AN NSW Ports-commissioned report by KPMG concluded that a new container terminal in NSW would not be needed until the mid-2040s, and the best candidate for that terminal would be Port Kembla.

The report, titled Quay conclusions: Finding the best choices for additional port capacity in NSW concluded that investing in port infrastructure too early would result in higher costs for businesses and families around the state. Also, the report says that Port Kembla should be the location for a second container terminal, but only after Port Botany has reached capacity. And, the report also concluded that container trade through the Port of Newcastle would be costly and offer the lowest benefit.

Speaking at the launch of the KPMG report in Sydney on Monday, NSW Ports CEO Marika Calfas said Port Botany was closer, better and cheaper for most container freight in New South Wales.

“Port Botany is less than half full, is directly connected to dedicated freight rail, road and intermodal infrastructure and is supported by modern warehousing and logistics facilities in Sydney’s west and south west,” she said.

“The KPMG modelling shows Port Kembla is the obvious next choice for the state’s next container port, once Port Botany nears capacity.”


Ms Calfas pointed out that Port Kembla was less than half the distance to Sydney’s “booming” west and south west.

“Sydney and the south west population is set to grow from 5m now to 6.5m by 2036,” she said. “Port Botany and then Port Kembla makes sense as the ports to service this growth and is the right decision for the people and businesses of NSW.”

For more detailed reporting on the debate over the possible second container terminal in New South Wales, make sure to read the feature on New South Wales in the forthcoming March edition of the Daily Cargo News magazine.