Port of Melbourne lease proceeds to fund Victorian infrastructure initiatives

On the 19^th September, the Victorian Government announced that Lonsdale Consortium was the successful purchaser of the 50 year old lease to operate Australia’s largest container and cargo port, the Port of Melbourne.

Worth $9.7 billion, the higher than expected lease proceeds will go to the Victorian Transport Fund to support important transport projects such as removing level crossings, the Western Distributor project and building a new Metro Rail station in South Yarra instead of the planned elevated rail network through Melbourne’s south-east suburbs.  The transport initiatives include projects that relieve traffic congestion and improve access to the port, such as taking trucks off West Gate Bridge to Port of Melbourne via a dedicated access route.   Flow on effects of these projects will boost jobs and local industry.

Victoria is also expecting an additional $877.5 million of funding from the Commonwealth Government’s asset recycling initiative (ARI) under which states are offered a portion of an asset’s sale price if the proceeds are spent on new infrastructure.

The Lonsdale Consortium, which includes the Queensland Investment Corporation, Future Fund and Global Infrastructure Partners, will be responsible for managing and improving the port’s operations as well as maintaining the port, public access and visitors areas, and Station Pier for future generations.

To ensure your businesses’ smooth shipping, storage and freight forwarding into and out of Australia, call Clarke Global directly on 9854 3000 or email your requirements to enquiry@clarkeglobal.com.au

Photo by Wally on water