Call for stricter rail regulations
Wheatbelt grain growers affected by Tier 3 closures and freight price hikes are calling for stricter rail regulatory oversight.
As _Countryman _ went to press, the Australian Competition and Consumer Commission was just hours from announcing the outcome of an informal review into the proposed takeover of Asciano by Brookfield Infrastructure.
WA grain growers have been alarmed by the potential takeover, which had the ability to further increase Brookfield's monopoly of the State's grain freight network.
Last year Brookfield shut all Tier 3 lines and left many Wheatbelt farmers with no option than to cart their grain on the State's crumbling Wheatbelt roads.
Last week Wheatbelt growers were forced to pay millions extra to transport their grain by rail, after Brookfield applied hefty rail access fees on CBH in an interim deal.
Many in the industry have lost faith in the ability of the Economic Regulatory Authority, which is the current certified regulator of the rail, to intervene in the dispute.
WAFarmers Grains Council President Duncan Young said it is the responsibility of the ACCC to prohibit acquisitions that will substantially lessen competition in the market.
"The current regulations in Western Australia are not sufficient to manage vertical integration," he said.
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