Napier Port chief executive Todd Dawson said CentrePort's proposed wharf expansion duplicated existing infrastructure in the lower and central North Island. Photo / File
Napier Port chief executive Todd Dawson said CentrePort's proposed wharf expansion duplicated existing infrastructure in the lower and central North Island. Photo / File
Napier Port has set its sights on acquiring Wellington's container cargo, saying the Hawke's Bay region is better placed to meet the country's needs.
But it has a fight on its hands, with one stakeholder in Wellington's CentrePort accusing Napier of trying a to "justify" its massive investment in anew wharf.
CentrePort has proposed that a $667.2 million insurance payout for damage it sustained in the 2016 Kaikoura earthquake be used to help increase the operational capacity.
However, as part of a wider consultation around this, Napier Port chief executive Todd Dawson said the proposal duplicated existing services and infrastructure available at Napier Port.
"From a commercial perspective we don't believe would make sense to do so," he said.
Napier Port in 2019 became a publicly listed company to help it raise roughly $200m for its 6 Wharf expansion project.
The finished terminal will mean the port's operational capabilities increase significantly by 2022.
Dawson said CentrePort's money could be reinvested in areas that weren't related to cargo, and suggested it should focus on its core activities related to logging, fuel, ferry and cruise ship terminals.
Dawson called for ports around the country to co-design a nationwide "cohesive" approach that would improve freight efficiencies.
He said Napier Port was now well equipped and well positioned to cope with demand for cargo operations.
"About 80 per cent of what goes through Napier Port comes from within 100km of us."
He said this helped reduced emissions and meant more containers could be reloaded locally for exports.
Dawson said the cargo that goes through CentrePort does so through a heavily subsidised model.
"There's no a natural catchment of containerised cargo in the CentrePort region."
Napier Port chief executive Todd Dawson estimates about 80 per cent of container cargo processed through the port comes from within a 100km radius. Photo / File
Daran Ponter, chairman of the Greater Regional Wellington Council which is a shareholder in CentrePort alongside Horizons Regional Council, said he was not overly surprised by Dawson's proposal.
"It's not the first time we've had a discussion either with the port or the Hawke's Bay Regional Council about a proposal similar to what [Dawson] has been advancing.
"We haven't shown much interest to date. I don't think we're really that interested now."
He said while he was duty bound to consider it, CentrePort was committed to providing a full service operation which included cargo operations.
Port operations were "highly, highly competitive", he said.
"The port of Napier has heavily invested in a new container terminal and are perhaps looking for business to justify the terminal."
Dawson refuted this, saying the 6 Wharf expansion was based on "organic growth and trade" already coming to Napier.
"We could meet the needs of CentrePort today, without 6 Wharf.
"Why would they need to go and duplicate investment across the central North Island?"
He said the 6 Wharf development could help meet the needs of the whole of the central North Island and ease congestion issues like those seen in the lead-up to Christmas at ports in Auckland and Tauranga.
HBRC chairman Rex Graham did not want to comment on the matter, only saying that CentrePort belonged to the people of Wellington and they needed to decide how they want to spend their capital.
