PE waterfront plan on again

Considered for decades as just a pipe-dream, Transnet has moved to engage port industry players on its plans to develop a much-touted waterfront in Nelson Mandela Bay.

Be it transformation initiatives, business opportunities or proposals for investments, Port of Port Elizabeth bosses kickstarted talks on Thursday to solicit views on what many believe would be a gamechanger in the city’s ocean’s economy.

Port of PE manager Rajesh Dana said development of the waterfront would commence later in 2019 and would be a pivotal platform to boost the province’s economy and “transform the face of the port and the city”.

The waterfront development is expected to be undertaken in phases, starting small and then expanding in line with market demand.

Phase one of the waterfront development will take place on current vacant land.

But Dana said the port would need to critically address – in support of meeting shareholders’ objectives – improving operating efficiencies, regional integration and optimising investment in the port system.

“We also want to position the Port of PE as the premier automotive hub.

“We already have a jampacked automotive terminal and that speaks to the heart of our strategy, and that tells us that our strategy is working.”

Despite emission issues with vehicles and bans imposed by the UK in 2018, the port managed to meet its budgeted target, mainly due to an increase in VW exports to Europe, he said.

This, while the number of imported vehicles declined due to slow domestic consumption.

“The 2019-20 prospects for automotive volumes look promising in light of high volume forecast of VW exports.

“[Furthermore] Ford, in line with their multi-port strategy, have committed export of about 600 units a month from the Port of Port Elizabeth.”

Dana said port authorities were also in discussions with original equipment manufacturers in Gauteng to be their port of choice for exports.

Port engineer at Transnet National Ports Authority (TNPA), Theo Sethosa, said capital expenditure (capex) by the port for 2018-19 was largely underwhelming.

“We are admittedly sitting at about 38%-39% in terms of our capex for the last financial year,” Sethosa said.

“We spent about 70% of what we had planned” for the port.

“We should be sitting at 100%. We have undertaken an extensive engagement process where we are meeting with our customers to understand how we can transform the port.”

This would include the views of “the people of Nelson Mandela Bay and other partners”.