ENDORSED BY
Intraregional supply chain solutions from producer to consumer
TruckersÊ Forum Constructive engagement
TransnetÊs “Back to rail” strategy
Toyota HiluxÊs Antarctic extreme adventure
EQSTR A's
JOHNNIE MAR AIS
"Fleet management, the route to profit"
HOT SEAT
CP Minnaar & Seun's Cobie Kemp "Time and money, the key ingredients of a successful transport operation" P14 ISSN 1684-7946 Apr/May 2012 Vol. 10 No. 2 / R35.00 incl. VAT
Intraregional supply chain solutions from producer to consumer
COVER STORY ORY “It makes good business sense ense to outsource the management of your ur fleet to reduce costs and increase profits,” ofits,”
INSIDE
says EQSTRA’s Johnnie Marais s
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FESARTA Truckers’ Forum report back
HOT SEAT
Supply chain logistics
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14 BEE 28 30
Have your BEE cake and eat it Flex your fleet
FREIGHT RAIL
OIL & GAS The energy challenge
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Transnet’s ‘back to rail’ strategy Swaziland rail development gets go-ahead
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AIR FREIGHT
COMMERCIAL VEHICLES Extreme adventure The new generation Quon Built for commercial success
HAZARDOUS MATERIALS High-energy fuel to Botswana
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Flying across Africa
HEALTH & SAFETY 41 43
HIV/Aids project Flatbed trailer safety
REGULARS
TRANSPORT ENGINEERING SA’s transport infrastructure projects Rebuilding Angola Bridge demolition
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24 25 27
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2 12 44
Editorial comment News desk The Tail End
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TWA | Apr May 2012
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EDITOR’S WORD
Publisher Elizabeth Shorten
Innovation
Editor Tony Stone • tony@3smedia.co.za Creative chief executive Frédérick Danton
unlocking the future
Senior designer Hayley Moore Mendelow Contributors Aurecon, Barney Curtis, BP Plc, Cargo Carriers, Crossroads, IATA, John Batwell, Sibusiso Ndebele, Transnet, UD Trucks
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Senior Sub-editor Claire Nozaic Sub-editor Patience Gumbo Production manager Antois-Leigh Botma Production coordinator Jacqueline Modise Distribution Asha Pursotham Financial manager Andrew Lobban Administrator Tonya Hebenton Subscription sales Nomsa Masina Printers United Litho JHB • t +27 (0)11 402 0571 Advertising sales Hanlie Fintelman • h.fintelman@lantic.net t +27 (0)12 543 2564
MEDIA No. 4, 5th Avenue Rivonia
PO Box 92026, Norwood 2117 t: +27 (0)11 233 2600 f: +27 (0)11 234 7274
www.3smedia.co.za Annual subscription: R270 (incl VAT) ISSN 1684-7946 © Copyright. All rights reserved. Editorial advisory board • Barney Curtis, executive officer of FESARTA • Garry Marshall, CEO, SA Express Parcel Association • Bill Cameron, director, Transport Research Consultancy • Graham Ross, retired road engineer • Dr Andrew Shaw, principal transport analyst for Development Bank of South Africa • Captain Colin Jordaan, CEO and commissioner of the Civil Aviation Authority • Prof. Leon Raath, board member, Chartered Institute of Logistics and Transport, South Africa • Barlow Manilal, CEO, Automotive Industry Development Centre and National President of The Chartered Institute of Logistics & Transport (CILTSA) • Anthony Cole, COD, Concorde Maritime Academy. All articles herein TWA are copyright-protected and may not be reproduced either in whole or in part without the prior written permission of the publisher. The views of contributors do not necessarily reflect those of the publishers.
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TWA | Apr May 2012
Billions to be made at the expense of motorists who are already paying a heavy fuel levy for road development and maintenance
ccording to the geeks, innovation is the creation of better or more effective products, processes, services, technologies or ideas that are accepted by markets, governments and society. They are quite right, and it’s something we need to be constantly looking at. So, in this edition we look at a number of examples of innovations in road, rail, sea and air transport. But we face an uncertain future when it comes to fuel, humanity’s primary energy source. The energy challenge will perhaps be one of the biggest hurdles we will need to overcome if our children are to survive and prosper. In the hot seat we look at a practical example of a transporter making a difference in the supply chains in which they operate. With technology’s relentless advance, ever-seeking competitive advantage, lower costs and greater functionality, we see how innovation meets an extreme challenge and the emergence of two greatly improved commercial trucks. Rebuilding a war-torn country, demolishing an old, dysfunctional bridge and mapping South Africa’s future infrastructure developments are all part of the transport engineering challenge. Even so, innovation is not just limited to products, processes, services and technologies but people too. Transforming the workplace to ensure that we redress the inequalities of our past is essential – both economically and socially. And speaking of transformation, Transnet has undergone a substantial reorganisation and performance improvement with the focus squarely on customer service and winning back what road has taken away from them, and rightly so. Too much of something is never good. While road transport filled the gap when rail was not performing is commendable, the negative impact on our road infrastructure has been significant. It therefore makes sense to go back to a rail and road mix of similar function to that of our eurozone counterparts. Looking back to understand our future, the surprise – although it should not be – is the success and growth of Africa’s air transport. As the continent opens up to intraregional trade, more opportunities will begin to materialise for the air freight industry. As per usual, the Tail End is a little controversial. It is meant to be. We need to think a little about the issues raised because it is important. To quote the minister of transport: “One life lost is one life too many.” We may have the ‘Think Pedestrian’ campaign for drivers, but we also need pedestrians to ‘Think cars, trucks and buses’. And last but not least, the e-toll furore continues.
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NF E RENCE 2012 Sponsors:
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COVER STORY
EQSTRA
Profit through fleet management When your core business is something other than running and managing a fleet of vehicles it makes good business sense to outsource and use a fleet management specialist.
E
qstra Fleet Management (EFM) provides a full range of fleet management services underpinned by two core products: Full Maintenance Lease and Operating Lease. Originally known as Imperial Fleet Services, the company has operated in South Africa for over 27 years. With an owned and managed fleet in excess of 40 000 vehicles and an asset base of over R1.8 billion, EFM delivers a wide range of solutions to a diverse customer base. It provides a complete solution to clients via operating rentals, which include maintenance, parts, insurance, and fleet related services. EFM’s main focus is to add value to all its offerings by providing customers with a level of service excellence which sets it apart in the industry. EFM follows a turnkey process to ensure that the best solution is provided to the customer. This process, depending on the solution selected, follows the following steps: • Prospective customers have access to the EFM New Business Consultants who can conduct a thorough fleet analysis at no cost to the customer. The consultant will then present the findings to the customer as well as solutions to demonstrate a solid ROI (return on investment). • Once the solution has been proposed and purchased by the customer EFM begins the process of procuring the vehicles. They leverage off their supplier chain to get the most competitive prices on the market. EFM also works hand-in-hand with Eqstra Flexi Manufacturing, which can manufacture the bodies of trucks as per the customer’s specifications to ensure utmost quality. Johnnie Marais, national • EFM will then fund the cuscommercial manager, Eqstra tomer’s requirements based on Fleet Management their solution. This may take form
“We provide comprehensive fleet management solutions that achieve efficiencies and cost savings”
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TWA | Apr May 2012
of a Full Maintenance Lease (FML) whereby the risk of disposal and maintenance is transferred to EFM, or an Operating Lease (OPL) where the risk of disposal is transferred to EFM. • Once the vehicles have been procured and funded, EFM provides customers with a fines management solution that assists in fines administration and redirecting them to the perpetrator on behalf of the customer. EFM is fully AARTO compliant. Depending on the solution, EFM will maintain the vehicles (FML), eliminating the risk from their customers. If the FML solution was not selected then EFM can assist in reducing the customer’s maintenance costs by referring Eqstra approved suppliers from their supplier chain. EFM has a dedicated maintenance department as well as a maintenance call centre to ensure costs are effectively controlled during the maintenance period. Fuel is a difficult commodity to manage and therefore EFM also offers fuel management solutions whereby it manages its customer’s fuel, oil and toll transactions and provides them with exception reporting. This assists customers in controlling their fuel costs, simplifies the process as trucks and vehicles can fill at any station and eliminates cash in hand. Customers will have access to their Fleet Management BI tool, which is used for the management of exceptions with a functionality to set up automated specific reports. In order to further reduce costs and manage the customer’s fleet, EFM has its own GPS tracking solution, which is one of its kind in South Africa. The GPS tracking solution uses biometrics to identify the driver so that the customer knows who was driving the vehicle and when, should there be an accident or an infringement. The GPS tracking solution also provides a virtual fuel gauge, assists in identifying fuel theft with immediate alerts and advises on fuel consumption per driver on pool vehicles. It also boasts a guaranteed 17% fuel saving. The GPS tracking solution does 85% of the work for customers. It will manage fuel usage and utilise the ‘govern per speed zone’ facility, ensuring guaranteed savings on fuel, fines, maintenance and accident-related costs. EFM has a dedicated accident management frontend to provide a wide range of insurance solutions to various markets within its diverse customer base. From
COVER STORY
comprehensive motor insurance, through to aggregate fund management, Eqstra Risk Solutions is able to customise a solution to fit customer’s unique needs and provide a fleet management approach to risk not found elsewhere in the market. As a leading fleet solutions provider to the South African market, Eqstra has developed a number of retail solutions driven mainly by its requirements to effectively remarket its leasing assets at end of contract. As with all its other fleet offerings, Eqstra can allow its customers access to this unique solution for the remarketing of their own assets, increasing returns and leveraging existing platforms. With transport and fleet, each section of the solution must add value to the customers. EFM will tailor a solution that is specific to customer’s requirements. Technical support and 24-hour roadside assistance is among the solutions that EFM offers, together with a driver management system that comes complete with driver training, driver risk assessments as well as driver risk scorecards. EFM will design a solution that is specific to a customer’s requirements, whether it is remarketing vehicles, procurement, operations or a rental solution. It strives to deliver the best tailor-made solutions to all customers and understand that all its customers’ requirements differ.
which would have been spent on paraffin, but is a much safer alternative as it greatly reduces the risk of fires and repertory illness • installation of solar geysers in economically disadvantaged communities • Best Lift Club, which was launched in conjunction with the Department of Transport in October 2011 and aims to reduce the number of vehicles on our roads as well as reducing carbon emissions. EFM is fully ISO 9001 accredited and compliant.
R12/ℓ
For more information on Eqstra Fleet Management and its offerings, visit www.efm.co.za or www.thebestfleet.co.za or call 0861 EQSTRA (377872)
The rec recent and shocking increase in the fuel price incre is but one of many to ccome. This means well-managed and maintained fleets become a critical success factor in the supply chain
BBBEE EFM has recently achieved a level 2 BBBEE status and are just waiting for its certification. It has three shareholding empowerment partners as well as a black empowerment company, Amasondo. BEE is both a business and moral imperative, and is vital to addressing the inequalities of South Africa’s past. The company intends to improve its rating through its continuous employment equity plan, its focus on effective supply chain management and a group review of its BEE shareholding.
CSR Initiatives EFM monitors its carbon footprint and is taking concrete steps to reduce its impact on the environment. Some examples of these steps include: • planting 12 000 trees in disadvantaged areas, under the auspices of Food and Trees for Africa • investing in the Umdoni Gel Stoves project, which replaces dangerous paraffin stoves with clean-burning biofuel stoves. The project has distributed 4 000 biofuel stoves and bioethanol gel fuel to rural and peri-urban households. This not only saves the households money, TWA offers advertisers an ideal platform to ensure maximum exposure of their brand. Companies are afforded the opportunity of publishing a two-page cover story and a cover picture to promote their products to an appropriate audience. Please call Hanlie Fintelman on +27(0)12 463 2564 or e-mail her at h.fintelman@lantic.net to secure your booking.
TWA | Apr May 2012
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TRUCKERS FORUM
Truckers speak with one voice
Without a doubt, the Trucker’s Forum 2012, a first-of-its-kind workshop held to tackle problem issues along East and Southern Africa’s transport corridors and to find solutions, was a great success. But it’s not over yet!
T
he forum was not a conference, where delegates listen to presentations and then go home having not achieved much. Instead, the Trucker’s Forum was a practical workshop devised to initiate active delegate participation with the objective of identifying
“The truckers forum, is to be an annual inter-regional event” Barney Curtis, CEO of FESARTA
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TWA | Apr May 2012
workable and reasonable solutions to problematic interregional transport issues. Barney Curtis, CEO of the Federation of East and Southern African Road Transport Associations (FESARTA), took pains to point out that the Trucker’s Forum, which is to be an annual event, is an interregional forum comprising East and Southern Africa. He welcomed the attending representatives of South Africa’s Department of Transport, as the host nation, as well as the Common Market of Eastern and Southern Africa (COMESA), the East African Community (EAC), the Southern African Development Community (SADC), TradeMark East Africa (TMEA) and TradeMark Southern
TRUCKERS FORUM
“Africa needs to become internationally competitive” Cyril Laubscher, director of Business Development, Imperial Logistics Africa (TMSA), the implementing agents for the Sub-Saharan Africa Transport Programme, the Southern African Trade Hub, USAID Southern Africa and its East African counterpart, Compete. In 2013 the forum will be held in Nairobi, Kenya. Curtis stressed that the outcomes document of the forum will be presented, as an official document, to the COMESA/ EAC/SADC Tripartite alliance as an input to its Trade and Transport Facilitation Programme. FESARTA will then liaise closely with the tripartite alliance to track the implementation thereof. Of course, implementation must take place at national level in each country – it cannot be done regionally. To this end, the National Road Transport Associations (NRTAs) of each country will work closely with FESARTA to follow through on implementation. As Curtis pointed out: “This is the first Trucker’s Forum and just the start of a process to improve the flow of goods along our road transport corridors, which is crucial to seamless, efficient interregional trade, the economic upliftment of East and Southern Africa, and the eradication of poverty.” “It is not just an event,” he said.
Crucial to Africa Cyril Laubscher, Director of Business Development at Imperial Logistics, which was the headline sponsor, said that Africa’s opportunities must not be underestimated. However, Africa needs to become internationally competitive. Focus must be placed on infrastructure investments, particularly in ports, roads and rail services. What is also critical is the development of integrated regional communities – and the integrated, implementable plans to make this a reality. Interregional trade and cross-border corridor development requires the combined commitment of all the East and Southern African
governments and their working together to achieve these goals, which will reduce the cost of logistics, ensure the efficient movement of goods and create a balanced, bi-directional flow of goods to and from Africa. The South African Department of Transport (DOT) acknowledged that an efficient cross-border road freight transportation system is crucial to interregional trade. To this end, the DOT committed to provide adequate infrastructure to ensure such a system. This was one of the main points to come out of the Minister of Transport Sibusiso Ndebele’s keynote address that was delivered on his Lolette van Niekerk, TMSA behalf at Truckers’ Forum 2012 by Sinethemba Mngqibisa, chief director of the DOT. Speaking at the forum on Wednesday, 14 March 2012, Mngqibisa stated that: “In the European Union, interregional trade accounts for almost 80% of their overall trade and most of this trade is truck borne. In Africa, interregional trade accounts for a mere 12%. So, for us to unlock the economic value of interregional trade we need to ask ourselves what is preventing Africa from trading with itself?”
