The Chinese company that operates Port Darwin has accused Labor and the Coalition of treating it like a “political football”, after both major parties’ leaders vowed to buy back the port.
The port was leased for more than $500 million to Beijing-controlled company Landbridge Group in 2015 by the former Northern Territory Country Liberal government, something Prime Minister Anthony Albanese said “he had always opposed”.
Calling in to ABC Radio Darwin’s talkback line on Friday, Albanese said a re-elected Labor government would begin negotiations immediately.
“We’ve been talking with superannuation funds about getting it back into Australian hands.”
The news came while Opposition leader Peter Dutton was mid-air on a flight to Darwin to make his own announcement.
In a statement, Dutton said a Coalition government would not permit the lease of the Port to “any entity that is directly or indirectly controlled by a foreign government”.
“In the current geopolitical environment, it is vital that this piece of critical infrastructure, which is directly opposite to the Larrakeyah Defence Precinct, is operated by a trusted, Commonwealth-approved entity,” Dutton said.
“The Albanese Labor government has continued to create uncertainty regarding this important national asset, tip-toeing around the issue while refusing to take concrete action.
“Only a Coalition government will end the uncertainty regarding the Port of Darwin once and for all.”
Both Dutton and Albanese indicated they would be prepared to use taxpayer funds if a private buyer could not be found.
“We prefer that it be through superannuation funds or some other vehicle that doesn’t mean direct taxpayers, but we’re prepared to go down the road of taxpayer direct involvement as well,” Albanese said.
Leaseholder says ‘port is not for sale’
On Friday night, Landbridge said it had not been consulted before the announcements were made.
Landbridge’s non-executive Australian director Terry O’Connor said: “Landbridge and Darwin Port have not been involved in any discussions with the federal government concerning our lease arrangements.”
“As previously stated, and confirmed by our owner, the port is not for sale,” a statement provided to SBS News read.
“Landbridge considers the port a long-term investment that has reported record operational performance this year. We expect this growth to continue in the future.”
On Saturday, Landbridge reiterated that Port Darwin was not for sale. In a statement provided to SBS News, O’Connor said Landbridge was “disappointed that we are being used as a political football in the current election campaign”.
O’Connor defended the company’s ownership of Port Darwin, saying it was a “positive contributor to the Northern Territory economy, an active supporter of community events and employer of almost 100 Darwin-based employees”.
National security concerns
The port has been a point of concern for almost a decade. The concerns have mainly focused on national security threats, but Albanese said economic reasons were also a factor in the plan for it to be brought back into Australian hands.
“Landbridge have not had the investment into the port that’s required to bring it up to scratch,” he said.
He promised details ahead of the 3 May poll and insisted it was not an election stunt.
“It’s something that we have had a consistent view on … we opposed it at the time (it was leased),” he told ABC Radio.
Questioned in 2022, then prime minister Scott Morrison — who was treasurer at the time the port was leased — said the federal government had “no authority … to reject, approve anything in relation to the leasing of that asset”.
Morrison that the federal government would only act in relation to the port lease “if there is advice from the Defence Department or our security agencies that change their view about the national security implications of any piece of critical infrastructure”.
In 2015, the Department of Defence and ASIO gave their approval to the lease of the port — a view that hasn’t publicly changed since.
Albanese launched a review into the circumstances of the lease of the Port of Darwin following the 2022 election.
It found “it was not necessary to vary or cancel the lease” as “there is a robust regulatory system in place to manage risks to critical infrastructure” and “existing monitoring mechanisms are sufficient and will be ongoing”.
The Albanese government accepted that advice.
“Australians can have confidence that their safety will not be compromised, while ensuring that Australia remains a competitive destination for foreign investment,” the Department of the Prime Minister and Cabinet said in a statement in October 2023.
Labor member for Solomon Luke Gosling raised the prospect of a public-private partnership involving federal funding for the Port of Darwin earlier this year. Credit: MICK TSIKAS/AAPIMAGE
The potential for the port to be brought into Australian hands was raised by federal Labor MP for Solomon Luke Gosling earlier this year.
At the time, Northern Territory Minister for Logistics and Infrastructure Bill Yan also called for the federal government to “end the uncertainty they have created on the future of Darwin Port”.
“The Finocchiaro CLP government has been engaging with the federal government since November 2024 looking at options for Darwin Port,” he said.
“The Northern Territory government will continue engaging in good faith with the federal government, and our priority is to ensure the best deal for the Territory in the national interest.”
Yan said the NT government would “take all steps necessary to secure” the port’s future.
With additional reporting from the Australian Associated Press
