Transport and logistics

Roads and infrastructure spending is set to increase across the province.

SECTOR INSIGHT DHL Forwarding has invested in new capacity.

The infrastructure associated with large housing estates such as Steyn City is substantial, as are the roads that surround and serve the developments. Credit: Steyn City

The Gauteng Department of Roads and Transport has a pipeline of 67 projects with a combined value of R23-billion. Of these projects, 13 – valued at R6.6-billion – are private sector initiatives and the various road, construction and design projects are expected to be implemented over the decade to 2031.

Among the private companies that will be involved in projects are property companies Attacq Waterfall Investment, Steyn City and Century Properties and mining company Cullinan.

A feasibility study is underway to examine extending the Gauteng Rapid Rail Integrated Network. The current network has 10 stations spread over 80km and the extension would add 146km and 19 new stations.

The estimated R2-billion that was due to be spent on adding to the Gautrain’s rolling stock has been put on hold because of Covid-19. The long-term plans to expand the Gautrain network are still on course.

Transnet Rail Engineering (TRE) has a major presence in Gauteng and the metropolitan lines that ferry commuters are run by the Passenger Rail Agency (PRASA). The Wits Metrorail system serves Johannesburg and its surrounds. Park Station, in the north of the central business district, is the largest station in Africa and acts as the metropolitan hub.

DHL Global Forwarding has spent R126.5-million on a new facility in the Skyparks Business Estate, located next to OR Tambo International Airport. The new floorspace of 13 000m² (most of which is warehouse space) doubles the company’s current footprint.

A total of 82% of South Africa’s air cargo is transported through OR Tambo International Airport and Gauteng has several cargo and freight handling facilities well-equipped to deal with rail and road deliveries and despatches.

A specific goal of the Provincial Government of Gauteng is to make the Transnet Tambo-Springs Logistics Gateway the biggest inland logistics hub and dry port in Africa by 2030.

The Tambo-Springs Gateway near Katlehong is an intermodal facility which can transfer containers from rail or road to storage facilities and ultimately to the customer. Existing freight rail lines run through the site and link it to the seaports of Durban, Cape Town and Ngqura (Port Elizabeth). The aim with this new facility is to improve efficiency. It is run by the Tambo Springs Development Company. The intention is to add to the port:

• a logistics park (transportation, processing, manufacture, warehousing and distribution) • a business park with a retail element • a residential component • an agro-industrial section.

The Provincial Government of Gauteng is stressing the importance of digital competence (“smart mobility”) in the transport sector as ever-more complex transactions take place across international borders. This will only grow as the effect of the African Continental Free Trade Area (AfCTA), signed in 2019, comes into effect, allowing for greater and freer trade across the continent.

The health of the transport and logistics networks of the province is key to any economic growth plans. The provincial government has identified logistics hubs, the road network, intermodal facilities, rolling stock, and buses and taxis as key components of the drive to transform, modernise and reindustrialise the regional economy.

Road infrastructure projects are intended to bring in other major investments and connect new economic nodes such as the Tambo Springs Logistics Gateway, the planned new megacities (Vaal River City and Lanseria) and the new Special Economic Zones with current economic nodes and existing townships. In the short term, 18 major roads will be rehabilitated, upgraded and constructed, especially in Sedibeng and the West Rand.

The OR Tambo International Airport Special Economic Zone (ORTIA SEZ) has diversified beyond the existing Jewellery Manufacturing Precinct in the shape of a R400-million agroprocessing plant.

The concept of an aerotropolis is for the airport to become a hub of economic activity in the same way that cities anchor various economic sectors that grow up around the centre.

Airports

OR Tambo International Airport caters for more than 20-million passengers every year.

Lanseria Airport has grown in importance with kulula, FlySafair and Mango using the airport located to the north of Johannesburg. It is a convenient landing point for travellers bound for regional centres like Rustenburg in the North West.

Four airlines continued to offer flights during the Covid-19 lockdown: FlySafair, Airlink, Cemair and Mango. Three airlines went into business rescue: SAA, SA Express and Comair (which is a British Airways franchisee and runs the low-cost kulula brand).

Gauteng has several smaller airports that host mostly commercial aircraft:

ONLINE RESOURCES

Airports Company South Africa: www.acsa.co.za Road Freight Association of South Africa: www.rfa.co.za South African Association of Freight Forwarders: saaff.org.za South African National Roads Agency: www.sanral.co.za Credit: DHL Global Forwarding

• Rand Airport in Germiston • Grand Central Airport in

Midrand • Wonderboom Airport in

Pretoria North • Waterkloof Air Force base, south of Pretoria.

The Commercial Aviation Manufacturing Association South Africa (CAMASA) reports that 50 companies are active in the sector, employing more than 3 000 people in highly skilled jobs. Almost all the activity is around Johannesburg and Cape Town and the sector (which encompasses aero-structures and systems, manufacturing, design and engineering) is responsible for R3-billion in exports every year. ■