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Proposed acquisition of Westconnex

07 June 2018

The ATA has raised competition concerns about the proposed acquisition of WestConnex by the Sydney Transport Partners Consortium (STP), including Transurban.

The proposed acquisition of WestConnex by STP would substantially lesson competition for concessions to construct, own and operate toll roads in New South Wales.
As a result:
a. Transurban would be substantially advantaged in seeking future toll road concessions in NSW, with more options for funding proposals by proposing an increase in the heavy vehicle multiplier.
b. Heavy vehicle operators generally do not have the ability to take alternate routes and as a result would have no option but to pay the increased multiplier.
c. Increases in the heavy vehicle multiplier in Sydney would ultimately flow through to other states.
d. Increases in heavy vehicle tolls have a significant impact on trucking businesses.
e. Despite assertions by Transurban, its heavy vehicle tolls do not merely cover the cost of road wear by heavy vehicles.
f. Government incentives to constrain Transurban’s heavy vehicle charges would continue to erode.