Transnet needs industry support

It is imperative that Transnet regain industry support to meet its volume targets for continued capital investment to continue. Speaking at the monthly Transport Forum in Johannesburg recently, Dr Andrew Shaw of the Department of Public Enterprises, said many shippers and freight logistics companies had lost faith in Transnet. In a study conducted by the department it was found that many respondents were disappointed that Transnet had consistently fallen short of fulfilling South Africa’s transport requirements and that it was not fulfilling its strategic role in the economy. “There is no doubt that Transnet should be a national service provider in the transport sector – rail and ports – as owner of national infrastructure which forms the backbone of transport and logistics in South Africa,” said Dr Shaw. “We believe it must be used as a transporter of bulk, high-volume products and material and become more widely used than is presently the case.” He said, according to the DPE, it was imperative that Transnet became a preferred transporter and handler of freight in South Africa and delivered a reliable, efficient and effective service to all sectors in the industry. He said with billions being spent on major projects such as the Iron Ore channel expansion, the coal line, the re-engineering of the Durban Container Terminal, the widening of the Durban harbour entrance, the Ngqura container terminal and the new multi-product pipeline, Transnet would soon have to start delivering and proving to the DPE where they were heading. “To do so, Transnet must increase its market share of total freight to rail to an annualised 250 million tons – that is a 10% growth by 2014,” said Dr Shaw. “We also want to see the establishment by the Department of Transport of a Rail Economic Regulator and the implementation of the national freight logistic strategy.”