Southeast residents are expected to share the road with an extra 45,000 trucks annually, after the decision by Patrick Port Logistics to cease operating rail services to and from Port Botany, the Southern Courier reported.
The company's regional rail services that operate between Dubbo and Port Botany will close on June 30.
Residents, already contending with congestion and noise, are angry over the predicted increase.
Phillip Bay resident Gregory Olsen said the narrow roads posed a serious risk for drivers who had to compete with massive trucks on a daily basis.
"We have to face the myriad trucks and supersized container semis that own the only two-lane road that leads from our peninsula westward along Botany Rd and Foreshore Rd," Olsen said.
"There will be fatalities on that road as a result of inadequate planning and tardy responses to local concerns. But now, there is a 200 percent more chance that there will be incidents."
Lynda Newman, of La Perouse, is also concerned about the impact of increased traffic. "Roads are already heavily congested.
There are horrific queues through Matraville, Banksmeadow and Bunnerong Rd trying to get into the M5," she said.
Patrick cites "rail's poor share of freight movements" and the competitive nature of road transport as reasons behind their announcement.
The company's director, Paul Garaty, said: "The decision to exit this business is disappointing but without any indication that conditions will improve we have no choice but to cease our services. For port rail services to be profitable and reliable there needs to be further investment in the rail infrastructure to and from the port and the introduction of incentives for users to chose rail such as peak period pricing for road operators".
A 2007 NSW Independent Pricing and Regulatory Tribunal report of Port Botany's transport reforms stated the Government's commitment to "doubling the proportion of containers moved by rail to 40 percent".
According to Patrick the withdrawal will reduce the overall rail mode share to 18 percent.
(Source: Cargo News Asia)