“A one-day increase in inland transit times reduces exports by 7% on average”
Making it happen Lolette van Niekerk of TMSA and Silas Kanamugire of TMEA explained that TMSA and TMEA are not-for-profit organisations that seek to support East and Southern Africa’s integration, thereby unlocking its economic potential through: • a reduction in transport time and related costs along the key corridors in East and Southern Africa Vonesai Hove, TMSA • supporting EAC and SADC institutions to develop a comprehensive framework for regional integration • supporting partner states to substantially increase the implementation of a comprehensive framework for regional integration • engaging private sector and civil society to positively influence regional integration policies and practices for growth in trade. As Van Niekerk pointed out, a one-day increase in inland transit times reduces exports by 7% on average. And for
“Non-tariff barriers do not stop trade but do make it difficult for traders”
TWA | Apr May 2012
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TRUCKERS FORUM TABLE 1 Tripartite member states Angola Burundi Botswana Comoros Djibouti DRC Egypt Eritria Ethiopia Lesotho Libya Kenya Madagascar
landlocked countries, a 1% increase in export time delays reduces exports by 1%. At the moment, it takes an average of 15 days to travel by road from Malawi Kolwezi in the Democratic Republic of Mauritius the Congo (DRC) to the Port of Durban Mozambique in South Africa. Of this time, seven Namibia Rwanda days (47%) is spent getting through Seychelles three border posts. South Africa At most this should be hours, not Sudan days. Kanamugire, on the other hand, Swaziland highlighted the critical need to reduce Tanzania Uganda East Africa’s costs of importing and Zambia exporting a shipping container, which at Zimbabwe the moment is three times more expensive than South Africa. THE ORGANISERS (left) 3S Media’s CEO and publisher, Elizabeth Shorten (left), and business manager, Rachel Gitari THE FACILITATOR (below) Greg Faasen
SESSION 1 Border procedures, documentation, smuggling and infrastructure SUBJECT MATTER EXPERTS
On the dotted line Non-tariff barriers (NTBs) do not stop trade but do make it difficult for traders. NTBs raise costs to a point of inefficiency so that trade, in many instances, is simply not worthwhile. In a trading environment where NTBs prevail, economic development is stifled. This is one of Africa’s major problems.
Vonesai Hove of TMSA, which is responsible for the non-tariff barrier (NTB) monitoring system, reminded the forum that the Heads of State Decision in Kampala 2008, to establish a Tripartite Free Trade Agreement, included all the member states of COMESA, EAC and SADC, which are the three Regional Economic Communities (RECs) bound by the agreement. This was ratified by an MOU framework signed by the REC CEOs in January 2011. According to this agreement and MOU framework, the tripartite alliance agreed to eliminate non-tariff barriers and refrain from introducing new ones by invoking REC treaty/protocol provisions for eliminating nontariff barriers to trade.
Working the problems Over the four months prior to the Trucker’s Forum, a working committee, through a process between FESARTA and its member NRTAs, identified a number of key problems and possible solutions. These were then sent to each delegate to assist them in their preparation for the Trucker’s Forum workshops. A document listing NTBs directly affecting the road transport industry was compiled from the NTB monitoring system and given to delegates. Curtis stressed that what was discussed and agreed in the forum workshops would be vitally important to the East and Southern Africa region and the transport industry. Greg Faasen facilitated the proceedings, which produced the following outputs:
WORKSHOP RESOLUTIONS General • Use the media to force politicians to act. The issues have been on the table for many years. If they don’t implement facilitation measures, publicise that their inefficiencies are increasing the costs to the person in the street. • All changes must be undertaken in a standardised manner and implemented on a through-corridor basis. • Border operations should not be managed from central governments. Governments must provide the policies and documentation. The border management committee to manage operations. • Tripartite must ensure that there is enforcement, not just recommendations. How can we achieve border post management by a single body? For both sides of a two-stop border?
John Mathenge, regional executive officer: Federation of East African Freight Forwarders Associations
• Customs should act as the lead agency in a single-border management organisation. The organisation should include transporters, clearing agents, drivers and government authorities. • Use the Maputo Corridor Logistics Initiative (MCLI) as a good example of customs/private sector liaison. • Have a region-wide integrated ICT system with electronic submission and acquittal of documents. • Have a single window for the submission of documents and not have to submit to several authorities at one border post. • Use standardised documentation and operating procedures throughout the region. • Ensure that trained and experienced staff members are in positions of authority. How can the customs authorities and the private sector meet regularly in each country to sort out problem issues? • Have a national stakeholder committee, which feeds a corridor committee. How can we achieve risk management inspections and not every consignment be inspected?
Dave Watts, chairman: South African Association of Freight Forwarders KwaZulu-Natal
• Have a corridor-based risk management system on importers/exporters, types of product, transporters and clearing agents. • Have pre-sealing, pre-inspection and pre-clearing before departure. • All goods to be barcoded and this to link with the Bills of Entry. • Have a database of clearing agents, transporters and drivers. • Electronically track goods using the cost-effective passive RFID system • Fast-track dangerous goods, high-value items and fresh produce. What is the best process towards upgrading infrastructure at borders? • The simplification and harmonisation of documentation and procedures should be dictating infrastructure requirements at borders. • Ensure there is adequate electronic infrastructure. • Relocate non-core activities to suitable locations away from the borders. • Study best practices throughout the region and overseas. • Channel a percentage of the fees collected at the borders into infrastructure. • Outsource non-core activities at border posts to the private sector, e.g. infrastructure maintenance.
Eddie Kalua, managing director: freight forwarding company, Malawi
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TWA | Apr May 2012
What other interventions will help facilitate border transit? • Put the border staff onto performance-based contracts.
TRUCKERS FORUM
WORKSHOP RESOLUTIONS What is the best process to ensure that only the right standard and quality of weighbridge is used for enforcement? • Weigh-in-motion (WIM) equipment used to filter offenders. • Weighed on multi-deck split-scale equipment that is properly verified and calibrated. • Standardise and harmonise, as appropriate, the operation, equipment, training and management of weighbridges along all corridors. Audit the weighbridges. • Establish regional vehicle overload control association (REVOCA). • Standardise load limits and tolerances between EAC and SADC/COMESA.
SESSION 2 Load limits and overloading control
How do we ensure that weighbridges are placed at the right places along the corridors? • Look at the whole corridor from port to furthest point, based on traffic flows, and involve all states along corridor at regional level. • Each country should have overload control strategy informed by a regional overload strategy. There is a World Bank (SSATP) guideline for overload control.
SUBJECT MATTER EXPERTS
How can we achieve the weighbridge certificate at point of origin be acceptable along the whole route? • Interlink weighbridges electronically along the corridor. • Develop a sealing system for break bulk cargo. • Mutual recognition of weighbridge certificates along a corridor.
(From left) Butch Shone, director at Kasembo Transport – Zambia
How can we accelerate the process towards countries accepting regionally recommended load limits? • Run a pilot on improved overloading control along a corridor. • Transport associations should lobby government to implement recommended load limits. • Tripartite needs to coordinate implementation corridor by corridor.
Hans Poppe, representative: Tanzania Truck Owners Association Mike Pinard, director: Infra Africa – Botswana
WORKSHOP RESOLUTIONS What fees/levies/charges are acceptable? • After consultation with all stakeholders, only the acceptable fees to be gazetted and published, including on websites/other media. • A three-month notice period for the introduction and change of fees. • Road user charges should be channelled to a road fund dedicated to road maintenance. • Duplication of charges should not be allowed. • Registration with NRTAs of cross-border operators for quality control and to do away with permits. • Discriminatory charges based on domicilium are not acceptable. • Consolidate charges in one payment. • Road user charges should be harmonised across the region.
SESSION 3 Excessive and arbitrary charges, levies and taxes
How can we ensure that there is transparency and reasonableness in the setting of the fees/levies and charges? • Display all border charges and levies on a large billboard at every border. • Printed onto exit and release documents as proof of payment. What are the best methods to reduce corruption? • Insist on a receipt for all payments. • Ability to report incidents without reprisals. • Severe penalties for transgressors. • Implement a harmonised third-party insurance system. • Don’t have charges paid for in cash by drivers. Have prepaid vouchers for charges. • Report corruption – a call centre that you can call while at the border post. • Use of cameras at border posts and weighbridges.
SUBJECT MATTER EXPERTS (From left) Mike Scott, chairman: FESARTA Lambert Tshisueka, director: Hermis Transport (DRC) Mageline Mabua, transit specialist: USAID Southern Africa Trade Hub
TWA | Apr May 2012
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TRUCKERS FORUM WORKSHOP RESOLUTIONS SESSION 4 Unacceptably poor levels of road safety
SUBJECT MATTER EXPERTS (From left) Paul Matthew, director: North Star Alliance – Africa
What are considered to be the most important interventions to improve road safety? Drivers • Motivate drivers to change behaviour through appreciation and recognition. Have an incentive system based on safety. • Have an industry-driven register of drivers, showing standard of driver fitness, alcohol/drug abuse and when training took place. • Regulation on driver hours. For example, limit to 12 hours of driving per day, half hour rest after 5 hours, 10 minutes after two hours. Give them time to rest at home, for overall wellbeing. • Have a harmonized regional drivers licence. • Create a professional drivers association lead by FESARTA to give them a voice and improved recognition. Be represented at the Truckers’ Forum. Encourage professional recruitment. Driver Training • Have minimum harmonised and accredited regional driver training standards. Including focus on better nutrition and less fatigue. • Increase training facilities for drivers, including the encouragement of fleet owner in-house facilities. • Fleet owners and associations should be involved. • Fleet owners to take responsibility and subscribe to road safety. • Fleet owners should monitor drivers and have traffic marshals. • Associations to have codes of conduct for members, with peer review. These to include road safety issues. • Associations, including FESARTA, ASANRA and fleet owners, should influence to ensure road safety implementation. FESARTA should spearhead through tripartite. • Encourage reduction in overloading and better load securing.
Vehicles • Have harmonised regional standards for vehicle design and roadworthy fitness. • Have restriction of importation of vehicles over five years old. • If vehicle is not roadworthy, vehicle must be parked and fixed before allowed back on the road. • Have cameras inside cabs to monitor driver safety and wellness. • Motivate fleet owners to accept a high standard of vehicle roadworthiness. • Infrastructure. • Physical state of roads and environment. • Improve truck stops and upgrade Wellness Centres to truck stops. Enforcement • Extend the South African Administration and Adjudication of Road Traffic Offences (AARTO) into the whole region. • Transgressions should attract large penalties with the potential loss of driving licence. • Audit road traffic departments. • Have effective and visible policing. • Get rid of police corruption. • Have statistics of accidents of heavy vehicles in region with analysis of cause. Others • Reduce border delays and so reduce driver fatigue. • Develop national and regional road safety policies. • Share case studies of the benefits of investment in road safety.
Jane Njeru, CEO: Kenya Transport Association Mapolao Mokoena, transport Planning Officer – SADC
SESSION 5 Low level of adherence to regulations and poor relationship with authorities
SUBJECT MATTER EXPERTS (From left) Paul Nordengen, principal researcher: CSIR
WORKSHOP RESOLUTIONS How will self-regulation improve the working relationship between authorities and transporters, and what are the steps to introduce it? BENEFITS OF SELF-REGULATION Self-regulation will: • Change the culture of compliance within the industry as it comes from the industry. • Enhance dialogue and create trust between transporters and authorities. • Remove some of the burden of governments to enforce. • Remove reasons for corrupt practices. Requirements • Must have the buy-in of transporters and authorities, throughout the region, through awareness of the benefits. • Must have regionally accepted minimum standards. • Standards must be enforced through an auditing process. • Must include labour unions through the bargaining councils. • Must be put into law that self-regulation is accepted. • All stakeholders must be trained in the development and implementation. • Must have penalties (review of accreditation) and benefits (less enforcement by authorities). • Must be accommodated in the national (or regional) Road Traffic Acts. • Must accommodate smaller transporters.
Gavin Kelly, principal transport planning officer, RFA Adrian van Tonder, fleet management: Barloworld Logistics
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TWA | Apr May 2012
Way forward • TradeMarks to facilitate workshops to develop regional guidelines. • Take work already done and implement it as a pilot along a corridor. • Identify areas of conflict with the regulations. • Develop relevant industry capacity in order to self-regulate. • National Road Transport Associations (NRTAs) to form steering committees.
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NEWS DESK trucks and 30 000 passenger vehicles annually. Initially the trucks assembly facility will create 500 to 800 jobs, and about the same number will be created when the passenger vehicle division gets under way. Leiter says the Coega facility will be the future springboard for doing business in the rest of Africa in terms of the distribution of FAW trucks and passenger vehicles. “The spin-off effect from the plant will be enormous as we invest monies to build our market share both in South Africa and in Africa in general.” Eugene van der Berg, FAW national sales and marketing manager, says: “We will also use this cash strength to help us continue expanding our own financing operation, which will be of huge benefit to our customers.” He says FAW is currently in the process of fine-tuning its medium model range to cater for specific micro markets in the MCV sector. “We have done a lot of research into this sector, and price and payload appear to be the most important features for customers. Our relevant range of vehicles is, therefore, in the process of being adapted to specifically enhance these features.” Meanwhile FAW reports that 2012 started with a bang. “We are experiencing a record number of inquiries and sales, and we are optimistic that this will continue and even improve through 2013 and beyond,” concludes Van der Berg. Eastern Cape premier, Noxolo Kiviet (centre back); FAW chairman, Jin Yi (3rd from right seated) and FAW South Africa MD, Richard Leiter (extreme right), signing the agreement for the new FAW Coega facility
CHINESE INVESTMENT
R600 million Coega development THE OFFICIAL sod-turning of the new stateof-the-art FAW truck and passenger car plant took place recently at the Coega Industrial Development Zone outside Nelson Mandela Bay in the Eastern Cape Province. The total investment, which is being financed by FAW China, a Fortune 500 company, and the China-Africa Development Fund (CADFund), will be approximately R600 million with R200 million going towards the construction of the plant. “The rest of the money will provide the working capital to staff, market and operation of a factory, which is on a par with anything
RAILWAY
‘Train brain’ is appointed FOR MANY YEARS, South Africa’s railway industry has been characterised by sporadic capital growth spurts followed by relatively Johann Rauch long periods of stagnation. “This trend is hopefully set to change following President Jacob Zuma’s presidential address on 9 February 2012 when he voiced government’s commitment to upgrading the country’s infrastructure with specific reference to a number of key focus areas in the rail domain,” says Johann Rauch, recently appointed general manager for the rail sector at consulting engineering company, GIBB.
