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  • 1.  The rising cost of road (truck) transport in Australia - time for a rethink?

    Posted 05-05-2026 11:04

    This article raises many questions and offers a few answers. Rail transport is one but has its obvious limitations (not to mention the different rail gauges across states), one still needs feeder transport and go the "last mile" etc. However, in Europe trucks and/or trailers (with/without drivers depending on circumstances) are moved by rail over substantial distances via Ro-Ro services. Yes, that needs infrastructure investment but would it be doable? The same railway cars could also move cars (& caravans) etc to support the annual migration of grey nomads - would they be happy to pay less for fuel and instead travel in comfort by rail?

    One mode of transport the article does not mention is coastal shipping, e.g. Ro-Ro services along the (East?) Coast, say Melbourne - Sydney - Brisbane etc.

    Again, citing Europe as an example, why not run ferries along the coastal ports (and not just Geelong - Devonport). Time for a feasibility study/CBA?

    This study was conducted in 2023 focusing on QLD:

     Full article: Potential demand for coastal shipping in Queensland: a behavioural econometric analysis
    https://www.tandfonline.com/doi/full/10.1080/03088839.2023.2191255#abstract

    Thoughts? 

    ABC article for reference:

    It just cost $2,553 to fill up 'Whiskers' - and Australians might bear the cost

    Abc remove preview
    It just cost $2,553 to fill up 'Whiskers' - and Australians might bear the cost
    On Australia's busiest freight route, it takes four shots of coffee, $2,553 of fuel and a little hair metal to keep the wheels of the economy turning.
    View this on Abc >



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    Klaus Zillner
    Senior Consultant
    klauszillner@yahoo.com
    Australia
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  • 2.  RE: The rising cost of road (truck) transport in Australia - time for a rethink?

    Posted 25-06-2026 11:05
    What an exceptional and timely study by Schrobback, Irannezhad, and Prato. As a consultant operating at the intersection of AI and logistics with a deep focus on Supply Chain Resilience, I found your behavioral econometric analysis of the Brisbane-Townsville freight corridor incredibly relevant to the challenges our industry faces today.
     
    I'd like to share a few perspectives from the field, particularly on how your findings align with the digital transformation and resilience strategies we are currently implementing:
     
    Coastal Shipping as a Resilience Buffer: Your point regarding coastal shipping's role in mitigating the risks of road closures due to natural events (cyclones, floods) hits the nail on the head. In my practice, relying on a single dominant land-based mode often creates a "single point of failure" in the supply chain. Coastal shipping shouldn't just be viewed as a cost-alternative; it is a strategic redundancy. By integrating coastal shipping, we can build a more robust, multi-modal network that absorbs shocks from climate-related disruptions.
    Quantifying Risk Perception for AI Models: The use of a hybrid choice model to unravel how latent risk variables (internal, market, and immediate risks) interact with cost and delay is brilliant. From an AI perspective, human behavioral biases and risk perceptions are notoriously difficult to model. Your findings provide a fantastic foundational framework. In the AI+Logistics space, we can leverage these insights to build Machine Learning-driven Digital Twins. By feeding these behavioral risk parameters into our algorithms, we can offer dynamic, real-time routing recommendations that don't just optimize for cost and time, but also for "risk appetite."
    The Reality of "Attribute Non-Attendance": Your discovery that nearly half of the decision-makers ignore either transport time or cost (or both) is a massive wake-up call for logistics service providers. It mathematically proves what we often see in consulting: B2B freight decisions are heavily influenced by long-term contracts, relationships, and operational inertia, rather than pure transactional metrics. This suggests that future AI pricing and service recommendation engines must be highly personalized, segmenting shippers based on their behavioral archetypes rather than generic market averages.
    Moving Forward:
    To truly unlock the ~30% potential demand you identified, regulatory reforms (like revisiting cabotage laws) must be paired with technological enablement. If we can build AI-powered visibility platforms that seamlessly integrate sea-freight tracking with land-based logistics, we can overcome the "friction costs" and lack of door-to-door visibility that currently deter shippers.
     
    Thank you for providing such robust empirical evidence. It bridges a crucial gap between academic transport economics and practical, tech-enabled supply chain resilience. I look forward to seeing how these insights shape future logistics policies in Queensland and beyond! You can visit my website:garyping.com too.


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    GANG PING
    hkgaryping@gmail.com
    Hong Kong
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  • 3.  RE: The rising cost of road (truck) transport in Australia - time for a rethink?

    Posted 30-06-2026 16:14

    Hi Gang Ping, thanks for your feedback. Much appreciated. How is HK (and of course China) addressing these challenges? Of course we have to keep in mind that the political decision process differs greatly between China/HK & Australia. Would like to hear your thoughts on that. Thank you. KHZ



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    Klaus Zillner
    Senior Consultant
    klauszillner@yahoo.com
    Australia
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