Corporatisation of TNPA welcomed by Durban shipbuilding firm

Corporatisation of TNPA welcomed by Durban shipbuilding firm

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Durban – Shipbuilding firm, Sandock Austral Shipyards has welcomed President Cyril Ramaphosa announcement this week to to establish the Transnet National Ports Authority (TNPA) as an independent subsidiary of Transnet saying it would unlock the full potential of the country’s ports.

Noting that the president’s announcement is a key part of the legislation that was designed with the modernisation and efficient operations of South Africa’s ports, Prasheen Maharaj, CEO of SAS said the plan had been 15 years in the making.

“This has been an unresolved matter for the last 15 years and it bears testimony to the leadership of Transnet Port Authority under Pepi Silinga who has been able to accomplish this within his first year as CEO,” Maharaj said.

“We are very certain that this will go a long way towards unlocking the full potential of our Ports and will surely fast track the proposed R100 billion investment into our Ports for the benefit of all our people.

“This is needed more than ever as our people continue to battle the scourge of unemployment, inequality and poverty that has only be exacerbated by the Covid-19 pandemic,” Maharaj continued.

Maharaj said he was heartened to hear the President say that all of the assets of Transnet belong to the people of South Africa.

“This gives me great courage, confidence and optimism to continue to engage

Transnet on creative and innovative ideas to leverage the people's assets for the benefit of the people. We at Sandock Austral Shipyards extend our unwavering support as TNPA embarks on this exciting new evolutionary journey to take its rightful place on the global stage,” Maharaj concluded.

The establishment of the Transnet National Ports Authority as an independent subsidiary of Transnet, in line with the National Ports Act of 2005.

“This will create a clear separation between the roles of the infrastructure owner, which is the Transnet National Ports Authority, and the terminal operator, which is Transnet Port Terminals,” Ramaphosa said at the announcement in Cape Town on Tuesday.

“The functional and legal separation of these roles, which are currently operating divisions of the same company, will enable each to be fulfilled more independently and with greater efficiency.”

The Presidency said that this will mean the establishment of an independent National Ports Authority as a wholly-owned subsidiary of Transnet, with its own board appointed by the Minister of Public Enterprises.

In particular it will mean that revenues generated by the ports can be invested in port infrastructure, both for the replacement of old equipment and for the upgrading and expansion of our ports.

The creation of a separate subsidiary will allow TNPA to make its own investment decisions and will ensure that it treats all terminal operators fairly and equally in the interests of port users.

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