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TWA | Apr May 2012
in the world,” says MD of FAW South Africa, Richard Leiter. Coega marketing manager, Ayanda Vilakazi, says FAW’s decision to invest in Eastern Cape was prompted by Coega’s location, the proximity of the Port of Ngqura, the logistical solutions offered and the support mechanisms offered by Coega. “FAW’s decision to build the plant in South Africa is significant as it is to date one of the most important investments by a Chinese entity in South Africa. The arrival of FAW in this region adds yet another blue-chip automobile company to the province, the others being Volkswagen, General Motors, Ford and Mercedes Benz,” says Vilakazi. The plant will be built on 400 000 m2 of land and is expected to eventually produce 5 000
VOITH SCHNEIDER
‘Ship of the Year 2012’ Full speed ahead with VSP THE OFFSHORE supply vessel North Sea Giant was given the Offshore Support Journal ‘Ship of the Year 2012’ award. The vessel of Norwegian operator North Sea Shipping AS received this prestigious prize during the Offshore Support Vessel Conference in London.
North Sea Giant is one of the largest and most powerful offshore oil and gas industry supply vessels equipped with Voith Schneider Propellers (VSP) as the main propulsion system, which maintains the ship in a static position facilitating the safe transfer of cargo.
NEWS DESK TRENTYRE
GOODYEAR
Bio-based tyres edge closer to reality GOODYEAR AND DuPont Industrial
New man behind the wheel NIGEL SOWERBY, the man behind the wheel of national tyre and related services retailer, Trentyre, has his sights set on a major comeback for the group and plans to drive it there through fundamental standards of excellence, “executed properly and throughout each and every outlet across the country”. Sowerby, who joined Trentyre as Operations and Commercial Director in January this year, headed Goodyear UK’s truck tyre and retail operations from 2006 until his new appointment. Before that he worked his way up from counter-hand to director of Americanbased Dana Corporation, which specialises in automotive components and retail, so his experience and knowledge of the automotive services sector runs very deep.
LAND ROVER
Journey of Discovery
Biosciences are working together to develop BioIsoprene™, a revolutionary biobased alternative for petroleum-derived isoprene. BioIsoprene™ can be used for the production of synthetic rubber – which in turn is an alternative for natural rubber –and other elastomers. The development of BioIsoprene™ will help reduce the tyre and rubber industry’s dependence on oil-derived products. Currently, the two companies have demonstrated proof of the technology through the
THE ONE MILLIONTH Land Rover Discovery has been made at Jaguar Land Rover’s Solihull Manufacturing Plant near Birmingham in the UK. To celebrate this milestone and demonstrate the Discovery’s class-defining versatility and all-round capability, this vehicle will now start a ‘Journey of Discovery’
production of a prototype tyre made with BioIsoprene™ monomer. “Finding a replacement for oil-derived materials is the right thing to do from a business standpoint, but it’s also the right thing to do for the environment,” says Jean-Claude Kihn, chief technical officer for the Goodyear Tyre & Rubber Company. “Since synthetic rubber is a critical component to our products and many others, we are very excited to be working on this renewable alternative with DuPont.”
from its birthplace in Birmingham to Beijing in China – one of Land Rover’s fastest growing markets. The 50-day, 12 875 km adventure will be undertaken by three Land Rover Discovery vehicles travelling through more than a dozen countries across Europe and Central Asia, culminating at the Beijing Motor Show on 23 April. The expedition also presents Land Rover with the opportunity to launch its most ambitious fundraising project yet as it aims to raise £1 million (about R11.88 million) for the company’s Global Humanitarian Partner, the International Federation of Red Cross and Red Crescent Societies. The money will be used to support a much needed water sanitation project in Uganda.
TWA | Apr May 2012
13
HOT SEAT
CP MINNAAR & SEUN
L
earning from our successes and failures, and those of others, is crucial to building a sustainable future. The practice of supply chain management (SCM) was originally developed by the Roman legions of old. They used a flexible system consisting of supplies, storage depots and magazines stocked with supplies and arms as well as superb road systems, mobile repair shops, service corporations of engineers and armourers, and extensive coordination and planning. This resulted in an efficient, fast, and formidable army that won many battles and conquered much of Europe and Asia, and held it for hundreds of years. Unfortunately for the Romans their vast empire eventually declined, not
because it lost control due to poor logistics, but because of a failure in leadership, including succession planning and development, moral decay and authoritarianism.
Understanding SCM But what is supply chain management? It is all the interlinked resources (people and equipment) and activities needed to manage supply and demand, sourcing of raw materials, manufacturing processes, distribution processes and delivery of goods (on time and at an agreed price) to delighted customers. All goods within the supply chain have to be delivered to factories, distributors and customers. The choice of the transport mode (road,
Not just a cog in the wheel If transporters p can understand the importance p of their role in the supply pp y chain, they will deliver a superior service, and in the process build a sustainable business. CP Minnaar & Seun is one such company.
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TW TWA WA | Ap Apr p Ma May 2012 May 20 12 20 2
HOT SEAT
rail, sea or air) affects other areas of the supply chain management, such as warehousing, production, packaging, planning, location (of suppliers, manufacturing and customers), inventory control and information management. Factors such as transit time, reliability, accessibility, security, impact on inventory, product degradation or obsolescence and/or traceability are important, as are other factors. Once the carrier is selected, computer models should be used to optimise routing – to minimise time and cost. As such, the overall effectiveness of the transport function is a significant means of reducing costs, improving profitability and business sustainability. Where the transport function is outsourced to a transport company, this company must understand its role in the supply chain and the significance of its contribution to the sustainability of its customer as well as itself.
Philosophy It is within this context that CP Minnaar sees itself – as a speciality transporter committed to providing reliable, timebound road freight transport services in southern Africa, including Zimbabwe, Zambia, Mozambique, Swaziland, Lesotho and Botswana. Based in Letsitele in Tzaneen, with a fleet of modern, well-maintained Mercedes Benz trucks equipped with flat deck and taut liner trailers in super link configurations with capacities of up to 35 t, CP Minnaar is perfectly suited to moving break-bulk and container cargo anytime, anywhere. The company’s company s philosophy, philos driven by its core values, is that every customer is important and deserves the highest quality of service. The company regards r its customers as its greatest asset and recognises that its future depends on the success of its customers. To this end, it nurtures a proactive, friendly environment ronm based on honesty, integrity and an trust, and provides expert knowledge e and practical solutions when and where required. In a nutshell, this equates to excellence on the move.
Human resources Drivers are well-trained and fully qualified as heavy-duty truck drivers and have no less than 10 years experience on the job. They understand the importance of their individual roles in the custtomer’s supply chain based on a purposeful understanding of cusp ttomer needs and expectations, and meeting or exceeding those needs. m Drivers are not just drivers but asset D managers entrusted with assets m
worth, at times, millions of rands. Supported by a 200-strong multiskilled team, the company provides a coordinated transport service built on a reputation of an innovative, reliable and cost-effective transporter. Staff members take ownership of their responsibilities and are committed employees and members of a professional team. The management is proud of its staff because of their, loyalty and commitment – having been with the company for many years – and providing a first-rate service with minimum oversight. The directors of the company are CP Minnaar, HS Minnaar and JA Kemp, who is also the managing director.
Health and safety As the demands on a driver are significant, their well-being and safety is paramount. The company focuses on its drivers to ensure that they are well cared for and have full access to medical services and advice.
“Our drivers understand the importance of their individual roles in the customer’s supply chain” Cobie Kemp, MD, CP Minnaar & Seun
CORE VALUES • excellence in all aspects of business • honesty and Integrity • a reputation as leaders in transport and freight industry • detailed attention to consistency and reliability • a reputation of service from customers • innovation and safety.
Vehicle maintenance CP Minnaar’s vehicles and trailers are OUR FLEET maintained internally by an accredTRACTORS (HORSES) ited Mercedes Benz workshop with • 35 x Mercedes Benz Actros V8 qualified Mercedes Benz mechanics • 5 x Freightliner 530HP on site. Some work is contracted out • 7 x 8 tonner rigid Mercedes Benz • TRAILERS to external service providers depend• 20 x Superlink tautliner ing on the nature of maintenance • 25 x Superlink flat deck required, issues of warranty and work • 5 x Tri-axle flat deck load. But mostly all work is carried • 4 x 8 tonners with 5 t trailers out by well-trained and dedicated workshop staff who have an average of 15 years of fleet maintenance and servicing experience. Under the leadership of a diligent workshop manager, the company’s workshop foreman, mechanics, store man and tyre fitters carry out pre-determined maintenance plans according to Moriginal equipment manufacturers’ servicing guidelines. Over and above this, a preventive maintenance approach is followed at all times to minimise service disruptions.
Insurance cover As a standard, the company carries ‘Goods in Transit’ insurance cover to the value of R850 000 per load, with an optional cover increase as per value of cargo to be delivered.
CONTACT DETAILS t +27 (0)15 386 8400 or contact Cobie Kemp on +27 (0)82 370 1332 or cobie.kemp@minnaar.co.za
TWA | Apr May 2012
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OIL & GAS
FUTURE UNCERTAIN natural gas is in just three countries and more than 80% of global oil reserves are in 10 countries, most of which are located well away from the hubs of energy consumption.
MEETING THE CHALLENGE Energy efficiency
Photo Gaurav Sharma
Saving energy through greater efficiency addresses several issues at once. It helps with affordability, because less energy is needed; it helps with security, because it reduces dependence on imports; and it helps with sustainability, because it reduces emissions. In transport especially, we believe that efficient combustion engines and power train technologies, including hybridisation, combined with use of biofuels, could offer the quickest and most effective pathway to a secure, lower-carbon future, at least in the short to mid term.
The energy challenge
A diverse mix
With energy demand projected to keep rising, the global energy challenge is set to become increasingly complex. By BP p.l.c.
BELOW BP CEO Bob Dudley
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Oil and gas
Oil and gas are still expected to play a significant part in meeting this demand and we project they will represent 53% of total energy consumption in 2030 (compared to 57% in 2010). Even under the International Energy nergy demand is linked to populaAgency’s most challenging climate policy scetion and economic growth. The nario that might with difficulty still be achievable world’s population is projected to (the 450 ppm scenario), oil and gas still make increase by 1.4 billion over the next up 49% of the energy mix in 2030. Moreover, we 20 years, while its real income is likely to grow believe the political, technological, logistical, by 100% over the same period. This combinainfrastructure and cost challenges presented increase in world tion of factors is expected to increase world by the 450 ppm scenario make it increasprimary energy consumption primary energy consumption by as much as ingly unlikely to occur, meaning that demand projected over the 40% over the next 20 years with non-OECD for fossil fuels would remain at a higher level for next 20 years (Organisation for Economic Co-operation and longer. We think it likely that fossil fuels will still Development) energy consumption as much as 70% higher account for 80% of the world’s energy in 2030. by 2030. Energy and climate policies, efficiency gains and Gas in particular is likely to play an increasingly strategic a long-term structural shift in fast-growing role. It is a lower-carbon fuel that is increasingly secure and economies away from industry towards affordable. Used in place of coal for power, it could reduce less energy-intensive activities may act to CO2 emissions by half. We also believe that oil will remain restrain consumption and result in lower the dominant source for transport fuels, accounting for as growth, but the overall trend is likely to be much as 87% of demand in 2030. one of strong growth in energy demand. Over time the available hydrocarbon resources will While energy is available to meet growbecome increasingly difficult to reach, extract and manage, ing demand, action is required to limit the requiring BP and others in the industry to move into more volumes of carbon dioxide (CO2) and other technically challenging areas. Greater energy intensity greenhouse gases being emitted through could be required to extract these resources, operating energy use. Plus, there is air quality and costs and greenhouse gas emissions from operations are other local concerns associated with the likely to increase. On the other hand, advances in technolcombustion of hydrocarbons. ogy will lead to more efficient ways to transform base hydroEnergy security represents a challenge in carbons, including natural gas and coal, into usable forms its own right. More than half of the world’s of energy, petrochemicals and lubricants.
E ABOVE BP’s Andrew oilrig in the North Sea
It is believed the global energy challenge can only be met through a diverse mix of fuels and technologies. A broad mix can help to provide enhanced national and global energy security while supporting the transition to a lowercarbon economy. This is why BP’s portfolio includes oil sands, shale gas, deep water production and alternative energies such as biofuels and wind.
TWA | Apr May 2012
40%
COMMERCIAL VEHICLES
TOYOTA HILUX
T
wo South African adventurers, Braam Malherbe and Peter van Kets, recently participated in the Antarctica commemorative South Pole race to celebrate the centenary of the epic race between Roald Amundsen and Robert Falcon Scott to reach the South Pole first, and to raise funds for Operation Smile South Africa. On reaching the South Pole, Malherbe, a conservationist and environmental activist, and Van Kets, the only African to have rowed an ocean solo and unsupported, the two intrepid adventurers struck 1 000 coins from the SA Mint on an antique press at the South Pole. This was another world first for South Africa, as no coins have ever been minted in Antarctica. The unique medallions feature Antarctica on the reverse and promote the fight against climate change. They also pay tribute to the history of scientific explorers and the adventurers who crossed the ice-laden paths of this unforgiving continent to reach the South Pole 100 years ago. During their journey, the two South Africans (Team Mission Possible) were logistically supported by a Toyota Hilux built in the Toyota South Africa Motors plant in Prospecton, Durban, before being converted by the Icelandic company Arctic Trucks (AT). The converted AT38 Hilux, now an AT44, was donated to the South African Antarctic base, SANAE.
Leading up to the race the South Africans trained in Iceland and the glaciers of the French Alps to prepare them for their challenge. Their endeavours, as well as those of the other competitors in the South Pole Race 2011/Centenary Race 2012, will be documented in a TV documentary series by the acclaimed South African TV production company, Urban Brew, called Cold Sweat. The programme will be aired on SABC3 in April this year. The epic race, organised by Extreme World Races (EWR), had 16 competitors from seven nations competing as seven teams, racing on foot and with sleds to be the first to the pole. The race kicked off on New Year’s Day, 75 km from the frozen coastline at Novo base. The competitors covered 770 km, negotiated multiple crevasses, crossed snow bridges, and climbed to 3 000 m on the high plateau in their quest to reach the South Pole. The other six teams, from Britain, Norway, Ireland, the Netherlands and Germany, were also supported by Hilux AT44 vehicles, of which no less than five (including two 6x6 Hilux AT44’s), were built in South Africa.
