TPT hikes tariffs

Despite the SA Ports
Regulator rejecting
the Transnet National
Ports Authority (TNPA)
application for a 5.9%
tariff increase, saying that
no increase was justified
(see story on page 1), the
unregulated Transnet Port
Terminals (TPT) is hiking
all its terminal charges by
9% from April 1.
A differentiated tariff
of 8% is applicable for:
storage; empty containers
(import/export only);
hatch covers; and restows.
TPT justified this by
pointing out that it had
to deal with “the current
operating cost pressures”
and to fund its capital
expenditure on port
development, particularly
in the Port of Durban.
But this has met with
howls of protest from the
shipping industry.
A line executive,
who described himself
as “livid” at TPT, and
intending to complain to
the SA Association of Ship
Operators and Agents
(Saasoa), told FTW: “Their
throughput has been
going down since last year
and they must therefore
increase their revenue.
That argument is totally
baseless.”
He pointed
to it rather
being that
TNPA was
regulated,
but TPT
was not. “It
is purely
monopolistic
behaviour
and no
regulation –
where they
calculate
their
outgoing costs and then
fix their rates to make the
desired income.”
TPT should be
regulated, he added.
The same logic was
expressed by Janine
Myburgh, president of
the Cape Chamber of
Commerce and Industry,
who said that the Ports
Regulator was doing a
good job in standing up to
the TNPA’s demands for
further increases.
“Unfortunately,” she
added, “we also have a
situation where Transnet
is trying to
undo the
regulator’s
good work
with massive
increases on
TPT costs,
the one area
that lies
outside the
control of the
regulator.”
However,
she pointed
out that the
regulator
was now trying to correct
this situation. “In fact,”
she added, “we would
like to see the regulator’s
authority extended to cover
all fees and tariffs charged
by all the components of
Transnet’s ports empire.”
The forwarding
industry expressed similar
sentiments.
Dave Watts, maritime
adviser to the SA
Association of Freight
Forwarders (Saaff), said:
“In one sense I’m not
surprised while we have
the ports authority and the
terminal operator in the
same company.
“The relationship seems
to be more about making
bottom line profit rather
than acting in the interests
of the country.”
FTW was awaiting
comment from TPT when
this issue went to press on
Monday morning.
INSERT & CAPTION
Transnet is trying to
undo the regulator’s
good work with
massive increases on
TPT costs.
– Janine Myburgh