- 23.5 per cent of container freight transported by rail through Fremantle Port during 2024-25
- State Government subsidy makes containerised freight on rail more cost competitive
- Use of rail helps reduce the number of trucks on roads and improves safety, efficiency and environmental outcomes
The Cook Labor Government's container rail subsidy has supported a record year for the movement of container freight by rail, which has exceeded the annual 20 per cent target.
A total of 23.5 per cent of all twenty-foot equivalent unit (TEU) containers transported through Fremantle's Inner Harbour during 2024-25, travelled by rail.
This equates to 208,699 TEUs transported by rail, the highest annual amount on record since the Carpenter Labor Government introduced a container rail subsidy of $30 per TEU in 2007 to help reduce truck volumes and congestion on metropolitan roads.
To further encourage rail freight transport, the subsidy was increased to $50 per TEU in 2018 as part of an election commitment, and the rail mode target set at the current 20 per cent.
The subsidy is paid for all loaded containers that move between the North Quay Rail Terminal (NQRT) at Fremantle Port and intermodal terminals at Forrestfield, Kwinana, Rockingham and Kenwick. Also eligible for the subsidy are containers filled with hay that are received by rail at NQRT for international export.
As a result of the subsidy, around 141,000 one-way truck movements are estimated to have been removed from roads during 2024-25, easing pressure on road networks and improving efficiency, sustainability and road safety.
The opening in August last year of the new $25 million intermodal terminal at Kenwick, supported by the State Government, the Commonwealth Government and Arc Infrastructure, has also contributed to the significant rise in rail volumes, with an annual throughput capacity of 200,000 TEUs.
As stated by Minister Assisting the Minister for Transport Jessica Stojkovski:
"Reaching a record 23.5 per cent rail mode share and exceeding our target is a significant achievement and shows our ongoing subsidy initiative is encouraging the switch from road to rail.
"The safe and efficient movement of freight is essential to WA's economic growth which is why our government is committed to investing in rail infrastructure and incentivising its use.
"Our support has included the new intermodal terminal at Kenwick, significantly boosting our supply chain efficiency and contributing to a drop in truck movements on metropolitan roads."
As stated by Fremantle MLA Simone McGurk:
"Increasing the movement of container freight by rail is a key way we are managing the number of trucks on our roads to improve safety and efficiency.
"I am proud to be part of a government that recognises the benefits of transporting container freight by rail, which under the previous Liberal Government dropped to less than 14 per cent."
