Transnet approaches market for new liquid bulk terminal at the Port of Ngqura
Transnet National Ports Authority (TNPA) said on Friday that it has issued a Request for Proposals (RFP) for the appointment of a Terminal Operator to fund, design, develop, construct, operate, maintain and transfer a liquid bulk terminal at the Port of Ngqura, for a concession period of 25 years.
The RFP is a ground-breaking milestone in the relocation of the tank farm from the Port of Port Elizabeth to the Port of Ngqura, in line with approved port development plans.
The move comes as Transnet is implementing its Reinvent for Growth Strategy, which seeks to transform and grow the business. The new terminal will include liquid bulk storage tanks, road tanker loading gantries, pipelines and the necessary terminal operation infrastructure.
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IOL News
20 hours ago
- IOL News
Transnet approaches market for new liquid bulk terminal at the Port of Ngqura
Transnet National Ports Authority (TNPA) said on Friday that it has issued a Request for Proposals (RFP) for the appointment of a Terminal Operator to fund, design, develop, construct, operate, maintain and transfer a liquid bulk terminal at the Port of Ngqura, for a concession period of 25 years. The RFP is a ground-breaking milestone in the relocation of the tank farm from the Port of Port Elizabeth to the Port of Ngqura, in line with approved port development plans. The move comes as Transnet is implementing its Reinvent for Growth Strategy, which seeks to transform and grow the business. The new terminal will include liquid bulk storage tanks, road tanker loading gantries, pipelines and the necessary terminal operation infrastructure.
Daily Maverick
2 days ago
- Daily Maverick
Creecy's new Rail Bill promises reform measured in six key numbers
South Africa's logistics infrastructure is under construction and Transport Minister Barbara Creecy has laid out an overhaul plan with six hard numbers and a new Rail Bill. In a rare moment of relatability from the GNU member with the most 'tannie energy', Barbara Creecy said that being transport minister is the worst and best job she's had. 'The best because there's so much to contribute, the worst because there are lots of things that are wrong, and fixing them is very complicated.' 'Complicated' is generous. The logistics bottlenecks in South Africa's rail infrastructure are bleeding billions per day from the economy. But Creecy said her department is moving to tackle the mess with a soon-to-be tabled bill and what she describes as 'overwhelming appetite' from the private sector. Six numbers to shape a sector The minister's 'six numbers' sit at the centre of her department's overhaul masterplan: Ambitious targets, however, don't build tracks. What's needed is a structure to support them. Laying down the law A first-of-its-kind Rail Bill is set to be introduced later this year, according to Creecy, in an effort to move rail reform into legislation. 'This bill aims to legislate reforms intended to transform the freight and passenger rail sectors,' the Department of Transport told Daily Maverick. 'The department believes that this Rail Bill will offer legal clarity regarding future policy directions.' Creecy stressed that the underlying infrastructure will remain in state hands, managed by the Transnet Infrastructure Manager. Private sector appetite The Department of Transport issued a Request for Information (RFI) in March this year – 162 submissions were brought, along with 11,600 visits to the site, which signalled interest across major freight corridors, especially that of ports, Creecy said. 'It's going to mean that future proposals will be responsive,' she said. 'We have seen situations where proposals that have been put out by state-owned entities have not been appetising to the market.' Some companies have already approached the department with funding offers for urgent fixes, Creecy detailed. In the meantime, Transnet has launched funding requests with National Treasury's Budget Facility for Infrastructure for short-term, urgent repairs and long-term revitalisation. How does this affect you? If the transformation goes to plan: Cheaper goods if logistics costs come down Job creation through infrastructure development and manufacturing Reliable exports and better trade performance Less road congestion and more efficient freight If not: Lower tax revenue and reduced income for operational entities Shrinking global logistics share could trigger job losses Freight and port processing costs will continue to rise Higher product prices will cut consumer spending and access Can the state afford it? 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If the infrastructure is in better condition, maintenance costs drop, operational efficiency rises and user costs fall, but only if the benefits of the upgrades are not inflated, he said. Transnet's reinvention by necessity Transnet's debt structure is a major concern, according to Creecy, and is thus being restructured into a state-owned infrastructure provider. Private operators will be able to run trains on key routes, pay access fees and offer niche services, such as agricultural and tourism lines. Creecy acknowledges that although South Africa is about 20 years behind the curve, we can learn from the mistakes of other countries with more advanced systems.
The Citizen
5 days ago
- The Citizen
Transport minister has big hopes for big plans
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Creecy says she spent the past 12 months in her role getting to grips with one of the most complex portfolios in government, overseeing 16 entities ranging from Transnet and the Passenger Rail Agency of South Africa (Prasa) to the Airports Company South Africa (Acsa) and the Road Accident Fund (RAF). ALSO READ: New minister of transport's five targets a clear and encouraging vision Transport department's six targets for next 5 years To bring direction to this massive brief, Creecy and her department outlined six key targets to guide her current five-year term, including: Increasing freight volumes on Transnet's rail system from 149 million tonnes to 250 million tonnes per year restoring passenger journeys on Prasa to 600 million per year by 2030 (up from 77 million) boosting port productivity to the international benchmark of 30 gross crane moves per hour expanding Acsa's passenger footprint to 42 million and tripling air freight volumes to 1.2 million tonnes per year, and reduce road accidents and fatalities by 50%. 'We are making progress. It is hard work and it is very slow, but so far this year we managed to get the accident rate down by 9% and therefore, I am hopeful that this target is achievable by 2030.' ALSO READ: Government delivers R51 billion support to Transnet. Will it last? Transnet's poor financials thorn in transport department's side Despite signs of improvement, Creecy acknowledges that Transnet's poor financials remain a major concern. Moody's recently placed most of its ratings on review for downgrade, and therefore, government applied for an infrastructure injection via Treasury's budget facility, while also pursuing a broader programme of structural reform. 'There is a broader process of rail reform that is taking place in our country. In December and January this year, we issued a network statement that called for third-party participation in our freight sector. It is the first time this has ever happened in our country.' This reform is focused on repositioning Transnet as a state-owned infrastructure provider, allowing third-party freight operators to use the network. Creecy says Transnet Freight will still exist, but it will earn revenue from different freight operators operating on its network. She says private sector interest has been strong and her department was overwhelmed by the appetite. A recent RFI process attracted 11 000 site visits and 163 submissions. However, responsiveness will be critical given past failures in the procurement process. 'We have seen situations where the market did not find proposals put out by state-owned entities appetising and interesting.' Creecy makes it clear that this new approach to reform would be based on tight rules and governance and adds that B-BBEE, financial viability and ensuring projects reach financial close without overburdening the state will all be key to structuring future requests for proposals. ALSO READ: Outa calls for no fines during driver's licence backlog Time is not on the transport department's side Given that South Africa is 20 years behind its global peers in rail reform, Creecy admits that time is not on government's side. 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