Leaders join container terminal bandwagon

Transnet’s ‘monopolistic behaviour’ holds economy back, says former City Mayor.

RICHARDS Bay stalwarts are coming down on Transnet like a ton of bricks following news of last week’s hearing in which the parastatal defended its decision to deny the local harbour a container terminal.

Siyakhapuka Investment Holdings challenged the Transnet National Ports Authority (TNPA) in front of the Ports Regulator in Durban on Thursday and Friday, arguing the Authority practiced ‘anti-competitive behaviour’ and made ‘unreasonable’ objections to the development first proposed in 2008.

Instead of establishing container facilities in Richards Bay, Transnet will build a dig-out port in Durban at the estimated cost of between R75-billion and R100-billion – a decision which flies in the face of widespread criticism branding the venture ‘senseless’.

‘As the months roll by, the bizarre plan to develop a port using the old Durban airport area continues to gather momentum, but nobody stops and asks the simple question – is this worth the capital investment when the Port of Richards Bay is under utilised?’ said former City of uMhlathuze Mayor, Denny Moffatt.

Moffatt said Siyakhapuka, being a private investor, would effectively boost port activity and economic growth.

‘Port Maputo is busy to the disadvantage of our South African facilities, because it is largely privatised.

‘One hardly needs more than basic economic sense to agree that not only should our harbours be largely privatised, but so should SAA (South African Airways), the Post Office and Eskom.’

uThungulu District Deputy Mayor Thulani Mashaba highlighted that the container terminal is now needed more than ever.

‘It must be noted that if the national government wants us to become a metro, a container terminal will assist us to be competitive nationally and globally.’

Political backing

Moffatt and Mashaba are not the only mayors who have fought tooth and nail for a local container terminal.

At a Business2Business (B2B) networking forum held in September, current uMhlathuze Mayor Elphas Mbatha took to the podium and directly addressed TNPA Chief Executive (CE) Tau Morwe about the issue.

‘It is local government’s task to provide local infrastructure and services to our industries, but we cannot support our industries with their biggest issue – the lack of a container facility,’ said Mbatha.

Morwe replied Transnet has to create capacity for each of its ‘flagships’.

‘We can’t have the same facilities at every port.’

In April 2014, Mbatha hosted a meeting introducing President Jacob Zuma and KZN Premier Senzo Mchunu to members of Zululand’s corporate hierarchy to hear industries’ outcry for the services.

‘The needs of business should dictate if all ports should have container terminals,’ said Zuma.

‘We need to promote all the business we can and unlock all of Richards Bay’s potential.’

‘Their (TNPA’s) stated position – that Richards Bay is designed merely as a bulk port – is not government policy,’ added Premier Mchunu.

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