Sep 8, 2008

Rudd Labor Govt Delivers Further assistance for Flinders Island Businesses

Rudd Labor Govt Delivers Further assistance for Flinders Island Businesses


The Hon Anthony Albanese

Minister for Infrastructure, Transport,

Regional Development and Local Government

Leader of the House

Member for Grayndler

September 8 2008

Federal Transport and Infrastructure Minister, Anthony Albanese and Member for Bass,  Jodie Campbell today announced further financial assistance for Flinders Island businesses under the Tasmanian Freight Equalisation Scheme (TFES).

“Under the TFES, Tasmanian businesses can access financial assistance to help cover the relatively high costs of transporting their goods by sea to markets on the Australian mainland,” said Mr Albanese.

“While it has provided much needed support for the Tasmanian economy, until now the Scheme hasn’t fully recognised the unique situation in which businesses on Flinders Island find themselves – namely the fact that there is no regular direct shipping service between the Island and Port Melbourne.

“To address this situation we will make sure these businesses can access the Scheme’s recently introduced intrastate subsidy.

“Up until now the Flinders Island to Bridport leg of the journey to the mainland was not eligible for this intrastate assistance unless the product being shipped underwent further manufacturing while on the main island ‘stop-over’.”

The additional assistance will be available where:

  • Goods are produced or manufactured on Flinders Island for permanent use or sale on mainland Australia; and
  •  The shipment of goods requires more than one type of transport mode in order to complete the interstate journey.

Ms Campbell said the Government was now responding to the unique challenges and higher costs confronting businesses on Flinders Island.

“I am very pleased that following my strong representations, Mr Albanese agreed to a further extension of the TFES – assistance that will help to maintain the competitiveness of the businesses located on Flinders Island,” said Ms Campbell.

Over the coming year, the Commonwealth will spend more than $100 million on the TFES and a further $34 million on the Bass Strait Passenger Vehicle Equalisation Scheme – programs that support the continuing economic development of Tasmania.