ABOVE The four-wheeler 4x4 Hilux vehicles ready to race BELOW Loading the six-wheeler 4x4 Hilux vehicles
Adventurers Braam Malherbe (left) and Peter van Kets (right) took part in a unique and challenging race in the Antarctic, which demanded an equally unique vehicle.
TWA | Apr May 2012
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COMMERCIAL VEHICLES
UD TRUCKS
New generation Quon UD Trucks Southern Africa has launched the new generation of its Quon extraheavy commercial vehicle range (EHCV).
BOTTOM The new generation Quon models
he Quon range, consisting of 14 model derivatives intended for South Africa, will be introduced to the local market from March to August 2012. The all new Quon trucks sold from March 2012 will also be accompanied by UD Trucks’ new Managed Maintenance initiative – an industry first in South Africa. Through Managed Maintenance, UD Trucks provides the company’s complete management and overseeing of all repairs and service costs on behalf of its customers. Johan Richards, UD Trucks Southern Africa’s CEO, explains that in 2011, the local EHCV segment grew by 35.41% yearon-year to 11 503 units, with UD Trucks securing a 9.4% market share. The company anticipates this section of the market to reach a total of 12 932 units in 2012 – a forecasted growth of 10.96%. UD Trucks has increased the number of Quon variants to cover more sub-segments within the EHCV market to meet market and customer demands.
Model GW26 410 TT CW26 370 DT CW26 370 FC All 6x4 models All 4x2 models All models
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TWA | Apr May 2012
The new UD Trucks Quon range of extra-heavy vehicles offers a variety of manual and automatic transmission options that will suit customers’ unique business requirements.
Engine
T BELOW The driver’s cab with the wellappointed dashboard
Model line-up
All the models in the range have been fitted with the GH13 series, which was developed by UD Trucks using Group engine technology. The UD Trucks GH13 engine is a 13 ℓ in-line 6-cylinder turbo-intercooled engine. This is a EURO3 engine that offers a more environmentally friendly option as it decreases an operators’ carbon footprint. According to Richards, the new engine is a more efficient unit and as there is only one engine range in the series, fewer parts are required for stockholding purposes, resulting in more cost savings for customers. The engine series features a newly developed unit injector that increases the maximum fuel injection pressure to improve overall combustion efficiency and also achieves low emission and weight reduction efficiency that lead to improved fuel economy. The Quon range also boasts a new Extra Engine Brake or EEB, which offers 1 470 Nm of braking torque at 2 300 rpm (redline is at 2 100 rpm). The EEB design specifically utilises the exhaust and the compression strokes of the engine to slow the vehicle down and offers safer control on descents and slippery roads. This means operators will have a longer brake life on their vehicles and reduce driver fatigue specifically on long-hauls. Both the 14-speed manual and ESCOT V transmissions (with the exception of the GK17 410 AS TT) utilises a Voith retarder, which has a braking torque of 3 250 Nm. Engine oil is filtrated by a two-piece full-flow long filters and a one-piece bypass long filter, which extends the service intervals of the vehicles to 30 000 km for long-haul and 20 000 km for medium-haul applications. The GH13 engine uses a closed circuit ventilation ve system for crankcase ventilation and not an external extern breather as with the previous generation Quon’s GE13 en engine. The heavy duty design turbocharger has specifically been designed and developed to be more durable. Benefit Higher capacity air compressors Increased D/T to 56 000kg ensure quicker charge rates; 1-cylIncreased GVM to 30 000kg inder 530 ℓ/min for the CW26 370 Increased D/T to 45 000kg tipper and freight carrier models, and Improved ‘V’ rating of 25 700 kg (was 25 500 kg) 2-cylinder 900 ℓ/min for all the other Improved ‘V’ rating of 16 700 kg (was 16 500 kg) models. Another innovative feature New legal 7 700 kg front axle rating (was 7 500 kg) is the remote activated draining of the engine’s fuel filter water trap. The driver will be alerted by the multi-function display on the vehicle’s dash that the water trap needs to be emptied, which the driver can subsequently
COMMERCIAL VEHICLES do by simply pressing a button conveniently mounted on the dash.
Transmissions One of the strength of the new Quon range undoubtedly lies with the transmission. A selection of manual and automatic transmissions has been employed across the range to suit various applications. There are three manual transmissions: the MTS75D 7-speed, the MPR90A 9-speed and the VTO2514B 14-speed. The automatic gearboxes were specifically developed to improve safety, overall economy and to offer the operators easy driving capabilities. The ATO2612 group new automated manual transmission, offers 2-pedal or clutch-less operation through the innovative 12-speed ESCOT V gearshift mechanism. The ESCOT V transmission technology offers both power and economy in a wide variety of driving scenarios by increasing driving performance at low speeds at time of start and reducing engine speeds in high gear at cruising speeds. These automatic derivatives have innovative features like ‘Easy Hill Start’, sequential shift, airshift navigation, as well as an energy management feature that improves fuel economy in the top gear. Eco roll mode, for instance, engages the neutral position in order not to travel against engine compressions. All options are conveniently shown on a multi-functional display inside the cabin from which drivers can then select the appropriate mode. The ESCOT V automated transmissions also feature pressurised lubrication via the oil pump, ultra smooth clutch and launch control, auto-neutral engagement when the park brake is applied or if a gear is selected while the ignition is turned off. ESCOT has been specifically designed for lower maintenance as well as greater fuel efficiency. Improved overall economy is also achieved in the process, as the Quon models with automatic transmissions are only scheduled for their first oil change at 390 000 km, with oil change intervals set at every 390 000 km thereafter.
Chassis & suspension Improvements made on the chassis packaging include a lighter catwalk and a lower 5th wheel height on all 6x4 trucktractors with mechanical suspension. A special off-road chassis packaging has also been introduced on all models with the exception of the CW26 490 freight carrier, to suit Model Code
Model Description
Transmission
E01 E02
Gk17 370 - Tt Gk17 410 - Tt As Hr
Manual 9-speed Amt
E03 T28
Cw26 370 - Dt Ud330wm
Manual 7-speed Manual 7-speed
T27 E04 E05 E06
Ud330wf Cw26 -370 - Fc Cw26 490 - Fc Cw26 490 - Fc
Manual 7-speed Manual 7-speed Amt Manual 14-speed
E08 E09 E10 E11 E12 E13 E14
Gw26 410 - Tt Gw26 410 - Tt Hr Gw26 490 - Tt Gw26 490 - Tt Gw26 490 - Tt Hr Gw26 490 - Tt Hr Gw26 490 - Tt As Hr
Amt Amt Manual 14-speed Amt Manual 14-speed Amt Amt
off-road operating conditions. This includes uprated front axle ratings, heavy-duty front suspension and stabiliser, radiator protection, as well as a higher repositioned exhaust silencer and fuel tanks. Air suspension is provided by four bags with height adjustment on the GK models, so as a result 12R22.5 tyres are fitted on the rear axle. Two bags per axle are fitted on the GK models without height adjustment. The GK’s front tyres, as well as the balance of the model range are all fitted with 315/80R22.5 tyres. Fuel tank capacities range from 800-litres on the 6x4 truck-tractors, to 300 ℓ on the CW26 370 tipper and freight carrier models, while all other models feature 400 ℓ fuel tanks.
ABOVE The Quon’s hogher capacity air compressor BELOW The intelligent ESCOT V transmission
Cab/interior Numerous enhancements have also been made to the Quon range’s cab to increase the driver’s safety, comfort and convenience. This includes the user-friendly and convenient multi-functional display, intermittent wipers, as well as cruise control and keyless entry on the flagship GW26 490 TT model. A three-piece steel front bumper incorporating an air dam is featured on all air-suspension models, to enhance aerodynamics and stability by blocking the flow of turbulent air under the chassis.
Mass Ratings With the launch of the new generation Quon range, UD Trucks Southern Africa has improved the mass ratings of its extra-heavy vehicles.
Gvm / Gcm 4X2 Truck Tractor 17 200/41 000 17 200/45000 Construction 30 000/36 000 26 000/36 000 Freight Carrier 26 000/36 000 26 000/45 000 26 000/65 000 26 000/65 000 6X4 Truck Tractor 26 000/56 000 26 000/56 000 26 000/ 65 000 26 000/65 000 26 000/65 000 26 000/65 000 26 000/65 000
TABLE 2 Model applications
Config.
Application
4X2 Tt 4X2 Tt
3-Axle semi trailer (local distr) 3-Axle semi trailer (long haul)
6X4 Dump 6X4 Mixer
10.0 m³ Rigid tipper 6.0 m³ Cement mixer
6X4 Fc 6X4 Fc 6X4 Fc 6X4 Fc
Solo freight carrier Solo or 2-axle drawbar 3&4-axle drawbar 3&4-axle drawbar (severe off-road)
6X4 Tt 6X4 Tt 6X4 Tt 6X4 Tt 6X4 Tt 6X4 Tt 6X4 Tt
3-Axle semi trailer/Limited link application 3-Axle semi trailer/Limited link application Link application (severe off-road) Link application – On/Off Road Link application – Long distance Link application – Long distance Link application – Long distance
TWA | Apr May 2012
19
COMMERCIAL VEHICLES
VOLKSWAGEN
Built for commercial success Designed with first world characteristics, developed to operate in third world conditions.
I
ncorporating 21st century technology, the new Volkswagen Constellation truck range is set to operate and succeed in the harshest conditions and is now available in South Africa. Developed in Germany and conditioned in Brazil, the Constellation trucks possess a unique combination of supreme quality and refinement coupled to class leading ruggedness. Volkswagen of South Africa, in partnership with Volkswagen of Brazil Truck and Bus, entered into the heavy commercial market with ongoing testing and development taking place in South Africa to adequately prepare the vehicles for the harsh operating conditions in South Africa. Volkswagen’s new range of rigid trucks and truck tractors are built to make business and life as convenient as possible. Each model can be adapted to suit unique business requirements. The Constellation 13.180 and 15.180 Rigid Trucks are tough, agile, and economical. Both trucks provide 132 kW of power at 2 200 rpm and 600 Nm of torque. These trucks offer excellent driver response, low fuel consumption and simple maintenance. They both come with five-speed manual transmission and are ideal for city, inter-city delivery, distribution of general/specialised products and services. The 13/15.180 trucks are available in an extended day cab with easy access to specific items for daily inspections. The Constellation 17.250 Rigid truck is equipped with advanced technological features and is specified for medium- to longdistance city and highway hauls. The truck provides 184 kW of power at 2 500 rpm, 950 Nm of torque and a six-speed manual transmission. The 17.250 is available in an extended day cab or a sleeper cab with easy access to specific items for daily inspections. The Constellation 24.250 Rigid truck is aimed at mediumand long-distance operations. With 184 kW of power at 2 500 rpm and a six-speed manual transmission this truck comes with state-of-the-art safety, performance and comfort features. The 24.250 is available in an extended day cab or a sleeper cab with easy access to specific items for daily inspections. The Constellation Titan Tractor 19.320’s smooth power-train results in a vehicle capable of hauling containers of up to 30 pallets and/or 35 t of combined total gross mass. The Titan provides 235 kW of power at 2 000 rpm, 16-speed manual transmissions with hydraulic servo-assisted shifting mechanisms, covers all variations of distribution, and medium- to long-haul highway and off-road cargo transport. The 19.320 is available in an extended day cab or a sleeper cab with easy access to specific items for daily inspections.
Driveability The Constellation’s up-to-date electronic MWM-VW and Cummins Diesel engines are the main reason for the excellent performance which leads to low overall operational and
maintenance costs. The Robust Eaton and ZF transmissions ensure smooth and efficient operation. With its latest brake technology, braking reliability is guaranteed and the Constellations are ideal for city and inter-city delivery and distribution of general/specialised products and services. The suspension is structured with springs, cushions and hydraulic shock absorbers to smooth out even the bumpiest road, with additional comfort-cab suspension set-up on certain models. The Constellation also features extremely smooth braking, servo assisted gear-shifting (for selected models) and class leading interior noise reduction. The Constellation powertains comply with Euro III emissions levels and can be updated in future to comply with upcoming gas emission rules. The truck comes with an on-board computer that displays (among other info) the date and time, average or real-time fuel consumption, average speed, the journey’s total time and the distance covered.
The impresssive new VW Constellation
Maintenance The front grille design makes for easy operation of daily checking and cleaning tasks, and has hinges that allow for a person to grab hold and lean on them while cleaning the windshield. Inspection items are also conveniently positioned at the front of the engine, behind the grille to allow daily inspections to be carried out without having to tilt the cab. Easy to clean and repair plastic materials have been used in the bumpers, fenders and mudguards. The Constellation comes standard with a one-year/unlimited kilometre plus a second year or 300 000 km on the drive train warranty. The cab structure is guaranteed for a full six years against perforation/corrosion. A wide range of maintenance plans are also available to suit the customer’s specific needs and these are available from its Commercial Vehicle dealer network.
TWA | Apr May 2012
21
T00661
Are you and your logistics partner on the same page? Safety. Service levels. Carbon footprint. Transformation. Profitability. You’re under increasing pressure from all directions. Outsourcing your transportation at the lowest cost/km might increase your margins, but you ought to be partnering with a logistics service provider who can deliver value beyond lower costs. Reliability, service and quality excellence. High levels of health, safety and empowerment. Low environmental impact... This is how we do transportation.
Call us. We go the extra mile.
Innovative supply chain solutions t +27 11 485 8700 marketing@cargocarriers.co.za www.cargocarriers.co.za
HAZARDOUS MATERIALS
CHEMICAL TRANSPORT
High-energy fuel to Botswana In Africa, transporting across the border has its challenges. But when transporting chemicals for a bulk mining explosives supply company, the challenges are even greater.
