FTA/APSA ADVOCACY UPDATE STEVEDORE - TERMINAL ACCESS CHARGESĀ 

Tuesday, June 22, 2021
Freight & Trade Alliance (FTA) and the Australian Peak Shippers Association (APSA) are continuing advocacy to the Federal and State Governments noting that whilst Free Trade Agreements, the Simplified Trade System and similar reforms are welcomed, they count for little in an environment of limited shipping capacity, record high freight rates / surcharges and rapidly increasing costs imposed by shipping line contracted stevedores and empty container parks.
INTERVIEW ABC COUNTRY HOUR

As a part of our sustained media campaign, we were privileged to have the first 8 minutes of air time in the ABC's Victorian Country Hour today to explain some of these matters with a particular focus on stevedore Terminal Access Charges - recording available HERE
VOLUNTARY PROCEDURES

It is evident that the Victorian Voluntary Port Performance Mechanism (VPPM) or any similar voluntary monitoring process will mean that stevedores will continue to receive revenue from the transport sector with the minor inconvenience in the form of another level of bureaucracy before implementing each increase. Continuation of such voluntary performance arrangements also poses the significant risk of giving tacit approval to this unwarranted cost recovery method on third parties.
CURRENT TERMINAL ACCESS CHARGES

FTA / APSA and the Container Transport Alliance Australia (CTAA) have prepared a matrix of all Terminal Access Charges with effect from 1 July 2021 - refer HERE (FTA/APSA MEMBER LOGIN REQUIRED)
EXPANSION TO EMPTY CONTAINER PARKS

As highlighted in the FTA / APSA formal submission to the Productivity Commission's Inquiry into Vulnerable Supply Chains, we are also witnessing that empty container parks are also rapidly increasing their charges on transport operators following the lead from stevedores that have demonstrated a very effective model to collect revenue from vehicle booking systems rather than negotiating increases with commercial clients.

The bottom line is that vulnerable Australian supply chain participants are currently paying an additional $500M+ per year direct to stevedores and empty container parks. These rapidly increasing costs are having particularly devastating impacts on exporters and importers with downstream crippling financial impacts on manufacturers, farmers and regional communities.

FTA / APSA SUBMISSION TO THE PRODUCTIVITY COMMISSION AVAILABLE HERE

NATIONAL TRANSPORT COMMISSION


As highlighted in the FTA / APSA formal submission to the National Transport Commission's review into Voluntary National Guidelines for Stevedore Infrastructure and Access Charges (SIACs), we are not arguing about the quantum of the Terminal Access Charges This is something only the shipping lines can negotiate with the stevedore. FTA / APSA are requesting stevedores stop charging transport companies. It is an abuse of market power and unreasonable to impose a charge on a party that has no say; cannot negotiate the charge and cannot go elsewhere to receive and deliver containers.

FTA / APSA SUBMISSION TO THE NTC AVAILABLE HERE

FTA / APSA POLICY POSITION

FTA / APSA recommend that the scope of the National Transport Commission (NTC) review be expanded to examine the potential of regulation to force stevedores (and empty container parks) to cost recover directly against their commercial client (shipping line) rather than via third party transport operators.

NEXT STEPS
APSA 2021 CONFERENCE

We look forward to hearing from Mr Ron Grasso [Lead, National Guidelines on Stevedore Infrastructure and Access Charges, National Transport Commission] who will be a panelist at APSA 2021 Conference providing an overview of their voluntary guidelines review. We encourage FTA and APSA members to join us in Wagga Wagga on 16 & 17 August 2021 - registration available HERE 

APSA CONFERENCE DRAFT PROGRAM AVAILABLE HERE
In the interim, FTA / APSA will continue advocacy for a Federal Maritime Regulator and for a formal review of shipping practices - refer HERE
Paul Zalai - Director FTA | Secretariat APSA | Director GSF