The floodgates are slowly opening, road transport is becoming more efficient and rail less efficient, so you have a problem.
- Michael O'Callaghan, Sunraysia Mallee Port Link
The business case for the proposed $35 million Sunraysia Mallee Port Link, an Ouyen road-rail intermodal, is calling for the reinstatement of the rail freight corridor between Ballarat and Melbourne.
The GHD Advisory business case found by 2023, the volume of intermodal freight from north-west Victoria was expected to hit more than one million tonnes.
Port Link consultant Michael O'Callaghan said more and more companies were converting B-Doubles to road trains, with the aim of carrying more freight economically and efficiently.
"The floodgates are slowly opening, road transport is becoming more efficient and rail less efficient, so you have a problem," Mr O'Callaghan said.
He said before the state government started the Murray Basin Rail Project, freight trains travelled to the Port of Melbourne, through Maryborough to Gheringhap.
Under the revised MBRP, thought Ararat, the distance had been extended by 25 per cent, adding extra costs and only allowing for three services a week.
Mr O'Callaghan said transport operators and freight accumulators highlighted the need for five regular services a week for efficient rail use.
"If there are less than five train services, the freight accumulators still need a full fleet of trucks for non-train days and then have idle drivers and trucks on those days when there is a train," he said.
"Our emphasis is not to ask the government for the MBRP to be completed in full but instead to ask it to 'reinstate' the direct rail freight route to the port."
Mr O'Callaghan said soild testing, topography and a site survey, along with a review of the planning requirements, have been completed.
The 78 hectare site was secured under contract, with an optional purchase agreement.
"The project is shovel ready; it just needs a direct rail route to port to be reinstated and some funding," Mr O'Callaghan said.
A Deloitte Access Economics report from 2019 found freight costs were highest for grain, at 27.5pc of gross income and fruit and vegetables at 21pc.
The business case found the Sunraysia Mallee Port Link and reinstatement of the Ballarat rail corridor would reduce those costs, while reducing carbon emissions and road trauma.
"A 24-hour train cycle to Melbourne would provide a more compelling case to shift volumes from road to rail," the business case found.
"This will reduce the number of heavy vehicles on the road, improving safety for road users, significantly reducing road maintenance requirements, improving freight efficiency, and reducing emissions."
Meetings with stakeholders identified more than 35,000 containers could pass through the intermodal.
Increasing expansion of grape vines in the north-west saw the table grape export market growing by 20pc a year.
Three of the four largest Australian almond export facilities wree also in the Port Link freight catchment area.
There was also a plan for a $10 million hay processing facility to be established at the site.
A government spokesperson said new intermodals were the key to moving more freight from road to rail.
"We are aware of a proposal for an intermodal terminal at Ouyen and would encourage the proponents to work with freight owners and freight train service providers to demonstrate the terminal is commercially sustainable," the spokesperson said.
"We look forward to further discussions regarding this proposal as the proponents continue to advance it."
Andrew Miller
I'm a general reporter with Stock & Land, with a special interest in irrigation issues. I completed my cadetship, with the Age, in 1980. Over my career, I've worked for ABC radio news (Mt Isa, Qld) and at provincial and suburban newspapers.
I'm a general reporter with Stock & Land, with a special interest in irrigation issues. I completed my cadetship, with the Age, in 1980. Over my career, I've worked for ABC radio news (Mt Isa, Qld) and at provincial and suburban newspapers.
