Carnival Cruise Line is inching one step closer to being able to develop a brand new $158 million dedicated cruise liner terminal in Brisbane.
It follows today’s draft decision from the ACCC which revealed that the consumer and competition watch dog was leaning towards giving the green light to a deal between the Port of Brisbane and Carnival Cruise Line.
The two parties lodged a request to get an agreement approved between them where Carnival would pay fixed yearly amounts to the Port over the term of the 15 year agreement for the terminal to be built.
In exchange, Carnival would enjoy berthing rights at the new terminal, including 100 “Foundation Berthing Days” a year.
This would give Carnival first pick of 100 days a year at the terminal, up to a maximum of four days a week.
“A new dedicated cruise terminal in Brisbane, capable of berthing the increasingly popular ‘mega’ cruise ships, would be a real public benefit to the community as this is infrastructure that is currently lacking in Brisbane”
ACCC Commissioner Roger Featherston.
“Of course the ACCC recognises that commercially, having a foundation customer helps to underwrite the projected $158 million investment for the Port of Brisbane to build the new terminal.”
Brisbane.
Featherstone said he still held concerns about the agreement, especially Carnival having preferential access to the terminal four days per week.
“This may limit or prevent competition from other cruise liners wishing to dock at the terminal in Brisbane during the peak summer cruising season,” he said.
The ACCC’s second and even greater concern is the notion that Carnival want to be granted a right of first refusal over a possible future second berth at the terminal.
“We are concerned this will block other cruise operators from being able to offer alternate cruise options to consumers in Brisbane,”
ACCC Commissioner Roger Featherston.
This means the ACCC would put conditions in place so that this wouldn’t be the case.
A final decision is due in April and the ACCC invites further submissions about the proposal.
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