Interesting. Informative links here; if the terminal was in Hayes Dock as per first link it could work. If it was on the eastern side of Molineaux Point as per first link surely the swells frequently coming in through the heads would knock the vessels about like corks and make the safe use of the terminal not viable.

www.smh.com.au/national/nsw/we-ve-had-enough-erosion-of-our-culture-indigenous-fishing-threatened-by-cruise-plan-20181203-p50jw3.html

www.smh.com.au/national/nsw/crazy-proposal-nsw-government-pushes-ahead-with-plans-for-third-sydney-cruise-ship-hub-20190917-p52s6n.html

See here an incident of a cruise ship not being able to enter Sydney Harbour - the Botany Bay entrance is far narrower and more treacherous..............

www.smh.com.au/environment/weather/sydney-storm-strands-carnival-spirit-cruise-ship-outside-sydney-harbour-20150421-1mpl4f.html