People rather than capacity cause port congestion

Even though port congestion at the moment is not hitting the critical levels of past years, flaws in port management and staff performances make it an inherent problem, according to a leading authority in the SA shipping industry who preferred to remain unnamed. “I’d have to start by making it clear that I am not directly condemning Transnet. They have some very highly qualified people trying to run a very complex transport organisation.” But, he added, this bureaucratic monster is not an easy animal to control – and there still remain some basic problems in achieving efficiency. “Look at Durban as an example,” our source said. “It has a stated capacity for handling 3.2-million TEUs a year – 2.4-m at Durban container terminal (DCT) and 800 000 at Pier 1.” And last year, according to Transnet National Ports Authority (TNPA) statistics, 2.4-m TEUs went through the two terminals. “On that basis they were 75% utilised. Under that there should be no congestion.” But there was significant congestion between September and November last year. “Quite simply, if there is congestion under this circumstance, the productivity is just not good enough. The assets employed are not achieving their theoretical capacity. “That means a shortage of productivity compared to the investment made.” This indicated a distinct need to employ the very best in human resources at the port, our commentator added, and for them to help develop skills locally over the long-term. He also noted that Transnet operated in a geographically remote location – and was, therefore, not exposed to, or developing, the best practices that are found in the world’s top ports. “If you look at the truly international port operators around the globe, they are learning the best practices and transferring them to each other because of their almost daily interaction. “But Transnet is not part of this interaction process. “They have invested wisely in the very best equipment. But they now need to invest in the best in human resources to get the SA ports up to par. “What we need to decide is: What can we do together to improve things?”