Monthly Archives: March 2016

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Improvement to freight worth billions

  By Regional Development Conference • March 15, 2016

Freight regional devleopmentExpressions of interest have been called for to carry out an analysis of the freight and logistics capability of the Orana district in a bid to drive productivity in the region.

Regional Development Australia (Orana) CEO Felicity Taylor-Edwards said Orana’s current strategic freight and logistics linkages, including multiple highways, rail to Newcastle and inland air and rail services were significant.

“With an Australian Logistics Council study showing that a 1 per cent improvement in productivity in the logistics industry would boost gross domestic product (GDP) by $2 billion, it is critical that logistics projects that demonstrate improved supply chain efficiency receive equal consideration to other infrastructure projects,” she said.

Australia’s freight task was forecast to increase significantly in coming decades, Ms Taylor-Edwards said, with the Bureau of Infrastructure, Transport and Regional Economics (BITRE) predicting it would almost double between 2010 and 2030.
She said industry and government at all levels had to recognise the need for improvements and investment in regional infrastructure, especially freight and logistics requirements.

“The economic viability and prosperity of the region provides the impetus for RDA Orana to have a comprehensive feasibility study on all types of freight transfers and the logistics involved in handling freight both to and from the region,” she said.

Ms Taylor-Edwards said the study would complement an Air Freight study, for which tenders would close on March 14. To read more click here.

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Call for transition strategy to assist Hunter coal mining communities in wake of job losses

  By Regional Development Conference • March 14, 2016

B0GR0E Open cut coal mine in the Hunter Valley NSW Australia

Pressure is building on the state and federal governments to come up with a formal strategy to help Hunter mining communities deal with the industry downturn.

BHP Billiton announced on Tuesday it would cut 290 jobs from its Mount Arthur mine near Muswellbrook, bringing to 1000 the number of anticipated job losses in regional mines this year. Others are set to go at Drayton (500), Donaldson (90-plus), Bulga (60) and West Wallsend (100).

Federal Member for Hunter Joel Fitzgibbon is advocating the development of a regional strategy to promote economic diversity in mining areas and Muswellbrook mayor Martin Rush has called on the NSW Government to commit $30 million to an Upper Hunter Economic Development Corporation to help affected communities transition to new industries and create job opportunities.

Cr Rush said with markets retreating and coal prices dropping, it was “becoming increasingly clear this is no longer a cyclical downturn, but a structural decline for the future of thermal coal”.

“The State Government needs to ensure that areas that have contributed so much for so long to the state’s economy are protected during this period of very strong economic headwinds,” Cr Rush said.

Mr Fitzgibbon said job losses and the halving of coal prices over three years had prompted him to lobby for a transition strategy. He has proposed the Hunter branch of Regional Development Australia oversee the building of a business case for government support .

“It is not in anyone’s interests to accelerate the demise of coal but market forces indicate that in the long run, it will play a smaller role in our local economy,” he said.

“I am proposing a consultative three-stage process that will establish a case that government intervention is justified, determine where the money should be spent, then develop a robust funding submission.” To read more click here.

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Infrastructure development lagging behind population growth is a threat to Australia’s economic future

  By Regional Development Conference • March 9, 2016

infrastructure australiaThe main threat to Australia’s economic future is population growth outpacing infrastructure development, says Infrastructure Australia chairman Mark Birrell.

Australia will not be able to capitalise on the economic benefits of population growth without long-term infrastructure planning, he told the Committee for Economic

Development of Australia (CEDA) at an event in Sydney.

“Considered and well thought through infrastructure investment is going to be one of the most effective ways for us to achieve and deliver the qualities we want out of our economic growth,” he added.

Not acting would prove particularly costly given the increased infrastructure demands associated with population growth.

By 2031 the Australian population is expected to increase to over 30 million people from its current figure of 23.5 million, while congestion will come to cost $53.3 billion nationally and demand for public transport will double.

