Brisbane’s $160m mega cruise ship terminal gets ACCC go-ahead

BRISBANE’S planned $160 million mega cruise ship terminal has got the green light from the competition watchdog — as long as it satisfies two conditions.

• Green light for terminal
• No plans to improve image

BRISBANE’S proposed new mega cruise ship terminal received a green light from the competition regulator today, paving the way for the $158 million development.

The Port of Brisbane and cruise operator Carnival jointly applied to develop the Luggage Point site to allow ships longer than 270m to dock regularly in Brisbane.

Currently ships that size are too large for the Brisbane Cruise Terminal at Portside and must use a cargo facility at the Port of Brisbane.

ACCC commissioner Roger Featherston said concerns had been raised that the agreement would have limited consumer choice and entrenched Carnival as the dominant cruise operator in Brisbane for 15 years.

But the ACCC will let the development go ahead, subject to two conditions that the regulator believes will promote competition and choice for cruise customers.

Under the agreement, Carnival will pay a fixed annual amount to the port for 15 years in return for preferential berthing rights at the new terminal.

Artist’s impression of the Luggage Point mega cruise ship terminal

These include 100 “foundation berthing days” a year, giving Carnival first pick of 100 days at the terminal each year, up to a maximum of four days a week.

Under the first condition, Carnival will still get its choice of four days each week, but cannot book more than two of the three “weekend” days (Friday, Saturday and Sunday) in any given week, which are the most popular and profitable days.

“This means one of these premium weekend days will be available to competitors so other cruise operators can compete with Carnival in Brisbane,” Mr Featherston said.

“If no other operator books the third weekend day, Carnival will be allowed to use it.”

The second condition was that Carnival cannot be given the first right of refusal for an agreement which would give it first choice of days at that berth.

“Our decision means that if a second berth is built, we should see improved competition between cruise lines,” Mr Featherston said.

Carnival is currently the only cruise operator regularly running cruises out of Brisbane.

Representatives of both Carnival and the Port of Brisbane said they were still considering the ACCC decision and had not made any decision about how they would proceed.