NGQURA - Commemorative Souvenir Edition

the Port of

CONTENTS PORT OF NGQURA COMMEMORATIVE SOUVENIR EDITION

2 Foreword by Brian Molefe, Group Chief Executive: Transnet 4

Message from the President of South Africa, Jacob Zuma

6

Message from the Minister of Public Enterprises, Malusi Gigaba

8

MESSAGE from Mafika Mkwanazi, Chairperson: Transnet

Key divisions 13 TRANSNET CAPITAL PROJECTS How TCP carved a new port from an undeveloped shore 25 TRANSNET NATIONAL PORTS AUTHORITY Port “landlords” TNPA seamlessly deliver port infrastructure and services 31 TRANSNET PORT TERMINALS TPT keeps the now fully operational Ngqura container terminal running smoothly 37 TRANSNET FREIGHT RAIL Infrastructure and services from TFR link the port with the rest of the country

Features 10 HISTORICAL OVERVIEW Making history 18 FOCUS ON: SAFETY Safety first 20 FOCUS ON: SUSTAINABILITY Working with the environment 22 ECONOMIC OVERVIEW Growth path 43 HUMAN DEVELOPMENT Skills for life 47 INNOVATION A modern masterpiece

Published on behalf of Transnet SOC Limited by Mikateko Media All photographs by Jaco Wolmarans

Arum nulparis explict iantemporum nullandipsam ipsus, et dolut fuga. Nam, cum sum a conecum rem fugitem quiducia deste preribus et ut am quas eaquati nvendios demodi beat.

Optatur aut dolorerum re, totat quatquiatur simet ellabo. Namus explit, net la am venda aut aut exereru mquunt, optur, se por modit qui dolume simodio volorpora samet quidis es mosam, sum ex et mos asperatias ilitatum nitatiatus pa sanimin tiossinihil ma cus, officium nuscias endant oditate cusciusciat dolo qui acea doloreium vendige nditis aut ut aliquunt ex eveliqui andeliquibus es sit perempos nonest andandit vellaut et pa sequi consendest volupta ex et pori ate aut officatur, con nam nectess imaximagnis nihit, nienimo luptaqu aerciendem etur aut perumquibus doluptat ius, aut dolorias aut omnitibus autenis amus erspedi odipsap erferi adi sequias reprae re omnihil lorumquiate abor re is esto conem fugia cone nullore rnamendisse nimagnis aut re officiae vero incia cor rerferibust litati derit qui tet et ea simus est re repreperum doluptatem as sit hil ipsapiendam as et velit persperi volorum rerum quam volupic to et que conse et eicatist, temquiam verumquia nam ut andae odiant.

Nem. Sam dem vendi volo volorib erspedi cusam quossin rerit ab ipsae quiam rem inihit volorectum conem imus.

Tempelignam evendiore conet eum earita dolutae ctenes est remqui saped qui demporupta dolora consequibus aut velliquam in prempe landae nis etur?

Soluptae ex erunt. Aceristi omni quidentiis qui ad utaturepre voluptia cum volendam aut fugiandiam que ea ex et porupienese vendit lamus aut quunto ima seque nis non nis denis ea verion comnis mo dolloris vero corem que ad que et que ent aceaqui de rae sedis untius audaes volor ad ea sitatur soluptae. Unt omnia velicia epudis re, utation poriosam que commemorative souvenir edition 3

foreward by the group chief executive: transnet

brian molefe

Arum nulparis explict iantemporum nullandipsam ipsus, et dolut fuga. Nam, cum sum a conecum rem fugitem quiducia deste preribus et ut am quas eaquati nvendios demodi beat.

Optatur aut dolorerum re, totat quatquiatur simet ellabo. Namus explit, net la am venda aut aut exereru mquunt, optur, se por modit qui dolume simodio volorpora samet quidis es mosam, sum ex et mos asperatias ilitatum nitatiatus pa sanimin tiossinihil ma cus, officium nuscias endant oditate cusciusciat dolo qui acea doloreium vendige nditis aut ut aliquunt ex eveliqui andeliquibus es sit perempos nonest andandit vellaut et pa sequi consendest volupta ex et pori ate aut officatur, con nam nectess imaximagnis nihit, nienimo luptaqu aerciendem etur aut perumquibus doluptat ius, aut dolorias aut omnitibus autenis amus erspedi odipsap erferi adi sequias reprae re omnihil lorumquiate abor re is esto conem fugia cone nullore rnamendisse nimagnis aut re officiae vero incia cor rerferibust litati derit qui tet et ea simus est re repreperum doluptatem as sit hil ipsapiendam as et velit persperi volorum rerum quam volupic to et que conse et eicatist, temquiam verumquia nam ut andae odiant.

Nem. Sam dem vendi volo volorib erspedi cusam quossin rerit ab ipsae quiam rem inihit volorectum conem imus.

Tempelignam evendiore conet eum earita dolutae ctenes est remqui saped qui demporupta dolora consequibus aut velliquam in prempe landae nis etur?

Soluptae ex erunt. Aceristi omni quidentiis qui ad utaturepre voluptia cum volendam aut fugiandiam que ea ex et porupienese vendit lamus aut quunto ima seque nis non nis denis ea verion comnis mo dolloris vero corem que ad que et que ent aceaqui de rae sedis untius audaes volor ad ea sitatur soluptae. Unt omnia velicia epudis re, utation poriosam que commemorative souvenir edition 3

foreward by the group chief executive: transnet

brian molefe

historical overview

4 commemorative souvenir edition

There have been many proud moments during the development of the Port of Ngqura. Breaking ground on this project almost a decade ago, after many years of careful deliberation and planning, was a high point.

The completion of the basic port infrastructure, such as the impressive main breakwater, came with a great sense of accomplishment. Most gratifying has been the innovation inherent to the project: world firsts include the installation of a ground-breaking fixed embedded jet-pump sand-bypass system. Primarily, however, we as a shareholder take pride in the fact that the port is proof of Transnet’s growing expertise in initiating and driving megascale projects. Given the challenges that will face both the country and Transnet as we build the infrastructure necessary for rapid economic growth, this success story gives us both faith in the future and, more concretely, a case study to use in future ventures.

Transnet shoulders a heavy responsibility. Without the ability to move commodities and goods around the country efficiently, South Africa’s economic growth prospects would be severely hampered. Although our country is endowed with considerable resources and expertise, the extent of investment in new infrastructure and upgrades over the coming years may seem daunting to some. Our challenge is to enable not only speedy implementation, but also the most efficient progress possible.

In Ngqura we have proof that these goals are not mutually exclusive: much can be achieved in little time and without waste. More than that, the demand for berths already shows how much latent demand can be unlocked through infrastructure development, and just how significant the economic knock-on effect can be. It is perhaps too early to declare Ngqura an unqualified success – but to merely say that we are happy with the results so far would be an understatement. commemorative souvenir edition 5

Message from the Minister of Public Enterprises

malusi gigaba

economic overview

6 commemorative souvenir edition

Lorem Ipsum The government of South Africa has made it clear over the past number of years that investment in infrastructure is a fundamental part of our economic development strategy. It is vitally important to help us create jobs for our people. In few places is this commitment – and our determination to deliver on it with all due urgency – as visible as at the Port of Ngqura, and within the Coega Industrial Development Zone as a whole. This development stands as testimony to what can be achieved through partnership between local, provincial and national government, state-owned entities and private enterprise.

Just as this achievement would not have been possible without government’s resolve, we could not have reached this point without enthusiastic cooperation from Transnet and its stakeholders.

The Port of Ngqura as it stands today represents only the start of our ambitions for the area. The Eastern Cape requires a great deal more economic growth before we can break the cycle of poverty, but the Port of Ngqura will be a central hub in the development of the region. Our country requires the necessary, modern infrastructure to enable the effective and efficient movement of cargo, especially on the export side. In these respects our commitment to further investment, and to innovative measures to stimulate development, remains unflagging.

In these tough economic times – not only for us, but also for our major trading partners – it becomes all the more difficult to find the right balance between the many demands on our limited available resources. It also becomes essential to prepare for the future; for a time when the global economic climate becomes more favourable. Being prepared for that future, in which we hope to bring a better life to all citizens, requires preparation in the present. commemorative souvenir edition 7

Message from the chairperson: transnet

mafika mkwanazi

making Already a key site in South Africa’s maritime heritage, the Port of Ngqura is about to write a new chapter in the history books of the Eastern Cape – and of South Africa.

8 commemorative souvenir edition

text: mark van dijk

M

any people asked the same question when they heard about plans for the new Port of Ngqura. Why, with Port Elizabeth 20km to the southwest and East London under 300km to the northeast, was it necessary to build another port on the Eastern Cape coastline?

