Sunday 22 February 2015

VOLUME I - Table of Contents




Page
I THE PROBLEM.......................................... 2
II HISTORICAL PERSPECTIVE.............................. 5
1. The Concept of Containerisation................ 5
1.1 Introduction............................. 5
1.2 The Container Revolution................. 5
1.3 Classification of Containers............. 8
1.4 Types of Containers...................... 9
1.5 The System for Handling
    Containers.............................. 10
2. Containerisation at Port Jackson.............. 11
2.1 Container Facilities.................... 11
2.2 The Decentralised Container
    Depots.................................. 12
3. The Move to Port Botany....................... 17
3.1 The Inadequacy and Unsuitability
    of Port Jackson......................... 17
3.2 The Port Botany Terminals............... 18

III THE ENVIRONMENTAL IMPACT OF CONTAINER
    TRANSPORTATION
.................................... 21
1. The Environmental Impact of
   Containers.................................... 21
1.1 The Sheer Size of Containers............ 21
1.2 The Impact is Not Denied by
    Transport Operators..................... 22
1.3 The Noise Caused by Containers.......... 23
1.4 Air Pollution........................... 24
1.5 Vibration Caused by Container
    Vehicles................................ 25
1.6 Accidents Involving Heavy
    Vehicles................................ 28
1.6.1 The Involvement of Trucks
      in Accidents..................... 28
1.6.2 Truck Characteristics
      Affecting Safety................. 29
1.6.3 Maintenance of Trucks............ 30
1.7 Container Trucks and Congestion......... 31
1.7.1 The Concept of Passenger
      Car Units........................ 31
1.7.2 The Myth of Low Numbers.......... 33
2. Environmental Problems Experienced
   at Port Jackson............................... 34
2.1 The Experience at Mort Bay,
    Balmain................................. 34
2.2 The White Bay Terminal.................. 35
2.3 The Glebe Island Terminal............... 36
2.4 Darling Harbour and
    Woolloomooloo........................... 38

IV THE OPTIONS........................................ 40
1. The Options Described......................... 40
2. Rail Share.................................... 41
3. Various Sub-Options Considered................ 42
4. The Kyeemagh/Chullora Road proposals
   do Not Provide an Immediate Solution.......... 43
5. Options Which Have Lapsed..................... 46

V THE CLAMOUR FOR RAIL................................ 50
1. Manifestations of Public Opinion.............. 50
1.1 Introduction............................ 50
1.2 The Botany Bay Port and
    Environment Inquiry (The
    Simblist Inquiry) 1976.................. 50
1.3 The Botany Bay Sub-Region
    Community Advisory Committee............ 51
1.4 Submissions to the Kyeemagh/
    Chullora Road Inquiry................... 51
2. Unanimous Support for the Railing of
   Containers by Local Councils.................. 53
2.1 The Botany Municipal Council............ 53
2.2 The South Sydney Council................ 53
2.3 The Marrickville Council................ 53
2.4 The Rockdale Council.................... 54
2.5 The Canterbury Council.................. 54
2.6 The Kogarah Council..................... 54
2.7 The Hurstville Municipal
    Council................................. 55
3. Is the Clamour for Rail by the Public
    Misguided?................................... 55

VI THE FREE MARKET CASE............................... 58
1. The Port Without Regulation................... 58
1.1 Advocates of the Free Market
    Case.................................... 58
1.2 The Overseas and Interstate
    Experience.............................. 58
1.3 Inability of the Terminal
    Operators to Interfere with
    the Choice of Mode...................... 59
2. Is There an Environmental Problem?............ 61
2.1 The Issues Which Arise for
    Consideration........................... 61
2.2 The Future Container Trade
    Through Sydney.......................... 63
2.3 How Will the Trade be Shared
    Between Port Jackson and
    Port Botany?............................ 64
2.4 What Will be the Split Between
    Road and Rail at Port Jackson?.......... 65
2.5 The Split Between Road and Rail
    at Port Botany.......................... 68
2.6 The Number of Truck Movements
    Generated by Port Botany................ 71
2.7 The Types of Vehicles Delivering
    Containers.............................. 73
2.8 The Time of Container Movements......... 73
2.9 Origins and Destinations of
    Containers.............................. 74
2.10 The Routes Used by Container
     Trucks................................. 83
2.11 How Many Vehicles Would Use Bay
     Street-Harrow Road-Bexley Road
     Route?................................. 84
3. Is There an Analogy Between Mort Bay
   and Botany Bay?............................... 85
3.1 Mort Bay Universally Condemned.......... 85
3.2 Submissions to the Present
    Inquiry................................. 85
3.3 Are There Material Differences
    Between Mort Bay and Botany Bay......... 86
3.4 The Comparison is Between a
    Residential Street and a
    Secondary Road.......................... 89
4. The Effects on Decentralised
   Depots........................................ 92
4.1 Depots at Chullora...................... 92
4.2 Depot at Villawood...................... 93
5. Conclusion.................................... 94

