This week’s positive Ministerial Statement to Australian Parliament, by Resources Minister Kon Vatskalis, begs the question of how the vast mineral resources in the Northern Territory (NT) are going to be exported. This is the opinion of the Northern Territory Executive Director, Scott Perkins. He says: “While the potential is there, the ability to get it out is lacking. It is widely recognised that the NT is the easiest jurisdiction in Australia to do business, but all this effort is wasted if there is inadequate transport and export infrastructure.”

Perkins continues: “The Minister is right; we have huge potential in the NT and everyone is working hard to ensure it is developed. We have a well respected set of strategies and a realistic and enthusiastic program of development.” But, he says, “There is obvious trouble with the port and it probably needs to have twice the current capacity if it is to handle anywhere near the expected volumes that can come from the next up-cycle in commodities. The whole transport chain is in need of upgrade pointing to lack of appropriate rail links and deteriorating road structures. After the Darwin – Adelaide railway was opened we saw several sustainable mines become viable and subsequently open. This means jobs and export opportunity for the NT. 

“Now is the time to invest in improving the transport chain. There are huge minerals deposits that would be developed but for the proximity of robust transport infrastructure. This was identified in a recent study by the Minerals Council of Australia in a report released earlier this year. MCA’s Vision 2020 report makes it clear that there are huge infrastructure gaps that are hampering efforts to enhance minerals export potential.

“We cannot afford to wait then try to build while the port is clogged and there are ships waiting off shore. While we welcome the funding for studies into the Darwin Port announced some months ago by Infrastructure Australia and the NT Government, the reality is that it represents less than half the money needed to get the port up to scratch.

“It doesn’t take another study to work out that Darwin is the natural outlet into Asia.   There is no reason why there can’t be a comprehensive reconstruction of the port commencing now. Unless something is done quickly, we are in imminent danger of losing real opportunity and real jobs in the Territory.”