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Accommodating Trade Growth at Fremantle Ports


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By Chris Leatt-Hayter, Chief Executive Officer

By Chris Leatt-Hayter, Chief Executive Officer

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  • 1. ENGINEERS AUSTRALIAAccommodating Trade Growth at Fremantle Ports Chris Leatt-Hayter, Chief Executive Officer 1
  • 2. Our Focus to facilitate trade to ensure efficient and cost effective facilities and services that satisfy user needs to plan for the future growth and development of the port 2
  • 3. Our Business  Western Australia’s major general cargo port  383 sq kms of coverage  Private and public investment and service provision  Inner Harbour, Fremantle  Outer Harbour, Kwinana (5 jetties, 3 privately operated and associated with major industrial complexes) 3
  • 4. Inner Harbour...... Handles Most of WAs Container Trade Significant break bulk including steel, agricultural and mining machinery 4
  • 5. Inner Harbour...... also cruise shipping – one of the fastest growth sectors of the tourism industry Large carriers bring 4,500 new vehicles to Fremantle in one shipment 5
  • 6. Outer Harbour - Kwinana – Private Jetties Alcoa Alumina Refinery BP Oil Refinery CBH Grain Jetty 6
  • 7. Outer Harbour – Kwinana – Fremantle Ports Handles mineral sands, cement clinker, Kwinana Bulk Terminal fertilisers, LPG, silica sands, sulphur, iron ore and other commodities Kwinana Bulk Jetty 7
  • 8. Fremantle Ports Trade Profile
  • 9. WA biggest general cargo port 80% by • of WA’s seaborne value imports 23% by • of WA’s seaborne value exports 9
  • 10. Inner Harbour Port Development Plan Inner Harbour Port Development Plan released in 2000 after significant consultation with port users and stakeholders The Plan presented a vision for development of the Inner Harbour over a 20 year period in 3 stages The Plan has been successful and has guided our development program 10
  • 11. Draft Port Development Plan for Inner Harbour Stage 3 - by 2017 11
  • 12. Strategies to deliver growth The Right Infrastructure Inner Harbour Deepening Berth length for container terminals Berth and stacking space for break bulk trade Additional storage for motor vehicles Port Operational land -Approx 27ha of land becoming available in late 2010 North Quay Rail Terminal Extension Additional container and general cargo port facilities planned for Kwinana 12
  • 13. Why did we deepen? 13
  • 14. The trend towards bigger ships is impacting on ports worldwide, particularly where there are draft constraints Emma Maersk – one of the world’s largest container ships 14
  • 15. Benefits of deepening Larger ships can call fully loaded WA business continues to have access to major container shipping services Competitive freight rates will benefit importers /exporters and consumers Larger, more modern cargo ships Improved efficiency in fuel consumption
  • 16. Inner Harbour Deepening and Berth Works ProjectValue $250 millionProject Components •Demolition and Reconstruction of Berth 10 for container shipping use. •Strengthening of Berth 4 – 9 to accommodate larger cranes and ships. •Construction of a 1,000m long seawall at Rous Head. •Dredging of the Inner Harbour and Deep Water Channel to handle larger ships. •Reclamation of 27 Hectares of land behind the new seawall for port industry uses.Timeframe Dredging Phase 1: January 2010 – March 2010 Dredging Phase 2: August 2010 – November 2010 Berth Construction Phase April 2009 – April 2011Contractors Package 1 (Civil and marine works): Thiess Georgiou Joint Venture Package 2 (Dredging and reclamation works): Boskalis Australia Pty Ltd 16
  • 17. Berth WorksStage 1 handed over 30th June 2010 Stage 2 completed late 2010 17
  • 18. Remaining Stages 1 to be completed by April 2011 18
  • 19. Berth 10 reconstruction was completed in April 2010 19
  • 20. Phase 2 dredging – cutter suction dredge 20
  • 21. Phase 2 dredging – hopper dredge 21
  • 22. About two thirds of the dredged material from the InnerHarbour has been deposited at Rous Head 22
  • 23. Reclamation works 23