VII STATE RAIL AUTHORITY OPTION....................... 96
1. The Option Described.......................... 96
1.1 The Essential Elements of the
    Scheme.................................. 96
1.2 The Effect of the Scheme................ 99
1.3 The Environmental Benefits of the
    State Rail Authority Option............ 100
1.4 State Rail Authority Revenue........... 103
2. The Reaction to the State Rail
   Authority Option............................. 107
2.1 The Maritime Services Board............ 107
2.2 The Chamber of Shipping................ 108
2.3 The Terminal Operators................. 108
2.4 Liner Services Pty. Limited............ 109
2.5 The New South Wales Road
    Transport Association.................. 109
2.6 The Transport Workers' Union of
    Australia (New South Wales
    Branch)................................ 110
3. Difficulties Inherent in the State
   Rail Authority Option........................ 110
3.1 Introduction........................... 110
3.2 Services Area.......................... 111
3.3 The Cooks River Goods Yard............. 112
3.4 Statutory Body......................... 114
3.5 Shipping and Depot
    Affiliations........................... 115
3.6 Road Transportation.................... 116
3.7 Rail Capacity.......................... 117
4. Conclusion................................... 119

VIII THE WESTERN SUBURBS OPTION...................... 121
1. The Western Suburbs Option
1.1 The Option Described................... 121
1.2 Service Areas.......................... 122
1.3 Road Transportation of
    Containers............................. 123
2. Effects of the Scheme........................ 123
2.1 The Rail Share......................... 123
2.2 Such a Scheme is Not Very
    Different from the Present
    Arrangement............................ 124
2.3 The Concept of Environmentally
    Damaging Cargo......................... 125
2.4 The Rail Share Contemplated by
    the Terminal Operators................. 125
2.5 The Effect Upon Rockdale, Bexley
    and Campsie............................ 126
3. What Would the Scheme Cost?.................. 128
3.1 The Contrast Between Direct and
    Indirect Costs......................... 128
3.2 Rail is Not Competitive Over
    Short Distances........................ 129
3.3 The Direct Costs Which are Said
    to Increase Under the Western
    Suburbs Scheme......................... 130
3.4 The Terminal Costs..................... 132
3.4.1 Introduction.................... 132
3.4.2 Additional Manpower............. 133
3.4.3 Additional Plant................ 137
3.4.4 Additional Shift Work
      Necessary....................... 139
3.4.5 Ship Turn-Around Time........... 140
3.4.6 Additional Empty Containers..... 141
3.4.7 Wastage of Terminal Areas....... 143
3.5 The Cost of the Rail Haul.............. 144
3.6 The Cost of the Depot.................. 146
3.6.1 What Would a Depot Cost?........ 146
3.6.2 The Function of a Depot......... 147
3.6.3 The Cost of Doubling Handling... 150
3.7 The Road Transport Charges............. 154
3.8 The Cost Calculations Submitted
    by Various parties..................... 157
3.8.1 The Freight Marketing
      Report.......................... 157
3.8.2 The Submission by the
      State Rail Authority to
      the Present Inquiry............. 160
3.8.3 The Debate Concerning the
      S.R.A. Submission............... 161
3.9 An Alternative Method of
    Calculation............................ 168
3.10 The Cost is Likely to be Absorbed
     in a Box Rate......................... 170
3.11 Is the Cost Disproportionate to
     the Environmental Damage?............. 172
4. The Indirect Cost of the Scheme.............. 174
4.1 The Threat of Melbourne................ 174
4.1.1 Have Containers Been
      Diverted from Sydney to
      Melbourne in the past?.......... 174
4.1.2 The Effect of the Western
      Suburbs Scheme.................. 178
4.2 Delay of Containers.................... 182
4.3 A Disincentive to Industry in
    the Western Suburbs.................... 184
5. Problems Inherent in the Scheme.............. 187
5.1 Introduction .......................... 187
5.2 The Destination of Import
    Containers............................. 187
5.2.1 The Destination Must be
Known Before the Vessel
Begins Discharging.................... 187
5.2.2 The Practice of Quarantine...... 189
5.2.3 The Information is Known
      to the Shipping Line or
