Independent Federal Member for Clark, Andrew Wilkie welcomes the Federal Government’s long overdue commitment to enhance the Tasmanian Freight Equalisation Scheme.
“Today’s commitment by the Federal Government to deliver a $95 million boost to the TFES is welcome and a good start to addressing this urgent problem. I have been pressing a succession of governments to maintain and improve the TFES for many years, and was one of the loudest voices opposing the Federal Productivity Commission’s proposal to wind-up the scheme” Mr Wilkie said.
“It is unfortunate that it takes an election for the Federal Government to promise action on this, and I will be making it a post-election priority to ensure the commitment is fulfilled.”
“Nearly all Tasmanian inbound and outbound freight is by sea and the TFES is vital for Tasmanian businesses. The cost of crossing the Strait is the single greatest impediment to economic development within the State, and these costs should not exceed those of travelling the same distance on Highway One.
Currently, the TFES falls well short of achieving parity, with the current cost of getting a container from Tasmania to Melbourne markedly more than getting it from Melbourne to the West Coast of the United States. The extra funding announced today is a good down payment on turning the situation around, and something that can be built on.”