ALC throws support behind new intermodal approach to moving rapidly growing volumes of port-related freight around Melbourne proposed by Victorian Government
October 12, 2010
The Australian Logistics Council (ALC) has thrown its support behind the new intermodal approach to moving rapidly growing volumes of port-related freight around Melbourne proposed by the Victorian Government discussion paper – ‘Shaping Melbourne’s Freight Futures’.
In its submission to the review, the ALC says it generally agrees with the creation of a ‘hybrid metropolitan freight terminal network’ (MFTN) created in partnership between industry and government to serve Victoria.
“As proposed in the discussion paper, terminals with the status of ‘inland ports’ should be located in clearly designated freight precincts to the west, north and south east of Melbourne, while noting that over time terminals in other areas of Victoria could be added to the network,” it says.
ALC agrees the MFTN process should be co-ordinated by a single government agency with the capacity to make such zoning decisions that are necessary to ensure the efficient development of the MFTN.
But it adds that if this agency does not have the capacity to make zoning decisions, then at the very least any final documentation flowing from the discussion paper should be an instrument to be taken into account when zoning decisions are made.
“While it may be the case that a government authority may own the site of the terminals, and perform the landlord and service contract/franchise management functions and MFTN line haul operations, both road and rail could be contracted or franchised to a single integrated operator,” the ALC suggests.
“Any creation of monopoly rights within the MFTN should only proceed following a rigorous cost-benefit analysis, and operational analysis/simulation and the application of competition principles.”
Given they are already in existence, the ALC says the rail effort should use, at least initially, existing rail infrastructure (including METROL control), although more generally specialist rolling stock and next generation HPFVs should be used for the hauling task.
“For the present, there will need to be a clear memorandum of understanding – if not an enforceable agreement – as to the level of access that assets undertaking the line-haul task have to lines principally dedicated to passenger movements,” it says.
“However, in the long run, particularly for rail, specific corridors should be dedicated to the MFTN so as to minimise congestion on other rail corridors and to maximise the efficient use of assets.”
The ALC agrees that MFTN should be co-ordinated through a single integrated ICT operating system.
Finally, ALC believes the road freight access charge issue should be implemented only after careful analysis and after having regard to any road pricing mechanisms that may be adopted federally.