Wednesday, July 23, 2008

Shipping Australia rejects proposal to cease container shipping in Fremantle Inner Harbour

“Shipping Australia would urge the Opposition in Western Australia to rethink its announced policy of a strategic relocation of significant port operations out of Fremantle”, said CEO of Shipping Australia Limited, Llew Russell.

“SAL members believe that the economic prosperity of Western Australia will only be enhanced by Fremantle Ports’ current project to deepen and expand the Inner Harbour and this work should be progressed as quickly as possible. “This is not to say that in due course, there will definitely be an important role for Fremantle Ports to expand port facilities at Kwinana to take additional trade from the Inner Harbour when it reaches capacity in about 2015. “Irrespective of that the Inner Harbour will continue to be needed, with future trade being handled from both sites operating in tandem” he said. Mr Russell pointed out that it would not be economically viable to move virtually all heavy port operations to Kwinana as suggested, as it would cost an estimated US$4.89 to US$9.7 billion to replace the deep water port infrastructure built at Fremantle Inner Harbour over the past 110 years. This would include costs involved in the early termination of leases at Rous Head and the container terminals, involving compensation, relocation and rebuilding.
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