Shipping Australia recently filed a submission to the Port of Melbourne Pricing Order Team at the Victorian Essential Services Commission as part of their inquiry into the Port of Melbourne compliance with the pricing order.
Our organisation is the principal shipping peak body in Australia, with approximately 70 members, and we represent many of the large shipping companies that work in this country. Over 99% of everything by volume that is imported or exported to or from Australia is transported in a ship.
Shipping Australia is of the view that organisations like ports ought to access the capital markets to fund their operations and expansion plans.
We note that businesses exposed to ordinary competitive / market disciplines simply could not transfer costs of this magnitude to customers; the ability to do so arises from the combination of regional monopoly and regulation.
Shipping Australis is opposed to any decision to allow the imposition of up-front costs on the shipping industry to fund the construction of infrastructure that obviously does not yet exist.
It is unreasonable for a group of commercial parties to be forced into a position of substantial detriment by being required to provide advance funding for future infrastructure that will be operated by another commercial party for that other party’s benefit.
Shipping Australia is not confident that government consultations are fair or that the outcome is not pre-determined.
We are of the view that consultation is often carried out for the sake of being seen to carry out consultation.
The views, positions, and interests of major stakeholders in Australia’s international shipping system appears to be of no, or little, concern to the authorities.
We have little confidence in the regulatory system.
