Michael Kilgariff, managing director, the Australian Logistics Council (ALC), pointed out that the council is generally supportive of the port’s long term lease as a way of unlocking much needed funds for logistics infrastructure, but there is a need for a published business case to drum up community support.
“The proposed new rents at the Port of Melbourne appear to be linked to rents allegedly paid by new entrants to the stevedore market. The reported price paid by Melbourne’s third stevedore to secure port space should not directly impact on the price asked of legacy stevedores to operate at the port,” he said.
He said that the logistics industry needs to be engaged in all consultations with government on the future lease of the port, including arrangements for pricing, lease structure and proposed regulatory frameworks.
“Too often in the past when these processes have commenced, the logistics industry has been locked out of discussions on the grounds of ‘probity’. This undermines the ability of industry to make long-term commercial decisions about their operations at the port,” he added.
The issue will be one of the items on the agenda at the ALC Forum 2015 being held from 11 to 12 March 2015 at the Melbourne Cricket Ground.