The Australian port of Sydney is facing a problem: it cannot cope with the increasing number of ever larger cruiseships that want to visit or make it a home port.

Several years ago, the authorities overseeing Sydney Harbour thought they had a solution to the congestion when they built a new cruise terminal at White Bay.

But many of the ships are too big to sail under Sydney Harbour Bridge.

The only spot where ships can dock is the old passenger terminal at Circular Quay.

But this berth can only take one ship at a time and its passenger-handling capacity is limited as most of the terminal space has been developed into restaurants and bars. The proprietors of these are none too pleased when their patrons’ view of the opera house is blocked by a hulking cruiseship.

Stakeholders in the Australian cruise industry, one of the fastest growing in the world, are attempting to find a solution. They obviously cannot ask for the bridge to be removed, but they claim that wharf space in the naval base at nearby Garden Island would be ideal to accommodate the big ships while still allowing them to dock close to the city.

The Australian Navy, which owns the base, has so far shown no willingness to relinquish any of its territory despite repeated approaches.

The situation Sydney is facing is becoming common at cruise ports worldwide as ships continue to increase in size. Ports that are no longer able to accommodate these vessels find themselves dropped from itineraries, or cruise passengers find themselves dumped in industrial docks located miles out of town.

At the same time, existing cruise terminals, such as the one in White Bay, are increasingly finding themselves in danger of becoming white elephants.