THE Queensland Government does not pay for ships to wait at the Gladstone Port to load coal, according to the Gladstone Ports Corporation (GPC).
A coal ship waits to be loaded at the port in Gladstone, Queensland Jan. 2, 2011. REUTERS/Daniel Munoz THE Queensland Government does not pay for ships to wait at the Gladstone Port to load coal, according to the Gladstone Ports Corporation (GPC). Because of low coal stock on the ground at the GPC due to flooding, over 18 coal carriers are waiting off the coast of Gladstone to load coal. Due to the long wait, rumours have circulated saying the government has to pay for the coal carriers to wait, however, this is incorrect. GPC chief Leo Zussino told The Observer yesterday that there is absolutely no truth to the rumour at all. “There is a commercial arrangement between the coal shipper and the coal buyer,” Mr Zussino said. “The normal situation that happens, but is not always the case, is a coal seller sells the coal to a coal buyer and then the buyer arranges for a ship to come to the port. “Then they load the ship and leave the port, which can vary from five to seven days. “The usual situation is if a ship is not loaded in that period of time, then it is the coal seller’s responsibility to pay for the ship while the ship waits.” At the weekend, the GPC reduced operational staff as a direct result from mine and rail closures throughout Central Queensland. “With the coal supply chain stopped due to the extensive flooding in the area we are only able to load from our stockpiles,” acting GPC CEO Craig Walker said at the time. Several coal mining companies have declared a force majeure on their mines due to the worst flooding in Queensland’s history with the estimated cost running into the hundreds of millions of dollars. A Queensland Department of Transport and Main Roads spokesperson told The Observer coal royalties were worth millions of dollars a day to the Queensland economy and a true estimation of the cost would not be known until a later time. “There are no delays at the Gladstone Port,” the spokesperson said. “As soon as supply issues are resolved and the coal companies are able to move coal to the port, vessels will be loaded as normal.” Queensland Rail said the Moura rail system was expected to reopen today, however, the Blackwater line remains closed due to the floodwaters.
