QR launches Melbourne-Perth link

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From Melbourne Age click here!

QR launches Melbourne-Perth link

IT WAS a case of the new ushering in the new when Queensland Rail chief executive Lance Hockridge, in the job for less than a week, launched QR's inaugural container freight service between Melbourne and Perth.

The service completes the missing link in QR's national network, signalling that the Queensland state corporation is aiming to compete against Pacific National (PN) around the country.

"QR now offers a full container service from Cairns to Perth via Melbourne," Mr Hockridge said. "It gives customers a third and highly competitive carrier across the Nullarbor. We are now poised for the next significant growth phase for the business."

Mr Hockridge has joined QR after a 30-year career with BHP and its spin-off, BlueScope Steel. His last position was as BlueScope's president of North American operations, with additional responsibilities for European and Middle Eastern operations.

QR will operate between the North Dynon terminal in Melbourne and a terminal at Forrestfield in Perth's industrial hub. North Dynon is run by P&O Trans Australia, QR's joint-venture partner at Acacia Ridge in Brisbane.

A 1200-metre train will run between Melbourne and Perth three days a week. Apart from PN, QR's chief rival is private Melbourne group SCT Logistics.

QR's chief operating officer, Stephen Cantwell, said QR had a long way to go, as it now controlled less than 10 per cent of Australia's $1 billion container traffic. Gaining 25 to 30 per cent of the market "would put us up at the top", he said.

QR chairman John Prescott acknowledged that QR's container customer base was in its infancy. "We have a target of 80 per cent capacity. That will make the service a viable one," he said.

QR released its 2006-07 financial results, with net profit rising by 123 per cent to $183.2 million. Revenue grew by 27 per cent to $3.2 billion. The company has $10 billion in assets and 14,600 employees.

http://www.qr.com.au