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Government initiative spearheaded by the Maritime Union of Australia will help rebuild Australian-flagged and crewed merchant fleet.
A pilot program that will rebuild national merchant shipping in Australia is underway, marking a significant victory for the Maritime Union of Australia (MUA), the Australian Institute of Marine and Power Engineers (AIMPE) and the Australian Maritime Officers Union (AMOU).
The launch of the tender for three ships is the first step in meeting a pledge from the Australian Government to reestablishing a ‘Strategic Fleet’ of Australian-flagged and crewed vessels that was committed to ahead of the last Australian election.
The ‘Strategic Fleet Pilot’ program will run for five years and result in a fleet of at least 12 ships – owned and managed by the private sector, but available for national use in times of need, including during conflicts or disasters.
Maritime Union of Australia (MUA) National Secretary and International Transport Workers’ Federation (ITF) President, Paddy Crumlin, welcomed the announcement.
“This methodical approach will deliver new ships to our coast flagged and crewed in Australia, marking the first time in generations that a Federal Government has acted so decisively to boost the number of Australian vessels operating in the national interest,” he said.
“The bushfires, flooding and pandemic of the last five years shows how fragile our domestic and international supply chains are. By boosting our sovereign shipping capacity, we can protect our economy and our communities against major shortages caused by disaster, geopolitical tension or global pandemic.”
The program launch comes after cooperation between the Australian Government, trade unions, shipping companies and major industrial users, and builds on a 2022 electoral promise made in response to pressures affecting Australian supply chains in recent years.
“The MUA has committed itself to the restoration of this crucial sovereign capacity and has been working steadily towards today’s announcement alongside the Federal Government,” Crumlin explained.
Industry body, Shipping Australia Limited (SAL), which represents major international shipping lines operating under Flag of Convenience registers, consistently opposed the Strategic Fleet plan. However, companies represented by SAL have informed the MUA of their belief in the increased commercial opportunities offered by a revitalised, Australian-flagged domestic shipping industry.
Commercial vessel operators have until November 29 to submit proposals for the first tender. The tender outlines that each vessel will provide three or more training berths to support the next generation of skilled Australian seafarers, thereby addressing the skills and training shortage in the Australian maritime industry.
ITF Seafarers’ Section Chair, David Heindel, said: “The ITF sends it congratulations to the MUA and all unions involved in this significant milestone. Establishing a fleet of Australian-flagged and crewed vessels not only strengthens Australian supply chains, but it also safeguards Australian communities in times of need.
“This announcement is an essential first step in bolstering Australia’s sovereign maritime capability, and it reflects the tireless efforts and advocacy of maritime workers to enhance national security, resilience, and economic independence.”
The ITF campaigns for national cabotage policies in countries around the world. Cabotage is the system of reserving a nation's domestic maritime commerce for its own citizens, in order to ensure the retention of skilled workers and decent jobs for the future of the maritime industry.
ITF Cabotage Task Force Chair, Chris Given, said: “This is a huge achievement for Australia’s maritime sector. The MUA has helped to establish a model that we hope ITF affiliates will be able to follow, to the huge benefit of seafarers and the maritime industry all around the world."
Image: Australian Prime Minister, Anthony Albanese, announces that the Labor Government will establish a strategic fleet of Australian-flagged and crewed ships in the national interest.