Speaking at the port’s annual meeting in October, Mr Parker said: “New Zealand simply has too many ports, most with negative free cash flow while at the same time they are increasing capital expenditure to try and keep their infrastructure up to date.
“I don’t suggest any of New Zealand’s 13 commercial ports would, or should, vanish but certainly only two should be the hub ports for the vast bulk of export and import containers with the balance sending their containers to the two hub ports, largely by coastal shipping and rail.”
Mr Parker warned that no New Zealand port, despite the “occasional and deluded denial”, can currently handle larger containerships wishing to enter the New Zealand trade.
He quoted estimated savings of NZ $2bn-NZ$3bn (US$1.5bn-US$2.3bn) per annum for New Zealand should larger container ships be introduced to the country’s shores.
Mr Parker blamed the lack of channel depths, lack of berth size, lack of sufficient container cranes and straddle carriers, lack of the port land, negative free cash flow, and subsidies for the lack of progress.
In view of this, he told shareholders that Tauranga was the “obvious North Island hub port.
“We have the locality, the space and the surrounding infrastructure, and can fund a sensible investment.”