THE NEW South Wales Government has ruled out building a new cruise ship terminal in Yarra Bay, near Port Botany.

The proposal met with opposition from the local community.

The Port Authority of NSW undertook a business case for the cruise ship terminal proposal. It noted the strenuous objections to the proposal in the local community.

Cruise ship terminal capacity in Sydney Harbour is becoming constrained and some sections of the industry were pressing for a new terminal to be built at the Yarra Bay site.

The port authority is examining alternative ways to increase terminal capacity for cruise ships and is to report back to the government on other viable options.

NSW minister for transport Jo Haylen said Yarra Bay is a “priceless historical site”.

“It has been occupied and cared for by the First Nations traditional owners for many thousands of years. It is the site of the first landing in Australia of Arthur Phillip and the First Fleet,” she said.

“Despite two and a half centuries of development all around it, Yarra Bay remains essentially in its pristine and original natural state. It has a beautiful beach and a rich marine environment.”

NSW Ports welcomed the government’s announcement nixing the new cruise terminal.

In a statement, the company pointed out that Port Botany is an important trade gateway for the state and the country.

“The proposed cruise terminal development at Yarra Bay had the potential to impact on Port Botany’s operations and capacity to grow, jeopardising the efficiency of the state’s supply chains,” the company said.