The answer is partly to do with history, partly to do with geography, and mostly to do with economics.

Algoa Bay has always been a key site on South Africa’s east coast. Bartolomeu Dias landed here in 1488, making it one of the first South African bays to welcome European explorers. When British settlers arrived in 1820, the local San people described the bay to them as “Ngqura” – meaning “ground water” –

which was transliterated into English as “Coega”.

That name is now used for the Coega Industrial Development Zone, a 110km2 area situated within the Nelson Mandela Metropolitan Municipality.

Modern investors are drawn to the deepwater Port of Ngqura for the same reason it appealed to Dias’s sailors: its strategic location at the centre of the world’s east-west trade routes.

Transnet’s strategy from the outset has been to position the Port of Ngqura as a world-class transshipment hub, and to use it to grow the regional (and national) economy by bringing additional trade to our shores. It has invested some R10 billion in the project to date. Economically, South Africa needs a port that can accommodate

modern super-sized vessels. And while the Port of Port Elizabeth is hemmed in by the surrounding city, the Port of Ngqura – and the surrounding Coega Industrial Development Zone (IDZ) – has room to grow. When the idea for the port was tabled in 1996, the vision was to develop the port, the IDZ and their environs into one of the world’s major production locations. And so the Port of Ngqura – South Africa’s eighth commercial port – was born.

GEARING FOR GROWTH The Eastern Cape is caught between two very different economic realities: on one hand, it remains one of South Africa’s most impoverished regions; on the other, it is a region of growing industry

commemorative souvenir edition 9

historical overview

history

historical overview

and limitless potential. Nelson Mandela Bay (or Port Elizabeth) is already one of Africa’s biggest automotive manufacturing centres. It is home to Volkswagen South Africa, General Motors South Africa, the Ford Motor Engine Plant and a broad auto components sector. The Metropolitan Municipality (which includes Coega, Port Elizabeth, Uitenhage and Despatch) produces about 11% of the total number of catalytic converters made for passenger vehicles worldwide – most of which are exported.

In her State of the Province address in Bhisho in February 2012, Eastern Cape Premier Noxolo Kiviet hinted at the launch of a R76 billion oil refinery project at Coega. Then, in his State of the Nation address later that month, President Jacob Zuma announced – as part of the government’s R1.3 billion investment in South Africa’s industrial development zones – the expansion of the manganese corridor from the Northern Cape to the Port of Ngqura, with Transnet set to build a railway line to carry 16 million tons of manganese to the new port every year.

The Coega IDZ has already attracted 21 operating investors, bringing in R1.24 billion in private sector investment, and creating 3 645 construction jobs, 2 985 direct jobs and 25 000 indirect jobs. The IDZ has projects worth a further R7.6 billion lined up for 2012. But as the IDZ drives growth in the region, the Port of Ngqura is at the heart of driving the IDZ.

WELL PLACED Ngqura has an enviable geographic location: its deep channel and protection from the prevailing southwesterly wind give it 330 anchor days a year.

With Johannesburg, Cape Town and Durban an overnight train trip away, the port has a strategic advantage in meeting import and export needs.

It takes a certain amount of skill to fully harness that geographic and environmental advantage, though – and that’s where Transnet’s teams of talented employees came in. Rather than being constrained by topography, the construction teams planned the port’s layout around its natural environment. By using the natural channel that runs between the site and Jahleel Island (a kilometre offshore), a deepwater port was

Sizeable feat

R10 billion

Transnet’s total investment in the Port of Ngqura to date

16

million

3.5

Years taken for the completion of Phase 1 construction

Total tonnage of manganese that will be handled by the port every year

330 4.5

The total anchor days offered by the Port every year

Years taken for the completion of Phase 2 construction

created without the need for extensive dredging work.

Meanwhile, the steep northern part of the Coega River valley was used to facilitate the dry bulk cargoes, while the gentler slopes on the southern side were adapted to container handling.

The aim throughout construction was to work with – rather than against – the port’s natural setting.

The Coega IDZ is expected ultimately to grow to 11 000 hectares (or 110km2) of light to heavy industrial land. As investment grows, factories, warehouses and office complexes will emerge in the area around the busy Port of Ngqura – driving economic growth and providing opportunities for investment and employment in the region. And as Ngqura picks up the capacity that Port Elizabeth and East London are unable to handle, Transnet will continue to find solutions to the construction and operational challenges that this new port presents.

Even today, as one looks at the newly opened port, the scene is a far cry from the sandy beach on which Bartolomeu Dias landed. And so a new chapter begins.

ALL IN A NAME… NGQURA means ground water in Khoisan and Xhosa and was the name originally given to the river that runs into the bay. It was transliterated into English as Coega by the British. Other historical spellings include Cougha, Coecha, Koecha and Koega. Coega is pronounced ‘koo-gha’, while pronouncing Ngqura correctly requires mastering the initial Xhosa click.

10 commemorative souvenir edition

TRANSNET CAPITAL PROJECTS Ngqura is South Africa’s first new port in 25 years, built to accommodate some of the biggest vessels on the sea.

For almost a decade, Transnet Capital Projects teams worked long hours to carve the port out of Algoa Bay, using state-of-the-art methods to create the desired channels, berths and facilities. Along the way, it set exemplary safety standards and earned accolades for its commitment to sensitive development.

commemorative souvenir edition 11

Transnet Capital Projects (TCP) is exceptionally proud to have delivered this project with a team of talented engineers and committed project managers. Working with our joint venture partner, TCP has managed the provision and construction of all the basic port infrastructure. The project has claimed many firsts for the company, including the very first Hydrofraise drilling machine put to use in the country.

TCP excelled in delivery on this project – economically, environmentally and technologically.

In 2010, the Port of Ngqura won the South African Institute of Civil Engineering award for engineering excellence. This was particularly pleasing for Transnet as the port competed against other high-profile projects, including new soccer stadiums constructed for the 2010 World Cup. It has also been recognised both locally and globally for its innovation in sustainability.

Another key initiative was to provide opportunities for emerging local contractors.

Specific packages were awarded to black-owned firms, and the necessary support and training was given to these companies throughout the project. Ngqura provided a springboard for these companies to establish themselves for future infrastructure work in the region. Transnet Capital Projects is proud to have contributed to creating a better future for all through the delivery of this important project.

commemorative souvenir edition 13

Message from the chief Executive: Transnet Capital Projects

moira moses

The

Port Plenty of

After a decade of construction work, and more than a few interesting challenges, Transnet Capital Projects is celebrating the official opening of South Africa’s eighth commercial port.

of concrete, with more than two dozen 20-ton trucks working 24 hours a day to transport rock and aggregate from a quarry nine kilometres away. The five berths total 1 520m, and when the port is fully developed, another 32 berths will be available.

A FEAT OF CONSTRUCTION Construction of the port was done in two phases.

Phase 1 ran from September 2002 to February 2006, and began with the announcement on 7 August 2002 that Transnet had awarded three major contracts, totalling almost R2.2 billion, for the development of the Port of Ngqura. R1.4 billion of that went to the provision of breakwaters and quay walls to protect the port from Algoa Bay’s winds and waters. About R100 million was spent on the installation of a sand bypass: the first of

A BRIEF HISTORY OF THE PORT 1996 Planning and design of the Port of Ngqura begins

2001 Environmental Impact Assessments completed

14 commemorative souvenir edition

2002 Physical construction begins on the breakwaters

2002–2006 phase 1 Quay walls, breakwaters and the sand bypass system are built; dredging berths and channels gets underway

text: mark van dijk

T

he Port of Ngqura is a deeply impressive engineering, construction and project management feat. Just a cursory glance at the numbers reveals the extent of Transnet’s achievements from a capital project point of view. The scale of the project was immense, with the development and planning stage beginning in 1996, and physical construction starting in 2002. The results of this massive undertaking are now there for all to see.

The deepwater port covers a total land and water area of 1 504 hectares, is able to serve postPanamax container ships of up to 12 500 twenty foot equivalent units (TEUs), and can accommodate vessels of up to 100 000 deadweight tons and with a draft of 16m (weather permitting). The breakwater required five million tons of rock and 380 000m3

A typical 2 400 TEU container vessel

A typical Panamax Size container vessel of 4 500–6 000 TEUs, or double the capacity. These ships can dock at Ngqura

its kind in South Africa, it was designed to move up to 320 000m3 of sand a year. Finally, the third contract – valued at about R480 million – related to the dredging work, which will enable ships of up to 100 000 deadweight tons to enter the port safely, be moored, and then turn around again.

This first phase included the construction of breakwaters (the port consists of a 2.7km-long main eastern breakwater, which extends into Algoa Bay to a maximum water depth of 18m, along with a 1.125km secondary western breakwater), the sand bypass system, five berths and back-up areas.

