With delays spanning months for some non-essential freight and soaring costs, Cape York leaders say it is time for Queensland Government-owned Sea Swift to have some wet season competition. Photo: Cape York Weekly.
As frustrated Cape York elected and business leaders demand a sea freight alternative to alleviate wet season delivery bottlenecks and soaring bills, one veteran politician says the only solution is for the State Government to sell off the region’s monopoly operator.
With delays of months for some non-essential freight due to backlogs and mechanical breakdowns causing headaches for residents and businesses on Cape York and in the Torres Strait, many have called for a second sea freight option, including Weipa Town Authority Chair Jaime Gane.
“Feedback from the community is a mix of frustration and anger” she said.
“I don’t think the people on the Cape have outrageous expectation when it comes to freight and ease of getting things here, we accept a certain level of inconvenience from living remotely, but we have our limits, too, and they have well and truly been reached.
“An alternative sea freight provider is … needed; the issue with that is that it would need to be an attractive proposition for a new company to come in.”
Western Cape Chamber of Commerce president Jai Christie said he believed improved infrastructure on the Peninsula Developmental Road would provide a sea freight alternative for at least part of the year, adding alternative shipping routes could also play a role.
“A discussion is needed around possibly opening up a freight route from the Karumba port directly to western Cape communities, and even possibly to [Thursday Island],” he said.
“TI now has another local barge company that is shipping from Cairns and also to outer islands where Sea Swift has dropped the ball – expanding this option should be on the cards as well.”
One long-term Cape York business operator, who spoke on the condition of anonymity, said the current situation had them at “breaking point”.
“You can’t run a business when stuff you’re waiting for keeps getting pushed back and back while they (Sea Swift) freight apparently essential items,” they said angrily.
“There’s no communication about the delays and where your stuff’s at, and the cost of getting equipment and materials up here pretty well has us at breaking point each wet.”
The State Government purchased 100 per cent of Sea Swift for a reported $300 million in 2019, with the company managed by the Queensland Investment Corporation (QIC) on behalf of the Queensland Government Insurance Fund (QGIF).
Leichhardt MP Warren Entsch slammed the State Government and said he believed the only solution was for it to divest its interest in Sea Swift.
“I’ve had several calls from Weipa regarding concerns about availability and continuity of supply,” he said.
“The issues are not flood related – it’s the regularity of supply from Sea Swift; it’s also the cost of freight for items coming from Sea Swift.
“Quite frankly, it’s become a dog’s breakfast when it’s been taken over by the Queensland Investment Corporation.
“I just came back from the Torres Strait yesterday and the cost of getting stuff up there from Sea Swift is prohibitive – it’s eye-wateringly expensive.”
In a statement, executive chairman Chris Pearce defended the sea freight operator and denied claims the availability of suitably qualified staff to operate the Sea Swift fleet had exacerbated delivery delays.
“Sea Swift is not aware of any issues in the months leading up to the wet season, however, the wet season is a particularly difficult time with delays due to extreme weather, large tides and monsoons leading to lack of supply,” he said.
“Sea Swift is not a government body; we do not receive regular payments for services, training, crew, vessels or operations from any government; QIC manages Sea Swift on behalf of the QGIF.”
Member for Cook David Kempton said sea freight competition could work, but warned the cost involved could be a major hurdle.
“I am continuing to work with all stakeholders to determine if there are changes that can be made to reduce costs and improve service in the face of the many challenges,” he said.
“Competition in freight delivery and food distribution may be an option, however, this is a very difficult environment in which private organisations would find it risky to enter; it is easy to suggest competitors are the solution, however, it is not that simple, as it is a complex problem.”
When asked whether he believe the State Government had an obligation to step in to address the sea freight situation, Minister for Transport and Main Roads (TMR) Brent Mickelberg said “Sea Swift is a commercial operator not governed by TMR or under contract obligations to TMR”
“The Crisafulli government is investigating options about how we can support sustainable maritime freight operations that benefit customers in the region,” he said.
Member for Leichhardt Warren Entsch has criticised Sea Swift’s operation as a “dog’s breakfast” under Queensland Investment Corporation management and says the State Government needs to divest its ownership of the company as the first step in improving remote freight options. Photo: Supplied.
