Common NSW rate hike questioned

Plans by the Port Authority of NSW to increase port charges from January 1 have aroused concerns from customers. The authority will increase prices for all vessels in the ports of Sydney Harbour, Port Botany, Port Kembla, Eden and Yamba, in general by 4.7%.

The increases follow a review of statutory charges after the amalgamation on July 1 last year of the residual state-owned components of Sydney, Newcastle and Port Kembla ports. Prior to this, each port had adopted its own pricing strategy.

However, the decision has prompted adverse comments from port customers. Paul Zalai, director of Freight & Trade Alliance, said the charges would simply be passed down to logistics providers, exporters and importers. He also criticised the lack of transparency in port-related costs.

Shipping Australia chief executive Commodore Rod Nairn voiced concern over the cost impact of reorganisation.

“This procession of increases well in excess of CPI seems to be a direct result of the government selling off a great proportion of the revenue stream in the privatisation, without taking into account the costs of providing ongoing services,” he said.

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