The port basins and entrance channel were also dredged, and the quay wall extended to 1 300m, with the first 720m equipped with landslide equipment. Meanwhile, a pilot boat and three tugs were acquired, and a rail link was built from the container terminal to the main rail line to Gauteng.

Phase 2 work was done between November 2006 and May 2011. Its main objective was to complete the remainder of the infrastructure (including the extension of the container quay) and to prepare the port for its ultimate operational task: handling containers and other bulk and break-bulk cargoes.

This second phase included the provision of equipment for two berths. The construction of the quay wall for two additional container berths was also completed, together with dredging work at the new quay. When all berths are fully equipped, container handling capacity will be two million TEUs. A total of 14 million cubic metres of dredging

2006–2011 Phase 2 Roads, rail links, port security, electricity and container handling capacity are built

Post-Panamax container ships of 9 000–12 500 TEUs. Ngqura can also serve these vessels

works was carried out to level the cargo areas and create the deepwater berths, while the original land levels of 45m above sea level had to be flattened.

The quay walls at the Port of Ngqura are the strongest of all quay walls in the Transnet National Ports Authority system, protected by a 10m wide by 0.6m thick unreinforced concrete scour slab to prevent the undermining of the quay wall foundation.

Other Phase 2 work included the port’s security systems, operational buildings and container handling systems. Roads and electrical services were also completed, as well as a marshalling rail yard and rail link (including a rail bridge over the Coega River) to the Ngqura Container Terminal.

THE RESULTS The Port of Ngqura finally welcomed its first vessel on Sunday 4 October 2009, when the MSC Catania loaded and off-loaded a total of 275 containers, at an average of 19 containers per hour. Two days later, a second commercial vessel called at the new port. This time the 275m MSC Shanghai off-loaded 50 containers and loaded 101 containers.

Between these first vessels in October 2009 and March 2010, the port handled 35 403 TEUs – giving the teams on the ground a good taste of the activity that was to come. Now, as Ngqura marks its official opening as South Africa’s first new commercial port in 25 years, Transnet can reflect on 10 years of challenging but ultimately rewarding work – and look forward to ongoing growth and development.

2009 The MSC Catania, a ship about 300m long and with a breadth of 37m, is the port’s first visitor on 4 October.

It unloads 275 containers

2009 Ngqura’s first tugboat, built in Durban and one of the most powerful in South africA, docks on 9 November.

Her name is Shasa: Khoisan for “may you always find good water”

2012 President Jacob Zuma officially opens the Port on 16 March

commemorative souvenir edition 15

transnet capital projects

SUPER-SIZED FUTURE

SAFETY Transnet Capital Projects rounded off the complex construction work at the Port of Ngqura with an impressive safety record of more than four million consecutive hours without a single lost time injury.

I

n November 2011, as construction work at the Port of Ngqura wound down, Transnet Capital Projects (TCP) held an event for its staff at the port. The reason for the festivities was cause indeed for celebration: TCP had recently marked four million working hours at the port without any lost time injuries (LTIs). This represents a remarkable safety record, particularly given the technically complex and potentially dangerous nature of the work being done.

“The last lost time injury we had was in 2009, when an employee broke his ankle,” says Sharifa Ahmed, Safety Practitioner: Port of Ngqura. “Since then we haven’t had any incidents, apart from minor medical treatments or first aid cases.” Sharifa says a few hand injuries were incurred by some of the employees who were doing culvert repairs, but on-the-job injuries during the construction of Ngqura were few and far between.

Much of the credit for this must go to TCP’s strict enforcement and diligent observance of occupational health and safety regulations. Using a safety programme developed by the internationally respected Canadian-based engineering and management consultancy Hatch, the division took on an Engineering, Procurement and Construction Management (EPCM) contract with Hatch, Mott MacDonald and Goba Joint Venture (HMG-JV).

“TCP took on the job,” Sharifa explains, “but we also took on a partner to help us run it. Together with HMG we’ve tried our level best to ensure that – from a safety point of view – all the relevant rules, regulations and procedures are adhered to.”

Whenever a new contractor came on site, all employees were sent for medical assessments,

16 commemorative souvenir edition

text: mark van dijk

WORKING TOGETHER

transnet capital projects: safety

FIRST and were given a general as well as site-specific induction. Safety practitioners were on site daily to ensure contractors worked according to the procedures documented in their safety files, and joint audits were conducted on a monthly basis to ensure compliance with TCP’s specifications as well as all applicable South African legislation.

RISK AREAS One of the biggest safety concerns was external contractors who were not conversant with or aware of TCP safety specifications, or who simply did not comply with them. “That’s always going to be a problem,” Sharifa says, “when you have people wanting to do things faster and bigger, but thinking that health and safety regulations and rules are just there to hinder them.”

But those cases have been the exception, rather than the rule. “You have to give contractors their due,” Sharifa is quick to point out. “They do go out of their way to explain to their employees the various do’s and don’ts. When deviations are reported to them, they really make an effort to rectify them.”

TINUS DEYSEL, Yard Master: TFR

“There’s a very high standard of safety at Transnet. There has to be – derailment can and has happened – but from the first day we started shunting at the port, we’ve made sure people are aware of working safely.”

VETHAN DAVID, Management Accountant: TPT “In the fledgling stages, we were just a handful of people and did pretty much everything ourselves. My role has evolved yet I’m still continually challenged and excited. Transnet employs best practice and we’re kept on our toes.”

Naturally, for a project of the magnitude and intricacy of the R10 billion, 11 000 hectare Port of Ngqura, a few unusual and unexpected safety issues cropped up from time to time. “In some cases our biggest safety challenge was the language barrier,” says Sharifa, pointing out that several multinational companies were involved in the port’s construction. “We had Chinese employees on site during the dredging works, and we had to help them understand and buy into the fact that our safety practitioners were there to help them, and that we weren’t trying to catch them out or throw them off site for non-compliance. We had to win their trust and demonstrate that we were there to guide them.”

Even some English-speaking foreign workers had language problems. “We had Irish guys installing the ship-to-shore cranes, and their accents were so different to what we’re used to hearing in the Eastern Cape, we really had to listen carefully to understand what they were saying!”

These, though, are challenges that the division has consistently overcome – and that remarkable safety record of more than four million hours without a single LTI is a testament to the hard work being done by TCP and its partners.

That work isn’t due to end anytime soon.

Additional development at the port is already planned, and as expansion of the facility is an ongoing process, construction work is not due to wind up for some time. As Sharifa says, it is every employee’s responsibility to continue to make safety a priority.

working hours completed during the project to extend the container terminal quay wall without lost time injuries

total working hours passed at the Port of Ngqura without lost time injuries, as at the beginning of March 2012

SPEAKING THE SAFETY LANGUAGE

1

Simulator allows employees to practice loading and stacking in the virtual world

4.2 million

0

“ZERO HARM” is the safety vision for operations at the Port of ngqura

commemorative souvenir edition 17

environment While constructing the Port of Ngqura, Transnet never lost sight of the importance of having as little impact as possible on Algoa Bay’s natural riches.

T

he people of Nelson Mandela Bay have shown overwhelming support for the construction of the Port of Ngqura and the surrounding Coega Industrial Development Zone. And well they might: this new industrial centre and transshipment hub brings with it the promise of jobs, investment and economic growth and opportunities. Equally importantly, right from the start the project was planned as a responsible, sustainable development that respected the surrounding natural environment.

The Port of Ngqura represents more than just a sustainable boost to business in Nelson Mandela Bay. It positions Transnet as a responsible corporate citizen, with a clear focus on the triple bottom line.

BALANCING POINT Establishing a port, especially one the size of Ngqura, inevitably has an impact on the natural environment, but this can be minimised through careful construction and management. A perfect example is the sand-pumping system at Ngqura, which prevents beach erosion in an area where the port disturbs the natural flow of sand in the surf zone. However limited it may be, though, some disturbance of coastal and marine ecosystems is inevitable. This had to be balanced against the

18 commemorative souvenir edition

urgent need for economic development. Evaluating Ngqura’s impact in this regard was not an easy task, but the outcome was unequivocal.

Before construction could begin, Ngqura had to undergo a full Environmental Impact Assessment (conducted by independent consultants), as well as a formal public participation process. At the end of 2001, the then Director-General of Environmental Affairs and Tourism, Dr Crispian Olver, announced that the Department had evaluated the environmental assessment report and the associated special studies to verify whether the planned development projects would have a significant impact on the environment.

“The conclusion is that the potential benefit of the development to the Eastern Cape and the country will outweigh the negative impact on the environment,” Olver said. Ngqura was given the environmental green light.

