Opposition Leader Mark McGowan questions the Premier regarding guarantees against rent increases and compensation for Fremantle Port purchasers if rival ports are built, referencing ACCC concerns about the Port of Melbourne sale. The Premier acknowledges the complexity and ongoing nature of the proposed long-term lease.

AnsweredQoN 713Legislative Assembly
Asked
15 September 2015
Portfolio
Premier

QuestionView source ↗

FREMANTLE PORT — PRIVATISATION
713. Mr M. McGOWAN to the Premier:
Can I also acknowledge the members
of the Youth Parliament, who I saw here in Parliament yesterday, and wish them
all the best on their visit to Parliament.
I refer to concerns raised by the Australian Competition and
Consumer Commission in regard to the sale of the port of Melbourne, in which it
has criticised increasing rents and container charges, and the payment of
compensation to any port buyer if a second container port is built.
(1) Can the
Premier guarantee there will be no offers of compensation for purchasers of
Fremantle port if future rival ports are built?
(2) What
guarantees can the Premier give regarding increases in rents and container
charges when the port is sold under his plan?

AnswerView source ↗

(1)–(2) There is a lot of work to be done on the
proposed sale of Fremantle port. In fact, it will be a long-term lease—probably
a 50-year lease. Some of the issues, for example, include the ultimate
capacity, whether it is the actual capacity or whatever the government decides
will be the capacity of Fremantle port in terms of containers. It will also be
affected by what happens in terms of freight connections to the port and to the
Roe Highway system. It will also be determined as to whether any prospective
buyer has a right or first entitlement to be involved in the expansion of a
container port at Cockburn Sound. All of those are significant policy issues.
Add to that a whole range of detailed issues as to exactly what is being sold
in terms of land and assets. This project has a long way to go. We are
concentrating on the sale of the first identified asset, which is the Perth
Market Authority, and the second one, which is Utah Point in Port Hedland. They
are comparatively simple compared with the issues that arise at Fremantle port.

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