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Mount Isa Line Incentive Scheme

The Mount Isa Line is critical for North Queensland’s economy, and making it more efficient and cost competitive is vital to support and grow resources exports in the region.

As part of a suite of initiatives totalling half a billion dollars, the Queensland Government will provide $80 million over 4 years ($20 million each year) to incentivise more freight on rail on the Mount Isa Line and encourage a shift from road to rail.

This scheme started on 1 July 2019 and will end 30 June 2023.

The objective of the scheme is to make rail freight more competitive, with the intention to provide operational and financial benefit to the customers of rail services. These customers include existing mining operators; however, the scheme is open to new freight, including mining and intermodal services. Livestock services, passenger train services and non-revenue train movements are not eligible under this scheme.

To achieve this, a payment will be made to eligible rail users based upon the percentage of gross tonnes per kilometre (GTK) from rail freight services, as a proportion of total freight GTKs moved on the Mount Isa Line.

Eligibility

To be eligible for the Mount Isa Line Incentive Scheme, you must:

  1. have completed and submitted the Mount Isa Line Incentive Scheme Application form
  2. be an Australian Registered Company
  3. provide proof of eligibility as a freight end user / rail freight operator (for intermodal freight train services for multiple end user customers) on the Mount Isa Line
  4. be ineligible for other government subsidies for rail services on the Mount Isa Line, for example livestock.

Freight end users/rail operators are required to keep proof of eligibility current. That is, eligible users must advise the Department of Transport and Main Roads of any extension to the term of existing Access Agreements/new Access Agreements.

You must obtain your own financial advice on tax or other financial implications from receiving this payment.

Incentive Scheme Payment Frequency

Payments will be made quarterly over the financial year based upon advice from Queensland Rail to the Department of Transport and Main Roads on the total GTKs moved and each eligible participant’s percentage share of the subsidy pool.

As operator of the Mount Isa Line, Queensland Rail collects information on the freight movements across the network, including GTKs. This information is used for billing and reporting purposes.

Queensland Rail will provide GTK information to the Department of Transport and Main Roads who will organise direct payment to eligible participants.

Incentive Scheme Payment Method

Payment will be made by direct electronic transfer into the bank account provided in the application form.

For further information on the scheme please refer to the Mount Isa Line Incentive Scheme Guideline.

How to Apply

  1. Complete the Mount Isa Line Incentive Scheme Application form.
  2. Provide Proof of Eligibility (see details in the application form for further information).
  3. Send an electronic copy of a signed, completed application form, plus supporting documentation to MILscheme@tmr.qld.gov.au.

More Information

To find out more about the Mount Isa Line Incentive Scheme, please email MILscheme@tmr.qld.gov.au or refer to the Mount Isa Line Incentive Scheme Guideline.

Last updated
20 November 2020