ON NATURE’S SIDE Constructing, then operating the port with minimal impact on the region’s unique natural environment was a key challenge. One anecdote illustrates just how complex it was. A local environmentalist claimed that the proposed breakwater would have to be at least 1 000m away from St Croix

text: mark van dijk additional text: phillip de wet

transnet capital projects: sustainability

working

with the

enviro FACT file Construction of the port has provided unexpected ecological benefits.

It is well known that artificial ports can act as effective nurseries for fish, but even marine biologists were surprised at the explosion of fish numbers and the vast array of species that have come to inhabit Ngqura.

ISLAND FACTS 500 metres The “no-go” zones around each of Ngqura’s three islands, in which no port activity is allowed.

12 hectares The size of St Croix. home to the largest breeding colony of african penguins in southern africa, it was proclaimed part of addo elephant national park in 2005.

500 metres The distance between the port’s eastern breakwater and the closest island, Jahleel.

To utilise scarce rainwater in this dry region, a stormwater catchment system uses run-off for irrigation.

naturally occurring raptor species were bred and released within the port environment to ensure a poisonfree rodentcontrol system.

gannet facts • bird island, 40km to the east of st croix, is home to the largest breeding colony of Cape gannets in the world.

• Adults are about 84–94cm long and have a wingspan of 171–185cm. They weigh 2–3kg.

• cape gannets feed on shoaling pelagic fish such as sardines and pilchards, consuming roughly 300g per day.

because rats might swim out to steal eggs from the penguins and roseate terns on the island. It was eventually established that rats could, in fact, only swim 500m, so the debate was settled.

An environmentally sensitive hotspot within the project area is a unique fauna and flora coexistence called the Bontveld. This was safely fenced off on the eastern side of the Coega River, away from the construction site. No activity was allowed within 500 metres of bird-rich Jahleel, St Croix and Brenton islands – even though Jahleel is just one kilometre offshore.

To protect and conserve the bay’s rare plant life, a permit was obtained and threatened species were removed from the construction site and relocated to two purpose-built nurseries. From there the plants were transplanted into other suitable areas, or set aside for use during the rehabilitation of the port area once construction had been completed.

During construction, the Transnet National Ports Authority had to submit quarterly reports

to the Environmental Monitoring Committee – and at the same time any objections from the environmental lobby had to be addressed.

Had there been any strong objection, the entire project may well have been stopped. Fortunately, this was not the case – and a system based on ISO 140001 environmental management standards was set up to ensure that the port was constructed to the highest eco-friendly criteria.

A GREEN OUTCOME After all these challenges – from detailed consultation with residents to complex debates about how far rats can swim – South Africa’s newest commercial port now marks its official opening.

As Transnet continues to aim for that triple bottom line, the Port of Ngqura promises to deliver many more years of working together with both locals and the environment.

commemorative souvenir edition 19

economic overview

econ0mic OVERVIEW

20 commemorative souvenir edition

As South Africa plans a future of closer integration with trading partners in Africa and beyond, the Port of Ngqura stands ready to welcome ships – and help further the economic development ambitions of a nation. The enormous infrastructure project was always designed not only to ensure South Africa could accommodate newgeneration shipping needs, but as importantly, to ignite job creation and human development in the region.

in 2002, when

construction begaN …

1 million people liveD in

Nelson Mandela Bay Municipality

39% 40% 60% text: phillip de wet

liveD in poverty

NOW …

were were UNEMPLOYED UNEMPLOYED in cities

29 239

jobs have been created by the Coega IDZ

T

he Port of Ngqura represents a massive investment by the people of South Africa in the ease of trade, expansion of industry and, ultimately, future economic development. Its scope and ambition is breathtaking, even to those who deal in large-scale shipping on a regular basis, and its potential impact on South Africa and the world is considerable.

Ngqura lies adjacent to the Coega Industrial Development Zone (IDZ), and is its link to far continents and economies hungry for South African products and commodities. Through it will flow everything from ore and grain to toys, textiles and earth-moving equipment.

With its ability to accommodate new, bigger cargo vessels, and its state-of-the-art systems to ensure those vessels can load and offload and be on their way again in record time, Ngqura is a wonder in and of itself. But it is the port’s place within a greater development goal, one that will touch the lives of millions of people, that gives it true importance.

Economic development in the Eastern Cape, and specifically the area around the port itself, is not incidental to the port’s development, but has always been a core part of its mission. Act 77 of 1998 that established it a full 14 years ago made no secret of the obligation Transnet, as a key parastatal, would assume on behalf of government. “[Transnet must have] due regard to the social and economic welfare of the people living in the area,” the law reads, “and protect the environment of the area by… promoting the generation of employment opportunities … [and] promoting the establishment and success of small, medium and micro enterprises.”

commemorative souvenir edition 21

economic overview

growth path

economic overview

Construction of the port acted as a pathfinder of sorts. It was the first civil engineering project of such size in South Africa in a considerable period, and at the time the single largest government infrastructure project. Further significiant infrastructure development would depend on its sucess, so on it rested the expectation of a nation.

CRUCIAL CONNECTIONS LUVUYO HOBO, Terminal Operations Manager: TPT

“The entire Ngqura executive team was standing on the dock, a mixture of nerves and excitement, when that first ship docked. All our hard work was bearing fruit.

It’s good to know that I’m contributing to the economy of the country.”

PHILIP GRIMETT, Berthing Master: TNPA

“A highlight was docking a ship over 330m long and weighing a significant 100 000 tons. The sheer size of it was incredible.

There’s a lot more opportunity to move ahead at Ngqura and it’s exciting to see the construction and growth all around us.”

NGQURA BY

NUMBERS

14m

Capable of

handling container ships

dry bulk break bulk &

liquid bulk

design depth for loaded ships Most notable feature:

2.7km breakwater the longest in South Africa, extending to a water depth of

18m

85 358

ships served in

2009/2010

ships served in

2010/2011

STEAMING AHEAD Transnet Freight Rail plays a key role in linking the port to other areas in South Africa. It is committed to providing 400 refurbished container wagons to serve between Ngqura, Beaconsfield, Deep City Gauteng and Pretcon in Pretoria. Eventually, six 7E locomotives pulling 50-wagon trains will run in each direction a day.

22 commemorative souvenir edition

Ngqura now links the Eastern Cape with the world.

It will be a crucial hub, eventually allowing for the economic and logistical integration of the province with the Northern Cape as well as KwaZulu-Natal.

The Ngqura-Gauteng rail corridor also connects the Eastern Cape with the country’s powerhouse economy – and in turn connects Gauteng with the corridor of trade that stretches from India and beyond to Brazil, two countries with which South Africa has close ties through groupings such as BRICS (Brazil, Russia, India, China and South Africa) and IBSA (India, Brazil and South Africa).

Ultimately this benefits not only South Africa but the entire Southern African Development Community (SADC), and particularly those neighbouring countries that form part of the Southern African Customs Union (SACU).

WORK ETHIC Exactly how many jobs the Port of Ngqura will eventually create is hard to establish. Direct employment opportunities will depend partially on external factors, such as the health of the global economy and the speed of private-sector investment – but already Ngqura has created 6 500 jobs. The indirect effect is much larger: jobs will become available far and wide, in industries only tangentially connected with the port but benefiting from the speed and ease of transport it provides.

The broader Coega project, and the development it will continue to bring, would not have been possible without Ngqura.

A PORT FOR THE PEOPLE The establishment of the Port of Ngqura and the Coega IDZ is sure to help tackle the unemployment rate in the Eastern Cape and stimulate the growth of the regional economy. This growth will outlive the port and IDZ’s construction phases as the focus moves from engineering and construction to longterm, ongoing enterprises such as freight logistics and port, terminal and rail yard maintenance.

As the IDZ continues to attract investors, and with the port now fully operational, locals will find new opportunities and increased chances of sustainable livelihoods.

TRansnet

national

ports authority Since commercial operations began at the Port of Ngqura in 2009, Transnet National Ports Authority (TNPA) has worked hard to exercise its mandate: to plan, provide, maintain and improve port infrastructure and marinerelated services; to manage port activities and port regulatory functions; and to provide the necessary navigational aids so that vessels can manoeuvre safely in both the port and the wider Algoa Bay.

commemorative souvenir edition 23

historical overview

24 commemorative souvenir edition

Transnet National Ports Authority (TNPA) and its predecessor, Portnet, were instrumental in the concept, design and construction of phase one of this new Port of Ngqura. TNPA assembled a construction management team, comprising TNPA members, representatives of the designers, and shortterm contract workers who cut their teeth on site in this huge construction. Many of them are now permanent Transnet employees. They worked on site around the clock so that a project that, under normal circumstances, would probably have taken four to five years, was completed in just over three years.

