Port of Melbourne leased for more than $9.7 billion
The Andrews Labor Government has successfully leased the Port of Melbourne for more than $9.7 billion, delivering on its election promise to lease the port, remove 50 of our most deadly and congested level crossings, and create thousands of jobs, Victoria State Government said in its press release.
The Lonsdale Consortium, comprising of the Future Fund, QIC, GIP and OMERS signed a lease of the port’s commercial operations for a term of 50 years. The lease, worth more than $9.7 billion, reflects strong bidder interest and the port’s value, as the biggest container and cargo port in the country.
Ten per cent of lease proceeds will be invested in regional and rural infrastructure projects, totalling more than $970 million.
A new $200 million Agriculture Infrastructure and Jobs Fund has also been established to drive economic growth in our regions, boost exports and support Victorian farmers from paddock to port.
Each member of the consortium is a highly experienced asset owner who will ensure the ongoing operational integrity of the Port of Melbourne. Lonsdale will also bring greater access to capital to ensure the ongoing development of the Port of Melbourne, further enhancing Victoria’s reputation as the leading port in Australia.
The State will retain responsibility for the Harbour Master, Station Pier, relevant safety and environmental regulation, waterside emergency management and marine pollution response.
During the lease term, Lonsdale will maintain access to public walkways and bike paths for community use.
Commercial and recreational vessels’ access will not be affected by the lease, with the port being returned to public hands at the end of the lease.
