International Container Terminal Services Inc. (ICTSI) has made its own proposal for the expansion of the Victoria International Container Terminal (VICT), its wholly-owned subsidiary at the Port of Melbourne in Australia.
ICTSI said it could contribute more than US$340 million in Victoria, in addition to over US$480 million it has already invested in the Australian state since the founding of VICT in 2014, making ICTSI one of Victoria's leading foreign infrastructure investors.
The expansion would boost VICT's container capacity to 3.7 million TEUs, according to ICTSI, allowing for four container berths with the ability to service vessels up to 14,000 TEUs and up to 367 meters in length.
Under the proposal, ICTSI would undertake a phased development of the Webb Dock North Container Terminal and integrate its operations with VICT. The design would deliver higher operating efficiencies at a lower development cost and, importantly, with a significantly reduced environmental impact compared to competing proposals, according to ICTSI's statement.
The global port operator noted that according to external studies, its approach could save more than US$165 million in costs and spread spending over a longer time period while delivering significant capacity into the market sooner.
ICTSI highlighted it has engaged multiple global firms to assess the merits of its proposal in comparison to current expansion designs for the Port of Melbourne with Jacobs Engineering undertaking a detailed technical assessment, including estimates of construction costs, while Boston Consulting Group focussed on market and economic assessments.
ICTSI’s executive vice president, Christian Gonzalez said preliminary discussions had been held with the Port of Melbourne and its owners as well as the Victorian Government and other key industry stakeholders.
He added that ICTSI has made it clear that it is ready and confident to test its proposal in any competitive process that the Port of Melbourne requires under its plans for the future of Webb Dock.
"We believe we can partner with the Port of Melbourne to deliver the superior proposal for Webb Dock and in turn, lock in further economic prosperity for Victoria. We look forward to sharing further independent analysis of our proposal alongside all details with the Port of Melbourne and other key stakeholders in due course," he emphasised.
