VTA, RFNSW advise operators on infrastructure surcharge hike

Stevedore Patrick recently advised road and rail freight operators of plans to increase infrastructure surcharges at its terminals from 12 March.
The new rates are as follow:
Melbourne: $47.50 per box
Sydney: $41.10 per box
Brisbane: $38.25 per box
Fremantle: $7.50 per box
The increases will apply to both road and rail transport operators for full import and export container movements at the terminals, and will be “subject to an annual review,” with any price change to apply from 1 July 2018.
Road operators will continue to be invoiced electronically via 1-Stop.
The Victorian Transport Association (VTA) has written to members to urge them to pass on infrastructure surcharge increases, saying ultimately consumers must bear the brunt of supply-chain cost increases.
“Operators continue to face unprecedented increases to infrastructure and road-user charges in and around the Port of Melbourne,” said VTA CEO, Peter Anderson.
“It is vital these and other cost-of-business increases are absorbed through the supply chain for freight businesses to remain sustainable and viable in a competitive trading environment,” he said.
“The VTA has long argued that consumers need to understand that price increases brought about by higher business and transactional costs will ultimately have to be passed on to them because businesses already operating to tight margins will go out of business if they try and absorb the costs,” said Anderson. “Consumers are the ultimate benefactors from receiving goods delivered by the transport industry, and therefore they need to be subjected to the same price increases operators and other participants in the supply chain are required to take on.”
Road Freight New South Wales CEO Simon O’Hara has responded to the fee hikes, calling for oversight, accountability and transparency to guide the actions of stevedores.
“Patrick’s infrastructure surcharge has gone from zero to $25.45 to $41.10 in less than a year,” he said. “That’s a massive increase with little justification.”