      Readily Ascertainable........... 191
5.2.4 Difficulties Will Arise
      in Certain Cases................ 194
5.3 The Origin of Export Containers........ 197
5.4 Sorting at the Terminal................ 198
5.5 Country and Interstate
    Containers............................. 198
5.6 Empty Containers....................... 200
5.6.1 Introduction.................... 200
5.6.2 The Environmental
      Benefits of Including
      Empties......................... 200
5.6.3 Practical Implications of
      Including Empty Containers
      in the Scheme................... 203
5.6.4 Practical Difficulties in
      Including Empty
      Containers...................... 205
5.6.5 Effect of Excluding
      Empties on Rockdale and
      Bexley.......................... 208
5.6.6 The Cost of Including
      Empty Containers................ 209
5.6.7 Does the Exclusion of
      Empty Containers
      Compromise the Scheme?.......... 209
5.7 Road Transport......................... 210
5.8 Reaction of New South Wales Road
    Transport Association.................. 211
5.9 Reaction of the Transport
    Workers’ Union......................... 212
6. Safeguards Desirable under the
   Western Suburbs Scheme....................... 213
6.1 Introduction........................... 213
6.2 Rail Duplication....................... 213
6.2.1 Introduction.................... 213
6.2.2 Submissions Express
      Misgivings Concerning the
      Capacity of the Botany
      Goods Line...................... 213
6.2.3 The Sydney Area Transport-
      ation Study Recommendation...... 214
6.2.4 The Recommendations of
      the Simblist Inquiry............ 215
6.2.5 State Rail Authority
      Confident Concerning
      Line's Capacity................. 216
6.2.6 Factors Effecting Line
      Capacity........................ 219
6.2.7 The Anticipated Traffic
      Upon the Botany Goods
      Line in 1985.................... 222
6.2.8 Additional Factors
      Limiting Track Capacity......... 227
6.2.9 Capacity of the
      Terminals....................... 231
6.2.10 The Cost of Duplication........ 233
6.2.11 Electrification................ 233
6.3 Rail Capacity.......................... 235
6.4 Depot Arrangements..................... 239
6.4.1 The Chullora Depot
      (Seatainer Terminals Ltd........ 239
6.4.2 The Villawood Depot
      (Freightbases Pty. Ltd.)........ 239
6.4.3 A New Depot in the
      Western Region.................. 245
6.5 Evasion of the Scheme.................. 247
6.5.1 Incentive to Evade the
      Scheme.......................... 247
6.5.2 The Possibility of Evasion
      Cannot be Ignored............... 248
6.5.3 Difficulties in Policing
      a Scheme........................ 250
6.5.4 Certain Features of
      Containerisation which
      Facilitate Policing............. 251
6.5.5 The Recommended Policing
      Scheme.......................... 254
6.5.6 Detection of Evasion
      Assisted by Truck Routes........ 260
6.5.7 Inspectors from the Depart-
      ment of Motor Transport......... 262
6.6 Exemptions Under the Scheme............ 263
6.6.1 Inadequacy of Information....... 263
6.6.2 The Coastal Trade............... 265
6.7 Container Truck Routes................. 265
6.7.1 The Effect of the Western
      Suburbs Scheme.................. 269
6.7.2 The Principle of Truck
      Routing......................... 269
6.7.3 What Routes Should the
      Trucks Follow?.................. 271
7. Depot at Port Botany......................... 274
7.1 The Background......................... 274
7.2 The Operational Advantages of a
    Depot at the Port...................... 274
7.3 The Environmental Implications
    of the Depot........................... 276
7.4 Industrial Ramifications .............. 281
8. Should the Scheme Include Port
   Botany and port Jackson?..................... 284
8.1 Should the Scheme Include Port
    Botany?................................ 284
8.2 Should the Scheme Include Port
    Jackson?............................... 287
8.3 The Extension of Rail to
    Darling Harbour ....................... 288
8.4 The Effect of Excluding Darling
    Harbour................................ 290
8.5 Reaction of the Industry to the
    Inclusion of the Port Jackson
    Container Terminals.................... 297
8.6 The Environmental Implications
    of Including Port Jackson.............. 302
8.7 The Advantages of Including the
    Port Jackson Facilities................ 303

