Melbourne port costs on the rise

June 3, 2010 Edward

In an effort to defray costs, both for normal operations and to pay for the channel deepening, the Port of Melbourne Corporation has released its new pricing schedule with increased wharfage on containers.

Under the new schedule, wharfage charges for loaded twenty-foot containers (TEU) will increase by $2.00 to $38.40 plus GST (5.5%), whilst empty container charges will increase by 40 cents to $9.60 plus GST (4.3%).

The infrastructure levy to recover costs for the successfully completed Channel Deepening Project will increase by 80 cents to $33.10 plus GST (2.5%).

PoMC chief executive officer Stephen Bradford said: “As trade shows encouraging signs of rebounding from the impact of the global financial crisis, PoMC’s pricing framework aims to balance the need to fund port infrastructure and services while minimising the need for larger incremental price changes over time, where possible.

“Last year most port fee increases were capped to CPI at a time when many of our customers were affected by the trade downturn. The cost of providing infrastructure and services to an appropriate standard of safety, security, sustainability and efficiency is reflected in the new pricing arrangements.”

Overall, fee increases have generally been kept to within a range of 4.0% to 7.5% with the exception of fees for liquid bulk and motor vehicle trades.

Liquid bulk fees will increase by 39 cents per tonne to better reflect the costs of providing infrastructure and services associated with the trade, together with the costs involved with the management of environmental considerations including the remediation of contaminated land.

Motor vehicle fees will increase by an average of $3.80 per motor vehicle to $22.62 (plus GST). The channel fee for pure car carrier vessels remains at 75% of the scheduled fee.

Source: T and L News