Freight & Trade Alliance (FTA) and the Australian Peak Shippers Association (APSA) welcome the
opportunity to provide feedback on the Victorian Government's consultation on potential amendments to the
Port of Melbourne Pricing Order.
FTA/APSA represent Australia's international trade, freight and logistics sectors with membership covering
major importers, exporters, logistics providers, customs brokers, freight forwarders and peak shipper
interests. Our focus remains on fair, transparent and efficient regulatory settings that support sustainable
port operations, competitive neutrality, and the long-term resilience of the Victorian freight task.
The proposed reforms represent a significant shift in the regulatory framework governing major port
infrastructure investment and tariff-setting arrangements. FTA/APSA acknowledge the potential benefits of
these changes, particularly where they enhance transparency, provide earlier certainty for port users, and
support the timely delivery of capacity needed to meet Victoria's future trade task.
However, industry support is contingent on strong regulatory safeguards to ensure costs passed through to
port users are prudent, efficient, clearly defined and subject to rigorous independent oversight.
In FTA/APSA's view, the proposed reforms have the potential to improve regulatory certainty, support
timely delivery of port capacity, and reduce the risk of delayed major projects. This is contingent on robust
ESC oversight and the clear prevention of any open-ended or retrospective cost recovery.
FTA/APSA look forward to ongoing engagement with the Department of Treasury and Finance (DTF), the
Essential Services Commission (ESC) and the Port of Melbourne (PoM) as these reforms progress.
- The introduction of an ex-ante ESC assessment framework, subject to strong transparency and accountability provisions.
- Improved oversight of project scope, cost and efficiency, ensuring costs are independently assessed and approved before being passed through to industry.
- Careful limitation of early cost-recovery powers, ensuring tariff increases are contained, justified and directly linked to ESC-approved deliverables.
- Rigorous stakeholder consultation, particularly where displacement of operators or changes to landside interfaces are expected.
- Competitive neutrality and supply chain efficiency being embedded as core assessment criteria for all major projects.
FTA/APSA recommend:
In FTA/APSA's view, the proposed reforms have the potential to improve regulatory certainty, support
timely delivery of port capacity, and reduce the risk of delayed major projects. This is contingent on robust
ESC oversight and the clear prevention of any open-ended or retrospective cost recovery.
FTA/APSA look forward to ongoing engagement with the Department of Treasury and Finance (DTF), the
Essential Services Commission (ESC) and the Port of Melbourne (PoM) as these reforms progress.