The Australian Logistics Council (ALC) has announced that its 2017 Supply Chain Safety & Compliance Summit will take place 5–6 September at ICC Sydney.
With the Government continuing to develop the National Freight and Supply Chain Strategy, this year’s Summit will consider how the Strategy can be used to improve safety outcomes in the freight logistics industry.
Another key focus at the Summit will be the significant extension to Chain of Responsibility, set to come into force in 2018, that will extend the legal obligations and liabilities of executive officers and company directors.
The 2016 Summit brought together over 300 industry representatives to benchmark, share best practice and identify gaps where improvements are needed. The 2017 Summit will again attract representatives from all parts of the supply chain, including customers, suppliers and logistics providers.
“The Supply Chain Safety & Compliance Summit is a valuable opportunity to raise awareness of changes to CoR obligations and advise industry on improving safety and compliance levels,” said Michael Kilgariff, Managing Director, ALC. “The event will serve as a platform for policy discussions, workshops and consultations and we look forward to an active and engaging series of discussions.” Find out more.
The Maritime Union of Australia (MUA) has stated that it feels that some of the money earmarked for the $8.4 billion Melbourne-to-Brisbane Inland Rail project could be better spent on investment in Australia’s coastal shipping sector.
MUA National Secretary Paddy Crumlin said that while the MUA agrees Australia should be trying to get trucks off the roads, the sea offers the best alternative.
“Port infrastructure already exists in Australia and coastal shipping leaves the lowest carbon footprint when it comes to moving goods around our coast,” Crumlin said.
“This package from the Government looks a lot like pork-barrelling by the Coalition to protect their inland seats through regional Victoria, NSW and Queensland as they desperately try to stave off the threat from One Nation and other parties.”
“A strong domestic shipping fleet makes absolute sense from a national security, fuel security, and environmental standpoint,” Crumlin added.
The launch of the Moorebank Logistics Park has been described by the Australian Logistics Council (ALC) as a “watershed moment” in the continuing transformation of Australia’s freight networks.
“Given the Federal Budget’s significant investment in freight infrastructure and the continuing development of the National Freight and Supply Chain Strategy, it’s an auspicious moment to mark the establishment of what will become the nation’s largest intermodal freight precinct,” said ALC Managing Director Michael Kilgariff.
“This nationally significant project was included on Infrastructure Australia’s Infrastructure Priority List and, according to government figures, is expected to create some 6,800 jobs and deliver $11 billion in economic benefits over the next three decades. The strategic location of this site, at the very heart of New South Wales’ freight network, is second to none.”
Kilgariff added that more efficient road and rail connections from ports to intermodal facilities would be key in meeting the country’s growing freight task, reducing road congestion and improving community amenity.
“The Moorebank facility is central to achieving this around Sydney’s heavily congested M5 corridor,” he added. “At the same time, its ability to transport 1.5 million TEU each year from Port Botany by rail will support the NSW Government’s goal of boosting rail freight to and from that port from its current 18 per cent to around 30 per cent. Likewise, it accords with NSW Ports’ objective of moving three million TEU by rail by 2045.”
“ALC has long argued that building a reliable, national network of intermodal facilities is central to boosting rail’s contribution the national freight task. Moorebank will complement other intermodal facilities throughout NSW, including Aurizon’s operations at NSW Ports’ Enfield Intermodal Logistics Centre, and Pacific National’s facility at Chullora.”
“Both Moorebank Intermodal Company and Qube Holdings deserve enormous credit for their intensive efforts bringing Moorebank to fruition. The success of this intermodal facility is set to deliver transformational improvements to supply chain efficiency,” Kilgariff concluded.
General hire equipment supplier Kennards Hire has renewed its partnership with the Sydney Swans, signing on as a ‘premier partner’ for the next three seasons.
Kennards Hire joined forces with the Sydney Swans three years ago and has now locked in its commitment as the club’s Official Trade and DIY Hire Partner until 2019.
Sydney Swans CEO and Managing Director Andrew Ireland said he’s excited to welcome a new premier partner.
“Our football club is very grateful for the support of Kennards Hire, and to have a partner want to increase their commitment is a wonderful endorsement,” Ireland said.
“Kennards Hire is a trusted brand and a family-operated company that was founded in Bathurst here in New South Wales. Our brands share great synergy and we’re proud to have Kennards as part of our Sydney Swans family.”
Kennards Hire Chief Executive Officer Angus Kennard said taking the partnership to a new level is a natural step forward.
“Kennards Hire is proud to sign on as Premium Partner with the Swans, who undoubtedly share the similar values of fairness and family,” he said.
“As brands that aim to be the best in their field, we are excited about sharing the fast-paced thrill of AFL with our staff, customers, suppliers and Swans fans over the next few years.”
Federal funding for the $120 million Scone Bypass project in New South Wales has been approved, with construction slated for late 2017.
The Australian Government is contributing $65 million to the project while the New South Wales Government is providing $55 million.
