OVERVIEW
Transport and logistics The private sector is set to play a bigger role in transport. SECTOR INSIGHT Budgets for spending on public transport are increasing.
One of the two new helicopters purchased for the transfer of pilots at Richards Bay and Durban. South Africa was the first country to use helicopters to transfer pilots. Half of the team of 26 pilots are women. Credit: TNPA
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hen the state tried to revive branch rail lines a decade ago, the sticking point was who was to pay for the infrastructure upgrade. An announcement in 2021 by the Minister of Public Enterprises Pravin Gordhan that concessions were back on the table was accompanied by the news that only fully-repaired lines were under discussion, greatly reducing the risk for potential private partners. Bids are to be made on four lines initially, with state utility Transnet to be responsible for maintenance. The private operators will pay a fee every time they use the line. Minerals and agricultural produce in remote areas are likely to be the first target for private companies looking to assist the state in moving a greater proportion of the country’s freight from road to rail. Another area of proposed private sector participation with the Transnet group is in the running of the nation’s ports. Congestion and under-investment have meant that South Africa’s ports are not as competitive as they should be. A start has been made in that South Africa’s largest agricultural company has signed an agreement with Transnet to partner in upgrading grain facilities at two ports. However, there are much more ambitious plans in the offing. Transnet is calling for bids from global container terminal operators for the ports of Durban and Ngqura. The creation of Transnet National Ports Authority ( TNPA) as an independent subsidiary, which took place in June 2021, is designed to assist in the process. Large amounts of money are to be spent on various forms of public transport in the short term. Investments in rapid transit systems in the big metropolitan areas of Johannesburg and Cape Town are now being followed by other South African cities such as Polokwane and Rustenburg, the Gautrain is looking to expand its routes, a taxi
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infrastructure programme is in place in some cities and the Passenger Rail Agency of South Africa has a plan to increase and upgrade its rolling stock. In Limpopo’s provincial capital of Polokwane, operations of the Leeto La Polokwane public transport system were launched in Transport Month, October 2021. In the North West, the Rustenburg Rapid Transport Project (Yarona) aims to integrate busses, taxis and improved pedestrian access throughout the city. The South African Department of Transport has several agencies and businesses reporting to it: Air Traffic and Navigation Services Company, ACSA, National Transport Information System, Road Accident Fund, South African Civil Aviation Authority, South African Maritime Safety Authority (SAMSA), South African National Roads Agency Limited (Sanral) and Passenger Rail Agency of SA (PRASA).
Logistics Transnet Freight Rail (TFR) has had a new CEO since April 2020. Siza Mzimela, with a background in airlines and logistics, wants to divert road freight to rail, which currently attracts just 20% of South Africa’s general freight.