.”
In 2003 the NSW Carr Government released a NSW Ports Growth Plan. This
set the scene for moving car imports to Port Kembla and an inquiry held by a
NSW Legislative Council Committee. Their 2005 Final Report into Port
Infrastructure in NSW gave recommendations, including “that the NSW
Government consider completion of the Maldon to Dombarton line…”
This report also states "that
a container terminal at Port Kembla could potentially contribute $400 million
to the regional economy." In
todays terms this is over $500 million.
However, if the NSW Government leases Port Kembla and Port Botany to the
same private sector company, there would be a reduced incentive to develop Port
Kembla as a container port.
Quite simply, a common owner or leaseholder of
both Port Kembla and Port Botany is likely to continue to use Port Botany as a
sole container port for as long as possible. In this case, development of Port
Kembla to handle containers and completion of Maldon Dombarton would be
delayed.
In this case, the promised contribution of $100 million to
regional infrastructure should be increased to regional value of a container
port at Port Kembla. That is $500 million.
1 comment:
The NSW has gained a windfall with a good price at the cost of combining the two ports. Which along with reducing competition may not help
Wollongong.
All of the net proceeds, apart from $100m for the Illawarra, is assigned to roads. It would be good to see at least $200m applied to getting Maldon Dombarton completed this decade to allow more and faster passenger trains, plus more freight paths for trains - including Boral quarry trains
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