J
SE-listed logistics solutions provider, Cargo Carriers, is now delivering high-energy fuel to Basetho mine in Maun, Botswana, for Bulk Mining Explosives (BME). This three-year contract presents a great opportunity for Cargo Carriers to expand in Botswana as the company predicts promising growth in the next two years. A division of the Omnia Group, BME is a leading supplier of explosives for opencast mining and the quarrying industry, and has previously worked with Cargo Carriers in running product from Sasolburg to Namibia. The high-energy fuel, which provides greater energy on combustion than that of conventional fuels because of its hydro-boron additive, sees Cargo Carriers overcoming new obstacles. Much preparation was required in order for this contract to get under way, from dealing with the technical aspect of delivery to the legislative differences between South Africa and Botswana. The two countries define high-energy fuel differently. Transporting the fuel between the two countries requires the vehicles to be fully compliant with both countries’ sets of legislation. The vehicles will be equipped with specifically designed 23 000 ℓ mild steel tankers that accommodate highenergy fuel according to both sets of legislation. The vehicles will also be fitted with a unique pumping system
(a requirement of the Botswana Explosives Act) in order to lawfully offload the product at the mine. In transporting the high-energy fuel to the Basetho mine, Cargo Carriers will be making a round trip of over 2 300 km. When it comes to transporting hazardous chemicals over such a great distance, safety becomes a top priority. Cargo Carriers is well-known in the industry for placing a great emphasis on safety, health, environment and quality (SHEQ). “We took the decision to raise our SHEQ standards over 10 years ago,” says Andre van Vuuren, marketing director at Cargo Carriers. “It’s no exaggeration our ability to compete in the fuel industry not only depends on the competitive rates and high service levels, but also on operating at the absolute highest levels of SHEQ we can achieve.” Cargo Carriers constantly looks to expand its horizons, especially in Southern Africa. This new contract with BME is an ideal opportunity for the logistics company to establish a firm foothold in Botswana. “Over the years we have established ourselves as experts in cross-border supply chain solutions in subSaharan Africa,” says Van Vuuren. “We are well prepared to expand our customers operations across Southern Africa, no matter what the obstacle.”
MOBILE HAZARD A specially designed tanker for the transport of high-energy fuel
Acknowledgement: This article, edited by Tony Stone, was supplied by Cargo Carriers
TWA | Apr May 2012
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TRANSPORT ENGINEERING
TRANSPORT INFRASTRUCTURE PROJECTS An abridged version of the Minister of Transport Sibusiso Ndebele’s (pictured left) infrastructure development cluster briefing held in February.
Mapping the way forward
T
he Presidential Infrastructure Coordination Commission (PICC) is to oversee the implementation of transport and logistics projects to the tune of R262 billion over the next three years.
Public transport
TABLE 1 creating job opportunities through the following projects
As part of South Africa’s public transport strategy (PTS), South Africa is moving towards a high-quality integrated mass rapid transport network, which includes rail, taxi and bus services. People need public transport that is safe, reliable and comfortable to travel to work, school or anywhere else they need to go. The Department of Transport (DOT) is achieving this through an integrated rapid public transport network in cities. The taxi recapitalisation programme
KwaZulu-Natal • Nongoma – Dabhazi – Hlambanyathi -– Hlabisa corridor at R270 million • Eshowe – Ntumeni – Kranskop – Vryheid corridor at R2 billion These anchor projects will support the tale of four cities, which is about connecting Ulundi, Richards Bay, Pietermaritzburg and Durban.
Mpumalanga • maintenance of the R33 road between Stoffberg and Belfast (42 km) at a cost of R24 million • an upgrade 40 km road project from White River to Ntsikazi at a cost of R16 million.
Limpopo • household routine maintenance engaging 27 contractors for R237 million and attending to 8 100 km • fixing access roads at a cost of R60 million • pothole patching project on 220 km of roads at a cost of R174 million.
Gauteng • reseal on N14 from Krugersdorp to Klieveskraal at a cost of R55.8 million • reseal of Ben Schoeman – Pretoria to the N1 for R10 million • upgrade on P126 (M1) on 8.54 km for R11 million.
Northern Cape • household Road Maintenance – Bathloaros to Maphinik 26 km for R7 million • road Maintenance: Victoria West Calvinia 387 km for R18 million • re-seal of Douglas-Kimberley 18 km for R22 million.
Western Cape • Overberg regravelling at R43 million • Malmisbury to Hopefield reseal for R51 million • De Rust to N9 reseal for R54 million.
together with trains and buses form part of the mass mover concept of transporting people to various destinations of choice. In 2011, 44 184 old taxi vehicles were scrapped, with over R2.2 billion paid out as scrapping allowances.
Roads infrastructure projects Through the S’hamba Sonke Roads Programme launched in April last year, government makes a clear commitment for a targeted capital investment programme on the roads infrastructure, particularly in the rural areas. During the 2011/2012 financial year, the S’hamba Sonke Programme created 68 000 full-time employment opportunities through the following projects shown in Table 1. Together with the DOT and provinces, SANRAL will strengthen all related jobcreation programmes through the over-arching principles of S’hamba Sonke.
Rail Network projects A feasibility study which covered engineering, economic, legal and financial analysis for the procurement, financing, operating and maintenance of new rolling stock was completed during 2011. The study found that the project for the acquisition of new rolling stock was economically viable. The acquisition of the coaches will be divided into two 10-year batches, with approximately 3 600 vehicles included in each batch. The cost will be approximately R5.2 billion per annum (2011 rands), with the first payments to be made during the 2014/15 financial year. Furthermore, infrastructure interventions amounting to R13.5 billion will be made on the existing networks to optimise the technological benefits of the new coaches. The establishment of local manufacturing industries will result in substantial sustainable jobs over the 20-year procurement period, and the redevelopment of rail engineering capacity and skills that have been lost over decades of under-investment in the local rail engineering industry. The feasibility study on rail projects estimates that, over the 20-year duration of the project, approximately 65 000 direct, indirect and induced jobs will be created.
Movement of goods and economic integration The DOT is working on an efficient movement of goods and economic integration through a Durban-Free State-Gauteng logistics and industrial corridor. This project is intended to connect the major economic centres of Gauteng and Durban, and at the same time connect these centres with improved export and capacity through the sea-ports. The Port of Durban, the Durban-Gauteng Corridor, Logistics Hubs and Terminals are project development components aimed at speeding up the transportation of goods. The state is also looking at the necessity of reducing port charges, as part of reducing the costs of doing business as this was raised sharply by the automotive sector in Port Elizabeth and Uitenhage during the performance monitoring visit to the sector last year. There is going to be expansion of rail transport in Mpumalanga, connecting coalfields to power stations. This will enhance a shift from road to rail in the transportation of coal, which has caused a deterioration of roads in Mpumalanga.
Eastern Cape • household Contractor programme approximately R200 million over three years • emerging contractor and consultant development for R500 million over three years.
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TWA | Apr May 2012
Acknowledgement: This article, edited by Tony Stone, was supplied by the Department of Transport
TRANSPORT ENGINEERING
BRIDGE BUILDING
Rebuilding war-torn Angola
T
he new Cunene Bridge is currently the longest bridge in Angola, and lies on the major arterial road linking the main cities of Lubango and Ondjiva in south-western Angola. It replaces a host of temporary structures used to span the Cunene River after the original permanent structure was destroyed early in the Angolan conflict. Aurecon provided the design and preparation of bid documents, as well as site supervision, in joint venture, for the new bridge. The bridge is 900 m long, with additional approaches and drainage structures spanning the Cunene River. Aurecon’s
expert project planning resulted in the successful delivery of the bridge despite the project presenting a number of logistical and natural challenges. These included the presence of landmines, floods, the width of the river, shortage of skilled labour, difficulty acquiring building materials due to the distance from commercial centres, lack of good aggregates, long supply lead times, challenging importation procedures and border delays. The new bridge stands proud in the mighty Cunene River, both serving its commercial purpose and functioning as a source of pride and achievement for Angolan nationals in the region.
The new and the old Cunene Bridge
TWA | Apr May 2012
25
0RYLQJ WKH ZRUOG
Aurecon provides engineering, management and specialist technical services for government and private sector clients globally. The group has been involved in SURMHFWV WKDW VSDQ PXOWLSOH PDUNHWV DFURVV $IULFD $VLD 3DFLoF DQG WKH 0LGGOH (DVW We work collaboratively with our clients throughout the entire asset life cycle, from pre-feasibility and business case preparation through to the operation and maintenance phases. 2XU WUDQVSRUW H[SHUWLVH LQFOXGHV HQJLQHHULQJ oQDQFLDO PRGHOOLQJ DQG OHJDO V\VWHPV to support excellence in the planning, design, construction, management and delivery of transportation systems, including roads and highways, rail, tunnels, bridges and structures, airports and ports. For more information contact us at tel: +27 12 427 2000 or email: transport@aurecongroup.com
Expertise: Airports Freight, logistics & infrastructure Rural transport Urban transport
HPE AFRICA and JET DEMOLITION working together
Nellmapius bridge demolition Working together to achieve specialised results. HPE Africa has a proud reputation in supplying world-leading earth moving equipment and uncompromised service to its partners. ,4) %JVMGE´W VERKI SJ ,]YRHEM IUYMTQIRX TVSZIH XS FI LMKLP] IJ½ GMIRX ERH VIPMEFPI [LIR .IX (IQSPMXMSR [EW XEWOIH [MXL the demolition of the Nellmapius Bridge spanning the N1 freeway to allow limited capacity for the expansion of the freeway. 8LI YWI SJ ,4)´W ,]YRHEM IUYMTQIRX IRWYVIH XLEX XLI .IX (IQSPMXMSR XIEQ [EW EFPI XS GSQTPIXI XLMW GLEPPIRKMRK TVSNIGX successfully and ahead of schedule.
HPE Africa & Jet Demolition, together we can move the world. 24/7 Parts: +27 76 815 1085 24/7 Services/Workshop: +27 82 077 0793 ,IEH 3J½ GI .,& 8IP 4EXVMGO 6SEH .IX 4EVO &SOWFYVK (YVFER &VERGL 8IP 3XXS :SPIO 6SEH 2I[ +IVQER] .IX (IQSPMXMSR 4X] 0XH 8IP 'PYF ,SYWI 7X 1EVEMWFYVK .SLERRIWFYVK
info@jetdemolition.co.za www.jetdemolition.co.za
)EWX 0SRHSR &VERGL 8IP 9RMX )ZIVKVIIR 4EVO 3GIER[E] 3PH +SRYFMI 6SEH 'ETI 8S[R &VERGL 8IP 9RMX 2SYVWI %ZIRYI )TTMRKW
Sharecall: 086 022 7309 customerservice@hpeafrica.co.za www.hpeafrica.co.za
TRANSPORT ENGINEERING
BRIDGE DEMOLITIONS
Making way for the new Demolishing a bridge needs careful planning and the right approach.
A
s Africa opens up to intraregional trade and socioeconomic development, infrastructure becomes a key issue. Largely neglected for some time, all major road, rail, harbour and airport infrastructures will need to be upgraded and modernised so that Africa can compete on an equal footing with the rest of the world. Efficiency and productivity is what it is all about. Some bridges were built in the 50s and designed for the known and foreseeable transport technologies at that time, and may not have been properly maintained, and they are unable to bear the 56 t loads of today’s modern interlinks and will need to be demolished and rebuilt. The challenge though is to keep traffic flowing while this is being done. South Africa, in upgrading its Gauteng freeway system, needed to demolish three bridges, one of which was the Nellmapius Bridge crossing the busy N1 near Pretoria.
The intricacy of the demolition process is determined by the size and complexity of each project. For the times when explosive demolition is not appropriate, mechanical methods are applied. Small-scale demolition projects involving low-rise structures can be carried out using ordinary methods, machinery and equipment. Larger structures and complex projects require more extensive planning as well as specialised procedures, equipment and machinery.
meter of flowing traffic. In order to reduce the risks involved and ensure minimal disruptions to traffic, the demolition work was undertaken late at night.” As a precaution, chip screens were erected in order to prevent debris from affecting traffic on the road. Brinkmann adds that a thick layer of milled tarmac was placed on the road to serve as an impact cushion, to ensure that the highway was not damaged by the broken concrete falling from the bridge, more than six metres above the road surface. He notes that the heavy-duty equipment used by Jet Demolition on-site and supplied by High Power Equipment (HPE) included two Hyundai HL770 wheel loaders, each with an operating weight of 23 t; three R360LC-7 excavators, each with an operating weight of 36 t; three R210LC-7 excavators, with an operating weight of 22 t each, and two R500LC-7 excavators, each with an operating weight of 50 t. The excavators were fitted with quick couplers, which enabled specialised attachments such as hammers, buckets, crushers, pulverisers and shears to be used for demolition purposes. “HPE Africa’s range of Hyundai equipment has once again proven to be highly efficient and reliable, which ensured that the Jet Demolition team was able to complete the challenging project successfully and ahead of schedule, within 11 hours over a two-night period,” he explains. Brinkmann identifies overall teamwork as the driving force behind the success of all three of the required bridge demolitions.
The Nellmapius Bridge demolition
Part of the team
Led by Joe Brinkmann Pr Eng, managing director of Jet Demolition, the Nellmapius Bridge project was approached with an enthusiastic, carefully planned and calculated determination to deliver the project within the tight time limitations and without any problems. As Brinkman explains: “The project was particularly challenging. The bridge had no on- and off-ramps for traffic to be diverted to and, as a result, the task of demolishing more than 2 000 t of concrete had to be undertaken within one
HPE Africa managing director Alan Grady points out that the relationship between Jet Demolition and HPE Africa goes back 17 years. As he explains: “Jet Demolition has always supported HPE Africa with their purchases, as the Hyundai equipment has been tried-and-tested in the harsh environments that the company operates in. The working relationship is a very strong one. Jet Demolition takes good care of the equipment, and this ensures that the machinery is trouble-free and reliable.”
Mechanical demolition
COLLATERAL DAMAGE The unfortunate but necessary demolition of the Nellmapius Bridge near Pretoria
TWA | Apr May 2012
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BEE
COMPLIANCE
Yes, you can have your BEE cake and eat it But simply checking scorecards doesn’t give you competitive advantage.
B
etween 10% and 20% of many organisations’ total costs can be attributed to logistics (inbound and outbound), 50% of which comes down to transportation. If you’re intent on improving your BEE procurement score, transportation is one of the first places you need to look. But when considering third-party service providers, you can’t base your evaluation on procurement points alone. You need to ask yourself whether your prospective partner can increase your service levels, lower your costs and grow with your business. And the time to
Improve your BEE procurement score by looking at your transport needs
FROM LEFT Dr Malesela Motlatla (chairman of Crossroads), Dr Anna Mokgokong (group executive chairperson) and Mr Joe Madungandaba (group CEO of Community Investment Holdings)
28
compromise between value and transformation is well and truly over. Transporters who can’t deliver at Level 4 as BBBEE Value-Adding suppliers shouldn’t even be up for consideration. If one really looks there are some real gems around. Crossroads, South Africa’s first logistics company to be certified with Level 3 BBBEE Value-Adding supplier status, has one of Southern Africa’s most impressive distribution networks. This is a major component of the company’s ability to offer flexible, cost-effective solutions, reducing lead times and increasing responsiveness. At the same time, Crossroads’ status guarantees its
TWA | Apr May 2012
customers procurement recognition of 137.5% of their total spend, enabling them to leapfrog their competitors in terms of BEE ratings. Crossroads’ supply chain engineers design, adapt and evolve bundled sets of high-quality but cost-effective solutions. The aim is to help clients leverage competitive advantage and have a positive impact on the bottom line and balance sheet.