A highlight for TNPA came on 30 June 2004, when we opened the valves to let the sea enter the inner basin for the first time. It took 17 days to fill. The container berths and the inside basin are currently 16.5 metres in depth, which means new-generation container vessels can be accommodated comfortably.

We are also proud that the Port of Ngqura is the first port in South Africa to be built to stringent environmental standards. Portnet conducted an environmental impact assessment before the National Environmental Management Act was made law, as we believed it was the right thing to do.

Development at the port continues. Once complete, the facility will also accommodate a liquefied natural gas facility. It is of major strategic importance for the current phase of the project to succeed, as the total budget of R7.86 billion was approved at the beginning of the project.

TNPA plans to spend R1.305 billion in the 2012/2013 financial year, bringing the total approved expenditure spent to date to 80%.

Through projects such as this modern port, TNPA and Transnet are committed to local development and to driving growth in regions such as the Eastern Cape. commemorative souvenir edition 25

Message from the Chief Executive: Transnet National Ports Authority

tau morwe

the

Transnet National Ports Authority is the proud custodian of the Port of Ngqura, providing infrastructure and marine services to this brand-new port – the most modern in its portfolio.

way B

y keeping track of rapidly evolving developments in the maritime industry, TNPA enhances trade facilitation. The services it offers directly affect economic growth within South Africa. Providing adequate port infrastructural capacity ahead of demand and aligning core activities to changing market dynamics is thus vital to TNPA – and exactly what drove plans for the new Port of Ngqura as far back as 1998.

This modern port now joins forces with Richards Bay, Durban, East London, Port Elizabeth, Mossel Bay, Cape Town and Saldanha to grow seaward-bound imports and exports.

TNPA is responsible for port regulation and management and is tasked with ensuring port services run efficiently. Its customers are diverse port users and range from terminal operators, through shipping lines and ships’ agents, to cargo owners and clearing and forwarding companies.

SERVICE FIRST The TNPA service comprises providing port infrastructure and maritime services. The latter includes dredging, navigational aid, ship repairs and marine operations.

Nationally, port infrastructure is provided in five commodity sectors – containers, dry bulk, liquid bulk, break bulk and automotive. The Port of Ngqura currently has the capacity to accommodate all sectors except automotive.

26 commemorative souvenir edition

text: nicola jenvey

transnet national ports authority

guiding

Ngqura’s location alongside the Coega Industrial Development Zone (IDZ), and within the economically depressed Eastern Cape, means the port has a vital role in creating employment and propelling the growth. TNPA has done much to recruit and train individuals from the Eastern Cape, providing an economic lifeline to families hit hard by closures in the automotive industry.

CLEAR PROGRESS TNPA & As Ngqura is a deepwater port, TRANSNET dredging is a key responsibility TNPA is one of five operating divisions within for TNPA. Efficient and effective Transnet SOC Ltd. Acting in operations depend on the deep the capacity of a landlord, it operates within the legislative channels and berths being kept free and regulatory environment of silt: the world’s largest container created by the National Ports Act 2005. vessels need a clear, safe passage through the port.

The initial dredging contract lasted some 12 months and 12.3 million cubic metres of material was removed to a dumpsite over 30 metres deep, seven kilometres from shore. Most material was soft sediment and could be removed using a trailer suction hopper dredger.

FULLY EQUIPPED The Port of Ngqura complements Port Elizabeth’s port control to manage traffic within Algoa Bay. Housed within a three-storey port control building equipped with world-class maritime equipment, port control uses high-tech vessel traffic management information systems, automatic identification systems, closed-circuit television, radios and radar to keep vessel traffic moving safely and effectively. Planning and scheduling the sailing and docking of vessels in the port is a critical aspect of this division’s mandate, as is the provision of sea rescue operations. TNPA invested in a R1 million camera to monitor the anchorage area and serve as port watch for the operational maritime areas within the Ngqura and Port Elizabeth ports.

In 2003 TNPA, through an agreement with a service provider, committed to upgrade the Vessel Traffic Services (VTS) across South Africa’s national ports. Today VTS is offered by the world’s leading modernised ports as it improves the safety and efficiency of navigation, raises safety at sea, and protects the marine environment. It works by utilising advanced sensors such as radar, automatic identification, direction finding, close-circuit television and other co-operative systems to collect images.

commemorative souvenir edition 27

transnet national ports authority

VISION QUEST

R5.5 million

The investment in cuttingedge technology to ensure TNPA operates Ngqura to world standards MATT OLCKERS, Pilot Boat Master: TNPA

“I’ve seen a few ports in my time – Ngqura is a young port, but given how it is running, the prospects for success are exciting. At the official opening, we put on a water show and dressed the tugs in flags to welcome the president.”

LONDEKA NDIMANDE, Tug Master: TNPA “I’m one of two female tug masters at Ngqura. Transnet awarded me a bursary for Maritime Studies at Durban University of Technology.

It’s exciting working here.

I brought in a huge cargo ship recently, the MSC Chicago – it was heavy!”

The information is combined into a single working environment to promote effective traffic movements and communications – and enables key navigational decisions.

Cape Town was the first port to upgrade its VTS, and in December 2008 to February 2009, Kongsberg Norcontrol Information Technology installed the world-class VTMIS 5060 system in the Port of Ngqura. Now TNPA can provide information on the position, identity and intentions of traffic and on waterway conditions, weather and hazards.

It is another step in ensuring South Africa has world-class, quality controlled port environments.

WATER WISE Besides the technological aids, TNPA’s skilled marine operations staff guide vessels safely to berth. All three powerful tug boats commissioned for Ngqura are now built and in operation by skilled tug masters, and the port boasts its own pilot boat. Pilotage is a key service offered by TNPA and adds to safety by ensuring that individuals with experience of the port’s channels and basins pilot vessels when in port. Beneath the waves, divers – engineers tasked with maintenance – act as underwater inspectors, checking for damage to quay walls or tug hulls and propellors.

The official opening of the Port of Ngqura marks a proud moment for the entire TNPA team and Transnet as a whole. The committed and highly skilled staff have wholeheartedly overcome challenges to bring a South African legacy to life.

28 commemorative souvenir edition

50

people were trained in marine and port operations

11–15km

the photographic and electronic range of the hightech camera used to monitor the anchorage, port and maritime area

safe harbour Constructing the Port of Ngqura as a world-class facility required the skills of all dedicated Transnet employees

The port now boasts 5 berths and 1 800m of quay wall

2

container berths

32

2

dry bulk and break bulk cargo berths

1

1 liquid bulk cargo berth

berths will be available when construction is complete

TRANSNET port terminals Tasked with managing the now fully operational Ngqura Container Terminal, Transnet Port Terminals (TPT) has a key role to play in its ongoing viability, productivity and success. Running the terminal as a world-class facility takes an exceptional team of dedicated, skilled people – and TPT has demonstrated levels of excellence in both personnel and activities that will ensure it takes Ngqura into a bright and efficient future.

Since 4 October 2009, when the first container vessel discharged its cargo at the new Port of Ngqura, we at Transnet Port Terminals have considered ourselves honoured to have played a part in the operational success of this pioneering maritime facility.

The Port of Ngqura is of strategic importance for the future of South African shipping and is a global benchmark as a leading port terminal operator.

Its value for the region and the country is underpinned by its combination of leading-edge infrastructure, stateof-the-art equipment and a dedicated team of people delivering world-class operational excellence.

We have seen the volume of containers handled at the port grow from a modest 2Â 921 during its first month of operation to current levels of more than 50Â 000 per month.

This unprecedented growth has been due to the consistent performance and productivity improvement displayed by our highly competent operational teams, many of whom cut their port operations teeth here at Ngqura. From operators of lifting equipment to administrative staff, we applaud our people for the role they have played in ensuring the sustained growth of the Ngqura container terminal.

We will continue to improve services to our clients and attract new business to the Port of Ngqura, which will contribute towards the growth and development of Port Elizabeth, the Eastern Cape and the country. We further commit to fully leverage Ngqura’s potential to establish South Africa as the leading logistics hub for sub-Saharan Africa and a global reference for container and heavy haul operations.

commemorative souvenir edition 31

Message from the chief Executive: Transnet port terminals

karl socikwa

for the

Transnet Port Terminals fulfills the crucial role of ensuring ongoing successful operations at the Ngqura Container Terminal.

32 commemorative souvenir edition

esponsible for all day-to-day operations at South Africa’s container terminals, TPT manages planning, staffing, scheduling, loading and offloading, maintenance, and continuing improvement functions. Since its inception, the division has played a key role in supporting the South African government’s export-led growth strategy. The majority of Southern African imports and exports are handled through South Africa’s largest ports – TPT not only handles these commodities but also implements logistics-management solutions for its container, bulk, break-bulk (multipurpose) and car terminal operations.

