Spoornet takes on its critics

Leonard Neill
SPOORNET HAS the capacity to handle all loads if these are contracted or booked in advance, but business in general cannot expect to have instant demands met at all times, especially at peak periods outside of these parameters, says acting chief executive Tshidi Nyama.
Addressing a press conference in Johannesburg on Monday she countered media allegations that Spoornet was unable to meet its capacity obligations and was endangering the country's economy.
"It's like going to book a seat with an airline. Unless you book well in advance you are likely to find yourself without a seat during peak periods. Similarly Spoornet in its present
circumstances cannot give guarantees unless consignments are booked well in advance."
Responding to allegations that two privately owned power stations in the Pretoria area were facing a shut-down because of coal shortages caused by Spoornet's non-delivery, Nyama said that both had sufficient supplies for the next 28 and 17 days respectively. "They have further supplies booked and these will reach them in time," she said.
"It must be remembered that Spoornet comes from a legacy of being a common carrier, defined by a regulated market, limitless investment and obliged to carry all business offered at the published rate. But times have changed. Spoornet has since operated in an ill-defined statutory
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environment regarding road competition that has been exploited fully by
the competition. Small operators operating below replacement cost have for many years eroded Spoornet's market.
"We must also realise that from 1998 Spoornet has been subjected to
the uncertainty around
restructuring alternatives. Spoornet could therefore not proceed with any re-capitalisation programme until Government's view with regard to the future of Transnet, and specifically Spoornet, was known."
Refurbishing of existing locomotives and rolling stock was going ahead
as fast as possible, while business in general should appreciate the complexity of traffic that has to
be moved with regard
to routes, commodity
type, frequency, wagon type, loading and offloading capability.
"We cannot, for instance, switch trucks from the coal-based line to Richards Bay, which are of a special, large volume type, and supply the same commodity to smaller operators in other areas. There are
specific wagons for specific commodities and they are not easily transferable. Then, to demonstrate the complexity of operating our rail network, we need no less than six different sets of locomotives and crew to move trains from the ore-bearing area of Ellisras to Saldanha.
"Together with our customers we need to plan ahead to enable Spoornet to provide them with the capacity they require. They also need to assist us in speeding the turn-around time of our trucks by off-loading their commodities rapidly. We are continuously engaging customers in this regard and we are confident that we will find solutions."
Referring to a statement made by Reserve Bank
governor Tito Mboweni last week, in which he attacked Spoornet for increasing tariffs by 'up to 10 times' the current inflation target, Nyama said:
"Volumes were subsidised on the general freight business in the
past but this is no longer the case, hence our tariff increase. We have a mandate to operate Spoornet on commercial terms. That is the line we have to
follow."
Nyama also stated that the investigation into the activities of suspended
chief executive Zandile Jakavula had been completed by Transnet, and
a statement would be issued by the end of
the month.