'Melbourne tax' of US$200 per TEU threatened over dredging
Shipping Australia is threatening to impose a "Melbourne tax" of up to $200/TEU if the city's Port Phillip Bay dredging plans are shelved, reports The Melbourne Age.
Shipping Australia had warned its members are facing extra costs of up to $400,000 for a single round trip because they are unable to fully load.
In a presentation to the expert panel examining the project, Shipping Australia said the impost would ultimately be passed on to consumers if the project did not win approval.
Victorian Employers' Chamber of Commerce and Industry CEO Neil Coulson said a levy on containers entering and leaving Port Phillip Bay would be disastrous for the state economy. It would push up consumer prices, hobble export competitiveness and force companies to consider relocating.
Opponents of the channel deepening project doubt the economic benefits, arguing that only 4 per cent of ships are being disadvantaged. But Shipping Australia said 41 per cent of container vessels visiting Melbourne in April had not been able to fully load because of the depth of the channel.
Shipping Australia had warned its members are facing extra costs of up to $400,000 for a single round trip because they are unable to fully load.
In a presentation to the expert panel examining the project, Shipping Australia said the impost would ultimately be passed on to consumers if the project did not win approval.
Victorian Employers' Chamber of Commerce and Industry CEO Neil Coulson said a levy on containers entering and leaving Port Phillip Bay would be disastrous for the state economy. It would push up consumer prices, hobble export competitiveness and force companies to consider relocating.
Opponents of the channel deepening project doubt the economic benefits, arguing that only 4 per cent of ships are being disadvantaged. But Shipping Australia said 41 per cent of container vessels visiting Melbourne in April had not been able to fully load because of the depth of the channel.