Tasmanian freight operators have thrown their support behind a proposed $65 million boost to the Tasmanian Freight Equalisation Scheme, unveiled as part of the Liberals’ federal election campaign.
They say the long-overdue funding increase would deliver much-needed relief for businesses moving goods across Bass Strait.
Jeff Page, Managing Director of Page Transport, said the scheme’s subsidy rates haven’t changed since 1999, putting pressure on farmers and manufacturers who depend on affordable interstate shipping.
“It’s about farmers and processors being able to get their livestock off the island,” Page said.
He said the funding boost would cut freight costs by roughly 5 to 8%, saving around $10 per head for cattle and $1 to $1.50 for lambs.
“In the last few weeks we’ve had between 60 and 80 loads of livestock go northbound,” he said.
“Those farmers really need the surety that the government’s behind them.”
The Coalition’s proposed funding injection was announced by Liberal Senator Claire Chandler, who took aim at federal Labor for not including additional TFES funding in the latest budget.
“I’ve spoken to so many Tasmanian producers over the last few months and they’ve all said to me that the Tasmanian Freight Equalisation Scheme is not fit for purpose and needs more funding,” Chandler said.
“I think Tasmanian producers are right to be disappointed. This was not a big ask. It was not a complicated ask. It was a very clear ask.”
The funding package includes a $3 million review to ensure the scheme stays effective beyond the initial 12-month period.
“We want to make sure that it can be fair and equitable for Tasmanian freight exporters and importers into the future,” Chandler said.
