Jun 05, 2008
R10bn earmarked for improvements at SA's major portsBack
DURBAN|Port|Africa|Ports|Road|Roads|Transnet|Transnet Port Terminals|Water|Africa|South Africa|Durban Port|Equipment|Ports Infrastructure|Infrastructure|Morwe|Rail|Tau Morwe|Water
© Reuse this South Africa would spend R10,3-billion over the next five years to improve its equipment and infrastructure at its major ports, Transnet Port Terminals (TPT) CEO Tau Morwe said on Thursday.
This was a significant increase from the R400-million that it had invested in ports infrastructure in 2000/1.
For African ports to "stay ahead of the game" and ensure that they do not incur congestion surcharges, adequate capacity should be created ahead of demand. "Hence at the Transnet level, the emphasis being on investment on infrastructure, both on the rail side, and on the port side," Morwe said.
"Within South Africa, the focus is on ensuring that from a corridor perspective, both rail and port, there is adequate integration, adequate investments to ensure we meet the growth."
Morwe added that at the Durban Port, Transnet had seen a number of shipping lines moving containers from road to rail, however, in order for that to be done, the utility would need to ensure that the supply chain remained reliable.
Transnet was conducting an ongoing study to assess where to locate new container capacity to cope with the increasing demand. Durban Port was experiencing container growth levels of about 10% to 12%.
"If you look at where we were in 2000/1, and where we are right now, I can safely say that we are beginning to meet that demand and the key is ensuring that adequate capacity is created ahead of demand," affirmed Morwe.
He added that in 2008, South Africa's terminal utilisation was at around 78%, which meant that as the growth in containers took off there would be pressure on ensuring that demand was met.
Port congestion was mainly caused by "lacking superstructure", such as the number of cranes, so, while there could be congestion on the water side, "what we are now beginning to see in Durban is congestion on the land side rather than on the water side, trucks queuing all over the roads in Durban," Morwe said.
The lack in rail-capacity or rail-infrastructure, also contributed to congestion, and depending on how integrated the supply chain was, that could also result in congestion, and in some cases low productivity levels at ports.
Edited by: Mariaan Webb© Reuse this Comment Guidelines (150 word limit)
Updated 1 hour 4 minutes ago The Cape Town International Convention Centre (CTICC) has outperformed its targets over the past financial year and contributed R3.1-billion to the gross domestic product in the 2013/14 financial year. CTICC CEO Julie-May Ellingson said the convention centre had been...
Updated 1 hour 43 minutes ago Public Enterprises Minister Lynne Brown has released details of the remuneration of the chairpersons and nonexecutive directors of the various State-owned company boards falling under her Ministry. The remuneration figures, which are attached, are based on figures...
Updated 1 hour 59 minutes ago Installed wind power capacity could swell by 530% to 2,000 gigawatts (GW) by 2030, supplying up to 19% of global electricity, a report from a trade association and Greenpeace said on Tuesday. It said installed wind energy capacity totalled 318 GW at the end of last...
Recent Research Reports
Defence 2014: A review of South Africa's defence industry (PDF Report)
Creamer Media’s Defence 2014 report examines South Africa’s defence industry, with particular focus on the key participants in the sector, the innovations that have come out of the sector, local and export demand, South Africa’s controversial multibillion-rand...
Road and Rail 2014: A review of South Africa's road and rail infrastructure (PDF report)
Creamer Media’s Road and Rail 2014 report examines South Africa’s road and rail transport system, with particular focus on the size and state of the country’s road and rail network, the funding and maintenance of these respective networks, and the push to move road...
Real Economy Year Book 2014 (PDF Report)
This edition drills down into the performance and outlook for a variety of sectors, including automotive, construction, electricity, transport, steel, water, coal, gold, iron-ore and platinum.
Real Economy Insight: Automotive 2014 (PDF Report)
This four-page brief covers key developments in the automotive industry over the past 12 months, including an overview of South Africa’s automotive market, trade figures, production and the policies influencing the sector.
Real Economy Insight: Construction 2014 (PDF Report)
This five-page brief covers key developments in the construction industry over the past 12 months. It provides an overview of the sector and includes details of employment in the sector, infrastructure and municipal spending, as well as insight into companies’...
Real Economy Insight: Electricity 2014 (PDF Report)
This five-page brief covers key developments in the electricity industry over the past 12 months, including details of State-owned power utility Eskom’s generation activities, funding and tariffs, independent power producers and prospects for the sector.
This Week's Magazine
The broad-based black economic-empowerment (BBBEE) alignment process in the con-struction sector has begun, dur-ing which the sector codes of the Construction Sector Charter Council (CSCC) will be aligned with the revised Codes of Good Practice (CoGP), which come...
It is second time lucky for Toby Venter. Ten years ago he negotiated to buy the Kyalami racetrack, but “the deal did not materialise”.
Environmental solutions company I-Cat started construction work on its R22-million, 1 949 m2 environmentally sustainable office and warehouse facility, commissioned by I-CAT Environmental Solutions, at a launch event in October. The new sustainable I-CAT campus,...
Effective file synchronisation and sharing across an organisation’s structures can provide the basis for robust mobile-device and document management while maintaining proper backup, version control and content distribution. These are the lessons learned by complex...
Hotel group Carlson Rezidor currently holds the largest hotel pipeline in Africa with 30 hotels and 6 300 rooms under development. The hotel group develops and operates Radisson Blu in the upper upscale segment and Park Inn by Radisson in the mid-market segment. With...