carrying the freight: the trucking industry perspective 13 june 2007 stuart st clair chief executive...

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  • 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

    A federation of state and sector associations and major logistics companies

    Our mission: To unite and represent a professional and safe Australian trucking industry.

  • Industry Creates National WealthAn 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

  • Major Freight TaskThe doubling of the freight task a major challenge for the trucking industry

    Government forecasts Australias 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

  • Road Freight GrowthCurrent 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

  • Trucking Pays Its WayTrucking 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

  • Trucking Industrys ChallengeThe federalist system of government

    COAG initiated Productivity Commission Inquiry into Road and Rail Infrastructure Pricing

    ATAs 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

  • SafetyTrucks 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

  • 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

  • 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 industryUniformity among states is crucial

  • 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


  • Productivity GainsNeed for productive vehicles;

    B-Triples, quads, double road trains.

  • Employment ChallengesNational 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

  • 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+

  • ConclusionsAppreciate 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

  • Australian Trucking Association

    Thank you