VICTORIA'S bulk handlers have called for an end to the state's grain handling and storage access regime.

But Victorian Farmers Federation has urged caution, saying new federal legislation to manage grain exporting was untested and may not be adequate.

The Essential Services Commission is undertaking a review of the grain handling and storage access regime which governs the export grain handling and storages facilities at the Victorian ports of Portland, Geelong and Melbourne.

At a hearing last week, ESC manager of rail, ports and grain, Michael Cunningham said they were reviewing whether the regime needed to be repealed or retained in light of the new Wheat Export Marketing Act.

"The question is whether the state-based access regime should apply or whether we rely on the federal framework," Mr Cunningham said.

Australian Bulk Alliance general manager Simon McNair told the hearing the regime and Act represented a dual level of regulation.

ABA's submission to the ESC said competition between terminals clearly existed but there were state regulations governing access.

The submission said this seemed to be at odds with competition and infrastructure reform agreement principles that "ports should only be regulated where a clear need exists to promote competition or to prevent misuse of market power."

Mr Cunningham said there had been no access disputes since the implementation of the regime.

However, the ABA submission said the lack of disputes was evidence the market was performing effectively and efficiently, that there was adequate competition and no mis-use of market power.

"It follows, therefore, that the GHSAR is superfluous," the submission said.

AWB Ltd argued the combined impact of the WEMA scheme and the regime may create uncertainty and additional compliance costs.

In its submission, the company said the "burden and cost of the additional (and unnecessary) regulation" outweighed any benefit that could exist.

GrainCorp said there was no demonstrable need for the retention of the GHSAR as GrainCorp's terminals did not have market power.

However, the VFF said the regime should be kept in place and re-evaluated after the federal process was complete.

In its submission, the federation said questions remained about the relevance of the WEMA to grains other than wheat.