Beyond BEE So what matters most when choosing a supply chain partner once the empowerment issue is out of the way? A modern-day logistics solutions provider must be able to offer you visibility, flexibility, agility and speed. The Supply Chain Intelligence report bears testimony to this growing realisation. Your partner must also have the innovative culture and the balance sheet to continually follow your needs, driving the kind of efficiency and effectiveness in your supply chain that makes you more competitive. “Our solutions dramatically improve operating costs,” says Crossroads CEO Gerhard van der Horst. “Write-offs of obsolete stock and inventory holding costs can be reduced. The overall cost of distribution can also be cut. Downtime is minimised. The depreciation costs of supply chain assets are eliminated and the capital associated with these assets is recovered to be deployed elsewhere.” Only a comprehensive audit – either performed internally or tasked to professional supply chain engineers – can truly determine where savings can be generated and efficiencies increased, and capital recovered. “And contrary to the fear that outsourced solutions come with a loss of control, we find that our visibility systems often place logistics managers in positions of greater visibility,” says Ken Light, head of the newly established Business development unit at Crossroads. “Our supply chain experts become a virtual extension of our clients’ team, seeking to continually optimise the supply chain.” While it’s clear that the fully optimised supply chain is increasingly a factor of competitive advantage, the business environment continues to change at pace. Strategically partnering with a logistics expert enables organisations to realise the full potential of supply chain value on an ongoing basis. The BEE points are just the cherry on the top. Anyone not getting their full allocation is missing the boat, and may well be missing out on supply chain advantage as well.
T00677
Supply chain value eluding you? Problem solved.
Economic cycles are increasingly unpredictable. Demand cycles are in a constant state of flux. The goal posts are continually shifting as pressure intensifies on supply chains around the world. This rapidly changing environment demands visibility and flexibility, agility and speed. Our solutions can help you create competitive advantage. As a specialist logistics services provider, Crossroads has the network, the experience and the capabilities to reduce your lead times, increase your reactivity and continually improve your supply chain.
For more info please call us on 0860 99 9940 or go to crossroads.co.za
Transportation Management | Broking | Dedicated Contract Carriage | Short Haul | Less-thanTruckload Distribution | Courier / Express Parcel | Shared & Dedicated Warehousing
CROSSROADS Agile Minds Flexible Solutions
BEE
SLICING THE CAKE
Flex your fleet
As the world enters a new period of economic instability, a flexible transport strategy will cut costs and increase fleet productivity.
W
ho would have thought that the United States would have its credit rating downgraded? Or that emerging markets would have the upper-hand in the world economy? The world faces what many economists say is a double-dip recession as major economic powerhouses struggle to find their feet. It would be unwise to assume South Africa, a prominent member of BRICS (Brazil, Russia, India, China and South Africa), will not be affected by the United States and European Union’s current economic decline. “In the long run, a weak currency will be bad for South Africa,” said head of Treasury’s Strategic Research at Nedbank Capital, Ian Cruikshanks (Mail & Guardian). “There may be a short-term benefit on things such as exports, but over time these will be eaten up by inflation.” Businesses are scrambling to turn fixed costs into variable costs, selling off non-core assets in an effort to ensure capital is available and spent on core activities. This is especially true in volatile markets. In many industries transportation is a large portion of the cost budget, more so as the price of fuel continues to rise. But many people overlook the amount of capital utilised by supply chain assets, and owning these assets in times of high volatility increases risk substantially. Businesses can no longer count on stable supply and demand patterns anymore with a possible double-dip recession on the horizon. It is increasingly important for them to have a transport solution that can adapt in size and location, and that eliminates risk and wastage. Cargo Carriers, one of South Africa’s larger logistics service providers, has recognised the changing economic climate and offers a more flexible solution. When demand is at a moderate-to-low level, a core fleet, which Cargo Carriers provides, handles transportation with little-to-none of the waste or risk that comes with fully
Many people overlook the amount of capital used by supply chain assets
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TWA | Apr May 2012
dedicated fleets in precarious times. But with the volatile downside comes periods of restocking and recovery, and it is important in these times for clients to deliver every last order – on time, every time. Cargo Carriers has one of South Africa’s largest and most reliable subcontractor fleet, trained to meet Cargo Carriers’ high standards. They ‘flex the fleet’, keeping the supply chain running smoothly, giving clients low risk and high levels of responsiveness. The steel industry is a good example of the validity of a flexible fleet used by Cargo Carriers. The subcontractors utilised in the flexible fleet are a number of smaller, black-owned logistics businesses, often comprising no more than one man and his truck – but they are businessmen and drivers of the highest order.
Setting subcontractor standards All subcontractors are rigorously inspected, trained and kitted with the tools and expertise to match the high standards set by Cargo Carriers. Vehicles are all given a 100-point check and are fitted with a Cargo Carriers’ trailer that matches the industry being serviced. With all this in place, there are over 40 subcontractors in reserve, trained and ready to take on the excess loads of Cargo Carriers’ clients. “Of course the subcontractors have other business,” says Andre Jansen van Vuuren, marketing director at Cargo Carriers. “But we try to ensure that we create strategic partnerships with the best ones, and look to give them repeat business. The ability to scale a fleet up and down is becoming a differentiator in a time where every cent counts.” He adds: “Our flexible fleet and experience are key to the success of our partner-clients in the steel supply chain as the industry undergoes restructuring and world supply cycles challenge our integrity.” Cargo Carriers, having capabilities in mining, sugar, powders, chemicals and other industries, will have the flexible solution many businesses need.
FREIGHT RAIL
RESTORING CONFIDENCE
The older class 33-400 Engine
Back to rail With the realisation that transport infrastructure is a critical necessity for economic growth, sub-Saharan Africa is awakening from its post-colonialist and posttotalitarian past, to a new dawn. Pictures by Col. Andre Kritzinger
T
he wheels of government do turn, albeit slowly in some instances. Nonetheless Africa’s leaders attending the African Union Summit in Kampala in 2010 observed that intra-Africa trade is being hampered by, among other things, infrastructure backlogs in various parts of the region, which raises the cost of doing business and stifles economic growth, and does nothing to eradicate poverty. This, extended to the inadequacies and inefficiencies of Africa’s road, rail and port systems, is a problem. The African National Congress (ANC), South Africa’s government of the day, stated in its March 2012 Policy discussion document that almost half of South Africa’s rail network is being neglected or has low levels of activity. The government has planned to spend R19.5 billion a year for the next four years to upgrade the rail network and ports. In all, R300 billion will be spent on Transnet, of which R200 billion will be spent on Transnet Freight Rail (TFR), including engines and rolling stock. Even so, there is so much that one can achieve with spending of this magnitude, which has forced TFR to take a pragmatic approach in planning its future strategy.
Added to the financial constraints and infrastructural issues, the critical shortage of skills is a significant challenge for the development of identified transport corridors. It is because of this that most government construction teams are focused on maintenance work rather than the rehabilitation of existing and the construction of new railway lines. Where rehabilitation and construction is happening, private companies are used. And while South African companies are active across the region, the construction space in the railway sector is dominated by the Chinese. South Africa’s Minister of Transport, Sibusiso Ndebele, opening the 2012 Freight Intra-Africa Conference, which was held at CSIR International Convention Centre in Pretoria at the end of March, pointed out that in
COO Mlamuli Buthelezi Thoughtful and pragmatic with a balanced decisiveness, Mlamuli Buthelezi, Transnet Freight Rail (TFR’s) chief operations officer, has the task of implementing TFR’s new business strategy. A mechanical engineer with a solid track record, this performance-oriented team leader is more than capable of achieving the objectives set before him. Proactive and focused on delivering a regular, predictable freight rail service, he is quite clear on what needs to be done and is the driving force behind TFR’s productivity improvements and service delivery performance gains. There is little doubt that TFR’s ‘back to rail’ strategy will succeed with Buthelezi as the driving force behind the company, which has an important role in reviving the economy.
TWA | Apr May 2012
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FREIGHT RAIL
the European Union, intraregional trade accounted for almost 80% of their international trade, with most of Mining giants Anglo American, BHP this trade truck-borne. But, in Africa, Billiton and Kumba have expressed intraregional trade accounts for a satisfaction at the improved rail mere 12%. Of this 95% is truck borne. transportation of products over the past 12 months by state operator, Transnet The consequent damage to road Freight Rail (TFR). For example, during a infrastructure, on some roads, is subone-week period in March TFR delivered stantial due to traffic loads being 2.2 million tonnes of ore to Saldanha, above design capacity. In South the highest delivery yet. Three years ago, Africa, Ermelo is but one example TFR could not attain a million tonnes in a week. Kumba Iron Ore has been where coal deliveries to an Eskom delighted with 39.1 million tonnes been power station have caused extenrailed to port during 2011, an increase sive damage to the town’s roads. of 7% over the year before. TFR recently This means that getting cargo back delivered to Richards Bay 1.65 million on rail is a critical necessity and a tonnes of coal during a single week. This translates to the potential movement of national priority. And, for Africa to 80 or more million tonnes per annum. unlock the economic value of intraregional trade, it must elevate its various transport modes’ infrastructure and infrastructural efficiencies to equal those of competing international markets. Siyabonga Gama, TFR’s CEO TOP The states that, as a business, the organisation must service CCL-8 Side B its customers differently by offering them a more reliable wagon used for and efficient service. transporting coal Predictability in rail freight is all important, especially BELOW The NAYto the production efficiencies of its customers’ custom9 Side A Type 1 wagon used to ers. To this end, TFR has been restructured, adopting a transport ore Transnet Freight Rail applauded
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TWA | Apr May 2012
market-driven business model. As such, major corridors and specific lines, as justified and requested by large companies, will be developed. Branch lines and other neglected and/or abandoned lines will be privatised (as discussed in this publication’s Feb/Mar 2012 issue). As to TFR’s previous organisational structure of three geographical centric operating regions, each with a general manager, these were problematic in that different types of goods crossed regional boundaries. This caused communication and management problems for customers and their supply chains as there was no single line of TFR management accountability. The solution to this problem was to create business units within TFR that would focus on specific goods categories. And, as was recently announced by Gama, TFR has now been reorganised into seven business units. These are:
Coal Coal, South Africa’s ‘black gold’, is a vital export commodity, generating billions in foreign exchange earnings. TFR’s coal business unit starts in Mpumalanga at 44 coalrich mines. The 580-km line descends from the Highveld through rural KwaZulu-Natal and terminates at Richards Bay. The double line is bi-directionally signalled and fully electrified. Two 100-wagon trains are coupled to form one 200-wagon train at Ermelo, typically using CCL-type wagons. These trains stretch 2.5 km and are loaded to 20 800 gross tonnes. Planned extensions to the Lephalale coal fields will take place as mines develop and come on stream. Fuzile Magwa, based in Ogies, is the general manager of this business unit.
Mineral mining and chrome South Africa is the world’s largest integrated ferrochrome producing country. Up to 80% of the world’s known chrome ore reserves are in Southern Africa. Chrome is second to gold in terms of foreign exchange earnings and the industry is supported by backward supply chain integration. This is achieved through joint ventures between ferrochrome producers and stainless steel producers abroad, which guarantee supply agreements. TFR is committed to serving the ferroalloy industry, conveying primarily ferrochrome as well as chrome ore for use mainly in the chemical industry for export. Bulk raw materials, such as metallurgical-grade chrome ore, are transported from the mines at the eastern and western chrome ore belts to the strategically located ferroalloy beneficiation plants at Rustenburg, Witbank, Middelburg, Lydenburg and Steelpoort. The processed product (ferrochrome) is railed from beneficiation plants to stockpile facilities at the Port of Richards Bay prior to export. Nozipho Mdawe, based in Nelspruit, is the general manager of this business unit.
FREIGHT RAIL Iron ore and manganese South Africa’s port operator, Transnet Port Terminals (TPT), has confirmed, in conjunction with TFR, that it will relocate the current export manganese facility from Port Elizabeth to a new two-berth facility at the Port of Ngqura (Coega) by 2015/16, which it says will also facilitate an expansion of South Africa’s manganese export capacity. The project is expected to increase manganese export volumes from the current 5.5 million tonnes a year to 12 million tonnes by 2016/17 and forms part of Transnet’s R300 billion investment programme for the coming seven years, with R33 billion set aside for the expansion and improvement of TPT’s bulk and container terminals. TFR also announced that it would direct all future manganese exports through the new R10-billion Port of Ngqura. Lloyd Tobias, based in Cape Town, is the general manager of this business unit.
Agriculture, bulk liquids and chemicals TFR is a major transporter of grain commodities in Southern Africa, including domestic, imported and exported grain commodities. Imports are channelled through the ports of Durban, Port Elizabeth, East London and Cape Town. Exports are channelled through Durban and the East London’s grain elevators. About 80% of South Africa’s grain transport is handled by rail, which are fixed schedule trains, along fixed corridors. In serving the chemical industry, TFR offers specialised logistical services and is a major player. Dedicated chemical freight trains run on a regular schedule, with the service determined by the cost-efficiency of the specific freight logistics solution. For example, bulk liquid trains run from Sasol in Secunda to the Port of Richards Bay five times a week and from Secunda to the Port of Durban twice a week. A butadiene gas train runs from the Port of Richards Bay to Newcastle once a week. A variety of wagons are used to transport chemical products, including open wagons, flat trucks and tankers that are highly specialised to transport hazardous and nonhazardous commodities. Ulrico Davids, based in Sentrarand, is the general manager of this business unit.
Container and automotive cargo In the container and automotive segment, primary customers are the original equipment manufacturers (OEMs) in the automotive industry, as well as the main vehicle distribution/ferry companies. Completely Knocked Down Parts are transported in containers and Completely Built Up units are transported in specialised car wagons. TFR’s logistics solutions are directed at eventually managing the entire supply chain, taking ownership of the vehicle from the production line to delivery at the dealership. The containerised freight market in South Africa is divided into three categories: • Import traffic: the management of containers that enter through a South African port with a domestic or over border destination. • Export traffic: the management of containers leaving South Africa through our ports.
