Sydney Ports to increase charges

New South Wales ports minister Joe Tripodi said on Wednesday that the corporation had considered additional charges to help pay for the $1bn Port Botany expansion because the cargo downturn had left the corporation with less funding than it had anticipated when the expansion project was given the go-ahead.

However, the minister said the corporation had decided against the move with the NSW Government pledging last week to absorb the cost of the revenue shortfall.

Sydney Ports chief Grant Gilfillan said the increases were in line with the corporation's original plan and were scheduled biennial increases based on the consumer price index.

The increase affects container wharfage, navigation and security charges and will take effect from July 1.

He said navigation service charges had not been increased since 1996 while container wharfage charges had been unchanged since 2007.

Maritime security charges for full international import and export containers will rise from $1.50 to $1.60 per teu.

“Sydney Ports Corporation has a history of price restraint and responsibility," Mr Gilfillan said.

"Even with the latest modest increases to container wharfage and navigation service charges, Sydney Ports Corporation’s total charges are lower than what they were 15 years ago.

“Sydney Ports is cognisant of the global economic downturn, however, the additional revenue is required to allow the corporation to fund the ongoing construction of the third terminal at Port Botany and other committed capital expenditure programs."