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Australian Trucking Association

Carrying the Freight: The Trucking Industry Perspective 13 June 2007 Stuart St Clair Chief Executive Australian Trucking Association. Australian Trucking Association. Established in 1989 Peak representative body for trucking in Australia

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Australian Trucking Association

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  1. Carrying the Freight:The Trucking Industry Perspective13 June 2007Stuart St ClairChief Executive Australian Trucking Association

  2. Australian Trucking Association • Established in 1989 • Peak representative body for trucking in Australia • A federation of state and sector associations and major logistics companies • Our mission: “To unite and represent a professional and safe Australian trucking industry.”

  3. Industry Creates National Wealth • An essential industry. We create wealth & improvement of national standard of living • We represent around 3.4% of the GDP of Australia. Around $30 billion. • Over 180,000 employees in the hire and reward business of transport & over 49,000 transport operators. More than 250,000 people engaged in supporting industries • Trucking industry of world standard

  4. Major Freight Task • The doubling of the freight task a major challenge for the trucking industry • Government forecasts Australia’s road freight task to more than double between 2000 and 2020, Source: BTRE Report 112, 2006 • Doing nothing will lead to increased congestion on road and rail networks

  5. Road Freight Growth • Current estimates show only 9-15% of non bulk freight is contestable between road and rail • In Australia; about 810,000 kms of roads & about 44,000 kms of rail • ATA supports a competitive rail industry, assisted independently of road • We oppose increased taxes and charges on road freight operators to make rail more competitive

  6. Trucking Pays Its Way • Trucking more than pays its share in Australia • Trucking pays $1.8b for roads towards construction and maintenance expenses of just $1.62b • The industry faces a new heavy vehicle charges determination • New pricing system to be implemented by July 2008

  7. Trucking Industry’s Challenge • The federalist system of government • COAG initiated Productivity Commission Inquiry into Road and Rail Infrastructure Pricing • ATA’s Productivity Commission Submission:the further you drive, the more tax you pay, and the heavier the load the more tax you pay • Focus needs to be on safety and getting the freight task accomplished. More flexibility driving/work/rest

  8. Safety • Trucks are not involved in 90% of fatal accidents. Where trucks are involved, two thirds are not the responsibility of the truck driver • Australian Transport Safety Bureau figures: 2000-2005 reduction of 22% in fatal crashes involving articulated trucks • National Transport Commission study ( 2006) noted 74% of drivers surveyed felt no pressure to speed & company policies were effective

  9. Council of Australian Governments (COAG) • COAG, a council formed by state premiers and the federal government agreed last February to: • Harmonise & reform rail and road regulation within five years • Strengthen and coordinate transport planning/project appraisal processes • Reduce current and projected urban transport congestion… informed by review… options for managing congestion focussing on national freight corridors

  10. Productivity Gains • Productivity improved with B-doubles = 30-40% increase • Intermodal terminals Important for logistics providers • Higher Mass Limits Network (HML) In a country the length and breadth of Australia, HML network is: • Essential for industry • Uniformity among states is crucial

  11. Productivity Gains • Industry uses cutting edge technology for vehicles such as GPS management tools; needs to be convinced re Intelligent Access Program (IAP) • IAP needs to be used for productivity rather than as a punitive device • Linking of IAP to the HML in NSW is a new requirement • Auslink

  12. Productivity Gains • Need for productive vehicles; • B-Triples, quads, double road trains.

  13. Employment Challenges • National skills shortage in Australia has affected the trucking industry • Data shows the average truck driver in Australia is 52 years of age • Harsh enforcement • We are struggling to replace the natural attrition

  14. Solutions? • Promote our industry. A great career in an attractive industry • More programs in schools • Should also attract mature workers eg Ready for the Road • Limited scope in overseas recruitment & likely costs $15000+

  15. Conclusions • Appreciate being invited today • Close relationship with your association • Many common fronts where industry can relate. • There needs to be more opportunities to meet in a spirit of cooperation; relationships need to be fostered and grown

  16. Australian Trucking Association Thank you

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