Transnet commits budget to upgrade of Eastern Cape rail line

Leonard Neill TRANSNET HAS committed part of its budget over the next 10 years to upgrading rail links between Gauteng and the Eastern Cape to ensure the success of projects like the East London Industrial Development Zone (IDZ) and Coega. Public Enterprises Minister Jeff Radebe made the announcement at an East London gathering last Wednesday. He said that business viewed the slow pace of improvements to the line as an obstacle to better utilisation of the port's world class vehicle import-export terminal. "For the city's port to achieve the status of auto-handling hub of southern Africa, decisions needed to be made by Spoornet and Transnet on the upgrading of the line to Gauteng," he said Port extensions would have a significant bearing on the East London IDZ, he added. "The high standards that are expected from participants in the IDZ add necessary gravity to the development agenda. Government welcomes the approach of the IDZ to being self-supporting by 2005, but it will continue to support all achievements of hard work. "We are not engaged in some Mickey Mouse venture or the creation of white elephants here. This is serious business indeed." Radebe also said that the upgrade of the rail line from Umtata to East London, estimated at R44 million, would boost the forestry industry in the Transkei, which is now enjoying good export income. IDZ chief executive Peter Miles has welcomed Radebe's commitment to the rail link upgrade, stating that current inefficiencies stood in the way of making the city an export motor hub. He said that while companies like BMW, Nissan and Ford had expressed interest in using the car terminal, they were concerned about the rail line. Miles asked the minister to help secure finance for the extension of the port, the upgrading of the railway line and the extension of the airport to assist with developments.