Kalmar to deliver container handling machines to DP World Logistics Australia

Container handling technology manufacturer Kalmar, part of Cargotec, will deliver 38 new machines to DP World Australia’s recently launched logistics arm, DP World Logistics Australia.
The order includes seven Kalmar reachstackers, and 11 loaded and 20 empty container handlers. So far, 22 units have successfully been delivered to DP World Logistics Australia’s Botany Intermodal terminal, with the remaining equipment to be delivered by September 2017.
The new machines add to DP World Australia’s existing fleet of Kalmar rubber-tyred gantry cranes (RTGs), straddle carriers and terminal tractors and will serve operations in Sydney, Melbourne, Fremantle and DP World Australia’s semi-automated terminal in Brisbane.
The Kalmar reachstackers will be equipped with Kalmar K-Motion transmission technology, which secures uptime and productivity while reducing fuel consumption and emissions. Four units will also include overheight legs. All the Kalmar machines will be powered by Volvo IV Final engines to meet emissions standards and will feature the Kalmar SmartFleet system for performance-boosting remote monitoring and reporting.
“Kalmar won a competitive tender to renew, and increase, our fleet of machines in all our facilities around Australia,” said Ron French, National Engineering Manager at DP World Australia. “Our existing relationship gave us leverage to secure the best outcome for DP World Australia, with respect to pricing, service and ongoing support. The K-Motion option was very attractive due to lower fuel consumption and environmental impact.”
Michael Wahab, Director Mobile Equipment at Kalmar, added, “We are happy to continue to serve DP World Logistics Australia with reliable and efficient equipment tailored to their needs. The units are also equipped with environmentally conscious technology, including innovative K-Motion technology to significantly lessen fuel usage and reduce emissions by up to 40 per cent.”

Victorian Treasurer to present Australian Freight Industry Awards

The Victorian Transport Association (VTA) has announced that Treasurer Tim Pallas will attend the 28th Australian Freight Industry Awards (AFIAs) presentation celebration on 2 September, joining VTA President Cameron Dunn and CEO Peter Anderson on stage to present awards across the six major categories.
“The Victorian Government have been great supporters of the AFIAs as the sponsor of the Personality of the Year award, and by sending numerous representatives on the night itself,” said Peter Anderson, CEO, VTA.
“We are thrilled that the Treasurer will join us to recognise and acknowledge award winners and finalists for their outstanding achievements and contributions over the past year.
“That such a senior representative of the Andrews Government is attending our most important social event is a testament to the high standing with which the VTA is held within government.
“We have worked closely with the Treasurer and numerous other senior ministers on wide-ranging policy and legislative matters, and continue to appreciate the Victorian Government’s support of the freight and logistics industry, and its vital role in keeping our state’s economy moving,” he said.

Government backs Port of Melbourne rail shuttle

The Australian and Victorian Governments have announced that they will back several projects aimed at taking trucks off local roads and connecting major Victorian freight hubs with the Port of Melbourne, using the existing rail network.
The Governments will soon seek expressions of interest to deliver a series of rail freight ‘shuttle’ initiatives on the existing rail network by connecting the port to major freight hubs and businesses.
Federal Minister for Infrastructure and Transport Darren Chester said the proposal would take advantage of rail’s ability to shift larger volumes of freight than trucks, while also busting congestion in Victoria’s capital.
“The Australian Government’s free trade agreements are seeing a boom in exports, which has led to trucks taking more produce and freight to the ports,” said Chester.
“This project will provide the ability to shift larger volumes of freight via rail compared to trucks, and reduce congestion on our roads.
“The freight and logistics industry had identified rail’s potential to reduce transport costs by about 10 per cent, with the proposal potentially improving Australia’s competitiveness, which is why the Australian Government is investing $8.4 billion in the Inland Rail project connecting Brisbane and Melbourne.”
Victorian Minister for Roads, Road Safety and Ports Luke Donnellan said the initiative will take trucks off local roads in Melbourne’s inner west.
“The Port of Melbourne will remain our primary freight hub for a generation. With container numbers expected to double over the next two decades we need to act now to share the load between road and rail,” Donnellan said.
“Alongside the West Gate Tunnel, 24-hour truck bans in the inner west and the Port’s rail access plans, this project will help shift containers from residential streets onto dedicated routes to the port.”
Michael Kilgariff, Managing Director, ALC, welcomed the Governments’ support of rail freight.
“Moving more freight to rail, where it makes sense commercially, has the potential to significantly improve freight efficiency, while at the same time improving urban amenity, reducing road congestion and decreasing queuing times at ports,” Kilgariff said.
“[The] ALC has been a consistent supporter of the Port Rail Shuttle project, which will be a significant enhancement to the Port of Melbourne, producing real benefits for freight efficiency in Victoria, and across the nation’s supply chains.
“In NSW, the state government is committed to doubling the amount of freight entering and leaving Port Botany by rail, which currently sits at 19.3 per cent. NSW Ports is likewise committed to moving 3 million TEU by rail over the longer term.
“There needs to be an equal focus on promoting greater use of short haul rail services for freight movement in Victoria.
“The Port Rail Shuttle will build on other significant investments being made in freight infrastructure – including the Inland Rail project, which will link the Port of Melbourne with the Port of Brisbane when fully completed.
“Constructing the Port Rail Shuttle to provide a rail connection between the Port of Melbourne and inland ports in Victoria is a crucially important aspect of improving the state’s freight network and driving greater supply chain efficiency and safety.”
 

