Democratization of South Africa’s ports space is among key goals of the establishment of the country’s Ports Consultative Committee (PCC).
The PCC is a statutory structure set up by Government with a view to ensuring that all economic participants at the country’s major ports have equal access and contribution to management of the ports infrastructure and associated resources.
This is according to the PCC Secretariat, the South African Maritime Safety Authority (SAMSA) during the holding of the first ever meeting of Gauteng based ports stakeholders in Johannesburg recently. Johannesburg is South Africa’s financial capital with several investors in the country’s ports based on or operating from the inland city.
The PCC was established by the Department of Transport in terms of sections 80(1)(a), (c), (d) and (g) of the National Ports Act, 2005 and has been operational in the country’s nine commercial ports for some time since.
The PCC’s presence and role also fulfills part of the mandate of the Ports Regular of South Africa which requires that the regulator “must conduct a public participation process as part of the economic review in each of the ports, including conduct one or more public hearings in the manner set out in the Directives issued by the Regulator in terms of the Act.”
In this year’s round of ports stakeholder consultations involving roadshows from Richards Bay in the east coast through to Saldanha Bay in the west coast, the PCC for the first time included Gauteng based ports stakeholders, with a meeting held at a venue near O.R Tambo international airport on Wednesday, 29 May 2019.
Ms Selma Schwarz-Clausen, a senior official of SAMSA charged with handling the secretariat responsibility of SAMSA for the PCC, described the first ever staging of the meeting for Gauteng based ports stakeholders a major step forward in ensuring broad and inclusive participation by all key and relevant stakeholders in the development and management of the country’s parts for economic beneficiation of all.
In the following video, Ms Schwarz-Clausen explains the role of the PCC and goals.
Also attending the meeting was Mr Mahesh Fakir, Chief Executive Officer of the Ports Regulator of South Africa. He also explained his role in National Ports Consultative Committee which he described as on the whole, as that of an observer who contributes in discussions if requested to do so, but “is not be permitted to participate in any voting or raise any objections to any action, decision, or advice proposed to be taken or given by the Committee.”
In the three (30 minutes video below, Mr Fakir briefly outlines the role of the Ports Regular in general as well as its interest in the work of the National Ports Consultative Committee.
Exploration and responsible exploitation of maritime sector opportunities are not the preserve of only South Africa’s coastal provinces but are a multi-billion rand worth golden opportunity all people in the country should equally pursue and enjoy, speakers at this year’s World Maritime Day celebration on Thursday, 29 September 2016 emphasised.
Leading the charge at the function held this year on the west end of the Gariep Dam – South Africa’s biggest by far – situated at the Orange River, some 200km south of Bloemfontein, Free State Province – was South African Maritime Safety Authority’s (SAMSA) acting Chief Executive Officer, Mr Sobantu Tilayi, along with his counterparts in Transnet National Ports Authority (TNPA) CE, Mr Richard Vallihu and National Ports Regulator, Mr Mahesh Fakir
Addressing an audience of about 600 people, just about half of whom were high school pupils deliberately bussed in from surrounding rural schools for a career exposition, Mr Tilayi said the country’s maritime economic sector, long in the periphery of economic activity for particularly the black majority, was now an open canvass upon which talent is being be drawn from across all sectors of society for the greater benefit of all.
With South Africa’s maritime economic sector, through the Operation Phakisa initiative, projected to contribute as much as R177-billion to the country’s Gross Domestic Product and in the process creating as many as 800 000 to 1-million direct jobs by 2033, according to Mr Tilayi, it was incumbent upon leadership of inland provinces to quickly but carefully figure out how communities located here could benefit.
Under Operation Phakisa (Ocean Economy), key focus areas comprised marine transport and manufacturing, offshore oil and gas exploration, aquaculture, marine protection services and governance, small harbours, maritime heritage, coastal and marine tourism involving also inland waters, skills and capacity building and research technology and innovation.
These are backed up by Government’s port and onshore infrastructure development – some with private sector investors – involving about R500-billion over the next decade spread across and in between the country’s eight major ports from Saldanha Bay in the west through to Richards Bay in the east.
In part, this was to take advantage of the business and job creation opportunities presented by the approximately 30 000 vessels (about 60% of total global fleet) passing South Africa each year, and about 13 000 of which dock at the country’s ports for a whole range of reasons – a global sea trade scenario Mr Tilayi described as positioning South Africa as the “corner café” of the global shipping industry given its equidistant location at the southern tip of the African continent between western and eastern countries.
Through this steadily increasing opportunity, previously neglected coastal cities such as Port Elizabeth in the Eastern Cape – now with the country’s deepest port, the port of Ngqurha – were benefitting by as much as R150-million per month due to recently introduced bunkering services.
