Sep 14, 2012
Railway investments needed to cope with Zimbabwe coal growthBack
Beitbridge|Construction|Harare|CoAL|Development Bank Of Zimbabwe|Locomotives|Projects|Resources|Road|Roads|System|Systems|Zimbabwe|USD|Electrification Systems|Km Railway Network|Maintenance|Mining|Railway Network|Systems|Transport|Unserviceable Railway Signal Systems|Alex Machimbirike|Indaba|Infrastructure|Mufaro Gumbie|Rail|Locomotives|Operations
© Reuse this
With sufficient financial assistance, Zimbabwe’s coal production was expected to reach seven-million tons a year, from two-million tons forecast for 2012.
“The rail system, as it is, will not be able to cope with the movement of the quantity of coal that will be required,” Gumbie told Mining Weekly Online at this year’s Zimbabwe Mining Indaba, in Harare.
Gumbie said most of Zimbabwe’s 2 583 km railway network required rehabilitation, which would cost $1.14-billion, while upgrading and replacing rolling stock would cost $870-million.
However, the funding shortfall for infrastructure development continued, with the country’s revenue reaching only $62-million in 2009.
At the peak of its operations in 1991, the National Railways of Zimbabwe moved about 14.4-million tons of freight, but 18 years later, this dropped to 2.5-million tons.
The decline was attibuted to a lack of availablity of locomotives and wagons, vandalised electrification systems and unserviceable railway signal systems.
The country’s roads were also in a dire state and Gumbie said Zimbabwe’s funding requirement for road maintenance in 2012 was $200-million, but that only $35-million was allocated for this purpose.
Similarly, the country required $2-billion for rehabilitation projects of roads, but a mere $209-million was set aside for projects.
Gumbie said that the ongoing rail and road infrastructure constraints created prospects for public–private partnerships. “There are opportunities for the private sector in rehabilitation and development of infrastructure.”
Infrastructure Development Bank of Zimbabwe infrastructure projects division acting director Alex Machimbirike told delegates that $1.5-million had been raised for feasibility studies for the Harare-Beitbridge and Harare-Chirundu toll road projects.
Studies were completed for the Harare-Chirundu road and would soon start for the Harare-Beitbridge road.
A further $22-million had been disbursed on the dualisation of Harare-Skyline road and Harare-Norton road, including the construction of two bridges.
For the rehabilitation of the national railway network $28-million had been spent, Machimbirike said.
He added that to mobilise resources for infrastructure development in Zimbabwe, its financial sector would have to forge alliances with external strategic partners with stronger financial capabilities and direct access to deep financial markets.
“Government has taken a proactive stance in financing infrastructure and is further encouraged to speed up the conclusion of public-private-partnerships legislation and the regulatory framework required to attract private sector investment,” Machimbirike indicated.
Edited by: Mariaan Webb© Reuse this Comment Guidelines (150 word limit)
Other Rail News
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...