Aug 10, 2012

Moorebank: Government seeks private sector expertise

The process of appointing the board of the Government Business Enterprise (GBE) to oversee the private sector delivery of a new freight handling facility at Moorebank in Sydney’s south west has begun and is expected to be concluded by the end of the year.

Finance Minister Penny Wong and Infrastructure and Transport Minister Anthony Albanese today announced that executive search firm Hudson Global Resources has been selected for the task of identifying suitable candidates, with ads calling for applicants having appeared in this morning’s major daily newspapers.

“From the outset, we have been determined to put in place an experienced board made up of individuals with a strong commercial focus and capable of delivering the best financial and policy outcomes for both taxpayers and national economy,” Senator Wong said.

“This is an opportunity for the public and private sectors to work together to deliver a project which will boost national productivity, increase efficiencies for business, and ease congestion on Sydney’s roads.”

The Moorebank site was originally selected in 2004 by the Howard Government.

From January 2013, the GBE will oversee the remediation of the site as well as manage the tender process to select the private sector company or consortium to design, build and operate the new facility.

Mr Albanese said the Detailed Business Case released earlier this year calculated that the Intermodal Terminal would generate $10 billion in economic benefits, take 1.2 million trucks a year off Sydney’s roads and inject $135 million into the economy of Western Sydney annually.

“Over the longer term, this facility has the potential to transform the movement of freight along the entire east coast,” Mr Albanese said.

“Already there has been strong private sector interest in building and operating this vital piece of new infrastructure, with some 40 major domestic and international freight and logistics companies attending market briefing sessions in recent months.”

Subject to planning and environmental approvals, the new Moorebank Intermodal Terminal is expected to open for business in 2017.

Moorebank Intermodal Terminal: Fact Sheet


  • The objective of the Moorebank IMT is to provide greater freight container capacity and efficiency by taking trucks off Sydney’s roads and using rail to transfer goods through the city.
  • A Detailed Business Case has been completed and confirms an IMT is needed to accommodate continuing high growth in container volumes, which is expected to grow from around two million containers today to around seven million a year by 2030.  Without this new facility and more freight going by rail, Sydney faces gridlock around it port and on its roads.
  • The IMT complex will include a port shuttle opening in 2017 and an interstate terminal built in 2029/30 or sooner based on demand.


  • The Detailed Business Case identified $10 billion in economic benefits including improved productivity, reduced business costs, reduced road congestion and better environmental outcomes. This includes taking 1.2 million truck trips off Sydney’s roads annually.
  • The project will generate significant employment: 1,650 jobs during construction of the port shuttle, 975 during construction of the interstate terminal and 1,700 associated with operations and warehousing.

Private Sector Participation

  • The IMT will be delivered and run by the private sector as an open-access facility.  To maximise private sector participation and optimise private funding, the Government will call tenders for design, construction and operations.
  • A Government Business Enterprise will be operating from January 2013 to act as landlord and manage the tender process.

Project Scope and Assessment

  • The IMT will be built on the current site of the School of Military Engineering (SME) south of the M5 in the Liverpool Military Area, subject to planning approval. A concept plan for the site was released in 2011.
  • The Department of Defence will move SME to a new purpose-built home at the nearby Holsworthy Barracks.  SME will be relocated by the end of 2014.  A further 2,000 jobs are associated with construction of a new home for the School of Military Engineering at Holsworthy Barracks.
  • An Environmental Impact Statement is expected to be issued at the end of 2012/early 2013.