Vic govt willing to budge on port: Pallas

The Victorian treasurer says he's willing to discuss a 25-year compensation clause for Melbourne Port's lease with the opposition

Victoria's treasurer is willing to negotiate with the opposition on a 25-year compensation clause to break a political deadlock over selling the lease of Melbourne's port.

Treasurer Tim Pallas says the government would be "very, very keen to explore" a 25-year compensation clause, after originally demanding the port's new owners be compensated for 50 years if a competing port was built.

The legislation to sell the port is still in the upper house, months after the Victorian government expected it to be on the market, with both sides deadlocked over the compensation issue.

Shadow treasurer Michael O'Brien said the opposition had moved from its position and was prepared to consider 15 years of compensation for the new owners.

"We have moved, the government is still trying to guarantee profits to a private monopoly for a generation," Mr O'Brien told reporters.

"We're not going to be supporting 25 years."

He said the government should speak to the Greens if they want to get the port sale legislation through.