In line with Transnet’s philosophy of “One Company, One Vision”, TPT subscribes to the service-oriented ethos of “delivering freight reliably”. It aims to provide expert freight handling services at terminals situated across eight South African ports – Richards Bay, Durban, East London, Port Elizabeth, Mossel Bay, Cape Town, Saldanha and – the most recent and proud addition to the portfolio – Ngqura. Customers for TPT’s services are incredibly diverse, but include the shipping industry, freight forwarders and cargo owners, car manufacturers, agriculture, timber and forest producers, the mining industry and, of course, exporters of minerals, metals and granite.

Karl Socikwa, Chief Executive: TPT, oversees a staff complement of more than 6 000 people.

The demands are challenging and the figures impressive: TPT is responsible for world-class cargo handling 24 hours a day, 365 days a year at each of its terminals along South Africa’s coastline.

The year 2012 began strongly for this division. Ngqura achieved record-breaking crane productivity and container handling in January and – now with its official opening on 16 March – the

text: DEBORAH LOUW

transnet port terminals

working future R

port has become the standardbearer of TPT efficiency.

An african hub

TPT & TRANSNET Transnet Port Terminals, formerly known as SA Port Operations, is one of five operating divisions of Transnet SOC Limited.

The extent and depth of Transnet’s activities is reflected in its interdependent divisions: Pipelines, Freight Rail, Rail Engineering, National Ports Authority and Transnet Port Terminals.

Sunday 4 October 2009 was an auspicious day for the nation’s container activity: the first commercial vessel to use Ngqura, the container ship the MSC Catania, loaded and offloaded 275 containers, at an average of 19 containers per hour.

Ngqura has a strategic location within key trade corridors and offers unparalleled access to global maritime markets. Transnet’s overall growth plans for the area include an integrated transport corridor that will align port and rail capacity.

According to Brian Molefe, Group Chief Executive: Transnet, developing the Port of Ngqura to its full potential will enable it to become the “transshipment hub for Africa”. Transshipment, the shipping of goods or containers to an intermediate destination, and then from there to yet another destination, is a vital element in a vibrant transport economy. This, he told an Economic Outlook symposium last year, could position South Africa as the gateway for African trade with the rest of the world and could also help reduce trade

costs within the continent.

As well as easing pressure and congestion on the Port of Durban, Ngqura’s greatest advantage is that, as a deepwater port, it can accommodate the new super-sized Panamax container vessels – which is the criterion demanded internationally for transshipment ports.

modern efficiency Ngqura Container Terminal performed satisfyingly well in two of the main criteria by which global container handling productivity is measured – namely, the Ship Working Hour (SWH), which refers to the number of containers moved by the number of cranes working on a vessel in one hour, and container moves per crane per hour (known as gross crane hours or GCH).

Ngqura can accommodate the largest container vessels and is supported by the most modern rubber-tyred gantries and Megamax and Liebherr ship-to-shore cranes. It has already recorded impressive container-handling figures. In January 2012 crane operators reached their target and broke their own record, averaging 35 GCH.

commemorative souvenir edition 33

tpt: transnet port terminals

TONY LOTTERING Chief Maintenance Engineer: TPT “This terminal has outperformed anything anybody ever imagined – it’s one of the most professional operations of its kind, and we have ships banging on our doors. I have the benefit of playing with a lot of big toys every day... it’s every engineer’s dream job!”

How Ngqura took shape Ngqura lies adjacent to the Coega Industrial Development Zone, which covers an 11 000 hectare site. The IDZ includes the Coega River and a 4 500 hectare core development.

quick PORT facts October

Construction 2002 commenced

10b investment in Infrastructure

103

Contractor

companies

42.7

2 500 Jobs created during construction

The highest GCH ever

achieved in one shift in one day

60 ha 16–18m land area

quayside depth

34 commemorative souvenir edition

CARESTONE DAMONS Ship-to-shore Crane Operator: TPT “I worked on the crane that lifted the very first container. It’s awesome to feel part of the port’s history. The port has shed light on our lives.

It’s professional and we feel respected. And sometimes when you arrive for work, you see dolphins swimming.”

This makes Ngqura the highest achiever of all five container terminals operated by TPT, and means it measures up well against the accepted world standard of 26 to 30 GCH. Siya Mhlaluka, Regional Executive Manager: TPT, says these figures have direct economic benefits because faster and more efficient container handling impacts positively on the rest of the supply chain. “These achievements are in direct proportion to the highly motivated and committed staff, who enabled TPT to deliver this sterling performance to our clients. Equally pleasing is the collaboration displayed between safety, planning, maintenance, operations, clients and stevedoring companies.”

The high performance is also attributed to improved yard planning and waterside activities – and smarter planning has helped TPT slash weather-related delays at Ngqura.

Top of its class The Ngqura project has made a further vital contribution to South Africa’s economy. It has created hundreds of new jobs – both contract and permanent. In addition, with the scope for skills transfer and exceptional on-site training that TPT has put in place, Ngqura promises to be the topperforming facility in the TPT portfolio.

TRANSNET FREIGHT RAIL As the Port of Ngqura took shape, TFR was tasked with ensuring that this key transport hub had the rail infrastructure and services in place to link it to the wider South African economy. The planning and coordinating challenges were significant, but TFR successfully maintained day-to-day rail services while they laid down state-of-the-art new infrastructure.

commemorative souvenir edition 35

36 commemorative souvenir edition

Transnet Freight Rail fully supports the development and expansion of the Port of Ngqura. Its development, together with the expansion of the manganese export corridor from the Northern Cape, allows Transnet to support the planned aggressive export programme for current and prospective manganese customers and also heavy containerised goods. The port and the supporting rail corridor has given the industrialisation of the Eastern Cape a much-needed boost.

Heavy haul operating principles (with 200-wagon-long, distributed-power trains – a first in the general freight network in South Africa) will be introduced on this line. This heavy haul best practice augments TFR’s strategic intent to standardise operations in key corridors in order to increase operational efficiency and reduce costs. The first tranche of corridor capacity (for rail and port) is planned at 16 million tons per annum by 2019, with a scalable increase to levels beyond 22 million tons per annum.

It is our belief that TFR, together with our colleagues in the port, will provide sustainable solutions that meet the needs of our customers.

Through investment in this rail corridor we can create meaningful jobs in the region, leverage the global competitiveness of the Northern Cape and catapult the South African manganese supply chain into a global best.

commemorative souvenir edition 37

Message from THE Chief Executive: transnet freight rail

siyabonga gama

transnet freight rail

creating

connections

Transnet Freight Rail’s freight logistics services have played a central role in ensuring that Ngqura has realised its potential.

T

he South African freight rail network operates as the spinal cord of the national economy. TFR is tasked with maintaining this extensive rail system, which joins with other central sub-Saharan rail networks, and manages freight transportation along its lines. Its rail infrastructure totals 80% of Africa’s total rail network and its services and activities are key elements in the expansion TNPA & TRANSNET and strengthening of this vital freight Transnet Freight Rail transportation system. is Transnet’s largest division. It delivers rail TFR’s strong customer focus seeks freight services to all to deliver the highest quality services major industrial sectors within South to client companies – services that Africa. ultimately allow these companies to reduce the cost of doing business, grow their capacity, operate safely and improve their overall business efficiency. The division’s customer base covers all the key economic nodes within DELIVERING CAPACITY the South African economy – from automotive • The TFR rail route links the and mining to agriculture.

Port of Ngqura to the City Siyabonga Gama, Chief Executive: TFR, manages Deep rail terminal in Gauteng. a staff contingent of 26 000 people – a team that • The Ngqura marshalling yard ensures the country’s core transport network has nine operational lines and is not only fully functional, but also able to add can accommodate up to six real value to the country’s businesses through trains per day per direction, exceptional, customer-focused service delivery. hauled by 7E locomotives.

Operationally, TFR’s long-term vision is to optimise • The container terminal has the use of rail corridors so that more freight moves four loading rail lines and one across South Africa by rail. As such, it focuses locomotive ‘run-a-round’ line. significant operational and capital expenditure on a rehabilitation and renewal programme for locomotives, wagons and infrastructure.

38 commemorative souvenir edition

The Port of Ngqura container terminal’s ability to accommodate post-Panamax container vessels has created a significant increase in bulk haulage business for TFR. And, since the inception of the Ngqura project, the division has focused on ensuring it has the key infrastructure in place to support these freight volumes.

