EL wants R900m for terminal expansion

Transnet approval awaited LEONARD NEILL NATIONAL PORTS Authority (NPA) has submitted a R900-million proposal to Transnet for container terminal expansion in the port of East London. Transnet’s chief operational officer Louis van Niekerk has made two trips to the city in the past month to assess the needs of the local authorities as well as shipping leaders. The proposed plan, which now awaits Transnet approval, will help develop the container terminal, crucial for moving automotive components, on the eastern side of the current breakwater. Draught depths in the harbour are a major problem, says NPA’s East London communications chief Terry Taylor. There is huge pressure on vessels to carry maximum loads in the current international trading climate which, in turn, demands deeper draughts. “Vessels currently carry more cargo. This is as a result of scarcity of vessels and the economic boom of recent years which has pushed charter rates up from $7000 a day of a few years back to $30 000 a day currently. “We have a maximum draught of 10.5m at the present container terminal. We are going to need to deepen it urgently. Shipping lines need at least 12m, which means we have to dredge by 1.5m.” It is, however, unsafe to dredge deeper than 11,5m. at the current site according to acting port manager Sibongile Booi who has made it clear that dredging in excess of that depth would place dangerous pressure on existing quay walls. At the same time, says Taylor, there is a need to dredge the turning basin and entrance channel to the harbour. Deepening the port to accommodate an enlarged container terminal would cost between R300-R500 million, he says. But by developing a new container terminal further along where deeper draught is possible will increase the container capacity by more than three times. Another problem is that East London does not have any container cranes, whereas the majority of container ships are today gearless and rely on port cranes to offload containers. The new terminal would be equipped with state-of-the-art cranes, says Taylor. “If Transnet gives the go-ahead, it will take three years to construct. It would then enable the port to service importers and exporters from the Gauteng region. The East London/Gauteng rail line has huge capacity and could run up to 14 trains per day. This facility would not only service the local area but also assist in Bisho’s Provincial Growth and Development Plan.” Transnet is expected to give its answer to the proposal during the current financial year which ends on March 31.