• Domestic traffic: the management of containers transported within and over our borders. There are six major inland terminals and nineteen satellite depots that are strategically located to link with the ports in South Africa. Each terminal, with its satellites depots handle containers, cars and bulk traffic. These are: • Johannesburg’s City Deep (Eastcon, Kazcon) • Belcon (Saldanha, Ashton, Dalcon) • Deal Party (East London, George) • Pretcon (Phalaborwa, Witbank, Pietersburg, Nelspruit, Piet Retief) • Bayhead (Newcastle) • Bloemfontein (Kimberly, Maseru, De Aar, Kroonstad, Kakamas, Bethlehem).
FROM TOP The XS-10 Side A wagon used to transport bulk chemicals The ST-8 Side B Type 2 wagon used to transport timber The SC-4 Side A Type 2 wagon used to transport cars
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FREIGHT RAIL AREA ALLOCATION TO BUSINESS UNITS
Agriculture and Bulk Liquids Coal Business Containers and Automotive
Musina
Lephalale
Iron Ore and Manganese Mineral Mining and Chrome Steel and Cement
Thabazimbi
Groenbult Northam Phalaborwa
Hoedspruit Rustenburg Polokwane Steelpoort Atlanta
Graskop Roossenekal
Pendoring Belfast
Machadodorp
Witbank Pyramid South
Blackhill
Nelspruit Wonderfontein Kaapmuiden
Capital Park
Komatipoort Pretoria Carolina
Olifantsfontein STQ Kaalfontein
Ogies Isando
Langlaagte
Geluksplaas Richards Bay
Zesfontein Germiston Welgedag
Colesdam Aurum Withok
Kaserne Krugersdorp
Springs
Hamelfontein
Nkwaleni
Trichard
Natalspruit
Vryheid
Randfontein
Mafikeng
Emp Ermelo
Rietvallei
Palmford
Vereeniging
Glencoe New Castle Welverdiend
Lichtenburg
Danskraal Potchefstroom
Coligny
Bethlehem Vermaas
PMB
Klerksdorp
Durban Harbour Kroonstad
Pudimoe
Durban
Ottosdal
Hotazel
Makwassie
Upington p Veertienstrome
Bultfontein
Kimberley
Port Shepstone Bloemfontein
Beaconsfield
Maseru Belmont Douglas Springfontein
Bitterfontein
De Aar Noupoort
Salhanha Blaney Worcester Kalbaskraal Kraaifontein
Riversdal
Klipplaat
Voorbaai
Bellville Bredasdorp
Cookhouse
East London
Port Elizabeth
Cape Town
CLOCKWISE FROM TOP The DZ-8 Side A Type 2 wagon used to transport cement MAP Areas allocated to BUs The newer class 39-200 engine
Themba Gwala, based in Durban, is the general manager of this business unit.
Steel and cement TFR is a major transporter of inbound and outbound traffic in steel, linking mines to the plants by a rail network that ensures raw materials arrives on time and healthy stockpile levels are maintained. A fleet of specialised wagons supports the steel industry in transporting finished products safely and to customer’s orders. Between 80 and 100 road freight truck loads can be converted to one train load, reducing carbon emissions significantly. As the green agenda translates into law and is enforced, transporting by rail will be a key transport cost reduction factor. There are four major cement producers in South Africa, producing in excess of 10 million tonnes per year. They compete in other Southern African markets – Namibia, Swaziland,
Privatisation of branch lines Transnet Freight Rail (TFR) offers concession opportunities for private rail operators on approximately 7 300 route kilometres of branch lines situated at locations across South Africa. About 4 000 km of these branch lines are currently operational, while the remainder are closed lines. Some branch line opportunities include options for adjacent property leases. All branch lines will remain in Transnet’s ownership and are feeder lines to the country’s core railway network which is owned and operated by TFR. Interested parties are invited to register their interest in operating any of these branch lines with Transnet. The Registration of Interest (ROI) is non-binding and is not a pre-qualifying or competitive process. Each application will be considered on merit. Further information on branch lines, the concessioning process and the terms and conditions of ROIs may be requested from: branchlines@transnet.net
34
TWA | Apr May 2012
Mozambique, Lesotho, Zimbabwe and Botswana, for example. Production capacity in the industry is constantly being upgraded to handle the demand for higher quality product. Several types of wagons are employed in this industry. These include open wagons for bulk raw materials, specialised open wagons for palletised bagged cement, the DKJ series and DZ series, a tanker fleet, the XB series, for bulk cement, fly ash, slagment and lime and BAD and DJ series for inbound raw materials. Ravi Nairis, based in Isando, is the general manager of this business unit.
International business Through its railway operations TFR aims to become a significant regional player in the provision of freight logistics solutions to its customers on the African continent and beyond. This business unit is responsible for all freight rail activities outside South Africa. Nyameka Madikizela, based in Johannesburg, is the executive manager of this business unit.
In conclusion Under the strategic guidance of Gama, the operational implementation of the strategy by COO Mlamuli Buthelezi, right down to the ordinary railway worker, and with the confidence of the Minister of Transport, TFR’s key objective to transform itself into an efficient, cost-effective transporter of goods is well on track. Note: For contact details, visit TFR’s web site at http://www.spoornet.co.za/Website/contact_us.html
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FREIGHT RAIL
A
Railway siding at Matsapha in Swaziland
t the bottom of the Ngwenya Mountain, the 1 067 mm-gauge Swaziland Railway was built back in the early 60s. The small Southern African country was still a British protectorate. Initially owned by a consortium including Anglo American, which handed it over in phases to the government, the then 217 km long railway’s construction contract was let in May 1962 to RMR Contractors, comprising Roberts Construction, Murray and Stewart, and Rand Earthworks. Plate-laying began in March 1963 and on 5 November 1964, the new railway route was officially opened by the Ngwenyama (or ‘lion of his people’) King Sobhuza II and the British Ambassador to South Africa (the Kingdom gained independence from the United Kingdom in early September 1968). Swaziland Railway was established for the sole purpose of transporting a single commodity: iron ore, headed for Japan. The original contract was for 12 Mt of ore over a 10-year period, which was later increased to 20Mt to be delivered by 1975, and a further 7.3 Mt of lower-grade ore to be completed by 1978. Swaziland Railway was concessioned to Mozambique Railways – CFM – from its inception up to 1978. Following the independence of Mozambique in 1974, an exchange yard was built at Siweni, enabling Swaziland Railway to take over all its operations and a batch of aged class 14R steam locomotives was leased from the former South African Railways to work train services during the transition. During the same period, the Swaziland Railway was administered by management teams seconded in turn from Rhodesia (now Zimbabwe) Railways, Canadian National Railways and
South African Railways. The transition period was marked by a decline in traffic and revenue due to problems experienced by CFM and the port of Maputo, which prompted Swaziland to look for alternative routes. Plans were then made to access Durban and the South African hinterland and a new 90 km line from Phuzumoya to Golela was built and commissioned on 1 November 1978.
Linking north and south Following this development, it was decided to further connect the Golela/Phuzumoya line to Komatipoort, therefore providing a North-South link through Swaziland. This Northern Line, as it is commonly called, was commissioned on 14 February 1986 and enables traffic from northern territories – such as South Africa, Zimbabwe, Zambia and Democratic Republic of Congo – to flow to and from the large KwaZulu-Natal ports of Richard’s Bay and Durban. During the early 90s, Swaziland Railway, which did not normally carry passenger traffic, was a major player in the repatriation of Mozambican refugees who had sought asylum in Swaziland during their country’s civil war. No passengers had previously been conveyed, other than those riding the steam trains which, until recently, were utilised for pleasure excursions and regional steam safaris for an overseas enthusiasts’ market. Swaziland Railway moves a wide diversity of traffic. This has embraced Swaziland’s export commodities of sugar, coal, canned fruit, wool pulp and timber, as well as imported goods such as petroleum products and general goods. The railway also operates a state-of-the-art dry port at Matsapha,
SWAZILAND RAIL
Rail developments get go-ahead John Batwell takes a closer look at these land transport developments.
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TWA | Apr May 2012
FREIGHT RAIL
The cost of progress Another 2012 development right on the heels of ore going by rail once again is a new R17 billion project embracing a rail link between Lothair in Mpumalanga and Sidvokodvo, announced during a first sod-turning ceremony in January. Transnet Freight Rail is looking to use the link, due for completion in 2016, to move 15 Mt of traffic to Richards Bay and, in so doing, free up the capacity on the coal corridor through KwaZulu-Natal. Swaziland will pick up R5 billion of the cost. Detailed engineering for the project, which has received strong backing from the South African and Swaziland governments, still has to be completed, and environmental approvals obtained. In addition, land will have to be acquired, while some resettlements are also possible. However, South Africa’s Public Enterprises Minister, Malusi Gigaba, and Public Works and Transport Minister, Ntuthuko Dlamini, have made a public commitment to doing all in their power to ensure that these issues are dealt with expeditiously. “We are determined to drive this project hard to ensure its speedy implementation as it will create jobs on both sides and, on the South African side, it will further enable the unlocking of the long-awaited Waterberg coal line,” Gigaba said. Transnet Freight Rail (TFR) COO, Mlamuli Buthelezi, has indicated that, besides the Lothair-Sidvokodvo link, which could involve capital of around R7.3 billion, Transnet would also need to upgrade and strengthen other networks in South Africa, Swaziland and Mozambique. These associated projects
include the upgrade of the 108 km Davel-Lothair line at an estimated cost of R2.2 billion, strengthening the 345 km Sidvokodvo-Richards Bay line (R4.6 billion) and upgrading the 154 km Phuzumoya-Maputo line, which could involve capital of around R1.8 billion. Molefe stressed that the final capital budget still had to be determined and would be informed by the detailed engineering studies, which would be undertaken during the course of 2012. Environmental approvals, as well as any land acquisitions, were expected to be finalised between 2012 and 2014. Both Transnet and Swazi Rail would seek to dip into various finance pools to fund the development, including development finance resources. However, it was unlikely that the two governments would contribute directly, with Molefe indicating that it should be self-funding, as the lines would be cash positive from the start of operations. Dr Gideon Mahlalela indicated that the two state-owned companies have already received several approaches from commercial banks keen to participate. He attributed this to the fact that the general freight demand already exists, which means that there would be immediate revenue flows. Coal producer, Exxaro, indicated that it would support any development that could improve the logistical chain in the region and, therefore, welcomed the plan to build the new railway line. Likewise, Xstrata Coal’s Gugulethu Maqetuka said while the group was not aware of all the details of the proposed project, it was supportive of initiatives by Transnet to expand export rail capacity to Richards Bay in the next few years “to match port capacities and beyond”.
The new link to Richards Bay through Swaziland will connect DavelLothair via Sidvoko
Economically sustainable? However, independent transport economist, Andrew Marsay, commented latterly in the media that he is less optimistic about the economics of the project. He said he doubted whether the general freight line would ever prove viable on a stand-alone basis. He acknowledges that the project could alleviate some immediate pressures on the coal corridor, but added that it would not solve the efficiency problems
Coal wagons lined up near Ulundi in KwaZulu-Natal
Photo by C Baker
which is a satellite port for Durban port. The 301 km continuously welded network is on concrete sleepers. The network extends east from Matsapha Industrial Site to Phuzumoya where it connects with the northern rail link to access the ports of Durban and Richards Bay. As mentioned, the Mananga link to the north provides access to northern SADC countries. Part of the original iron ore line as far as Ka Dake in the north-west is now disused – some 70 km in all. In 2012, Swaziland Railways is experiencing a new era of development in terms of land transportation within the region. As from late January this year, iron ore from the recently reopened Ngwenya Mine was to be transported by rail to reduce road damage. Indian mining firm, Salgaocar, reopened the mine during 2011. Swaziland Railway CEO, Gideon Mahlalela, said late last year that there would be very minimal transfers made through the Mpaka road, a development expected to ease the much-publicised negative comments regarding road damages that might be caused by the over 200 trucks that would transport iron ore to Mpaka and then on to Maputo in Mozambique, respectively. At that time Mahlalela said the Swaziland Railway management was considering whether it would use Sidvokodvo or Matsapha railway stations for this purpose. This arrangement was made because it would have been very expensive to create a new railway line to Ngwenya as Swaziland Railway would have been unable to recoup the costs in five to seven years. The iron-ore mine at Ngwenya, near the Oshoek border gate with South Africa, ceased production in 1979. As mentioned, originally the ore for export was moved by rail to Mozambique’s coast and the bulk of a 15-year period of transportation of the commodity was undertaken from the railhead, Ka Dake, by miscellaneous CFM steam locomotive classes.
TWA | Apr May 2012
37
FREIGHT RAIL
Two of Transnet’s new dieselelectric engines
38
on the channel, which could be attributed mainly to the fact that there were simply too many customers to enable the line to operate at optimal levels. This was because the volumes at loading points were simply too low to ensure high levels of efficiency. “Overall, therefore, this will be a lot of money spent to very little avail. The general freight line will be a very inefficient investment and, secondly, the whole solution is not addressing the principle cause of the lack of efficiency on the line,” Marsay argued. He also added that it would be vital to develop the project in tandem to a commitment to building a high-capacity line to the Waterberg, as it might be possible to ensure that the constraints associated with current operations were not repeated when that came on line. “If at all possible, it would be preferable to have a line that
TWA | Apr May 2012
bypasses Ermelo, because a high-capacity bulk line needs the minimum possible stops. Therefore, they might even be shooting themselves in the foot by assuming that you have to have the Ermelo depot,” Marsay stated. Nevertheless, the project is attractive from a political perspective, particularly given that it appears to be aligned to the aspiration of building regional railway networks that move beyond the traditional colonial rail patterns that generally associated a mining area with a port. Gigaba argued that the projects could make a significant contribution towards the realisation of the much-vaunted ‘North-South Corridor’, which would seek to link the regional economies of southern Africa. President Jacob Zuma is at this time the African Union’s so-called champion of the North-South infrastructure development corridor. Currently envisaged in the first phase is a single, nonelectrified line, with crossing loops spaced about 40 km apart. Therefore, the new line, which could emerge as South Africa’s first greenfield line in more than three decades, would be operated by diesel locomotives. TFR is in the process of building 143 class 43-type General Electric C30-ACi dieselelectric locomotives, of which over 50 in the production line will be deployed on the north-to-south route in Swaziland. The new route from Mpumalanga has been selected mainly owing to the fact that the terrain is less ‘hostile’ than other options contemplated. However, there will still need to be a number of tunnels and bridges developed along the line.
AIR FREIGHT
EMERGING MARKETS
Flying across Africa
Air transport supports 6.7 million jobs and generates $US67.8 billion (R518.8 billion) in GDP in Africa. In the 2010 to 2015 period, a 6.1% projected annual growth rate in international traffic has been forecast.