One of the primary focus points of the Ngqura project was the development of a new marshalling yard and its associated services, including wagon light maintenance facilities and other buildings and roads. The existing Coega Station had to be moved

to comply with the 100-year flood plain, and a bridge for the MR435 road had to be built over the railway line.

The Communication Imperative “There were a number of important factors at play during the project,” says Jack Swanepoel, Infrastructure Project Coordinator: TFR. “Within TFR, successful interaction between our Track, Overhead Traction Equipment, Signals, Bridges, Culverts and Telecoms divisions was imperative, and the scope of the project required a unique sequence of events to be planned and

commemorative souvenir edition 39

transnet freight rail

A STORY of collaboration

transnet freight rail

TRACKING THE MILESTONES ...

300 9

container wagons refurbished

Operational lines in the marshalling yard

17 October 2009

first container train departs from Ngqura

trains can run per day in each direction

“A great deal of high-level coordination and significant on-the-ground ability was required from all team members.”

– Dirk Engelbrecht, Capital Programme Project Manager: TFR

40 commemorative souvenir edition

implemented. Positive interaction between Transnet’s various Operational Divisions (TNPA, TPT and TFR) was therefore non-negotiable. The inter-locking nature of the project meant that complexities in any area impacted on all parties, so it was important that our communication was of the highest order.”

It was also vital to minimise delays on day-to-day train operations during the extended construction process. “Striking the right balance between maintaining the integrity of existing operations and meeting the target projects was a challenge throughout,” says Jack. “This was, in my view, one of our most important achievements.”

Investment in the widest sense The scale of the Ngqura project saw a variety of asset capitalisation and asset classes brought into consideration. “The equations were often complex,” says Dirk Engelbrecht, Capital Programme Project Manager: TFR. “It’s a testament to TFR’s team work and general coordination throughout the project that our planning dovetailed so well with day-today project implementation.”

The port’s expanded capacity and the new marshalling layout have resulted in some important operational changes to TFR’s systems. For example, the new marshalling yard has been designed in such a way that shunting doesn’t have to take place, except in Not To Go situations. It’s also been planned so that electrical wagon inspection equipment can be integrated in future years to improve train departure preparation. The outcome is that trains are loaded much faster.

“It sounds simple enough, but to achieve these kinds of improvements within a complex, largescale operation requires a great deal of high-level coordination and significant on-the-ground ability from all team members,” says Dirk.

It’s clear evidence that TFR’s investment in Ngqura has not only been financial. Its human capital has proved to be the project’s critical success factor – and will continue to move it forward as freight volumes at the now officially opened port continue to increase.

text: ANDREW MILLER

NANDI HANI, Yard Official: TFR “It is hectic working here. It’s non-stop every day, but I enjoy it! I was unemployed before Transnet trained me for this job – I spent three months at college and three months hands-on in the yard. And I see myself growing. People are envious that I work for this big company.”

JOHAN SPAMER, Yard Official: TFR “I’ve been building trains for nearly 30 years. My job is definitely much busier since the port was created. It’s all bigger and better here. I feel part of that and proud of it.

If it wasn’t for Transnet I would not have been able to make a life for myself and my family.

It has treated me well.”

economic overview

human

development Ngqura boasts the very latest systems and equipment – but this alone does not ensure optimal performance. Transnet has invested as heavily in the people who work in and run the port, seeking out local talent and equipping it with the skills and confidence needed to provide world-class service.

commemorative souvenir edition 43

I learned that courage was not the absence of fear, but the triumph over it. The brave man is not he who does not feel afraid, but he who conquers that fear.

S

for

HUMAN DEVELOPMENT

skills life iyabulela Mhlaluka’s first day on the job was a little unusual. He started out working from a prefab building in an immense construction site, without a phone, desk, or a single member of staff – just the daunting job of setting up Transnet Port Terminals (TPT) operations at Ngqura. Since that day in 2007, the Terminal Executive: Eastern Cape Terminals, TPT has seen 573 people join the division – and of these, an astounding 480 have been through TPT’s operations and planner training programme.

TPT began recruiting and training staff back in 2007 – two years before the container terminal at Ngqura became operational – in anticipation of the special skills and knowledge workers in this ultramodern port would need.

44 commemorative souvenir edition

All Transnet divisions run robust and challenging skills development programmes, ensuring Ngqura has not only the best in infrastructure, but in human captital, too.

As with Transnet National Ports Authority (TNPA) and Transnet Freight Rail (TFR), recruitment and development at TPT stems from the ethos that all employees are crucial assets. To Transnet, human capital drives the achievement of strategic goals – and sourcing and developing core skills and providing worthwhile employment to local people is a vital part of its mandate. It aligns with Transnet’s commitment to government’s New Growth Path, with its emphasis on job creation, localisation, skills and rural development. Transnet’s 2011 sustainable development report also notes that

SIYABULELA MHLALUKA, Terminal Executive: Eastern Cape Terminals, TPT “I feel privileged to have

been involved from the start; to have seen it grow. The port has become a flagship for the company and for the country. Looking back, it gives me a sense of pride and achievement.”

ZOZO GCAKASI, Yard Official: TFR “We shunt between New Brighton and the port, placing the trucks and clearing the trains. Transnet takes care of its people. It gave me a bursary to study logistics management.

Growth depends on us, so we have to do our jobs well.”

South Africa’s state-owned companies are to “play a leading role in ensuring that the country’s infrastructure supports economic growth”.

text: janine stephen

UPSKILLING: TPT Now that the Port of Ngqura is fully operational, TPT has been investing in management, running operations and engineering training. In 2008, the emphasis was on skilling operators (specialised crane operators, for example) and planners, who ensure the smooth movement of vessels and freight through the terminal. All employees are taken through an intensive training programme that incorporates class-based learning, practical training and simulation, followed by on-the-job experience, when they are sent to TPT terminals in Durban and Cape Town to learn the ropes in a live operational environment.

To help staff grow and operate at higher levels of performance even after completing their training, TPT engages a reputable international company to further mentor employees. “Every employee undertakes a compulsory three-month mentorship that allows them to learn more tricks and tactics and boosts their confidence,” Siyabulela says.

IT specialists were trained to oversee the complex Navis System, which a majority of staff use for daily operations; staff were also trained to use the automated gate system. Engineering apprentices are also recruited, receive theory training, and are then paired with qualified artisans so they can learn necessary skills and knowledge – and in turn become skilled artisans themselves.

Of the 480 employees at the Ngqura container

– CIKIZWA VEZILE, Human Resources training manager: TNPA

terminal who have been through training, almost 99% are from the Eastern Cape. Some were retrenched from the automotive industry during the recession, and these opportunities have been lifelines to individuals and families.

Every new TPT employee also goes through a comprehensive induction and orientation programme. “Ngqura Container Terminal is one of the best performing terminals in the country,” says Siyabulela, “and that’s testament to the content and nature of our training.” He is also proud of the work culture at the terminal: it has its own “vibe”, and the level of staff motivation and the will to succeed is palpable.

FORWARD THINKING: TNPA As Ngqura requires staff with specialised skills, TNPA offers training programmes to ensure it

commemorative souvenir edition 45

human development

“Often, when you see young trainees for the first time, they can’t express themselves.

Some come from the poorest backgrounds; they don’t have self-confidence. But within three months you see such a difference in how they view the world. Working for Transnet brings them a sense of belonging and confidence.”

HUMAN DEVELOPMENT

people power

480

The number of TPT staff who have undergone operations/ planner training

99%

The port boasts a high-tech simulator that mimics activities like operating rubber-tyred gantry cranes, for real-time, hands-on learning.

6

ngqura cargo coordinators trained by the School of Rail

of TPT trainees are from the Eastern Cape, as local recruitment is vital to regional economic growth.

R450 000

the value of a marine engineering bursary

121

The number of jobs created by TNPA at Ngqura in 2009

identifies and upskills candidates to the desired levels. it has trained and employed four pilots capable of steering immense Panamax vessels through the port’s channels and safely berthing them for unloading. one of these, Xoliswa bekiswa, is the port’s first female pilot. she has berthed vessels of 30 000 gross tonnage – and she is still training, hoping to earn her open licence, which will allow her to pilot vessels of all sizes into the port.

TnPa also identified candidates – most from previously disadvantaged backgrounds – to train as tug masters, marine engineers, motormen, vessel traffic control officials, efficient general Purpose rating workers and civil engineers for ngqura.

The division offers full bursaries to marine engineering students and tug masters, who study at the cape Peninsula university of Technology and the durban university of Technology. They then receive training at sea via Transnet’s school of Ports in durban; assessment and certification is undertaken by the sa maritime authority. internships also give graduates practical, hands-on experience. cikizwa vezile, human resources Training manager: TnPa, says ngqura recruits talented individuals from previously disadvantaged communities, such as motherwell in Port elizabeth, but also from deep rural areas. some of the trainees had never seen the sea before – but are now entirely comfortable within the maritime industry.

