‘Save Glebe Island port’ campaigners fear government is not listening

Industry leaders have urged the NSW Government to forget about shifting port operations from Glebe Island to Newcastle saying the move would create economic pain and have no impact on the housing crisis.

Industry leaders have urged the NSW Government to dump Newcastle as a potential replacement port for Glebe Island, warning the move would trigger a tidal wave of economic pain.

An alliance of 24 organisations fighting to retain operations at Glebe Island is on heightened alert, fearing the government now views Newcastle as an alternative that would allow it to shut down Sydney Harbour’s last working port to make way for high-rise apartments.

Talks between the government and members of Sydney’s Working Port Coalition have been progressing for more than a month.

Cement Concrete & Aggregates Australia, Gypsum Resources Australia, Housing Industry Association, Sugar Australia, Business Sydney, Sydney Fish Market, Tourism & Transport Forum, NRMA, Super Yacht Australia, Carnival Corporation and Banks Events are among the industry bodies aligned to save Glebe Island.

But within the coalition there are mounting concerns that their arguments against relocating port facilities from Sydney Harbour to Newcastle – or Port Kembla as initially touted – are falling on deaf ears.

Getting rid of Glebe Island Port could trigger a tidal wave of economic pain. Picture Thomas Lisson

Apart from inevitable freight cost blowouts to transport Sydney-bound materials that are currently delivered directly, the alliance predicts any residential developments on Glebe Island would be so high-priced they would do nothing to ease the housing crisis.

The Daily Telegraph has obtained a Port of Newcastle terminal schedule which shows 12 ships are expected to be anchored off the coast for between 10 and 14 days over the next few weeks due to a “high level of vessel congestion”.

The coalition claims it is clear evidence that stripping out Glebe Island operations and moving them to Newcastle would create rising costs for consumers through delays in the supply chain.

It also says those hold-ups are in addition to further expenses that will flow from the need to freight goods, notably construction materials and foods such as sugar, to Sydney from Newcastle or Wollongong.

Glebe Island Port is the last remaining port in Sydney Harbour. Picture Thomas Lisson

A source close to the coalition said: “There are already significant limitations on freight trains out of Newcastle, which would further contribute to congestion by putting hundreds and thousands of extra truck movements on the roads. On top of the costs, that has to be a major safety concern.”

A coalition spokesman added: “We need to retain Glebe Island to service the Sydney basin. It’s that simple.

“Any proposal to shut Glebe Island port and shift operations to Newcastle would only further exacerbate existing delays, increasing costs for businesses and consumers alike.”

Alistair Kelsh, General Manager of Gypsum Resources Australia – a company that supplies gypsum to the cement and plasterboard industry in Australia and New Zealand – told The Daily Telegraph the concerns were real.

“We acknowledge that the NSW Government is consulting widely with industry, but we need clarity and certainty for the future, so that we can continue to support Sydney’s construction needs,” he said.

“Shifting Glebe Island port facilities will not just see building projects cost more for consumers and the government, but lead to thousands of extra truck movements on Sydney’s roads.”

Moving operations from Glebe Island Port to Newcastle could result in rising costs for consumers. Picture Thomas Lisson

Anxious stakeholders have lobbied for more than two months to save what they say is a vital maritime supply route and one that should not be scuttled because the government wants high-density accommodation around a nearby Bays metro station scheduled to open in 2032.

In calling on Premier Chris Minns to retain Glebe Island in its current form, they also argue the city will lose part of “its soul” if the industrial hub is replaced by a Miami-style millionaires’ enclave that offers no housing crisis relief.

Some coalition members also have their leases at Glebe Island expiring at the end of 2025, creating further uncertainty about their future.

A NSW Government spokesperson said the future of the Bays Port precinct was under review, adding: “The government will have more to say when the review is complete.

“Any decisions on the future of the site will be underpinned by robust and detailed analysis on any flow-on impacts. No decisions have been made at this stage.”