R
ecent studies by Oxford Economics have quantified the significant economic impact that aviation generates across some of the major African markets. For example, in South Africa it is estimated that aviation directly created 56 000 jobs (0.4% of employment) and made a value-added contribution to the GDP of R20.1 billion (0.8% of economy GDP) in 2009. In addition, regional economies derive substantial benefits from the spending of tourists who travel by air. Including this catalytic impact and the indirect and induced impacts of aviation activity increases the impact of aviation on GDP in South Africa to R74.3 billion (3.1% of GDP). Forecasts indicate that this impact is set to grow rapidly over the next 20 years. Passenger numbers in Africa are expected to expand from 67.7 million in 2010 to 150.3 million in 2030, with RPK growing at an average annual rate of 5.1%. Meanwhile, cargo volumes are projected to rise at a similar rate of 5.2% per annum. Such an expansion in activity should generate significant economic returns. Oxford Economics forecasts that aviation’s direct contribution to GDP in Africa will increase by 5% per annum in real terms over the next 20 years, helping to create an additional 66 000 jobs across the region by 2030. Moreover, when also accounting for catalytic effects in terms of increased tourism receipts, real GDP growth is projected at 7.3% per annum with implied job creation of 879 000. Ensuring that aviation’s growth potential is fulfilled will require policymakers to overcome a number of challenges. Infrastructure investment is not as pressing as elsewhere, although some of the region’s larger airports do appear to be suffering from capacity constraints. However, skills shortages are posing a considerable short-term obstacle to growth with a lack of adequately trained pilots and other technical staff
being a key area for attention. The number of jobs created directly by the air transport industry is estimated to have reached 257 000 in 2010. This includes: • 113 000 people (44% of the total) work for airlines or handling agents (as flight crew, check-in staff, maintenance crew, reservations and head office staff, for example). • 21 000 people (8.5%) work directly for airport operators (such as airport management, maintenance, security and operations), while 104 000 (40%) work on site at airports for government agencies such as customs and security, or provides services in retail outlets, restaurants, hotels, etc. • 19 000 people (7.5%) are employed in the civil aerospace sector (manufacture of aircraft systems, components, airframes and engines). In total – direct, indirect and induced impacts – air transport supports 688 000 jobs and over $US21 billion (R160.7 billion) to African GDP. In addition, there are nearly six million jobs supported through the catalytic impacts of travel and tourism. Worldwide, Africa represents 12% of the total jobs and 3% of the GDP generated by the air transport industry, including the catalytic impacts.
Forecasts indicate that aviation in Africa is set to grow rapidly over the next 20 years
Acknowledgement: Printed with kind permission from the International Air Transport Association (IATA)
TWA | Apr May 2012
39
Opportunity and strategy for airlines, airports and investors 23 - 26 July 2012 Johannesburg, South Africa Now in its 4th year, Aviation Outlook Africa is a unique opportunity for the African airline industry to meet up and network with the leaders in international and African aviation. Learn from leaders in the aviation sector including: Fathi Atti, Head of Government Affairs, Etihad Airways Shashank Nigam, CEO, SimpliFlying, Singapore Mekonnen Solomon, Routes Development Director, Ethiopian Airlines
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HEALTH & SAFETY
FESARTA
SADC global fund HIV/Aids project The Global Fund for HIV/Aids is to establish 32 mobile clinics at border sites across the SADC region. These clinics will serve corridor traffic and communities within a 50 km radius of each site. BY BARNEY CURTIS
N
Progress to date
• the roads were generally good, but there could be problems during the rainy season. At the time of this report, Maromi was assessing the remaining 12 North Star sites. Two pre-bid meetings had been held for potential bidders supplying the mobile clinics. At the Project Steering Committee meeting (FESARTA being a member) on 24 January, it was agreed that the specifications for the vehicles might not have been suitable for some of the roads in the rainy season. From the assess-
BELOW LEFT A roadside wellness centre BELOW Inside the ropadside wellness centre Photo by Alexander Stukenberg
Photo by Gerard Steehouder
orth Star Alliance, the main contractor, will run 29 sites, while the Walvis Bay Corridor Group (WBCG) will run three sites, with North Star’s assistance in running one of the three. The first phase of the project requires the establishment of six mobile clinics by the end of the first quarter of 2012. Then by the end of the second quarter, seven more sites will be established. This will be followed by another eight by the end of 2012. The WBCG will establish two in Namibia and one in Zambia by the end of the first quarter of 2012. Only three countries, Swaziland, Zambia and Namibia, have signed memoranda of understanding (MOUs) with SADC for the establishment of the mobile clinics. There is an urgent need for the outstanding MOUs to be signed, since it will not be possible to establish and manage the sites without them.
Maromi Health Research, based in KwaZuluNatal, was contracted to assess the 32 border sites. Seventeen sites were assessed in Maromi’s first phase. These included Beitbridge, two in Chirundu, Maseru, Ladybrand, Machipanda, Forbes, Oshikango, Wenela, Sesheke, Tlokweng, Zeerust, Maputsoe, Ficksburg, Kazungula, Livingstone and Victoria Falls. The sites were chosen for logistics reasons, that is, they were more easily accessible from Durban than some of the sites in Tanzania, DRC, Mozambique and others. The purpose of the assessment was to gain an understanding of the capabilities of existing health structures, identify hot spots, assess road and transport infrastructure, assess the accessibility to the communities to be serviced and to assess what other services exist in the area. The findings are: • mobile clinics were welcomed by the proposed clientele • the mobile clinics could become fixtures in the future • border sites did not have adequate health or ambulance services • condoms were not available • there was a need for collaboration between authorities and North Star • the clinics should focus on primary health care rather than Aids • they were good for truck drivers because the drivers could not access the local clinics • they were also good for sex workers
ments, four sites required 4x4s, one site could require a 4x4, eight sites had The sites include no requirement for 4x4s and there was • Angola Namakunde no information for the remaining sites. • Botswana Kazungula and Tlokweng Further information on road conditions • DRC Kasumbalesa and Lubumbashi was requested from Maromi. Three • Lesotho Maputsoe and Maseru • Malawi Mchinji, Mwanza and bids for the supply of the mobile clinIzumbwe-Mphoi ics have been submitted and are being • Mozambique Machipanda, adjudicated (at the time of this report). Namaacha and Zobue The first eight clinics, North Star (6) • Namibia Oshikango and Wenela and WBCG (2), are to be delivered by • South Africa Ficksburg, Ladybrand, Oshoek an d Zeerust end of June. • Swaziland Ngwenya and Lomahasha FESARTA will assist Maromi with • Tanzania Mbeya NRTAs and Tunduma information it may need on trans• Zambia Chirundu, Mwami, port matters in the different counLivingstone, Nakonde and Sesheke tries. FESARTA has requested NRTAs • Zimbabwe Beitbridge, Chirundu, Forbes and Victoria Falls (National Road Traffic Associations) to be proactive in assisting with the project, and Maromi in particular. As the road transport industry throughout the region is to benefit, the assistance of the NRTAs and their input is critical to the success of the project.
TWA | Apr May 2012
41
HEALTH & SAFETY
FLATBED TRAILER SAFETY
Life and limb in the balance Many unnecessary accidents are caused by improper trailer loading. At speed, these accidents unfortunately cause the death or injury of people who were simply in the wrong place at the wrong time.
• Do not transport flammable, explosive, poisonous or other dangerous materials on your trailer. The exception is fuel in the tank of vehicles or equipment that is being hauled.
TWA | Apr May 2012
Photo courtesy of Shaked Law Firm
F
latbed trailers often carry heavy machinery distribution and proper tongue weight. The total weight and equipment. To load these trailers, with of the trailer and its contents must never exceed the safety in mind, you should consider the foltotal weight rating of the trailer’s gross vehicle weight lowing aspects: rating (GVWR). • manufactured quality and standards Couple the trailer to the tow vehicle before loading. This • overall load weight is essential for the bumper pull trailer because the tongue • load weight distribution of a bumper pull trailer can rise during loading, before • proper tongue/gooseneck weight the cargo is properly distributed. To measure the tongue/ • securing the load properly. gooseneck weight, you will have to uncouple the trailer To determine that you have loaded the trailer within its after it is loaded. rating, you must consider the distribution of weight, as Load the cargo onto the trailer with approximately 60% well as the total weight of the trailer and its contents. of the cargo in the front half of the The trailer axles carry most of the total weight of the trailer. Secure the cargo to the trailer trailer and its contents – the gross vehicle mass. The using appropriate straps, chains and remainder of the total weight is carried by the tow tensioning devices. Since the trailer vehicle hitch. It is essential for safe towing that the ‘ride’ can be bumpy and rough, you trailer tongue/gooseneck and tow vehicle hitch carry must secure your cargo so that it the proper amount of loaded trailer weight, otherwise does not shift while the trailer is the trailer can develop an undesirable sway at towing being towed. speeds, or the rear of the towing vehicle can be overloaded. The do’s and don’t’s of flatbed trailer loading The load distribution must be such ABOVE LEFT • Do not exceed the trailer’s GVWR or the gross axle weight rating. A roadside that no component part of the trailer • Do not load a trailer so that the weight on any tire exceeds its rating. wellness centre is loaded beyond its rating. This • Unsecured ramps can create a driving hazard. Secure ramps in their storage or travel position before towing Inside the means that you must consider the trailer. ropadside • Damaged or loose hold downs and/or ‘D’-rings can break, allowing cargo to become loose on the trailer. Loose rating of the tires, wheels and axles. wellness cargo can shift the centre of gravity and result in loss of control of the trailer. Inspect hold downs and/or ‘D’-rings For tandem- and triple-axle trailers, centre Photo and test them for looseness before loading cargo. Do not use a damaged or loose hold down or by ‘D’-ring to Alexander you must make sure that the front-tosecure cargo. Stukenberg.tif rear load distribution does not result • Tie down all loads with proper sized fasteners, ropes, straps, etc. in the overloading of any axle. • Do not load or unload your open trailer unless it is prevented from tipping and is on firm and level ground – a load could suddenly move or topple, which could result in death or serious injury. Towing stability also depends on • Loading a pivoting-deck trailer before retracting the deck catch pin can crack the catch pin, which can cause loss keeping the centre of gravity as low of cargo or loss of control of the trailer. Before loading the trailer, retract the deck catch pin. If the deck catch pin as possible. Load heavy items on becomes bent, do not straighten it. Replace the deck catch pin before towing the load. Before towing the trailer, the floor and over the axles. When lock the pivoting-deck in the driving position and double-check that the catch engages the hole in the pivoting loading additional items, be sure to deck. An unlocked pivoting deck can result in loss of cargo or loss of control of the trailer, which can result in death or serious injury. maintain even side-to-side weight
43
TAIL END
ED’S OPINION
Tony Stone
Jaywalkers and a moneyhungry government institution stress out Gauteng motorists.
Think pedestrian
Battle lines drawn
A
leading daily newspaper recently reported that SANRAL is to push through and enforce regulations that would make it mandatory to buy an e-tag. If true, these regulations would also give SANRAL and its appointed employees the right to remove your driving licence and to impound your car if you do not buy an e-tag. However in later
T
he call to have drivers tried for murder and not culpable homicide when guilty of killing other road users – as a result of an accident caused through the abuse of alcohol, drugs, speeding and/or reckless driving – is welcomed. Nonetheless, caution is advised. Some 14 000 people, of which 40% are pedestrians, lose their lives on South African roads each year – at a cost to the economy of a staggering R56 billion. The South African Medical Research Council says that more than 60% of fatal crashes are caused by alcohol abuse by either drivers and pedestrians, or both. Interestingly, we have a rather challengABOVE ing situation developing with pedestrians in urban areas. e-toll offices just In many areas of downtown Johannesburg, pedestrians off the Rivonia Interchange casually jaywalk, walk or play in the street and not on the on the pavement. As it is understood, walking in the street is a Johannesburg cultural ‘thing’. Firstly, in rural areas there are no pavements, N1 bypass just roads. Secondly, in coming to the cities, many urbanites fear attack from some dark corner, door or alley. And, lastly, pedestrian crossings, it would seem, are just a silly invention and are, as a consequence, ignored. So the commentary goes. In some areas, children have no playground and play soccer or skateboard in the street, especially Fox Street in Jeppestown, Johannesburg. Many pedestrians are defiant in that they feel they have right of way, regardless of the rules of the road, and arrogantly challenge motor vehicles – even trucks. This attitude is a problem. Despite the Department of Transport’s joint initiative with EQSTRA in launching the ‘Think Pedestrian’ campaign, the government should do something to educate people about the rules of the road and the pedestrian are killed sensibilities thereof – perhaps a TV programme. on our roads each year. That’s a Also, in an accident situation, they should not jump staggering 40% of to conclusions or make assumptions when a pedestrian total road fatalities is killed or injured but rather find out the facts in an objective, unbiased manner. Otherwise an innocent person may be judged guilty, with devastating repercussions.
4 800
reports, SANRAL sought to clarify that it is not compulsory for road users to buy an e-tag. “Registering with an e-tag is optional,” it said in a statement. The question is: was this just a rumour or a case of no smoke without fire? If the latter, this would be hitting below the belt, not to mention unconstitutional. And as it would fall under the Criminal Procedures Act, it would criminalise ordinary citizens inappropriately. This would be nothing less than belligerent. And, given such a tone, I have no doubt that the ‘peace officers’ tasked with enforcing these regulations, if promulgated, would in all likelihood abuse their authority and, no doubt, corruption would abound. If this were the case, I would find it impossible to support SANRAL in this matter – for a number of reasons. First, South Africa is a constitutional democracy. Within this framework, SANRAL and the Department of Transport’s actions would be undemocratic given the widespread opposition to e-tolls. Second, there are areas of poor workmanship along sections of Gauteng’s so-called ‘new freeway’ system and the fact that construction companies colluded on price, motorists have much to gripe about. Finally, giving SANRAL’s e-toll administrators carte blanche to one’s bank account is totally unacceptable. We wait to see the outcome of their review of their e-toll contract. All in all, such draconian behaviour would give me the shivers. If there is an attempt to pass this into legislation, people should vote intelligently, and with their feet, in the next election.
Index to advertisers Africa Rail 2012
35
Crossroads
29
Aurecon
25
Digicore
IFC
Aviation Outlook Africa
40
Eqstra Fleet Management
OFC
Beyond Payments
IBC
FAW Vehicle Manufactures
OBC
Cargo Carriers
22
HPE Africa
26
Paramount Trailers
42
CP Minnaar & Seun
44
TWA | Apr May 2012
14 & 15
SAPICS Southern Mapping
3 38
Transnet Freight Rail: A division of Transnet Limited Volkswagen Commercial Vehicle
20
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