Linfox celebrates top employees

Transport and logistics powerhouse, Linfox, has presented two employees with awards at the Senior Leadership Conference in Melbourne.
Each year, two Linfox employees are recognised and rewarded for outstanding performance, consistent demonstration of the Linfox values and potential for growth into a larger leadership role.
At this year’s Conference, Executive Chairman, Peter Fox, presented Andy Gissing with the Chairman’s Award. As Group Manager Consumer in the Retail business unit, Chairman’s Award winner Gissing manages customer contracts across the household brands sector.
“Andy’s hard work and leadership instilled a sense of confidence among stakeholders, while continuously displaying our Linfox values,” Fox said.
“It’s uplifting to receive such an award, but I’m extremely grateful for the support from everyone within the Resources and Industrial division,” Gissing said.
“The entire team and the drivers across the nation all played an integral role. This made my job so much easier, and I thank them all.”
Annette Carey, CEO Australia and New Zealand, presented Clint Terbogt with the CEO’s Award. Terbogt is responsible for Linfox Intermodal’s FMCG customers.
“Clint has been instrumental in driving continuous improvement programs with our customers and has developed some fantastic projects with significant savings,” Carey said.
“Clint has earned our deep respect for his consistent demonstration of the company values, and has been identified as a future leader at Linfox.”
“Congratulations to both our winners for their hard work and dedication to the company.”
The award winners will receive scholarships for personal development of their choice, in areas such as industry expertise, general management and targeted experience-based learning.

Two VIC industrial properties sold for $20 million

Perth-based fund manager Mair Property Funds has entered into agreements to acquire two commercial properties in Melbourne for $20.3 million in two off-market deals.
The properties, located in Ravenhall and Altona North in Melbourne’s west, will form part of Mair’s Diversified Property Trust.
The Ravenhall property, in the Orbis Business Park, is a modern industrial facility constructed in 2010 and located 22km west of Melbourne CBD with a land area of 13,930m2. The 6,888m2 building is occupied with a 15-year lease until 2031.
The Altona North property is an industrial warehouse built in 2008 and located 13km south west of Melbourne CBD with a land area of 18,410m2. The 10,056m2 building is occupied with a recently agreed eight-year lease that expires in 2025.
Peter Melling, Acquisitions Manager, Mair Property Funds said the two assets were identified for their favourable locations and strong lease agreements.
“Altona is becoming an increasingly important logistics hub due to its proximity to the Melbourne Port and access to the Princess Freeway and Western Ring Road,” said Melling.
“Similarly, Ravenhall is a rapidly growing suburb part of the West Growth Corridor Plan, where the population is expected to increase from 210,000 in 2016 to 377,000 people.”
Upon completion of the acquisition, the properties will be included in MPF’s Diversified Property Trust, which already holds four commercial assets in three states, including a retail premise in Maraoochydore, Queensland; a medical facility in Ellenbrook, Western Australia; an industrial premise in Henderson, Western Australia; and a retail industrial premise in Lynbrook, Victoria.

