Transport News

With South Africa’s reliance on commodity exports, which can be handled only in large volumes by rail, law firm Norton Rose Fulbright Africa director and transport head Malcolm Hartwell says rail is a more efficient and environment-friendly way of transporting goods, making it crucial that rail infrastructure is functional and upgraded. The Department of Transport (DoT) drafted a White Paper on National Rail Policy (NRP) in 2017 and Minister Fikile Mbalula released the draft in May this year. The draft recognises problems with South Africa’s rail infrastructure and commits government to solving these by recognising that functional and upgraded rail infrastructure requires private-sector involvement. The draft has now been approved, with minor changes by Cabinet, and published.  

Without international assistance, South Africa does not have the capacity to fund some of the large rail projects outlined by the National Rail Policy (NRP), released by Transport Minister Fikile Mbalula this year as a draft White Paper and subsequently approved by Cabinet, says law firm Norton Rose Fulbright Africa director and transport head Malcolm Hartwell. “The Department of Transport (DoT) may well be able to cope with the needs of railway company Passenger Rail Agency of South Africa (PRASA) in rehabilitating the urban passenger transport networks that have collapsed,” he says, noting, however, that this does not apply to the proposed new passenger and freight lines.

With the National Rail Policy (NRP) emphasising the introduction of high speed standard gauge rail (SGR) technology on South Africa’s major rail networks, rail infrastructure consulting company Taylorail CEO David Taylor says this will make rail, as a mode of transport, a competitor for long-distance, regional travel such as from Johannesburg to Durban or Cape Town. “Generally, rail transport is a more seamless form of transport for passengers who [can] arrive at the centre of a town and be only a short distance from their ultimate destination. Rail travel is marketable to the South African public because the air travel market from Johannesburg to Cape Town is significant, with about 24 000 commercial flights a year.”

Liberalising rail will allow for rail freight to be operated with the efficiency of the private sector at the core of designed operations, says rail infrastructure consulting company Taylorail CEO David Taylor. Taylor says this will allow for end-clients to benefit from lower cost-per-ton deliveries that will, in turn, promote a relationship defined on a service-level basis, with contractual mechanisms in place to enforce performance.

Train operators are working to restore the condition of South Africa’s rail network, including trains and stations, which is in “dire straits”, says Railway Safety Regulator (RSR) chief operations officer Tshepo Kgare. “The ageing infrastructure and limited capacity to move more goods and passengers is a challenge. Rehabilitation, maintenance and upgrades of the infrastructure is imperative.”

New research shows how better collaboration with suppliers can help minimize supply disruptions, improve sustainability efforts, and promote innovation. Plus: Gartner’s Global Supply Chain Top 25 list is released; drayage rates continue to climb.