TasPorts will pour tens of millions of dollars into infrastructure at the Port of Burnie over the next three decades, following a major lease agreement with freight operator Strait Link.
The 30-year deal gives the state-owned port operator long-term revenue certainty to carry out critical maintenance on ageing structures – some of which date back to the 1880s.
“The clarity around the commercial agreement provides us with certainty on getting on with the next tranche of maintenance activities and future strategic asset management planning,” TasPorts CEO Anthony Donald said.
Tasmania’s largest port handles around 430 ship movements each year and shifts more than four million tonnes of product through its facilities.
Donald said the investment would cover ongoing seawall maintenance and upgrades to fenders, bollards and mooring connections.
TasPorts is also using underwater and aerial drones to monitor asset conditions.
“It would be easy for TasPorts to close a berth and conduct maintenance and upgrades,” he said.
“What’s challenging and complex is making sure that we can undertake maintenance without disruption to the freight movements.”
The agreement follows similar long-term deals with SeaRoad and TT-Line, creating what Donald described as an “even-handed approach” across the three major customers.
Fee structures have been modernised under the arrangement, though commercial details remain confidential.
Strait Link CEO Geoff Gruebner said the deal would allow the company to invest in its Burnie operations with confidence.
The freight operator moves around 260,000 containers a year through Tasmania via two daily vessel services.
“This long-term lease gives us the trust and confidence to invest for the long term in our capacity in Burnie so we can grow with the community and the economy of Tasmania,” Gruebner said.
Infrastructure Minister Kerry Vincent said the agreement helped secure the state’s freight network.
“This outcome provides certainty for workers, local industry, the wider Burnie community and of course everyone who relies on our freight network here in Tasmania,” he said.
