Review – Port of Darwin lease

The Department of the Prime Minister and Cabinet has finalised a review into the circumstances of the lease of the Port of Darwin. The review found that:

there is a robust regulatory system in place to manage risks to critical infrastructure, including the Port of Darwin;
existing monitoring mechanisms are sufficient and will be ongoing; and
as a result, it was not necessary to vary or cancel the lease.

The Government has accepted that advice.

Monitoring of security arrangements around the Port of Darwin will continue. Australians can have confidence that their safety will not be compromised, while ensuring that Australia remains a competitive destination for foreign investment.

The Prime Minister committed to reviewing the circumstances of the lease of the Port of Darwin following the 2022 election.

Given the importance of the Port of Darwin as a key piece of critical infrastructure, a number of security assessments have been made since the Port of Darwin was leased to Landbridge Group in 2015.

The review considered the findings and outcomes of these previous assessments as well as considering whether risk management and mitigation arrangements are sufficient to protect Australia’s national security interests relating to the Port.

The review was conducted by the Department of the Prime Minister and Cabinet, in consultation with the Department of Defence, Department of Foreign Affairs and Trade, Attorney-General’s Department, Department of Home Affairs, Office of National Intelligence and Australian Security Intelligence Organisation.

Media Contact:
Media@pmc.gov.au
(02) 6271 6039

Relevant regulations

The following regulatory mechanisms apply to the Port of Darwin.

Mechanism	Risks treated
Security of Critical Infrastructure Act 2018 (SOCI Act)	The SOCI Act places risk management and security obligations on critical infrastructure operators, which includes the Port of Darwin. The Act provides the Minister for Home Affairs with powers to enforce and penalise failures of compliance, as well as to direct a responsible entity to take specific action to secure an asset. The Minister for Home Affairs may declare an asset to be a system of national significance, which places enhanced security obligations upon the entity.
Maritime Transport and Offshore Facilities Act 2003 (MTOSFA)	The MTOSFA places obligations on port operators to safeguard against unlawful interference. Under the MTOSFA, the Department of Home Affairs may conduct regular compliance assurance activities to ensure port operators are implementing agreed maritime security plans.
Ports Management Act 2015 (NT)	The Ports Management Act 2015 sets out ongoing monitoring responsibilities over the Port, which are aimed at detecting any suspicious behaviour and providing the Northern Territory Government the right to direct vessel movements in certain circumstances.
Defence Act 1903 and Defence (Special Undertakings Act 1952)	Provides strategic safeguards and a high-level legal framework to assure the Commonwealth’s ability to access or control the Port in the event of a declared Defence emergency.
Deed of Licence for Access to the Port of Darwin	The deed guarantees Defence access to the Port, including to fuel naval vessels and berth ships in support of mounting operations or exercises.
Criminal Code Act 1995	The Criminal Code Act 1995 creates offences for a range of threat activities undertaken by foreign adversaries and those acting on their behalf that can cause severe harm to Australia’s national security. These offences include: sabotage offences (imprisonment up to 20 years); foreign interference offences (20 years); espionage offences (life imprisonment); and theft of trade secrets (15 years).