The Port of Newcastle in Australia has lodged an appeal in the federal court against Glencore to maintain control over fees for gaining access to the port.

In 2014, the New South Wales government privatised the Port of Newcastle as part of a joint venture (JV) between Hastings Fund Management and China Merchants.

After privatisation, port fees were increased by the JV between 40% and 60% for vessels accessing the shipping channel.

Following this, Glencore unsuccessfully approached the federal government to get the fees reduced. Glencore then appealed to the Australian Competition Tribunal, which ruled in its favour and prompted the Port of Newcastle to launch an appeal against the decision.  

"The matter raised important issues for infrastructure operators and their customers."

Australian Competition and Consumer Commission (ACCC) chairman Rod Sims criticised the privatisation of government assets, warning it was damaging the country’s economy.

A Port of Newcastle spokesman was reported by the Guardian as saying: "The matter raised important issues for infrastructure operators and their customers.”

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

“Port of Newcastle is seeking judicial review via the full federal court of the decision of the Australian Competition Tribunal to declare the service provided by the shipping channel in the Port of Newcastle.”

Glencore previously argued before the Australian Competition Tribunal that the rise in fees would have impact on the profit margins of coal producing companies.