Safety, reliability and competitiveness are key elements of non-exclusive towage licensing arrangements which will continue in the Port of Fremantle from 1 June 2006 for a further period of seven years.  

Fremantle Ports Chief Executive Officer, Kerry Sanderson announced today that Adsteam, which is already operating under non-exclusive licence to Fremantle Ports, will continue to be the major provider of towage services for commercial vessels in the port.  

Adsteam subsidiary, Adsteam Harbour Pty Ltd, operates the five large tugs in the port, and has also been licensed to operate smaller tugs for the smaller ships.

Another licence coming into effect on 1 June 2006 will be offered to independent operator, Total Marine Services Pty Ltd, for the continued operation of smaller tugs.

“The new arrangements with Adsteam emphasise reliability and competitiveness,” Kerry Sanderson said. 

“The same schedule of charges will apply to the Inner and Outer Harbour services, whereas under the existing licence with Adsteam there is a higher tariff schedule in the Outer Harbour. 

“Under the new licence, most Outer Harbour customers will be paying less overall for towage  than they do now, even though Adsteam will be introducing a fuel surcharge to reflect the global increase in oil prices. The surcharge is already being applied by Adsteam in other Australian ports. 

“In the Inner Harbour, while the schedule of charges has been reduced on average by two per cent, introduction of the national fuel surcharge will result in a small overall increase in towage costs.  

“Towage prices for the large tugs will remain fixed for two years, and there is provision for these prices to be reviewed every two years for the term of the licence agreement,” Kerry Sanderson said.

WA Planning and Infrastructure Minister, Alannah MacTiernan said towage was one of the key services of a working port and it was essential to ensure that the towage services at Fremantle continued to be provided reliably, safely and efficiently. 

“Along with responsiveness and cost, these have been priorities in the assessment of responses to Fremantle Ports’ Request for Proposals,” Ms MacTiernan said.

“Consultation with major customers was an important part of the process to ensure customer needs were taken into account.

“Adsteam, through its subsidiaries, has been the main provider of towage services in the port of Fremantle for many years and has a proven track record.

“One of the aims of the new licensing arrangement will be to continue to ensure reliability of service provision.

“With trade through Fremantle’s Inner and Outer Harbours continuing to grow strongly, towage arrangements will be an important part of the port’s future success.”

Fremantle Ports first introduced licensing of towage in March 2001, with the aim of achieving competitive charges and more reliable and responsive services for shipping companies. At that time, an average reduction in towage charges of 15 per cent applied.

The new licences coming into effect from 1 June 2006 will be for seven years, and will not preclude other towage service providers from applying for additional non-exclusive licences.

Media contacts:

Ainslie de Vos - Fremantle Ports 08 9430 3380