Transporters slam Richards Bay truck staging fees

The dispute over mandatory Gate Zero truck staging fees at the Port of Richards Bay has intensified after Transnet distanced itself from the controversial system. However, official documents indicate the state-owned company played a key role in establishing and implementing the system, despite later stating that the facility fell outside the port precinct.

The documents emerged after Transnet referred Freight News's questions about the facility to the City of uMhlathuze and the current facility operator, MTV Property Group. However, the municipality declined to comment and MTV did not respond to repeated requests for clarity.

Documents show collaborative role

When questioned by Freight News about structural flaws, safety concerns and financial oversight at the Gate Zero facility, Transnet National Ports Authority (TNPA) said the facility was "not within port limits" and directed all enquiries to the municipality and MTV Property Group, which owns the property on which the staging facility is located.

However, official Transnet correspondence dating back to November 2024 provides additional context regarding the development and operation of the system.

A customer notice issued by Thulasizwe Dlamini, managing executive of Transnet Port Terminals (TPT) Richards Bay, describes a "collaborative initiative" between the City of uMhlathuze, TNPA and TPT to manage truck congestion using external staging areas, specifically the MTV facility and an additional truck stop area.

The notice states that the Gate Zero initiative "will be managed by the facilities in collaboration with TNPA and TPT". It also notes that Transnet would deploy "its own personnel to man the operation to ensure there is seamless integration between Gate Zero and the requirements of the Terminal".

The correspondence also sets out the operational framework for the system, requiring all commodities to be loaded and managed through Transnet's General Cargo Operating System to control the logistics chain from mine to stockpile.

Although Transnet later said it was not involved in the collection of access fees, its November notice informed industry that a baseline fee of R5 per tonne would apply.

The notice also stated that, because Transnet was a state-owned entity, the payment arrangement would need to be managed directly between customers, transporters and the facility operators.

"Transnet is an SOE, thus may not be involved in monetary exchange with external stakeholders without following a public procurement process. The payment arrangement for the facilities needs to be managed between the customers and transporters without Transnet's involvement," the notice said.

'No Ticket, No Entry'

By January 2025, Transnet's role appeared to have expanded to include enforcement of the system. In a joint letter to port users, Dlamini and Richards Bay Port Manager Dennis Moadi said the service providers were "struggling to collect the agreed upon fees".

The letter warned that trucks without a Gate Zero ticket would be denied entry to the port.

"The Port will also not accept trucks without a gate ticket – 'No Ticket, No Entry'," it stated.

Transporters say the policy has left them with little option but to pay the fees, despite ongoing congestion and operational delays.

"None of the transporters agreed to this," said Kireni Logistics owner, Elmarie Kleyn.

"We're still waiting up to two days to offload in the Port of Richards Bay so I don't understand the benefit of paying for this staging area."

Kleyn said the "No Ticket, No Entry" policy left transporters with no alternative.

"The port says it has nothing to do with Gate Zero but you can't offload unless you can show you've paid. It's really killing our businesses – and it's hurting the economy," she said.

Nico Erasmus of Thermal Ice Trading also questioned the financial accountability of the operation and why Richards Bay was the only port where transporters were required to pay to use a staging facility.

He also questioned the value of the fees, mentioning deteriorating road conditions within the port. "The roads inside the port are a mess. They're damaging our trucks."

Questions remain over fees

It remains unclear who ultimately benefits from the revenue generated by the staging fees.

Earlier, African Union of Transportation and Logistics Organisations vice-president for Southern Africa, Mike Fitzmaurice, raised similar concerns in correspondence to Transport Minister Barbara Creecy, asking what legal basis existed for the fees and what environmental authorisation process had been followed to establish the staging facility.

He estimated that, based on an access fee of R157 per truck and daily volumes of 600 to 800 trucks, between R39.5 million and R52.7 million may have been collected from operators over the past 14 months.

The association also raised concerns about infrastructure failures at both the staging facility and within the port, saying poorly maintained roads were causing significant damage to trucks.

TNPA has disputed assertions that the port's internal roads are in a state of disrepair, saying conditions are "acceptable" and pointing to a road rehabilitation project scheduled to begin during July.

Meanwhile, changes are planned for the management of the Gate Zero facility. MTV Property Group representative Mike Cooper declined to answer specific questions regarding the fees and operation of the facility but confirmed that a separate entity, Emma Yakozi, would assume control of the facility in September.

The Gate Zero staging area was originally established as a collaborative initiative between Transnet, the City of uMhlathuze and MTV Property Group to alleviate truck congestion and gridlock on public roads, particularly the N2, leading into the port precinct.

Transport Minister Barbara Creecy had not responded to Freight News's questions by the time of publication.

© Now Media. This content is protected by copyright and may not be adapted or republished. If you would like to discuss cooperation opportunities, please contact: editor@freightnews.co.za.