IX OPTIONS WHICH HAVE NOW LAPSED..................... 309
1. Opportunities to Influence the Rail
   Share........................................ 309
1.1 The Port Botany Development............ 309
1.2 The Maritime Services Board
    Lease Agreements....................... 310
1.3 Planning Enquiries..................... 312
2. The Design of the Botany Terminals........... 315
2.1 The Issues............................. 315
2.2 The Attitude of the State Rail
    Authority to Matters of
    Terminal Design........................ 315
2.3 The Involvement of the Maritime
    Services Board......................... 317
2.4 Has Rail Been Disadvantaged?........... 317
2.4.1 Introduction.................... 317
2.4.2 The Length of the CTAL
      Siding.......................... 318
2.4.3 Absence of a Train
      Run-Around...................... 319
2.4.4 The Location of the
      Rail Sidings.................... 320

TABLES
Page
Table 1  - Annual Review of General Cargo,
           Container Movements and Waterside
           Workers Employed............................ 7
Table 2  - Container Movements Through Port
           Jackson 1969/70-1978/79.................... 14
Table 3  - Containerised General Cargo Trade
           in Various Geographical Areas.............. 15
Table 4  - Forecast Container Trade Through
           Sydney Ports............................... 63
Table 5  - Nature of Cargoes Handled at Main
           Container Terminal Areas................... 69
Table 6  - Distribution of FCL Road Movements......... 75
Table 7  - Average Daily Traffic Counts 1977.......... 89
Table 8  - Port Jackson Maritime Container
           Traffic 1976-77........................... 104
Table 9  - State Rail Authority Charges.............. 144
Table 10 - Historical Cost Information for
           Rail Haul................................. 144
Table 11 - S.R.A. Calculation of Depot Costs......... 146
Table 12 - Recommended Rates for FCL Shipping
           Container Cartage 1.12.1979............... 156
Table 13 - Freight Marketing Report November, 1978... 157
Table 14 - State Rail Authority Submission........... 161
Table 15 - Submission N.S.W. Road Transport
           Association............................... 162
Table 16 - Submission Australian National Line....... 163
Table 17 - Submission Liner Services Pty. Limited.... 165
Table 18 - Submission Australian Chamber of
           Shipping.................................. 166
Table 19 - Submission Freightbases Pty............... 168
Table 20 - Comparative Industrial Land Prices........ 184
Table 21 - The Importance of Locational Factors...... 185
Table 22 - Distribution of Empty Container
           Destinations and Origins Going to
           or Coming From Port Jackson............... 201
Table 23 - Sydney (Empty) Container Parks............ 202

FIGURES
Page
Figure 1 - Port of Sydney – Commercial
           Wharfage Area.............................. 13
Figure 2 - A.N.L. Environmental Impact
           Statement - Container Origins
           and Destinations........................... 77
Figure 3 - C.T.A.L. Environmental Impact
           Statement - Container Origins
           and Destinations........................... 78
Figure 4 - S.R.A. Service Areas....................... 98
Figure 5 - Rockdale Screen Line and the
           Western Zone.............................. 127
Figure 6 - C.T.A.L. Delivery Sequence
           of Events................................. 151
Figure 7 - UBD Directory Map of Villawood Access..... 240
Figure 8 - C.T.A.L. Terminal Layout.................. 322

APPENDICES

Appendix 1 - Advice of M.H. McHugh, Q.C.............. 338
Appendix 2 - State Rail Authority Survey............. 347