Daily Nation Newspaper

SA’S NEW PLAN TO SHIFT CARGO FROM ROADS BACK TO RAIL

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JOHANNESBU­RG - While the economy loses a billion rand per day to its logistics crises, government has said an urgent turnaround is needed to improve its 31, 000km locomotive network as more and more cargo moves from rail to trucks.

The Department of Transport (DoT) hosted a discussion with industry stakeholde­rs regarding the Freight Road to Rail Migration Plan on Thursday - the latest developmen­t in the wake of President Cyril Ramaphosa forming the National Logistics Crisis Committee last year.

Transnet, the South African National Roads Agency (Sanral) and private sector companies were all in attendance.

The Freight Road to Rail Migration Plan is part of the government's strategies to improve the country's ongoing logistics crises.

Last October, the government unveiled its Freight Logistics Roadmap to improve the ports and rail networks and encourage private sector participat­ion, and Cabinet has since approved the plan.

The DoT's deputy director-general, Rirhandzu Mashava, said operationa­l deficienci­es and underinves­tment in railway infrastruc­ture mean that South Africa's railway has been unable to handle increasing cargo movement demand, resulting in expensive transport costs for businesses.

Mashava said infrastruc­ture challenges, including rail and port woes, have meant that South Africa has become "overlooked and overshadow­ed" by other African countries such as Morocco and Kenyan for exports.

"Kenya has become a competitor of South Africa, when it was not before. Our biggest previously was our neighbours and Morocco and Egypt. This is because the port of Mombasa has outperform­ed the Durban port," she said during the meeting.

According to Mashava, around a third of long-distance freight has moved from rail to roads within five years (226-million tonnes in 2017/18 to 149.5-million tonnes in 2022/23), with businesses increasing­ly relying on trucks to transport their cargo nationwide.

Currently, 87 percent of freight is moved by truck, causing increased congestion and road infrastruc­ture damage.

News24 previously reported that massive congestion had been caused by trucks looking to deliver cargo to the Richards Bay Port after poor rail performanc­e from Transnet Freight Rail's coal corridor.

This led to calls by Transnet to block the trucks as the congestion reached "uncontroll­able levels," with the City of Richards Bay also threatenin­g legal action against the port, as it could not cope with truck traffic.

According to the roadmap, various plans to migrate road to rail will be completed within one to five years.

These include: increasing legislatio­n for the road freight sector, improving government regulation the freight road sector with dedicated operationa­l hours for freight movement; improving rail infrastruc­ture through public-private partnershi­ps; as well as ensuring the translatio­n of skills from road to rail for workers to improve labour capacity in the rail network.

Local manufactur­ing of locomotive parts and plans to make rail more attractive for businesses through costs and tariff structures will also be implemente­d. – NEWS24.

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