SENATOR THE HON RICHARD COLBECK

Senator for Tasmania

Shadow Parliamentary Secretary for Fisheries and Forestry
Shadow Parliamentary Secretary for Innovation, Industry and Science

M E D I A R E L E A S E

16 July 2012

Real help on freight costs a distant dream

The latest Infrastructure Australia progress report deals a further blow to Tasmanian businesses reliant of sea freight in and out of the State.

Infrastructure Australia’s progress report to the Council of Australian Governments (COAG) says the Bell Bay Intermodal Expansion Project was unlikely to progress in the short term because currently there is no evidence of capacity constraints.

“This report will dash the hopes of all Tasmanian businesses that rely on sea freight services in and out of Tasmania, and who are currently reeling from advice of significant price increases which include the imposition of Labor’s Carbon Tax,” Tasmanian Liberal Senator Richard Colbeck.

“While it’s pleasing the proposal to develop Bell Bay been retained as a priority, the notes on p113 of the report indicate the expansion won’t happen any time in the near future.

“This is another frustrating blow to businesses that rely on sea freight services.

“Tasmanian exporters are still angry after $4 million of a $20 million short-term assistance package was siphoned off to deal with a longer term infrastructure issue at the Burnie Port.

“There is no doubt that expenditure at the Burnie Port is warranted but funding should have come from another source.

“It is also outrageous that another $1.5 million of the $20 million package is being hived off to undertake strategic work that the Tasmanian Government should already have done.

“Both instances show that industry is being made to pay for Labor’s failure.

“When industry is promised funding for short term assistance that is exactly what the money should be used for.

“A fund promised for short term assistance should not be used for propping up a State Government that has mismanaged its own budget and which has failed to do its strategic planning homework,” Senator Colbeck said.
Senator Richard Colbeck