Victoria’s transport safety regulator is not properly equipped to manage the licensing of pilots who oversee Melbourne’s biggest cargo ships, according to a leaked report that never saw the light of day and warned of poor resourcing and lack of experience.
The draft report created by staff within Safe Transport Victoria, seen by The Age, also said the agency should consider giving its responsibilities to Ports Victoria to address the safety issues it identified.
A cargo ship on Port Philip Bay.Credit: Jessica Shapiro
On Sunday, The Age revealed a court had heard that on more than 50 occasions unlicensed marine pilots steered some of the biggest cargo ships in Melbourne ports, prompting concerns about how the industry is regulated.
It can now be revealed that these concerns were also present within Safe Transport Victoria, where staff started an internal review in the past 18 months examining the capacity of the agency to manage its responsibility for pilot licensing.
The document, which was quietly shelved before it was finalised, raised concerns that important safety issues could be overlooked because of the overwhelming workload experienced by staff.
“The majority of these issues relate to lack of resources, internal expertise, and business continuity planning,” the report found.
Its authors said the pilotage team had experienced a significant reduction in size in the past three years, and that current staffing levels and workload were challenging their ability to meet their responsibilities, which include licensing marine pilots.
“Despite the staffing reduction posing challenges, the team has been consistently fulfilling their responsibilities, leveraging the significant experience of its members,” the report said.
“However, concerns have been raised about the potential risk of overlooking important safety issues due to the overwhelming workload faced by the team.”
The report also noted that at the time of writing, Safe Transport Victoria employed a single pilotage expert who had previously worked as a marine pilot in London but had never worked in this capacity in Victoria.
“Relying on a single expert when regulating an entire, albeit small, industry is fraught with risks,” they wrote.
“Safe Transport Victoria bears the responsibility of ensuring that pilots are adequately trained and assessed ... However, the consultation has indicated that Safe Transport Victoria’s ability to conduct regular audits and inspections of pilotage service providers is restricted due to limited resources and expertise.
“Given the additional safety risks posed by commercial pressures and competition in pilotage, additional steps must be taken to ensure that all pilotage service providers are operating safely and in compliance with relevant legislation and standards.”
Under law, every vessel over 35 metres must have a licensed marine pilot on board when visiting the Port of Melbourne or Geelong, functioning as a temporary captain with local knowledge, responsible for safety and navigation until the ship is berthed or back at sea.
The report’s authors said options to improve the situation included maintaining business as normal, transferring pilotage permissions to Ports Victoria or implementing a range of operational improvements including hiring more experts. It did not recommend maintaining the status quo.
A state government spokesperson did not say whether the government would reform the sector but said the agency had made improvements in 2023.
“Safe Transport Victoria modernised its operations structure in 2023, bringing in additional specialist skills into the organisation and boosting safety across all the industries it regulates,” the spokesperson said.
“Safe Transport Victoria works closely with Ports Victoria and independent pilot examiners to ensure all pilots are appropriately licensed, and regularly carries out enforcement operations across our ports.”
An industry source, speaking anonymously to avoid repercussions, said the regulator’s perceived enforcement had been an open secret and source of frustration.
“So far, they’ve been fortunate that a near-miss hasn’t become a major disaster, but we’re all concerned that if things continue the way they have, it’s only a matter of time,” the source said.
The regulator was created in 2022 through a merger with Transport Safety Victoria and Commercial Passenger Vehicles Victoria.
It was criticised last year after reintroducing annual accreditation fees for commercial drivers, catching many off guard and leading to a shortage as many learnt they had had their registration cancelled.
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