The four-kilometre bypass is aimed at creating a safer and more efficient road network for the local region, and supporting regional producers.
Federal Minister for Infrastructure and Transport Darren Chester said the funding approval meant work on the bypass could get started later this year.
“Putting this money on the table to build the bypass is another step towards a more prosperous regional Australia. We are committed to seeing the region thrive, and putting in a bypass means safer local streets, better freight movement and less congestion on local roads,” Mr. Chester said.
“We’ve worked hard to make this project a reality – together, the Australian and New South Wales governments committed an extra $30 million at the 2016 election to make sure there were no holdups with the project,” said Federal Minister for Infrastructure and Transport Darren Chester. “We want to ensure the region’s farmers and producers remain well-connected to global and domestic markets, keeping them viable and competitive.”
Deputy Prime Minister and Federal Member for New England Barnaby Joyce said the bypass help Scone residents in the creation of hundreds of direct and indirect jobs.
“Having to negotiate with heavy freight traffic as you are trying to cross a road to get a loaf of bread is never great, and what this bypass will do is shift some of that traffic outside of Scone’s CBD,” Mr. Joyce said.
“It will also help freight operators and residents, who will no longer experience significant delays from two rail crossings intersecting the New England Highway. Currently, large freight trains hinder traffic for up to two hours each day and this will only increase as more freight moves by rail.
“The bypass will fix that problem and allow the region to reach the potential by providing the infrastructure it needs to grow.”
Sydney motorists will soon benefit from a new road underpass linking General Holmes Drive, Botany Road and Wentworth Avenue, with work now under way on the $170 million Airport East project.
Federal Minister for Urban Infrastructure, Paul Fletcher said the project, which includes $40 million of funding from the Australian government, will improve the movement of rail freight to and from Port Botany while improving traffic flow from the airport.
“Sydney Airport and Port Botany are two of Australia’s most important international gateways but roads in the area are increasingly congested due to the rising numbers of passenger, freight and commuter vehicles,” Fletcher said.
“Motorists who use these roads know how important the Airport East project will be to improving congestion around the airport and Port Botany.
“Once finished in 2019, congestion through this area will be reduced in both the morning and evening peaks, making trips to and from the airport easier, with less time wasted sitting in traffic.”
NSW Minister for Roads, Maritime and Freight, Melinda Pavey, said the Airport East project will replace the General Holmes Drive rail level crossing with a road underpass linking General Holmes Drive, Botany Road and Wentworth Avenue.
“There will also be improvements to the Mill Pond Road intersection, along with widening of Joyce Drive and General Holmes Drive to three lanes in each direction between O’Riordan Street and Mill Pond Road,” Pavey said.
“The Airport East project forms part of the NSW Government’s Sydney Airport precinct upgrades.”
Work on the Airport West project is due to finish in mid-2017 and work is expected to start on the Airport North project later this year.
Minister for Finance, Senator the Hon. Mathias Cormann and Minister for Infrastructure & Transport, the Hon. Darren Chester MP marked the official commencement of construction at the Moorebank Logistics Park on 6 April, following months of pre-construction and remedial works.
Moorebank Intermodal Company and the Sydney Intermodal Terminal Alliance (SIMTA), a wholly owned subsidiary of Qube Holdings, reached financial close on the agreement to develop and operate the site in late January.
Moorebank Intermodal Company Chair Dr Kerry Schott AO and Qube Holdings Chairman Chris Corrigan joined the ministers in recognising the significant milestone.
“The site has a direct rail link to Port Botany and the interstate freight network which, along with its proximity to major motorways, makes it ideal for an intermodal facility,” said Corrigan. “Moorebank Logistics Park will transform the freight and logistics supply chain along the East Coast.”
Corrigan noted that Moorebank was identified as a priority location for a freight terminal in 2004 and in October 2016 was included on Infrastructure Australia’s priority list for national infrastructure projects.
Dr Schott noted that both Qube and the Government share a long-term strategy to improve the logistics chain between the port, Moorebank and the rest of the freight network. This arrangement has the potential to become a model for future projects involving government and the private sector.
“Moorebank Intermodal Company was established to facilitate the development of the Moorebank Intermodal Terminal and oversee the achievement of the Commonwealth’s infrastructure and freight policy objectives.”
“The commencement of construction is a significant milestone that recognises our success and brings us a step closer to realising the substantial benefits this development will deliver for the people of southwest Sydney, and NSW more broadly.”
“Moorebank Logistics Park is a nationally significant infrastructure project that will be a major economic contributor to local and regional communities for years to come.”
Chester commented, “Today marks the first sod turn of the Moorebank Logistics Park, one of Australia’s most important freight infrastructure projects to address urban congestion and improve national freight connectivity.
Assessed as a priority project by Infrastructure Australia, the Moorebank Logistics Park is expected to deliver over $11 billion in economic benefits over the coming 30 years, including $120 million a year for the economy of south-western Sydney.
