The Albanese Labor Government has announced a review into the Tasmanian Freight Equalisation Scheme (TFES) is now underway, delivering on a 2025 election commitment.
TFES financially supports Tasmanian freight, including the state's world-class produce, and passengers to cross the Bass Strait.
The review will consider if TFES could better support local businesses, including farmers and producers, to compete in domestic and other markets.
It will also consider how the Bass Strait Passenger Vehicle Equalisation Scheme is reducing the cost of moving passenger vehicles across the Bass Strait.
The review will be carried out by newly appointed independent reviewers Dr David Parmeter and Dr Jenny Gordon.
It will also explore other issues raised by the 2024 Senate Select Committee inquiry into TFES.
Mr Parmeter is the former Chair of the Maritime Industry Australia Limited and the current Chair of the Australian Mariners' Welfare Society.
Dr Gordon served previously as the Chief Economist at DFAT and currently serves on the Asian Development Bank Institute's Advisory Council.
The Albanese Labor Government is committed to ensuring these critical schemes are fit-for-purpose and best serving Tasmanians, including reducing the red tape for efficient shipping.
Since July 2025, Tasmanian businesses have already been benefitting from a 25 per cent increase in assistance rates under the scheme - putting more money in their back pockets at a time it's needed most.
A final review report and recommendations to the government are expected in the first half of 2026.
