Darwin Port must return to Australian ownership despite Chinese threats, says Prime Minister Anthony Albanese.
He reaffirmed the Commonwealth’s stance when speaking to journalists during a visit to Dili, Timor-Leste, yesterday and in Darwin before his trip.
“We’ve made it very clear that we want the Port of Darwin …” he says.
“(It) was sold to non-Australian interests with a financial incentive from the former coalition government to the (Country Liberal Party) Northern Territory government (which) wasn’t something that we supported at the time,” he says.
“We are committed to making sure that that port goes back into Australian hands because that is in our national interest.”
Chinese-owned company Landbridge holds a $506 million 99-year lease on the port that was struck in 2015; that lease is due to expire in 2114.
News of the deal at the time sparked alarm in Washington DC and was raised by US President Barrack Obama to PM Malcom Turnbull at that time.
China’s ambassador to Australia, Xiao Qian, on Wednesday was reported by media as saying any change to the deal could threaten Chinese investment in Australia.
Landbridge last year issued a brief statement denying reports that the port could be sold.
Albanese says the 2015 decision was not in Australia’s national interests.
A briefing paper for federal parliament on the lease deal last July notes that the port was considered a part of China’s maritime Silk Road strategy.
“There are commercial negotiations (which are) continuing. We will ensure it comes back into Australian hands,” Albanese says.
The parliamentary paper noted that in September 2017, Landbridge officials had reportedly met with South Australian government officials and Chinese diplomats to discuss buying a stake in Flinders Ports.
The proposal reportedly raised concerns given Flinders Ports’ location to a major naval shipbuilding precinct.
The Commonwealth is flagging major naval shipbuilding projects for South Australia and Western Australia, in part due to its AUKUS nuclear submarine deal with the UK and US.
Darwin is home to a US Marines rotational base with a swag of large Defence projects planned or underway.
DARWIN PORT PLANS
Last October, the port released a master plan to manage its development over the next 30 years.
Under the plan, container handling capacity will increase 12.5 times to 300,000 teu (twenty-foot equivalent units or shipping container), bulk material export will increase 40 times on current levels to 13.5Mtpa (metric tonnes per annum), a quadrupling of available laydown and hardstand capacity at East Arm Wharf, boost undercover bulk storage capacity 18 times and increase vehicle imports 7.5 times on current levels.