Mr Tilayi, however, dismissed it as ignorance and a misconception that people in the country’s four coastal provinces stretching some 3000km from the Atlantic Ocean to the Indian Ocean – Northern Cape, Western Cape, Eastern Cape and KwaZulu-Natal – for close proximity only, were necessarily better advantaged or entitled to exploration and exploitation of maritime sector economic opportunities.
Indeed, from a maritime sector skills development perspective, he said, Limpopo – the most inland and furthest province from the oceans by more than a thousand kilometers in any direction – was proving the notion a myth as it competed equally, progressively with coastal provinces, ranking second to KwaZulu-Natal in the production of seafarers now numbering close on 12 000.
In addition to an increasing number of cadets from Limpopo at the country’s maritime sector education focused institutions, Mr Tilayi said the province made maritime sector history recently as a home to one of the first ever three young black women to qualify as Master Mariners qualified to handle any type or size of commercial vessel anywhere in the world.
Stressing an importance of recognition that skills and business opportunities in the country’s maritime sector were by no means limited at all by ocean-going, but rather involving occupations also as basic as farming, manufacturing or services with no direct connection with seafaring, he said the Free State province, the most central of the country’s five inland provinces, had every reason to figure out urgently how to take advantage of its location in order to position itself as a meaningful player also in the maritime economic sector.
Mr Tilayi also urged Government and the private sector to increasingly work much closer together. He said while it was Government’s role to facilitate business investment opportunities, it was private sector investors’ responsibility to actively show appetite through direct engagement and involvement.
Meanwhile, Mr Vallihu of Transnet’s National Ports Authority extended an invitation to the Free State community to take advantage of the ports authority vast training programme across several interrelated transport sectors – road, rail and sea.
He said the NPA with four divisions is currently involved in an infrastructure, transport and logistics investment over 10 years since 2012 worth half a trillion rand. Since 2012 to date he said, the NPA had spent some R124-billlion on these, but also as much as R8-billion in skills development alone, leading to the graduation in 2015 of close on 4 000 trainees in various skills.
To increase public awareness of the opportunities, Mr Vallihu announced that the NPA had launched a free WiFi service in mostly disadvantaged communities of the eight port cities to enable people to fully gain access to relevant information relating to the ports’ activities.
To listen to Mr Vallihu’s full remarks, Click Here
South Africa also boasts cheapest tariffs for merchant shipping sector than any other ports in the world: National Ports Regulator
Xhariep Dam (Free State): 30 September 2016
The beefing up of ocean environmental protection, particularly pollution prevention as well improvement of labour conditions for seafarers are among a series of initiatives currently being pursued in broad efforts to enhance rejuvenation and development of the maritime esector, the Transport Department confirmed this past week during the global observation of the World Maritime Day 2016.
Speaking at South Africa’s own version of the event held at Xhariep Dam in the Free State on Thursday, and whose international theme for 2016 was: Shipping is indispensable to the World; Transport Department maritime transport branch acting deputy Director General, Mr Clement Manyungwana highlighted a series of activities the department was engaged in currently with several stakeholders – among them other Government departments, the International Labour Organization (ILO) and the International Maritime Organization (IMO) – to strengthen the country’s hold and management of its maritime sector development drive.
According to Mr Manyungwana, among the initiatives he said were closely aligned to the country’s National Development Plan (NDP) were;
development of an integrated transport strategy,
enhancement of ocean security through acquisition of additional vessels,
promulgation of legislation to advance the protection of seafarers onboard vessels, as well as
development of further maritime policy and legislation
The improvement and enhancement of ocean environmental protection regarding particularly oil pollution was in part, in recognition and appreciation of the growth in shipping traffic drawn to newly established bunkering services at the country’s newest deep water port, the port of Ngqurha near Port Elizabeth in the Eastern Cape province.
Meanwhile, National Ports Regulator CE, Mr Manesh Fakir said in efforts dedicated to attracting more global business trade vessels onto the countries’ port and to enhance local exports competitiveness, several studies had been conducted over the last year and which have led to identification of various efficiencies as well as establishment of a basket of incentives in the form of tariff reductions.
Mr Fakir said as a result, shipping liners reporting on South Africa’s ports now enjoyed lower prices of up to 50% less in comparison with comparable ports elsewhere in the world, with iron ore shipments specifically now paying less by up to 70-80% – largely due to the Rand/Dollar exchange effect.
On efforts to bolster South Africa’s export trade, he said that locally manufactured goods for export through containers also enjoyed as much as 70% lower tariffs compared containerized imports.
However, Mr Fakir warned that with global fleets increasing vessel carrying capacities leading to reduction in actual fleets, tariffs would not hold down for too long and might indeed increase over the next 10 years largely due to infrastructure maintenance and upgrading costs.
For Mr Fakir’s full remarks (Audio only), Click Here