The Australian Logistics Council (ALC) has welcomed the NSW Government’s plan to transfer 15,000km of council-owned roads back to the state, saying it will enhance supply chain performance.
ALC CEO, Kirk Coningham, said the policy will help to eliminate some of the inconsistencies, cost-shifting and administrative delays that arise from different sections of a single road being owned by multiple local councils.
“Smaller councils in regional areas often do not have the revenue base or the personnel required to maintain road infrastructure to the standard freight logistics operators require to support the safe and efficient movement of goods through the supply chain,” Mr Coningham said.
“Additionally, as the national freight task grows, Australia must find ways to further enhance supply chain efficiency.
“This includes the use of high productivity vehicles (HPVs) with larger payloads in order to meet business and consumer expectations around rapid deliveries. We must ensure that road infrastructure is maintained to a standard that supports their use.”
Mr Coningham said the policy will also provide greater certainty for freight logistics operators.
“We need to make certain that decisions around road access can be made promptly and applied consistently, so that freight movement is not delayed by administrative holdups,” he said.
“It will be important for the freight logistics industry to be involved in conversations around the road asset transfer process, so that its needs are clearly taken into account.
“Transferring the road assets on which the NSW freight network heavily depends from regional councils back to the State Government and clearing the council roads maintenance backlog will help deliver on these objectives, and reduce uncertainty around future road infrastructure investment and maintenance.
“Ultimately, this will bring about greater efficiency in the end-to-end supply chain – which is good news for producers and consumers alike.”
