๐๏ธ ๐ ๐ฒ๐น๐ฏ๐ผ๐๐ฟ๐ป๐ฒโ๐ ๐ฃ๐ฟ๐ผ๐ฝ๐ผ๐๐ฒ๐ฑ ๐๐ผ๐๐ฟ๐๐ต ๐๐ผ๐ป๐๐ฎ๐ถ๐ป๐ฒ๐ฟ ๐ง๐ฒ๐ฟ๐บ๐ถ๐ป๐ฎ๐น ๐๏ธ
๐ฅ๐ฒ๐ด๐๐น๐ฎ๐๐ผ๐ฟ ๐ฆ๐ฒ๐๐ ๐ข๐๐ ๐๐ป๐๐ฒ๐๐๐บ๐ฒ๐ป๐ ๐ข๐๐ฒ๐ฟ๐๐ถ๐ด๐ต๐ ๐ฅ๐๐น๐ฒ๐
Victoriaโs Essential Services Commission (ESC) has released proposed rules for how it will scrutinise Port of Melbourne infrastructure spending, including the proposed fourth international container terminal. The framework is designed to ensure major projects are assessed before funds are committed and that any resulting increases in port charges are justified.
Under the proposed changes to the ESCโs Statement of Regulatory Approach, the commission will review major projects under the Port Capacity Enhancement Program before significant spending occurs. If a project is approved, Port of Melbourne may be permitted to recover its costs through higher regulated port charges.
The ESCโs oversight will cover:
โข How project applications are assessed.
โข What evidence and information Port of Melbourne must provide.
โข How approved projects will be monitored after approval.
โข How Port Capacity Enhancement Program costs may be included in port charges.
โข What cost-related information the port must disclose.
The regulatory process also matters commercially. Port charges affect the cost of moving goods through Victoria, and the ESC has emphasised that clear rules and appropriate oversight are needed because those charges ultimately flow through supply chains.
This is a consultation on the regulatory process, not an approval of the fourth terminal. The ESC has made clear that the proposed guidance does not assess the Port Capacity Enhancement Program itself.
The commission expects Port of Melbourne to lodge an application relating to the Port Capacity Enhancement Project in 2027. At that point, the ESC will invite submissions and consult with port users, industry participants and other interested parties.
For the freight forwarding sector, the issue is not whether a fourth terminal is built, but how its costs are tested and recovered. Stronger pre-approval scrutiny could provide greater confidence that capacity investment is efficient, necessary and transparently funded.
If approved, the terminal could support future container growth and help manage capacity pressure. However, stakeholders will be watching closely to ensure that any higher port charges are proportionate to the benefits delivered and do not unnecessarily increase landed transport costs for Victorian businesses.
๐ธ and reference https://www.portofmelbourne.com/facilities-development/port-capacity-enhancement-program/
