Cape Town mayor Geordin Hill-Lewis made a strong case for the implementation of fast-paced privatisation initiatives at the Port of Cape Town, emphasising what it would mean for the economy of the Western Cape.
Speaking at a meeting of the Exporters Western Cape (EWC), his comments were aired on the evening ahead of a news report on Tuesday morning, stating that Transnet is not interested in entertaining privatisation developments similar to what’s happening at the Port of Durban.
However, at least three industry stakeholders said that the report is based on old information, and factually inaccurate in referencing, in current terms, former port manager Rajesh Dana.
EWC chair, Terry Gale, pointed out that Dana had moved up the corporate ladder at the state-owned logistics company and had since been transferred to the Port of Ngqura.
“Not sure how much water this holds,” Gale said about the report that claims Cape Town won’t follow Durban’s lead in relation to Philippines logistics multinational, International Container Terminal Services (ICTSI), getting 49% concessionary control at Durban Container Terminal.
Clifford Evans, customs liaison manager at freight forwarder Berry & Donaldson, also criticised the report, saying it’s not true that Transnet is opposed to privatisation in Cape Town.
“They are open to private-sector participation but are looking at it as a long-term plan, within the next five to six years. But the Western Cape government is pushing to get the process started now.
“Their view is that an inefficient port has a direct impact on the economy of the province,” said Evans.
In the meantime, a harbour carrier from Durban (see a report from July 30 elsewhere) is questioning Transnet’s motives about ICTSI, coming at a time when the parastatal has reconfirmed its commitment to privatisation.
“They’re not playing open cards with us. I spoke to people within the organisation and they say things have gone very quiet about ICTSI.”
The source, who doesn’t want to be named at this stage, said he’s aware of the court case APM Terminals have brought against the awarding of a concessionary tender to ICTSI, which will only get to court later in the year.
“It’s not about the court case. It’s about whether it’s going ahead at all. I’ve heard from reliable people that it’s not going ahead anymore,” he said.
