Shipping inquiry to be told policy reform urgently needed

The Australian Maritime College (AMC) told a Parliamentary inquiry into Australia's coastal shipping policy that reform is urgently needed.

Giving evidence at a public hearing in Launceston, Barrie Lewarn, Director of the AMC Maritime Transport Policy Centre, told the inquiry that it is a welcome first-step, but the intent of Australia's coastal shipping policy has been lost over time.

"Many of the ships trading in Australian waters are not Australian registered vessels. This means they do not have to comply with a raft of legislation which has rendered our shipping industry uncompetitive."

"The conditions for licensing vessels to trade on the Australian coast are weak in comparison to some other nations."

"For example, there is no requirement for non-registered Australian vessels to employ local seafarers or to pay local wages."

"This means non-Australian registered vessels can employ foreign workers on their local rates of pay making it impossible for Australia's fleet to compete commercially," continued Dr Lewarn.

"The root of this problem goes back to the mid 1990s when the previous government began a process of ending the investment scheme for Australian sea transport operators."

"The result was a marked decline in the number and capabilities of the Australian licensed fleet and this needs to be turned around," concluded Dr Lewarn.