Freight and Logistics Council of Western Australia
Meeting 29 May 2014
Fremantle
EXECUTIVE SUMMARY
The main issues discussed at the meeting included:
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the changing direction of WA supply lines from east-west to north-south;
Perth Freight Link and its implications for the freight industry;
reforming heavy vehicle charging and road infrastructure investment;
the current Federal inquiry into coastal shipping policy; and
the grain season just gone and that upcoming.
Freight and Logistics Council of Western Australia
Meeting 29 May 2014
Fremantle
ACTION SHEET
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Advise Minister of Council’s view of issues related to Perth Freight Link project that should
be addressed as the concept develops.
Members to respond to recent report on reforming heavy vehicle charging and road
infrastructure investment.
Submit agreed response to current Federal inquiry into coastal shipping policy.
Seek assurance from Department of Transport that there will be no further delays in the
introduction of Compliance and Enforcement legislation.
Freight and Logistics Council of Western Australia
Meeting 29 May 2014
Fremantle
NOTES OF MEETING
Those present included:
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Fred Affleck, Chairman;
Graeme Wilson, Port Operations Task Force;
Ian Duncan, WA Local Government Association;
Andrew Mencshelyi, CBH Group;
Jodie Ransom, MUR Shipping;
Greg Martin, Independent;
Bob Pearce, Independent;
Haydn Hempel, WA Road Transport Association;
Tim Cooling, Brookfield Rail;
Chris Leatt-Hayter, Fremantle Ports;
Pascal Felix, Main Roads WA;
Anne Hill, Department of Planning;
Brett Hughes, Department of Transport;
Mark Brownell, Freight and Logistics Council; and
Glenda Galipo, Freight and Logistics Council.
Guests included:
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Fiona Callander, Independent Consultant; and
Paul Fourie, Main Roads WA.
Agenda Item One: Opening Comments
Fred Affleck welcomed members, deputies and guests to the meeting. Apologies were noted from
Ian King (Ports WA), Ian King (WARTA). Reece Waldock, Steve Troughton, Gail McGowan, John
Oliver, Paul Larsen, Steve Martin, Paul Haigh, Kate Wang and Jim Stevenson, the majority of whom
were represented. The notes of the last meeting were accepted and actions from the meeting were
confirmed.
Agenda Item Two: Presentations
a) Changing Direction of Supply Lines
Fiona Callander gave an update on the work she and Tim Hoffman were conducting on the apparent
movement of supply lines into WA from east-west to north-south. (Copy of Fiona’s presentation
attached to these notes.) Fiona commented on the severe shortcomings in related data, especially
with east-west movements. Notwithstanding this problem, there is no doubt that the growth in
imported containers from Asian origins clearly outstrips movements from the east coast of Australia.
China was particularly noticeable as a rapidly increasing source of household goods and
manufactures. Discussions with major national retailers bore out these trends, with the likes of K
Mart and Target now receiving very little product from interstate. Supermarkets did tend to still
have stronger links to Australian suppliers, mainly with perishable product. Fiona said that the final
report from the study would be available shortly. It was agreed that the Council could decide on
further action following receipt of the report.
b) Perth Freight Link
Paul Fourie from Main Roads WA described the various projects that would result in major road
upgrades all the way from Fremantle Port to Muchea north of Perth. The key elements in this
programme of works were Northlink ($1.1 billion), Gateway WA ($1 billion) and Perth Freight Link
($1.6 billion). Paul gave particular attention to the component parts of the Perth Freight Link project.
In related discussion, it was agreed that it would be extremely helpful if the Government was able to
make a strong statement as to the Fremantle Inner Harbour continuing into the long term. It was felt
that an understanding of that as an unambiguous position would strengthen the argument for
associated road links, especially the extension of Roe Highway.
Graeme Wilson said that a project of this size had significant implications across the freight and
logistics sector. He said that the Transport Operations Working Group believed that the next phase
of development of the Perth Freight Link concept should give consideration to a number of factors
including:
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the associated increase in Inner Harbour capacity from an access viewpoint;
any operational constraints on Inner Harbour capacity such as increases in vessel size in the
long term;
the impact on the timing for new container facilities in the Outer Harbour;
the necessity to reserve freight corridors in the Outer Harbour now, even if the requirement
for new facilities has been pushed back;
the likelihood of larger trucks accessing the Inner Harbour as a result of improved road
conditions;
the means of ensuring that trucks can benefit from the greater efficiencies and not have
these eroded by large numbers of private motor vehicles;
the quantum and application of the proposed heavy vehicle charge;
whether there is a case for charging private motor vehicles;
the means of preventing leakage to local roads by road transport operators attempting to
avoid the charge;
the impact on smaller road transport operators of the new system; and
amendments to container handling and general logistics arrangements at either end of the
new system to ensure full benefit of new efficiencies.
Fred Affleck said that there was general support for Perth Freight Link from the Council but that
these related issues that should be brought to the Minister’s attention for examination as the
concept is developed.
Agenda Item Three: For Discussion
a) Heavy Vehicle Charging and Investment
Fred Affleck said that the status of this issue within governments was uncertain following recent
decisions on the manner in which it should be progressed. Notwithstanding, the issue was
potentially of great significance to this State and so a related consultancy examining the benefits of a
new policy that had commenced prior to recent decisions had been finalised. The resultant report
had been circulated for members’ consideration.
Greg Martin commented that some aspects of the report needed further development before the
Council could take a firm position that could form the basis of advice to the Minister. Greg agreed to
provide written comments to elaborate on this observation. Fred Affleck asked that other interested
members such as WALGA also put forward any views on the report. The Council could then have
another discussion on the issue with a view to advising the Minister.
b) Coastal Shipping Policy
Following discussion of the draft submission to the current review of Federal shipping policy, it was
agreed that the document fairly represented the Council’s view and should be submitted.
Agenda Item Four: For Information
a) CBH Update
Andrew Mencshelyi commented that CBH had handled a record 15.8 million tonnes of grain in the
season just gone. Another 1.5 million tonnes is estimated to have moved outside the CBH system.
Both rail and road records were broken by CBH in the movement of this crop, with additional trucks
and trains having to be sourced to meet associated movements. All the signs were that the coming
season would again yield above average tonnages. The movement of the coming harvest should not
pose any problems because the logistics system was already geared up to handle the record
throughput of the season just gone.
b) Red Tape
Mark Brownell noted that CCIWA was conducting an exercise aimed at identifying and reducing
unnecessary red tape in Government. Members are encouraged to bring forward examples. Fred
Affleck commented that there were varied perceptions of unnecessary red tape and it was
important that the exercise did not result in reduction of helpful Government process in respect of
freight industry.
Agenda Item Six: Working Group Reports
a) Transport Operations Working Group
Due to time constraints, Graeme Wilson did not fully report on current activities by this Working
Group. He did, however, draw attention to the possibility of further delay in the introduction of the
Compliance and Enforcement legislation. Graeme said that industry required a strong assurance
from the Department of Transport that there would be no further delays as the credibility of the
policy was already being eroded.
b) Freight and Land Use Planning Working Group
Fred Affleck drew attention to the planned workshop on the use of State Planning Policy 5.4 on
freight noise impacts. As soon as a date had been settled for this event, all members would be
invited because of the significance of the issue. Anne Hill mentioned that a paper on corridor
protection and corridor sharing was being prepared by her Department and would be available to
the Council shortly.
Agenda Item Six: Closing Comments
Fred Affleck thanked members, deputies and guests for their time and input at the meeting. He
noted that the next meeting would take place on the morning of 26 June. There being no other
business, Fred closed proceedings at that point.