Private sector participation in ports not off the radar

Transnet Port Terminals has not ruled out the possibility of private sector participation in port terminals, but the timing is likely to be later rather than sooner. That much was clear from comments made last week by acting CEO Karl Socikwa during a media briefing at the Port of Ngqura, six months since it handled its first vessel, the MSC Catania. “Any partnership with other players is an issue that will be addressed in the future,” he said. “We need to get our house in order and ensure that the terminal is operating as it should be and providing the service levels the customer expects – and then we can talk.” TPT chief operating officer Nosipho Damasane added similar sentiments. “We will have a lot of discussion with private operators when the current productivity is where it should be,” she said. “We are investing and improving as much as we can and won’t shy away from partnerships in rail and ports. “If you look at models in South East Asia, the private sector was brought in when ports were well into 25 years of development.” For South Africa’s fledgling Port of Ngqura, volumes so far have far exceeded expectation. “We have very bullish plans in terms of the role the terminal will play in the region and South Africa,” said Socikwa. “We’ve already seen that it’s starting to play a critical role as a transhipment point in South Africa. There’s still development taking place and our focus now is to ensure that there is no cannibalisation and that we optimise the complementary nature of our ports.” According to Socikwa, perfomance levels are benchmarked against the best terminal operations in the world. And while a significant amount of money has been invested in its development he is confident that the returns over time will prove that it’s been money well spent. “A deepwater port was vital for the SA economy. While Ngqura is stranded in terms of its hinterland, it must be seen as a hub port primarily focused on transhipment cargo.”