THE dredging of Melbourne's Port Phillip Bay has been completed ahead of schedule and under budget.
But the Australian Peak Shippers Association says the money would have been better spent upgrading Westernport while conservationists say an environmental report on the dredging has been "fudged".
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Minister for Ports Tim Pallas said the project showed Victoria led the nation "in delivering large-scale infrastructure projects", while the treasurer John Lenders said the channel deepening would help exporters "get their goods to market".
But Australian Peak Shippers Association executive president Frank Beaufort said the project had merely resulted in a "dredging surcharge" being placed on exporters indefinitely.
"And there's been no benefits for importers or exporters," Mr Beaufort said.
"In another 15 years they'll have to deepen the channel again."
He said a Westernport upgrade would not require intermittent dredging and would save ships three hours of travelling time as it was much more accessible from Bass Strait.
But the Victorian Government was unlikely to upgrade Westernport as it enjoyed the financial fruits of the Port of Melbourne Corporation's local monopoly, he said.
Australian Horticultural Exporters Association chief executive Maxwell Summers said the project had increased export costs without benefit.
Victorian National Parks Association marine project officer Paige Shaw said the POMC had breached an environmental agreement, damaged threatened underwater sponge gardens and completed no proper clean up of the affected areas.
She called on the Government to use the $100 million environmental performance bond to implement a recovery plan for the damaged gardens.
The POMC referred questions to the Office of the Environmental Monitor, which oversaw the project.
Director Don Hough said the OEM had not been notified of the incomplete clean up until 10 days later.
The OEM recommended the POMC report future non-compliance within one business day.
He said the dredging had affected some areas of the bay more than expected while others were less harmed than predicted.