ALC says freight “crucial” to city development

The Australian Logistics Council (ALC) has stressed the importance of efficient and safe supply chains in its submission to the House of Representatives’ enquiry into the Australian Government’s role in the development of cities.
“The essential items most Australians take for granted – our food, household appliances, clothing, medications and cars, to name just a handful – are generally not grown or manufactured close to the cities where most of us live,” said Michael Kilgariff, Managing Director, ALC.
“Because of this, it is critical that as the Australian Government develops and implements their cities policies, adequate attention is given to the way freight moves in our cities.
“While urban renewal has become a policy priority for state and local governments, the reality is land-use changes, made to allow further residential and commercial developments, are increasingly impinging on the efficiency of Australia’s supply chains.”
Kilgariff added that operations at nationally significant infrastructure facilities including Port Botany, Fremantle Port and the Port of Melbourne are currently, or are at risk of, being constrained due to urban encroachment.
“A truly safe and efficient supply chain needs to be able to operate round the clock, so that freight movement is able to occur at all times and operators can take advantage of off-peak road traffic volumes,” he said.
“[The] ALC’s submission also discusses the importance of corridor protection. For example, a recent study by Infrastructure Australia (IA) found that, with adequate corridor protections in place, $66 million could be saved when a future freight rail line is constructed to the Port of Brisbane.
“A discussion on CBD freight delivery, the separation of passenger and freight infrastructure and insufficient integration of new and existing transport infrastructure also forms part of [the] ALC’s submission.”
The ALC will be appearing before the Committee to elaborate on its submission at a Public Hearing in Canberra on Friday, 11 August.
 
 

Inland Rail to enable modal shift

At the Future of Freight event held by the Committee for Economic Development of Australia (CEDA) in Melbourne on 17 July, a panel of logistics industry experts discussed the need for, and barriers to, a modal shift in Australia’s freight transportation network.
John Fullerton, CEO of Australian Rail Track Corporation (ARTC), noted that the nation’s much-discussed growing freight task will heavily impact the east coast.
“If you look at Melbourne to Brisbane, currently only 25 per cent of that freight moves by rail, 75 per cent is on road,” he said. “Compare that to Melbourne all the way to Perth, we’ve got 75 per cent of the freight on rail, primarily because we run trains to different schedules, we’re more competitive, we can run trains a lot longer, and we can double stack those trains out of Adelaide.”
The purpose for Inland Rail, he added, will be to complete the network of track between Australia’s capital cities that can carry world class–configured trains. “We’re going to get more freight onto the network, to handle freight for the future and get a better, more productive market share,” he said.
Maurice James, Managing Director of logistics and infrastructure company Qube, added that he sees the Inland Rail project as a great opportunity.
“I think [people] are underestimating the benefits of Inland Rail,” he said, adding that the time is right for the construction of a “huge” intermodal terminal at either end of the rail line, in Melbourne and Brisbane, to drive freight to rail.
“Freight doesn’t just come to rail,” he said. “Freight goes to rail when rail is more efficient against road.
“The opportunity that Melbourne and Victoria have is to identify where is that big intermodal terminal at the end of the Inland Rail [going to go]?”
James noted that Qube will soon discuss ‘fragmented supply chains’ with the management of the Port of Melbourne.
“At its worst, between a container coming into the Port of Melbourne, or any port, and the product ending up on the shelves, there could be anywhere up to 12 or 14 different truck movements,” he said. “People thinking about the product going to the warehouse, then to the store – [they don’t realise] everything behind that container, where the empty container goes, the reuse of the empty as a export commodity, how it gets back to the port.”
Qube’s model, he shared, is to focus on making sure every container coming through Australia is used as efficiently as possible.
“The logistics challenge ahead for the country is quite simple,” he shared. “It’s truck movements to rail head, a rail movement to Brisbane, and a truck movement to a final destination, competing with a truck, door to door.
“[Truck door to door] is quite easy, from a pricing, costing, efficiency perspective, but if you had…an intermodal hub in Melbourne and Brisbane and you’ve effectively [got] rail competing door to door with road, then you’ve got a serious chance of a significant modal shift.”

