GEELONG PORT IS AN ECONOMIC DRIVER FOR THE REGION
The importance of the Geelong Port to the Victorian and regional economies is again emphasised in Port Futures which was launched in Geelong by the Minister for Roads and Ports, Tim Pallas, last month.
Port Futures, which is the result of a review of Victorian port operations by the Essential Services Commission and the Department of Transport, places great value on Victoria’s commercial trading ports as key drivers of our economy and play a defining role in shaping Victoria’s and national freight networking.
The value of the Geelong Port as the major bulk materials handler in Victoria was already recognised and this has been reaffirmed in the review. It is again seen as eminently suitable for liquid, grain, fertiliser and woodchips bulk trades and break bulk cargoes relating to steel and aluminium production.
In terms of port hierarchy, Geelong Port remains the second largest in Victoria and is one of the prime reasons for Geelong’s economic success and growth.
The last major economic review of the Geelong Port was done in 2005 and it showed that it handled more than twelve million tonnes of cargo worth $5.6 billion that year and that the Port’s own operations had an economic impact of $328 million in the region which included all activities undertaken by firms in moving cargo through the port and providing jobs for nearly 1400 employees as well as goods and services.
That economic review in 2005 also highlighted the opportunities provided by Geelong Port to port-reliant industries and what these industries did for the region’s overall economy. Ten of these companies alone generated $1.3 billion in direct business turnover in 2004-05 and, with flow-ons of another $761 million, produced a total output estimated at $2.1 billion and provided full-time jobs in the region for more than 4,700 people.
Of course, if it wasn’t for Geelong Port and its relatively deep water access, these major industries would be located elsewhere and the Geelong region would be denied this key economic advantage.
Port Futures also made timely recommendations on Victoria’s ports’ strategic directions and governance by recommending that their planning and management is placed under a single ports portfolio to the Department of Transport which is headed up by Minister Pallas.
Ports Futures also found that the recent major channel deepening program in Port Phillip Bay was very successful with works being completed on time and on budget and with no apparent lasting environmental effects.
The channel deepening project was strongly supported by the Geelong Chamber because of its necessity and economic advantage to Victoria and the Geelong region. The Chamber was also able to submit to the independent panel in 2004 that, as a good guide, the earlier channel deepening works in Corio Bay in 1997 were also successful and, again, carried out with no lasting environmental effects.
In terms of governance, Port Futures recognised that the arrangements at Geelong Port are more complex than the other commercial trading ports in Victoria and that a review of these will be conducted to develop options and recommendations for consideration by the Victorian government in 2010.
The Chamber welcomed the Port Futures review and its findings and supports any improvements at Geelong Port which will improve its cargo and operational capability and its economic performance.