Melbourne's West should become ‘National Logistics City’: Nagel
Mon, Feb 26 2007

Tomorrow morning Dr Pieter Nagel, Director of the Institute for Logistics and Supply Chain Management (ILSCM) at Victoria University, will release his latest research findings to The Committee for Melbourne. The research shows that making Melbourne’s western region a ‘National Logistics City’ could generate an economic contribution in excess of $2 billion per year and perform a critical role within the Australian economy.

“This proposal showcases an innovative strategy that would provide a major boost to Australia’s competitive position within the global trade environment and form a major initiative to capitalise on Victoria’s strengths in logistics, domestically and globally.”

Dr Nagel said: “Proactive business and job development through logistics plus the associated investment in education & training are required within five to eight years – if this does not occur, the opportunity for logistics to make a difference to the western region will most likely be lost.”

“Logistics Cities and associated Logistics Hubs are typically located within a concentrated area that is attached to seaport, cargo airport, rail and road infrastructure. The challenge for Melbourne’s west is to build on the extensive goods movement infrastructure that exists in the region or at its boundaries.”

“The role of the ‘National Logistics City’ would substantially increase the effectiveness of managing the availability of goods and materials for use in the global and domestic economy.

“The Melbourne’s west is in an ideal position to harness the potential for Logistics Hubs to service the sea, rail, road and air cargo sectors. These will act as cores for the wider ‘National Logistics City’, through enhancing existing and new infrastructure within a credible economic development framework.”

“Logistics Hubs would attract new business development and lead to the creation of a Professional and Business Services Hub. This has the necessary physical and transport infrastructure and being positioned in a geographically compact area would generate part of the $2.4 billion of services that are presently brought in to the west from throughout greater Melbourne.”

“Our research also recommends a pilot study of an Intelligent Transport System (ITS) within a designated transport Corridor. The objective would be to evaluate improving efficient use of the existing infrastructure, thereby adding to capacity without additional infrastructure. The potential is to increase capacity in the corridor by up to 25 per cent.”

“To improve connectivity of elements in the ‘National Logistics City’, it is proposed that a pilot ITS be trialled. The pilot will be within a corridor that incorporates freeway, train line and associated car parks, buses, taxis and relevant car parks.”

“The western region of Melbourne has been growing significantly over recent years; the outer municipalities contain some of the fastest growing communities in Australia. Current projections indicate the outer part of the Melbourne’s west will accommodate more than 25 per cent of metropolitan Melbourne population growth over the next 25 years. It is projected in the referenced reports that the western region will be unable to cope with future movements of people and goods if transport infrastructure develops according to the completion of approved and funded projects and the future pattern of work activity does not change.”

He said: “A challenge exists to provide a strategy and implementation plan that links infrastructure and investment requirements for centres of activity and employment and consolidates the recommendations in various earlier studies including the Melbourne 2030 Plan and the WREDS Report.”

The research was undertaken in consultation a wide range of stakeholders, including: Maribyrnong City Council, Melton Shire Council, Wyndham City Council, Hobsons Bay City Council, Brimbank City Council, Moonee Valley City Council, the Western Transport Alliance and the Committee for Werribee. Additionally, a questionnaire was sent to a representative sample of 1200 businesses and 200 residents in the western region.

Media Contact: Andy Gash, Snr. Media Officer,
Marketing & Communications Department, Victoria University
Ph: 03-9919 4950; mobile: 0411 255900

• NLC Report Final.pdf (2 MB)