  • 24. Inner Harbour Deepening Project nearing successful completion Environmental conditions complied with Expenditure within Budget Ships already utilising additional depth
  • 25. Reclamation area
  • 26. Rous Head reclamation area – AdditionalLand for Port Operational Purposes The 27-hectare site has been created northwest of existing Rous Head Industrial Park as part of Fremantle Ports’ Inner Harbour deepening project The reclaimed land is equivalent to about 20 per cent of the existing North Quay/Rous Head precinct. Its availability represents a significant opportunity to improve trade efficiency and for future port growth A concept plan for the Rous Head/North Quay precinct developed to guide development towards a desired future layout 26
  • 27. Concept PlanThe plan has been based on: providing essential services to the working port and enhancing supply chain requirements providing adequate capacity for the Inner Harbour’s future trade providing for lot sizes which support an efficient scale of operations maximising the separation of public and heavy vehicle traffic within the port precinct co-locating facilities that have high degrees of traffic interaction (eg. container terminals and container parks) to promote more efficient transport movements establishing a heavy vehicle precinct to facilitate the use of high productivity vehicles 27
  • 28. Initiatives to Address Inner Harbour LandsideIssues Put more freight on rail Improve road transport efficiency Improve existing road and rail links Provide additional road freight links 28
  • 29. Landside Initiatives StrategiesRoads/Container Parks Rail Inland Facilities1.Enhanced truck productivity 1.Operational improvements 1.Operational enhancements : continued improvements to :extension rail terminal and line on :establishment of rail/road and VBS North Quay road/road terminals adjacent to : multi purpose trips (two way :track upgrades and extra importers and exporters running) passing loops :terminals to include container :direct access to both parks2. Better systems stevedores :link container parks to VBS 2.Planning initiatives :communication systems 2.Enhanced community amenity :identified land areas and freight :reduced rail noise corridors to be protected/3. Spread operating hours :double stack trains reserved :stevedore terminals :other encroachment issues :container parks 3.Commercial :staging 3. Funding :bills of lading and bonded :realistic and reducing rail subsidy areas4. Improved road network through increasing scale of operations5. Port planning for reclaimed land (supportive land uses) 4.Commercial :shipping companies to consign direct to inland hub
  • 30. Number of TEUs (,000s) per Year 0 100 200 300 400 500 600 700 800 Road 98%, 324 Rail Road Road 97%, 354 Road 93%, 375 Road 94%, 409 Rail Target Road Forecast Road 95.5%, 426 Road 90% , 464 Year Road/rail market shares Road 87%, 503 Road 85%,480 Road 89%, 49630
  • 31. Transport Corridor PlanningThe Perth metropolitan region is growing and pressure on land isforcing development into increasingly close proximity to intermodalfacilities including ports and transport corridors.The forces behind this include increasing population, rising landvalues, perceived land scarcity, pressure from the land developmentsector and in some cases inadequate planning. 31
  • 32. Urban Encroachment on Primary Rail Freight Route Residential Apartments 2.5 – 25m from rail freight line. Rail Freight Line Rail Freight Line – Little High Street, Fremantle
  • 33. Urban Encroachment on Primary Rail Freight Route Residential Apartments 17 – 29m from freight rail line. Rail Freight Line Rail Freight Line – South Beach Development, North Coogee
  • 34. Accommodating trade growthFremantle Ports’ Kwinana Quay Fremantle’s Inner Harbour expected to reach optimal capacity before 2020 Additional container and general cargo port facilities planned for Kwinana - alternative proposals exist Inner Harbour and proposed new Kwinana facilities are likely to operate in unison Both will be needed to provide necessary quay length 34
  • 35. Fremantle Ports proposed Kwinana Quay 35
  • 36. Recreational Marina Rous Head 36
  • 37. boat pens, dry boat storage, ferry terminal, othermaritime related activities 37
  • 38. cafes, restaurants, offices, retail space 38