Freight focus group supports road-pricing change

On a panel of logistics industry experts at the Future of Freight event held by the Committee for Economic Development of Australia (CEDA) in Melbourne on 17 July, John Fullerton, CEO of Australian Rail Track Corporation (ARTC) voiced his support for an increase in use-based charging for Australia’s road networks.
“At the end of the day, infrastructure has to be priced on usage,” he said. “We see it on rail today, we see it in telecommunications, and in the energy sector – you use it, you pay based on volume consumption.”
“Road pricing is inevitable, it has to happen because that way you can get some proper decision making around how best to invest your funds.”
He added that in the future, that decision making may well be taken out of the hands of those currently responsible for it, due to a move towards green transport.
“A lot of road expenditure is recovered from fuel excise on vehicles that are now far more productive than they have ever been,” Fullerton said. “Plus we can all see the move to electric vehicles and electric trucks happening, inevitably governments won’t be able to cover revenues from fuel excises because there will be less and less fuel consumed.”
“It is common sense to introduce a road-charging mechanism where, particularly on heavy vehicles, for every tonne of freight carried over a kilometre, and on particular corridors that may attract higher rates than other sorts of corridors.”
The recovered revenue could then flow back into government, he explained, to be reinvested, whether in rail or road, to get the best investment and most productive return for the economy.
“I think we’re heading in that direction,” he said. “It’s been slow, and it should happen quicker, but I’m certainly seeing at a federal level there’s a great appetite to move in this direction.
Maurice James, Managing Director of Qube, agreed that a different pricing regime is inevitable, suggesting a price scheme based on higher fees to access in-demand routes, and added that he hopes measures to ease urban congestion in Melbourne will also be implemented in the coming years.
“I feel that the biggest issue here in Victoria is we’ve almost got a disconnect between urban planning and urban policy frameworks, and freight planning and the policy that goes into freight,” he said.
He encouraged event attendees from the Victorian Government to think about how the region’s freight supply chain can be addressed in order to deliver efficiencies.
“I think Melbourne’s geography has been its strength,” he said, noting that 10 or 15 years ago, Melbourne was held up as a beacon in comparison with Sydney’s congestion. “[It] has a great road network, in terms of City Link, West Gate and the Monash [Freeway], but now […] that’s a congested network.”
He called for a freight system whereby goods brought into the Port of Melbourne would be more efficiently transported to their destination, where at present they are moved to the city’s western suburbs from the Port, then often back over to the east to their final destination.

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Ampacet establishes state-of-the-art VIC facility

Ampacet Australia, provider of masterbatch to the plastics industry for use in products such as food packaging, has established a new state-of-the-art site and Centre for Excellence in Dandenong South, in Melbourne’s southeast.
The facility has a fully functional laboratory for product development and quality assurance and it is expected the Dandenong South site will produce masterbatch products – solid or liquid additives used to colour plastics.
Ampacet also plans to export flame-retardant products from the plant to China.
Wade Noonan, Minister for Industry and Employment, attended the official opening of the facility on 18 July.
“Ampacet Australia joins an ever-growing list of manufacturers choosing to base their operations in Dandenong – one of the nation’s largest manufacturing precincts,” he said.
“We are excited to watch this company grow and take its products to the world.”

VTA makes recommendations for West Gate Tunnel

In its response to the West Gate Tunnel Environmental Effects Statement (EES), the Victorian Transport Association (VTA) has made recommendations designed to make the proposed road more efficient and productive for operators.
“Our strategic assessment of the merits of the Environmental Effects Statement of the West Gate Tunnel Project, has determined the project will deliver a high level of benefit in providing an alternative to the West Gate Bridge and supporting the productivity and performance of the M1 corridor,” said Peter Anderson, CEO, VTA.
“While the project will assist in improving transport connections with the city and the western and inner western suburbs, the need for the Port of Melbourne (PoM) to grow and prosper is vital to the overall prosperity of Victoria, and this project must deliver on Melbourne’s future growth opportunities.”
Specifically, the VTA has recommended that plans to meter heavy-vehicle entry ramps be abandoned on safety grounds, and to keep truck traffic moving seamlessly.
“Heavy vehicles, regularly weighing between 55 and 65 tonne gross mass, have great difficulty in entering the freeway at freeway speeds from a standing start,” Anderson added. “The VTA maintains it will be safer and more efficient, and would not impede the flow of traffic onto the freeway, if the heavy-vehicle lane is not metered.”
The VTA submission also recommended an additional lane be added to the eastbound entry ramp from Millers Road to allow for safer entry to the freeway.
In relation to user charges, the VTA has strongly recommended tolls reflect the net impact upon the infrastructure in a fair and equitable way.
“The tolling regime should acknowledge the multiple user and shuttle service providers to the PoM at an agreed threshold of daily movement,” said Anderson. “The transport operator should be eligible for a discount on the current tolling rates that would encourage full usage of the system.”
The VTA also made recommendations regarding construction congestion and ensuring that the Port of Melbourne will not be negatively impacted during construction, noting that McKenzie Road is a vital link and the construction process must not lead to vehicle disruption and road closures.
Other recommendations were for design changes at various locations to enable better movement of freight and less congestion.

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