Costs Increase for Port to Take Larger Ships

Thursday, March 22, 2007
The new generation of giant container ships will be able to access Melbourne's port within three years under plans released yesterday by the Bracks Government to deepen the channels leading to the city's docks, the Australian reported. But figures released along with an environmental effects statement reveal the cost of the dredging project has blown out from $545 million to at least $763 million.

And Treasurer John Brumby refused to say how much of the burden would be borne by taxpayers and how much by cargo exporters through a proposed increase in the container levy. Shallow areas in the mouth of Port Phillip Bay, the mouth of the Yarra River and the shipping channel between the two prevent about 25per cent of container ships using the port or loading to full capacity.

Modern ships are much larger and importers and exporters are keen to benefit from the economies of scale these vessels offer. Many of the bigger ships delivering cargo bound for Melbourne now dock at Singapore and their loads are placed on several smaller vessels for the final leg, generating extra costs. The project is poised to proceed with the statement released yesterday saying that although the dredging will reduce fish stocks and kill 5 per cent of Port Phillip Bay's sea grass beds, the damage will be short-lived and outweighed by the benefits.

Business has welcomed the project as essential to keep Melbourne's port - which handles almost 40 per cent of Australia's container trade - competitive.

The Australian Industry Group, the Victorian Trades Hall Council and Victorian Employers Chamber of Commerce and Industry welcomed the progress on the project, with VECCI chief Neil Coulson saying taxpayers should provide $200 million towards it. Source: The Australian

Maritime Today

The Maritime Industry's original and most viewed E-News Service

Maritime Reporter November 2015 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds


DP World, SCA Pact for Ain Sokhna Port Development

Suez Canal Authority (SCA) and the Red Sea Ports Authority signed an agreement with Dubai Ports World (DP World) and Sonker Bunkering Company for the development of Egypt’s Ain Sokhna seaport,

SCCT Prepares to Boost Vessel Traffic with 24-hour Access

A formal signing ceremony will now enable vessels to transit to Port Said East through a new side channel to be constructed bypassing the Suez Canal’s main entrance.

Controversial Nicaragua Canal Project Postponed

China's Hong Kong Nicaragua Development (HKND) Co. said it is delaying the start of construction on a controversial $50 billion inter-ocean canal across Nicaragua until late 2016.

Maritime Contracts Maritime Security Maritime Standards Navigation Offshore Oil Pipelines Salvage Ship Electronics Ship Simulators Winch
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1601 sec (6 req/sec)