ALC Submission to the Greater Sydney Commission Industrial Land Review 

RE: Review of the Industrial and Urban Services Lands Retain and Manage policy

Dear Ms Mildwater

Thank you for the opportunity for the Australian Logistics Council (ALC) to respond to the Greater Sydney Commission Review of the Industrial and Urban Services Lands Retain and Manage policy (the Review).

ALC is the peak national body representing major companies participating in the freight, supply chain and logistics industry. ALC’s focus is on delivering enhanced supply chain efficiency and safety.

Freight affects every Australian, every day, everywhere. Common goods purchased by Australians such as food, clothing, household appliances and medicine all need to be transported by freight operators. Similarly, the freight supply chain provides the materials to build and operate critical community infrastructure – roads, hospitals and schools – which are fundamental to our society.

An inefficient and unproductive national supply chain can ultimately result in lost export income, reduced employment, higher consumer prices and Australia becoming less competitive in the global market.

Industrial land supply and location are fundamental to cost-effective and efficient freight and logistics activities.  This need will only increase in the future as population and freight volumes grow. Greater Sydney’s freight task is forecast to more than double in the next 40 years.

ALC has long advocated for the preservation of freight corridors and industrial land, resulting in the development and adoption of National Urban Freight Planning Principles[1]. These principles were endorsed by the Infrastructure Transport Ministers Meeting (ITMM)[2] on 28 May 2021. These principles form part of the National Freight and Supply Chain Strategy[3] and ensure integrated planning across the jurisdictions that enable the continuous movement of freight. ALC encourages the Greater Sydney Commission to adopt these principles in the context of the existing Retain and Manage policy so as to facilitate the continuous movement of freight and support the growing population of Sydney.

Historically, Sydney has seen a significant reduction in industrial lands, due to rezoning for residential and commercial uses, pushing users west and bringing residences closer to freight and logistics operations. It is imperative Greater Sydney maintains the supply of industrial land, close to population centres and separated from residences, to manage the cost of moving freight and increase efficiency and productivity while minimising traffic and amenity impacts.

Encroachment of residential and other sensitive uses on industrial lands has given rise to restrictions on supply chains and has pushed operators further out into Western Sydney. These include curfews, truck limits, restricted roads, increased road congestion, goods being transported longer distances, additional costly mitigation and management measures.  These impact productive use of the land and add costs to businesses, which are borne by consumers.

Given that NSW’s population will continue to be densely concentrated in and around the metropolitan Sydney area, and with the rise of e-commerce, accelerated by COVID-19, freight and logistics businesses will increasingly require industrial lands close to population centres to meet customers’ delivery expectations and reduce transportation and logistics costs. Industrial lands require protecting from rezoning and from non-industrial uses.

ALC supports the continuation of the current policy, as it is imperative that industrial land in Greater Sydney is safeguarded from competing land use pressures.

Should you have any questions regarding this submission, please contact Rachel Smith, Director – Policy and Advocacy via email policy@austlogistics.com.au or 0433 569 301.

Yours sincerely

Brad Williams

Chief Executive Officer

[1] https://www.freightaustralia.gov.au/what-are-we-doing/urban-freight-planning-principles

[2] https://www.vision6.com.au/v/79646/2400702/email.html?k=Az8pJqxx-uwhx_n0Sy1x-DKWwkoBdZBdXjmrC0aoM6Y

[3] https://www.freightaustralia.gov.au/sites/default/files/documents/national-freight-and-supply-chain-strategy.pdf