Published Wednesday, 07 February, 2018 at 12:25 PM

Minister for Transport and Main Roads
The Honourable Mark Bailey

Federal funding for port channel widening needed now EIS is approved

The Palaszczuk Government has welcomed the Federal Government’s decision to approve the Environmental Impact Statement for the Townsville Port Expansion Project, but has again called on Prime Minister Malcolm Turnbull to back Townsville and commit federal funding.

Transport Minister Mark Bailey said the Palaszczuk Government had already committed $75 million in the 2017-18 budget for a channel widening which formed part of the first stage of the port’s expansion over the next four years, subject to approvals.

“If the Turnbull Government wants to support jobs Townsville jobs and economic development, it needs to find the funds to support this critical project for the North Queensland economy,” Mr Bailey said.

The Port of Townsville will fund $43 million for the Channel Capacity Upgrade, the Palaszczuk Government has confirmed a $75 million funding commitment and has sought a matched $75 million contribution from the Turnbull Government for the project to proceed.

“I have written to my Federal counterpart confirming our call for the Turnbull Government to commit $75 million to turn this needed expansion into a reality to set up Townsville Port for decades,” Mr Bailey said.

“Importantly, this EIS process has ensured strict environmental conditions have been placed on the expansion project to manage potential impacts on Cleveland Bay in the Great Barrier Reef World Heritage Area.

“The project was revised to be consistent with our Reef 2050 Long-Term Sustainability Plan commitments, and no capital dredge material will be permitted to be placed at sea - instead material will be used to develop a 152 hectare reclamation area at the Port.”

The Federal Government’s approval of the EIS means that preliminary works on Stage 1, the $193 million Channel Widening Project, could kick off by April this year, pending funding from Canberra.

Stage 1 is part of the 30 year, $1.64 billion expansion that will support more than 350 jobs.

Member for Townsville Scott Stewart said the project would provide an incredible boost for the Townsville economy.

“Bigger ships are becoming more common and a wider channel into Townsville is vital for the future prosperity of our city,” Mr Stewart said.

“At the moment Townsville cannot accept ships longer than 238 metres in length, which by today’s global standards is inadequate.

“That’s why it’s so important that the Coalition Government partners with the Palaszczuk Government and helps fund this vital project.” 

The Townsville Port Expansion Project involves four key elements:

  • capital dredging of 11.48 million cubic metres of sediment to widen and deepen the Sea and Platypus Channels and an expanded harbour basin
  • establishing a 152ha reclamation area
  • construction of 4km of rock revetments and potentially a new 700-metre western breakwater
  • construction of six new berths

The widening of the channel is a key initiative under the Townsville City Deal between the Queensland and Australian governments, and Townsville City Council. 

Media contact:

Minister Bailey - Chris Vernon - 0416 800 004

Scott Stewart MP – Nikki Burnett - 0478 008 335