Jennifer Hall, Senior Logistics Analyst 29 August 2013

Contents Background Truck Productivity Indicators Purpose of Study Key Findings of Data Analysis Next Steps

Background Trucking vital to Fremantle container supply chain Currently handles approx 85% of total Port volume Even if rail reaches 30% road volumes will increase Both truck numbers and efficiency are key issues Truck Survey measures of productivity have shown a stagnation since 2006 and decline over last 2 years Explanations for this based largely on speculation and anecdotal evidence A number of other issues need attention: VBS “Mad minute” Large number of carriers Orderly transition to 24x7

Truck Loading (Utilisation)

Empty Running

Purpose of Study Develop reliable data on the container trucking industry Understand what is driving carrier decisions Identify factors impacting on productivity Understand impacts of Terminal and Empty Park booking systems Engage industry in defining issues and identify solutions Assess feasibility of proposed improvement initiatives Develop recommendation and strategy for the future Consideration must be given to impacts on rail of improved trucking efficiency and productivity

Number of Transport Carriers CMS August 2011 October 2012 March 2013 Patrick DPW Container Parks DPW Patrick DPWPatrick unique carriers unique carriers142 unique carriers

Concentration of Carriers Group AGroup BGroup C Group D The top 10 carriers handle 50% of the full TEU task The top 31 handle 75% of the full TEU task, as illustrated 111 carriers do the remaining 25% Fremantle carrier numbers high cf other Ports

Unladen Trucks – Tydeman Rd

Import Export Balance Significant imbalance in im/ex volume in WA: 50A% loaded imports, 25% loaded exports

Time of Day Accessing Terminals (TEUs per Hour, DPW & Patrick Combined)

Two Way Loading - Patrick CMS August 2011 October 2012 March 2013

Two Way Loading - DPW CMS August 2011 October 2012 March 2013

Two Way Loading – Port Precinct Trucks per 18hr day Theoretical two way maximum capacity of 66% (when current two way loading is combined with laden inbound) However, balance of imports/exports per carrier, operating hours of ECPs, and other factors may restrict this August 2012

Improved TTT at Terminals Significant reductions in average TTT since 2010 Greater ability for operators to move through facilities quickly Possible efficiencies gained from one-way movements rather than coordinating Container Terminal & Empty Container Park bookings

Impact of Increase in 40’ Containers

Issues and possible solutions Influences on trucking productivity Possible responses Mismatch of hours Container Parks Shippers Limited staging capacity Extend ECP hours Promote extended hours solutions with Industry More on and off-port staging facilities VBS slot drop “Mad minute”Modify VBS structure to enable more efficient truck scheduling Importance of cycle times Reduced TTT times and variability Incentives to maximise truck loads Limited 2-way running Import/export imbalance a major limiting factor Incentives to maximise truck loads Dual booking systems Investigate possible integration Growth of 40’ boxes Consider incentives to maximise truck loads Higher capacity vehicles Large number of carriers Consider changes to VBS if public benefit can be confirmed

Questions? Doug BrindalJennifer Hall Manager LogisticsSenior Logistics Analyst P: P: E: E: