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Sydney: 14 October 2005


PORT BOTANY GROWTH TO BOOST NSW ECONOMY BY $16 BILLION

A major expansion of Port Botany is set to deliver 9,000 new jobs to NSW and boost the State’s economy by $16 billion over the next 20 years, Premier Morris Iemma announced today.

The $500 million growth plan will almost triple Port Botany’s trade and maintain the State’s status as the powerhouse of the Australian economy.

The expansion is part of the Iemma Government’s Ports Growth Plan, which has already seen a $140 million investment in moving car imports from Glebe Island to Port Kembla and a $530 million third coal loader for the Port of Newcastle.

“Port Botany handles a third of Australia’s container traffic and generates $1.5 billion a year in economic activity,” Mr Iemma said.

“But it’s expected to reach full capacity by the end of the decade, and must be expanded.

“We can’t afford to lose business to Queensland and Victoria by failing to provide for growth in container trade. If 10% of container shipping moves interstate, NSW will lose 1,000 jobs and

$150 million a year in revenue.

“Over the next 20 years, the number of containers arriving in Sydney is expected to almost triple to 3.2 million.

“This decision to construct a new terminal allows NSW to capitalise on that growth.”

The first stage of the development application approved by Planning Minister Frank Sartor involves construction of:

• A new 51-hectare terminal at Brotherson Dock North to provide space for container storage and handling

• An additional four berths, to be in operation by the end of the decade

• A new railway spur to the terminal and two new rail sidings to improve freight logistics

• A dedicated road link from the new terminal directly to the heavy truck route on Foreshore Road

• Water channelling devices, to be incorporated into the design of the new berths to allow tidal flushing of Penrhyn Estuary to maintain water quality

• A new public jetty, four-lane boat ramp, car park and cycle path along Foreshore Road

• Pedestrian bridge over the Botany Freight Line at Banksia Street.

A $3 million enhancement fund will also be established to improve community facilities, including construction of a new gymnasium at J.J. Cahill High School at Mascot.

Mr Sartor said a fifth berth would be constructed under the second stage of the DA, following an investigation into the economic and environmental feasibility of three possible locations.

“The expansion of Port Botany is absolutely vital to the economic success of NSW,” Mr Sartor said.

“Each container ship visiting Port Botany creates more than $1 million worth of economic activity and full-time employment for eight people.

“This growth plan will ensure NSW remains a magnet for world trade and Australia’s epicentre of jobs, investment and business.”

Ports Minister Eric Roozendaal said the development will generate up to 2,000 construction jobs, and create an additional 9,000 direct and indirect jobs for NSW once the new terminal begins operation.

“I anticipate Sydney Ports Corporation will begin reclamation works next year, and complete the expansion by the end of the decade,” Mr Roozendaal said.

“These new berths could potentially house a third stevedore, increasing competition on the waterfront and creating long-term savings in the cost of goods in NSW.”

“The expanded port will be able to cater for some of the world’s largest container ships – more than 15 storeys high and carrying more than 6000 containers at a time.“

Mr Sartor welcomed the findings of a Commission of Inquiry into the development which recommend an expansion of Port Botany.

“Commissioner Kevin Cleland said: “The Commission is adamant that the do-nothing option would not be a responsible plan.”

“After careful consideration of his report I have approved a development that provides certainty for Port Botany’s growth and for Sydney’s container trade over the next two decades,” Mr Sartor said.

“I have attached more than 100 strict conditions to my consent to protect the bay’s environmental health and the amenity of local residents.

“These conditions cover traffic, noise, estuary management, safety, air and soil quality, waste management and heritage issues, amongst many others.”

Mr Sartor also released a report from the Freight Infrastructure Advisory Board chaired by The Hon. Laurie Brereton for public comment.

“The report recommends the creation of a network of intermodal terminals to help achieve the Government’s objective of maximising freight movements by rail,” Mr Sartor said.

“This would remove trucks from suburban streets and reduce traffic congestion.”

The report has been referred to Professor David Richmond, head of the Premier’s Infrastructure Implementation Group, to accept submissions and advise the Government on a container freight plan to support an expanded Port Botany.

Professor Richmond will consult widely with State and Commonwealth agencies such as the Australian Rail Track Corporation and with the freight and logistics industry.

© NSW Department of Planning