September 13, 2024

Glebe has the “last remaining deep water bulk commodity berths” – reform panel

The importance of Glebe Island as the last remaining deep water bulk commodity terminal for shipping in Sydney has been emphasised by the Freight Reform Review Panel, which consists of Dr Kerry Schott AO, Mr Lucio Di Bartolomeo, and Dr Hermione Parsons.

The future of the Glebe Island port is under review as part of the Bays West Precinct and the panel notes that the driver of the review is housing policy and the potential value of the industrial precinct to meet housing objectives.

However, the report declared that it is “imperative that government does not lose sight of the strategic importance of port access to the city of Sydney… Glebe Island is currently an active bulk product port importing sugar, as well as cement and gypsum for use by Sydney’s construction sector and other products used by industries in and around Greater Sydney.”

It was also noted that more than 80 per cent of the cement shipped to Glebe Island is distributed within a 25 kilometre radius of the port and is used for the construction of housing and infrastructure. Gypsum is another construction material that is transported to local plasterboard factories and they, together, meet almost all of Sydney’s demand for this material.

While ports Kembla and Newcastle are alternative options, Port Authority of NSW modelling shows that relocation would result in an extra 226,000 additional truck movements, travelling an extra 18.5 million km a year, leading to increased traffic congestion, carbon emissions and other adverse consequences. Among these increases would be a potential hike of 50 percent in cost for cement and gypsum, and 140 per cent for sugar. One of the bodies that made a submission to the panel advised that they had been told that the sugar and cement operations in NSW would become unviable and would have to close.

The review also noted that Glebe Island also provides centrally located industrial land that facilitates large infrastructure projects such as WestConnex, Sydney Metro City, and Department of Defence works at Garden Island. The facility also supports events such as the New Year’s Eve fireworks on the harbour, and the Panel was advised that “there is no other known comparable space at this scale and proximity”.

“The Panel notes again that freight’s importance must be given due consideration,” the review says in its concluding chapters on Glebe Island.

Details of the Freight Policy Reform Program can be found here – https://www.transport.nsw.gov.au/operations/freight-hub/freight-policy-reform-program

Read the Interim Freight Reform Paper here – https://www.transport.nsw.gov.au/system/files/media/documents/2024/Freight-Policy-Reform-Paper-August-2024-v5.pdf

 

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