The Port of Melbourne is Victoria's busiest port and the largest container and general cargo port in Australia. It handled 2.5 million TEU in 2013-14321 and is one of the most significant trade assets in South-East Australia. The facility is owned by the Victorian Government and managed by the state-owned Port of Melbourne Corporation. The Victorian Government plans to privatise the port in the near future,322 expected in 2015.
Prior to its current expansion, the port faced capacity constraints as a result of rapid increase in container traffic, which has grown at a rate of around six per cent per year over the past two decades,323 and was projected to reach capacity by 2015.324 The constraints have been largely alleviated by a $1.6 billion redevelopment, which commenced in 2012 and will be completed in 2016. These projects include the development of a third container facility and a direct connection from Webb Dock to the West Gate Freeway, which will enhance the efficiency of container movements.325 Taking into account these expansions, there will be adequate capacity in the medium term. However, demand for container facilities at the Port of Melbourne is projected to exceed capacity before 2031.326
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321. Port of Melbourne Corporation (2012)
322. Victorian Department of Treasury and Finance (2014)
323. Port of Melbourne Corporation (2012)
324. Australian Competition and Consumer Commission (2011)
325. Port of Melbourne Corporation (2012)
326. Port of Melbourne Corporation (2013)