Over 1,300 jobs are expected to be created during construction of the Moorebank Logistics Park and a Deloitte Employment Forecast Report found that, once operations are at full capacity, the site will employ approximately 6,800 people.
After consultation with the Victorian Transport Association (VTA), DP World Australia has agreed to push back the introduction of its new fee for containers at its Sydney and Melbourne terminals by two weeks, to Monday 17 April.
“There is no doubt that the new infrastructure surcharge rates to be applied to full containers delivered via road or rail at DP World Australia’s Melbourne and Sydney terminals will impact significantly on the transport industry in terms of cost, profit margin and other economic variables,” VTA CEO Peter Anderson told Logistics & Materials Handling. “The VTA has been in close consultation with many operators that have expressed concern about the increases to the surcharge, and our advice is to quickly enter into discussions with customers to negotiate passing on the full financial impact of the increase as soon practicable.”
DP World has agreed to postpone the commencement date of the new surcharge to give operators and industry additional time to negotiate with their customers, and to alleviate short-term cash flow issues that could be experienced from the fee taking effect.
“The increase is indeed dramatic, and must be passed on by operators directly to their customers in order to mitigate its impact,” Anderson said. “It is important that customers understand that the costs of doing business for transport operators are increasing rapidly, and that transactional costs such as this surcharge, and similar increases to tolls and levies, ultimately must be worn by customers and the end user.
Road Freight New South Wales (RFNSW) has called on the ACCC to investigate the new infrastructure surcharge to be introduced on 17 April 2017 by DP World at its Sydney terminal.
The surcharge will be $21.16 per container and will apply to all full containers received or delivered via road or rail at the Sydney Terminal.
Simon O’Hara, General Manager, RFNSW called on the ACCC’s Rod Sims in a letter to investigate whether DPW Australia misused its substantial market power under s46 of the Competition and Consumer ACT (CCA), engaged in unconscionable conduct under ss 20 or 21 of the Australian Consumer Law (ACL), or imposed the infrastructure surcharge in an unfair and discriminatory manner, including under the new small business unfair contract terms law.
“Our members are extremely concerned about DP World’s unilateral decision, which was announced without any consultation with industry,” said O’Hara. “There has been no discussion or input from carriers, just a one-page letter warning carriers that their ongoing access to the Sydney terminal is contingent on them paying up.
“DPWA has failed to justify why it’s imposing the extra levy on carriers, spinning it as an ‘infrastructure surcharge’ We have no understanding as to how they reached this decision, and given they have not consulted with industry, we still do not understand their rationale,” he said.
O’Hara said that the decision was anti-competitive, discriminatory and unfair.
“Carriers will be charged through the One-Stop Vehicle Booking System and RFNSW is calling on DP World to outline specific billing and payment procedures for carriers and how they compare with rail operators at the port. We are concerned that carriers, yet again, will be disadvantaged,” said O’Hara.
“The fact that the Infrastructure Surcharge applies only to laden containers arriving by road and rail is discriminatory and to the detriment of road and rail companies that do not have the ability to change stevedores in response to the price increases.
“That is, the infrastructure surcharge will not apply to the repositioning of empty containers by shipping lines, which contributes substantially to the total container movements conducted by DPWA and the use of the various capital equipment sought to be covered by the Infrastructure Surcharge,” he said.
“DP World demands payment in seven days, and ongoing access to their terminals is conditional on paying on time. Yet, transport operators will only be able to recoup the costs based on their customers’ terms [in] 30 days, or in many cases longer.”
O’Hara said that RFNSW would also take up the surcharge with the Australian Small Business and Family Enterprise Ombudsman, Kate Carnell AO.
A 15-month-old giraffe recently undertook a journey from Auckland Zoo to Mogo Zoo on the south coast of New South Wales.
The giraffe – Mtundu (Swahili: mischievous one) – arrived at DP World’s Port Botany terminal on the evening of 24 February, Mtundu, on board the Hamburg Sud vessel Hammonia Galacia.
The project to move Mtundu was a carefully orchestrated exercise requiring the cooperation of many parties and port stakeholders.
Having travelled from Auckland Zoo in a specially built enclosure, the giraffe was lifted off the vessel onto a low loader truck waiting on the wharf.
With the assistance of a convoy of transport and logistics professionals, the truck exited the port in the early hours of Saturday morning before hitting the highway, safely delivering Mtundu to his new home at Mogo Zoo, NSW.
A support crew including specialist animal handlers and veterinarian staff accompanied 500kg Mtundu on his journey.
“NSW Ports manages the ports of Port Botany and Port Kembla and is proud to be able to support the movement of goods on behalf of the people and businesses of New South Wales and Australia – (in whatever shape or size they come),” said NSW Ports in a statement.
“As one of the largest container ports in Australia, Port Botany is used to handling cargo from all over the world, with almost 2.3 million containers transiting the facility annually.”