The Federal Government has announced a three point reform agenda for the country’s ports, freight and shipping industries.

 

The Federal Minister for Infrastructure and Transport, Anthony Albanese, acknowledged the need for reform in the three sectors.

 

Mr Albanese said that extensive reform to the country’s port sector was necessary to establish the sector as a ‘cornerstone’ of the country’s freight system.

 

Mr Albanese outlined the following requirements for future reform in port sector:

  • Clear and transparent planning that also considers port expansion, port links and integrated transport;
  • Consideration of the decision-making, planning and functions of those who operate within ports, regulate ports, rely on ports or are affected by their operation; and
  • A clear focus on performance, reporting and transparency by relevant bodies that interact with ports 

 

The reform outline comes as state transport ministers agreed to submit  an updated National Ports Strategy to COA after a final consultation.

 

In a speech delivered to a Ports Australia dinner, Mr Albanese urged more reform would be needed in the freight sector to promote further productivity gains.

 

“The National Land Freight Strategy that is currently under development proposes the development of one integrated system a national transport network that includes roads, rail, ports and airports,” Mr Albanese said.

 

Mr Albanese identified issues that must be addressed by a future national approach, including:

  • Eight separate approaches to freight and network strategies;
  • Poor interoperability and reliability across infrastructure networks, modes and jurisdictions; and
  • Inconsistent regulation and planning and often, a lack of innovative approaches to make change for the better.

 

Mr Albanese outlined the major goals of a long-term strategy in the freight sector, saying that a future national guideline must focus on improved productivity, modern operating procedures, harnessing smart technology and developing a focus on performance and best practice.

 

Mr Albanese outlined the following requisites for a future long term policy

 

  • identify optimal routes, precincts and terminals to serve major cities and regional centres
  • develop truly long term infrastructure planning that promotes private investment;
  • create a road improvement regime that facilitates investment by the freight industry and the industry's customers;
  • examine road and rail pricing; and
  • consider planning requirements for modal and intermodal terminals.

 

Mr Albanese reiterated the government’s position on shipping reform, including taxation, licensing and workforce skilling reform.

 

The shipping taxation reforms outlined by Mr Albanese include:

 

  • An tax exemption for income from eligible vessels and shipping activities will reduce costs for Australian registered ships;
  • A ten-year accelerated depreciation regime will stimulate investment in new ships and in the renewal of existing ships;
  • And a tax concession for eligible seafarers engaged in the international trades will reduce operating costs and support Australian shipping in international markets.

 

The licensing reforms proposed by the Federal Government include:

 

  • Australian registered operators will be supported by a General licence that allows them unrestricted access to coastal trades and access to taxation incentives;
  • The necessary role of foreign vessels will be managed by a voyage-limited Temporary Licence; and
  • Emergency licences will support ship movements in real emergency situations.

 

The workforce skills reform agenda include:

 

  • A strong and agreed data and evidence base on the criticality of the industry's skills needs. That evidence will help industry access existing Government skills and training resources.
  • An industry-wide workforce plan that puts actions in place to address the skills needs - this will cover shore and non-shore based roles; and
  • Developing a more national approach to training and skills outcomes, rather than sector-based or state-based approaches that currently exist.