Smit-Lamnalco outsources towage work to Svitzer in Botany, Melbourne and Newcastle

by Hans | July 21st, 2015

Following Smit-Lamnalco’s decision to outsource their current tug operations in the ports of Botany (Sydney), Melbourne and Newcastle, Svitzer, Australia’s leading provider of towage, has agreed to provide them and their customers with the harbour towage service they require.
The arrangement will take effect from 1 September 2015 and apply only in these three ports.
To maintain the continuity of supply and ensure there is no disruption in the operations of the three ports, the terms agreed between both the parties have been formalised in a Service Level Agreement.  This will ensure that from day one Smit-Lamnalco and their customers will benefit from the safe, reliable service Svitzer is already providing in these ports.
Importantly, this three year Agreement is focused on servicing towage customers and providing them with an exceptional and safe service, with Smit Lamnalco continuing to compete.  While Svitzer will provide towage services to Smit-Lamnalco, both parties will continue to vigorously compete for customers, including against each other.
Quote from Chief Operating Officer Steffen Risager:
“Svitzer is very focused on our customers and seeking to provide efficient, safe and cost effective towage solutions.  Given the recent resources downturn we are very focused on delivering services for our customers in the most efficient manner and committed to working closely with all of them during these challenging times for the resources and energy sectors.
“Nonetheless, we remain committed to providing a safe, reliable and round-the-clock service to our customers in ports across Australia.  This unwavering commitment, together with our track record over many years, was no doubt a factor in Smit-Lamnalco’s decision to choose us as their service provider going forward in these three ports.
“Svitzer will continue to compete with Smit Lamnalco but keep a laser like focus on servicing all customers in Australian ports.
“We will continue to work closely with port communities around the country to put in place long term sustainable solutions to the industry’s challenges.”
Svitzer will bring forward its fleet renewal program with six modern tugs to be added and a number of older tugs retired.  Equipped with a range of capabilities, these vessels will give Svitzer the extra capability and flexibility necessary to deliver the safe, reliable and round-the-clock service our customers expect.

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