I have been advised by Flinders Island Council that Furneaux Shipping will cease its freight services to the Island from September 22, this year.
I understand this to be the result of a commercial dispute between TasPorts, which operates the Port of Lady Barron, and Furneaux Freight, which is licenced to conduct stevedoring activity at the port, as well as operating the shipping service.
The Government is advised that the dispute is in relation to non-conformances identified through audits into safety and dangerous goods handling that were ordered by TasPorts at Lady Barron Port.
Furneaux Freight has notified TasPorts that it is unwilling the rectify the issues that have been identified and that it will terminate its Stevedore Licence Agreement for the management of the Port of Lady Barron. Further, they have also advised they will cease their shipping service.
It should be noted that under the new national workplace health safety laws, the employer retains responsibility for serious breaches of the law, even when activities are contracted out to other parties.
Residents of the Island were informed of this development by a Council letter-drop yesterday.
This is obviously a very serious matter for the Flinders Island community and economy, and I have been in discussions with the Mayor of Flinders Council, Carol Cox and the Council’s General Manager Mr Raoul Harper in relation to the issue since the weekend. I have also briefed my Parliamentary colleagues from the Bass electorate on the issue.
Today, I met Councillor Cox and Mr Harper together with officers of my Department; and they have also met with TasPorts this morning.
I have committed to the Mayor that the Government will ensure a sustainable, safe, and efficient shipping service for Flinders Island.
The Council is working closely with the Department of State Growth and TasPorts to ensure a contingency service is in place for when operations cease in order to support the Island’s short term needs before moving to a sustainable full service.
This Government understands the vital importance of sea freight services for residents and businesses of Flinders Island and the Furneaux Group and we are working hard to advance a solution in the best interests of the community, as quickly as possible.
Rene Hidding, Minister for Infrastructure