With Australian population growth outpacing that of the US, UK and Canada, the challenge is particularly great though it also provides much opportunity for economic growth in parallel, Birrell said.

“I think the population challenge we face is a good one and there’d be many nations from Japan through to France who’d like to have a population growth issue”. To read more at the International Business Times click here.

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Regional plan a reality check for Clarence Valley

  By Regional Development Conference • March 3, 2016 ,

It is a bit sobering to read exactly where the Clarence Valley lies in the North Coast pecking order.

Not necessarily a shock, but a reality check all the same.

The message from the release yesterday of the draft plan for the development of the North Coast is that three cities, Port Macquarie, Coffs Harbour and Tweed Heads, will be where most of the region’s development takes place in the next 20 years and beyond.

It’s hard to argue with that as they are already the area’s biggest cities, but it’s also disappointing to realise how much opportunity will be heading their way rather than in this direction.

There wasn’t much reference to the Clarence Valley in the plan, although Grafton ranks as a regional centre and Yamba is pinpointed for some tourism development.

The big point from the report for locals is the opportunity available here for businesses.
COFFS Harbour, Port Macquarie and Tweed Heads as regional cities in the NSW Government’s draft North Coast Regional Plan.

The draft plan recognises the three locations are regional cities of the three sub-regions the Mid North Coast, Lower North Coast and Far North Coast.

The plan sets out the government’s vision for the region over the next 20 years, focussing on jobs, homes, transport and protecting the natural environment.

Parliamentary Secretary for the North Coast Chris Gulaptis said the plan focussed on opportunities to build on the North Coast’s strengths as a great place to live and work, supporting tourism, agriculture and aviation industries.

“This draft Plan is about providing new homes and jobs while maintaining the area’s unique character,” Mr Gulaptis said.

“The NSW Government will work with local councils to provide greater housing choice, create jobs and improve access to open spaces.” To read more click here.

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Emerald Grain and Iron Road to team up on port build

  By Regional Development Conference • March 2, 2016

CapeHandimaxCapeHardyLEADING east coast agribusiness Emerald Grain and prospective miner Iron Road have announced a partnership to develop a multi-commodity export port at Cape Hardy on the Eyre Peninsula.

The announcement opens the way for Emerald Grain to introduce substantial competition into South Australian grain handling and exporting.

Emerald Grain chairman and chief executive John Murray said the port was a significant infrastructure project that would provide an alternative export pathway for grain growers and deliver substantial value for Eyre Peninsula communities.

The two companies visited the 1100ha Cape Hardy site on an isolated part of the coastline north of Tumby Bay yesterday to discuss their plans for the port.

“Once developed, Cape Hardy will be a cape-size port (capable of handling ships carrying 180,000 tonnes to 220,000 tonnes), the only one of its size in South Australia, which will unlock value and options that are currently unavailable to local growers,” Mr Murray said.

“Importantly, Cape Hardy is not just another grain export facility, it represents another port operator and an alternative supply chain for growers.”

Mr Murray, a former chief executive of South Australian Co-operative Bulk Handling and Ausbulk, said Emerald Grain plans to build a ship loader, grain conveyor, steel silos and bunkers for up to one million tonnes at Cape Hardy.

“The advantage of shipping from Cape Hardy is it is ideally located for most grain growers on southern Eyre Peninsula,” Mr Murray said.

“It has good road connections and will have a real benefit because it involves one drop and then the grain is straight onto the ship. The other benefit is it’s a long way from towns and population.”

Mr Murray said a great consolidation is going on nationally in the grain industry and the companies growing are those with infrastructure.

Emerald, owned by Japan’s Sumitomo Corporation, handles three million tonnes of grain nationally and owns the Melbourne Port terminal, country grain handling sites in New South Wales and Victoria and a share of the new Port Kembla terminal in New South Wales with several major international companies.

Mr Murray said a large terminal like Cape Hardy would involve about 50 jobs and more during the construction phase.

To read more click here.