TnPa has also adopted newell high school in new brighton as part of a csi programme. staff

46 commemorative souvenir edition

ERIN-JADE BURNS, Vessel Traffic Controller: TNPA

“Our container berths can accommodate huge ships as well as interesting vessels we’d never see at Port Elizabeth. It’s exciting but quite pressured. I feel empowered to play an important role as a woman.

Many people are thankful for the jobs Ngqura has created.”

visit the school to talk about career opportunities at both the ports of Ngqura and Port Elizabeth.

Since 2009, TNPA has created 121 fulltime jobs, most of which have gone to people from the Eastern Cape, and 29% to women.

ON THE MOVE: TFR Freight and rail transport is a demanding sector and requires exceptional reliability, efficiency and safety performance at all times. To ensure TFR staff have the most current and effective skills at their fingertips, Transnet’s School of Rail offers a phenomenal number of courses and training opportunities, covering subjects from shunting to logistics. According to Thandisizwe Menemene, Acting Training Centre Manager: School of Rail, in 2011 alone, six cargo coordinators, four port workers, one operator and three operators of bulk hanging equipment (OBHEs) were trained at Port Elizabeth in the skills necessary to join Ngqura.

INNOVATION The Port of Ngqura has always been characterised by big thinking. It has risen from the bare shores of an undeveloped stretch of coastline and is set to be a globally competitive transshipment hub. From engineering feats during construction to sophisticated tug boats and new-generation cranes, this high-tech port has proved an excellent test of the skills of Transnet’s people and planners.

commemorative souvenir edition 47

a modern The Port of Ngqura

DRY DOCKS

25 million litres =10 Olympic-sized swimming pools

of water was pumped out of the excavation daily

Building this port required engineering ingenuity. The construction team had to literally push back the sea so that they could build the quay walls and caissons.

The solution: Engineers sunk deep dewatering wells through a challenging cobble aquifer. They then pumped water from the site non-stop, 24 hours a day, until building was complete and they could reflood the basin.

PULLING POWER 70 ton

Shasa, Orca and Lizibuko are Ngqura’s three Voith Schneider tractor tugboats.

They were built in Durban using local skills. Among the most powerful tugs working in South Africa, each can easily handle a 70-ton bollard pull and has a speed of 13.3 knots.

POWER POINTS

To prevent coastal erosion, a R100 million sand bypass was built. It is designed to trap up to 320 000m3 of sand every year.

Challenges: Construction debris and pebbles migrated to the sand trap, compacting the sand and limiting efficiency.

Successes: Some 280 000 tons of sand bypassed the port between July 2007 and October 2010.

Transnet’s introduction of the web-based Navis SPARCS N4 terminal operating system was a global first. The high-tech system streamlines terminal operations, helps track cargo, plan crane sequences and integrate gate-to-yard-to-vessel operations.

Programmes help assess the easiest way to load and stack containers, so ad-hoc judgements become less of a factor when utilising yard space.

The system reduces rehandles by 90%.

Four 2 500kVA generator sets ...

ensure that the electricity supply to the refrigerated containers is not interrupted should there be a power cut.

And a standby plant provides back-up power to key administrative and operational buildings.

gantry ship-toshore cranes Ngqura’s mega-max ship-toshore cranes were the first in the country. They can handle vessels with containers stacked 22 across and eight deep. Their motion speeds are top notch, enabling a gross performance level of 30 moves an hour.

text: janine stephen

A LINE IN THE SAND

ALL SYSTEMS GO!

has clocked up a number of firsts.

ENTER EXIT

ON TRACK sure

Rubbertyred gantry cranes that shift and stack containers around the quays and onto trucks boast the latest in anticollision and other safety devices.

SAFETY FIRST The port is well defended.

Anyone who tampers with or tries to scale the heavy duty, 2.5m-high palisade fence will trigger an alarm in the security control room. Cameras then zoom in on the problem area and record video footage.

GROUND CONTROL

PILE THEM

HIGH

The Ngqura Container Terminal boasts a stack capacity of 30 hectares, or 5 509 container ground slots (with another 2 000 under development).* How big is this? Roughly the size of 30 rugby fields. The container terminal also offers 1 680 electrified reefer slots for refrigerated cargo. *Source: Creamer Media’s Engineering News

2.5 metres

footed

When building the new railway links to the Ngqura container terminal, care had to be taken not to disrupt existing manganese rail operations.

An embankment was widened and an interim line and new crossing loop constructed so that train movement to and from the marshalling yard and the container terminal was interrupted for just 48 hours.

The Ngqura Container Terminal boasts a state-ofthe-art automated gate. The facility reduces truck turnaround times and makes theft and unauthorised collection of containers considerably more difficult.

A massive undertaking

The rail-mounted gantry cranes – each weighing 660 tons – were too large to be transported by road. They were delivered, nearly fully assembled, by sea directly to Ngqura.

The Port Control Building consists of four storeys of top maritime equipment: • High technology vessel traffic management information systems • An automatic identification system (AIS) • Closed-circuit television • Radios and radar equipment worth R5.5 million* * Source: Creamer Media’s Engineering News

commemorative souvenir edition 49

INNOVATION

masterpiece

the official launch of the new port of ngqura by the president of south africa, jacob zuma, was a proud moment for transnet – and the nation.

A grand occasion

The event, held at Ngqura on 16 March 2012, saw Transnet senior management and port staff celebrate the successful construction and rapidly expanding growth of this new transport hub.

1 3

1 President Jacob Zuma and Minister of Public Enterprises Malusi Gigaba officially open the Port of Ngura. 2 Noxolo Kiviet, Premier of the Eastern Cape. 3 Captain Brynn Adamson, xxx; Captain Sabelo Mdlalose, xxx; Mmutie Lentie, xxxx; Mandla Mkhwanazi, Head: EIMS; Mlungisi Daniel, xxxx. 4 Captain Salvatore Sarno, former Managing Director of MSC in South Africa and President Jacob Zuma. 5 Sanjay Govan, xxxx; Moira Moses, Chief Executive: TCP; Riad Khan, xxxxx. 6 Minister of Public Enterprises, Malusi Gigaba. 7 Name of choir????.

8 Malusi Gibaba and Brian Molefe, Group Chief Executive: Transnet. 9 xxxxxxxxxxxxxxxxx. 10 Tshediso Matuna, Director General: Public Enterprises; Brian Molefe, Group Chief Executive: Transnet; Mafika Mkwanazi, Chairperson: Transnet. 11 Innocentia Motau, xxxx, and Siyabonga Mhlangu.

2 4

7

5

6

8

9 11

13

50 COMMeMORATIve sOuvenIR eDITIOn

10

PHOTOGRAPHs: Mark west, GCIS, Deon ferreira/photo24

16 march 2012

Open for business

11 12

13 Nequunt eatur reperfere pelis andel inctior ioreperspe volorae vendantest, ut hitatium sit minciatur re volorem porepre poremol uptate ea dolorest volorro omni dit, aut ex eum unt excepraturis aut lantur? Qui nossedis et reped ut et mi, eium eatiistium eos accus eat.

Us atet, sinum nimin parias mollenda suntiam, et fuga. Et repe eum licae voles volesed quamusae labo. Unt quibusci con consedi sunt ommostotati dellamet debis maxim quo dolum volorror re, quia quo quamusdamus adi optae nis quid quuntist, voluptat ut lanimagnihil int aut ipsunde posam, ipsum, corentemque nos re, unt inusapicit la eum id unt fugitaes explaci libus, esciis sunt labor si od molo veriatur, nis aut harumenitae sequia ne voloremqui cus, nonsequam, consed qui ut eum fugiati consequ oditassinum que nis et que volest, con reperor ehenisque de dis ex et repudae rovit, et ut voluptat enimili gendaes molorib usantem vel et fuga. Conet eum ulparuptat quistibusda nissequam, aturepernam doluptatquam fugiantium rempele stiistiis re esedi dolo officat ut autecta temporpore vitemqui ut lant offic tet aut evelit eate num quos aut autem reperumque is que quatem res aspiet lautatis aut iusandendi cuptae eos dest ut arum fugitiassit et rem. Hillendellab initatesti dis iduntium et fugia net peritas 16

14

15

17

18

commemorative souvenir edition 49

“Developing the Port of Ngqura to its full potential could make it the ‘transshipment hub for Africa’.

This holds prospects for positioning South Africa as the gateway for African trade with the rest of the world and could also help to reduce trade costs within the continent.”

– Brian Molefe, Group Chief Executive: Transnet