A HUGE new dock on the shores of Southampton Water is vital to the future port policies of the UK, a public inquiry has heard.

Southampton Docks operator Associated British Ports is applying for permission to build a major container terminal at Dibden Bay and it began outlining the need yesterday.

When the inquiry reopened at the former Stena ferry terminal in Southampton Docks, ABP's planning consultant told government inspector Michael Hurley: "It is not enough merely to maintain the port of Southampton.

"It is in the national interest that it remains a successful and growing port."

In a particular reference to the need to expand along the foreshore of reclaimed land between Hythe and Marchwood, he said: "In order for the port to remain competitive, it must have sufficient land and deep water berths to maintain its role in the market."

Pointing out that Southampton had always made good use of its rail connections, he commented: "The port of Southampton is the largest single generator of rail freight in the south-east and one of the largest nationally.

"The Strategic Rail Authority's aim of increasing rail freight nationally by 80 per cent by 2010 cannot be achieved without ensuring that major ports like Southampton are encouraged to grow their rail freight business to the maximum extent possible."

With objectors having said the Dibden development is not necessary because of a major port plan on the Thames Estuary at Shell Haven, he also pointed out that Southampton's rail links were superior to those at the Essex port.

Trains taking containers from the Haven, he said, would have to negotiate the heavily congested North London rail network.

It would be a "lousy place" in terms of moving its goods smoothly by train, he predicted.

He also pointed out that Southampton would have an advantage over the UK's other major container port of Felixstowe when it came to rail freight.

Eighty-five per cent of the rail freight from Felixstowe had to travel through London, he said, and he added: "Felixstowe doesn't have the same advantage as Southampton to by-pass the congested networks of London."

At the start of the day, there was a setback for ABP when its application to alter the scheduling of the different topics as the inquiry progresses was rejected by Mr Hurley.

The port operator had asked for discussions on the tipping of dredgings on marshland between Hythe and Fawley to be delayed while it gleaned more evidence, but Mr Hurley ruled that it had already had sufficient time.