Shipping Australia is disappointed with the ongoing fee hikes at the Pilbara Ports Authority and the response of the Hon Stephen Dawson MLC, WA Minister for Ports.
Shipping Australia is also disconcerted by the ongoing fee hikes for services across Australian ports, which are often large, imposed out-of-cycle, and at short notice.
In relation to the Pilbara Ports Authority fee increases, the scale and frequency of their adjustments within a brief period have been particularly challenging for shipping lines and agents to accommodate.
A significant and unexpected escalation in costs
Our members have highlighted that there was an out‑of‑cycle fee increase of 10.6 per cent on 01 January 2026, which followed on from tariff adjustments only six months earlier. This represents a significant and unexpected escalation in costs.
There are also further increases that were scheduled to take effect from 1 July 2026.
Historically, the Pilbara Ports Authority has aligned tariff adjustments with the start of the Australian financial year. The January 2026 increase represents a departure from this established practice and has created uncertainty for carriers as they plan operational budgets and make intermediate, and long-term decisions.
Members have also expressed concern about the limited transparency surrounding the cost drivers underpinning both the January and the July adjustments.
On behalf of our members, we have twice written to the Pilbara Ports Authority requesting an explanation for the size, and out-of-cycle nature of the fee increases. Other than in brief references in emails, the Pilbara CEO generally refuses to engage in respect of the price increases, arguing they are subject to various types of scrutiny such as from the legislature, the WA resources sector and more.
As our members pay for port services, then they too should be able to have input to, and oversight of, price increases.
We have invited senior management of the Pilbara Ports Authority to attend one of the regular meetings of our Policy Council to discuss the reason for this situation with our members. However, the invitations have been declined.
In addition, we have followed up in writing to the CEO of Pilbara Ports Authority requesting a meeting to discuss these matters. Regrettably the responses received have not been constructive and have failed to address the issues raised.
Intergovernmental Agreement honoured in the breach
We note the existence of the Intergovernmental Agreement on National Competition Policy of November 2024, an agreement to which the State of Western Australia is a party.
We understand that the Agreement applies to the sovereign parties as opposed to any specific government entity, however, they are good principles and are worth keeping in mind. We note Principle 6 of that document which states that the parties will promote efficient and transparent pricing practices for goods and services provided by government monopolies or near monopolies, including goods and services provided by government business enterprises.
Pilbara Ports Authority is one such entity and we would argue that the response of the Authority to date has not demonstrated alignment with the principle of transparency.
We also note that Principle 7 of the same document states that access to significant infrastructure facilities should be on reasonable terms and prices. It is hard to know if the terms and pricing are reasonable as the Pilbara Port Authority has declined to discuss them.
We have filed a complaint with the Hon Stephen Dawson MLC, Minister for Ports.
Unfortunately, Minister Dawson dismissed the complaints and did not really address any of the points or concerns raised. There was no explanation of any considerations given to the complaints of the members.
Affects all Australians
International shipping is a vital industry in Australia, and it is an industry that Australia is unusually reliant on. About 80% of all cargo that is shipped in the world is shipped by sea but, if we look at Australia, that figure rises to more than 99% of all Australian physical cargo imported and exported.
The port market structure in Australia is highly concentrated with several regional monopolies. If shipping companies want to do business in those ports, then they must take the terms presented to them.
Australia is in the midst of a widely-acknowledged productivity crisis. And we have major port operators relentlessly hiking fees with no corresponding improvement in productivity nor, really, any satisfactory explanation and an apparent lack of interest from our elected representatives. And, clearly, as the somewhat dismissive response from Minister Dawson shows, there is no opportunity to gain a review and there is no opportunity for recourse.
As Australia is so utterly dependent upon sea transport, and as it is well known that cost hikes in the maritime transport chain feed into the general economy, then this is an issue that affects all Australians, no matter how far they live from the sea.
