Call for New Entrants Into SA’s Port Market

Transnet National Ports Authority (TNPA) has a number of business opportunities in the pipeline for the private sector, but attracting new Black Economic Empowered entrants into the market is critical.

So said TNPA GM: Commercial Marketing, Lauriette Sesoko, ahead of national roadshows the authority will host across the country in March with the aim of securing potential port concession partners.

“The roadshows will acquaint potential bidders, interested parties and funders with the stringent requirements for bidding and participating in TNPA’s port concession projects. These concessions see us transfer operating rights to a private enterprise for a specified period subject to the terms of the contract,” said Sesoko.

She said Section 56 of the National Ports Act mandates TNPA as landlord and ports master planner, to contract with private terminal operators to design, construct, rehabilitate, develop, finance, maintain and operate port terminals or facilities.

“As the national ports authority, we also have a responsibility to the country to help address the three scourges plaguing South Africa – unemployment, poverty and inequality. This means we must seek to make business opportunities available for small and emerging businesses owned by previously disadvantaged individuals.

“These roadshows are about educating the market and attracting prospective partners with the aim of fostering transformation within this space,” she said.

Representatives of TNPA’s new business development team will share opportunities around upcoming port concessions. They will also unpack TNPA’s expectations and requirements when responding to any Request for Information (RFI), Expression of Interest (EOI), Request for Qualification (RFQ) and Request for Proposals (RFP’s).

The team will address queries or challenges that potential bidders may have experienced when responding to such calls.

Sesoko said project funders were also encouraged to attend the sessions to encourage integration with technical, financial and transformation partners.

All sessions will start at 08h00 for 08h30 and end by 11h00.

The dates and locations are:

Monday, 5 March 2018 at Premier Hotel, The Richards. RSVP by 1 March 2018.
Tuesday, 6 March 2018 at Durban Southern Sun Elangeni. RSVP by 01 March 2018.
Wednesday, 7 March 2018 at Johannesburg’s Radisson Blu Gautrain. RSVP by 5 March 2018.
Monday, 12 March 2018 at East London ICC. RSVP by 7 March 2018.
Tuesday, 13 March 2018 at the Port of Ngqura Admin Building. RSVP by 8 March 2018.
Wednesday, 14 March 2018 at Protea Hotel Saldanha. RSVP by 9 March 2018.
Thursday, 15 March 2018 at Cape Town ICC. RSVP by 12 March 2018.

RSVPs may be sent to RSVPs56roadshow2018.TNPA@transnet.net, with full name, company name, contact details and session location to be attended.

Market Demand Strategy

Under Transnet’s Market Demand Strategy (MDS), concessions across the eight commercial ports are opening up participation in port activities to businesses owned by historically disadvantaged individuals.

The Port of Durban’s new passenger terminal will be developed and operated through a 25-year concession granted to Kwa Zulu Cruise Terminal Pty Ltd (KCT) – a Joint Venture between MSC Cruises SA (a subsidiary of MSC Mediterranean Shipping Company SA) and Africa Armada Consortium (a black empowerment partner).

The new liquid bulk terminal at the Port of Ngqura will be developed and operated by Oiltanking Grindrod Calulo, a majority South African owned level 1 BBBEE.

At the Port of Saldanha TNPA awarded Sunrise Energy a 30-year concession to introduce a new open-access liquefied petroleum gas (LPG) plant.

At the Port of Cape Town TNPA awarded Burgan Cape Terminals a 24-year lease to develop a new independent fuel storage, distribution and loading facility. Burgan Cape Terminals is owned by Netherlands firm VTTI and black economic empowerment companies Thebe Investment Corporation and Jicaro.

Also in Cape Town the VA Waterfront (Pty) holds a 20-year concession to operate and maintain the port’s existing passenger terminal.

In his maiden State of the Nation Address, President Cyril Ramaphosa outlined several commitments which TNPA believes it can support through its involvement in the port system. These include job creation, transformation, infrastructure development, stimulation of manufacturing and small business support.