This year’s Road Freight Association (RFA) Conference was held at the Zimbali Coastal Resort in KwaZulu-Natal from the 20 to 22 May. Tony Stone, TWA’s roving editor, attended the conference Conference and sent these “hot off the press” news items:

•         TATA, the main sponsors for the REFA Conference, launched two new long haul trucks – the Novus and the Prima.

•         harmini Naidoo, CEO of the RFA, berated the ill-considered introduction of carbon taxes, e-tolls, added fuel levies, increased cross-border permit fees as costs which threaten truckers’ profitability. These costs will have to be passed on, ultimately to the consumer, or truckers will have to close their doors. A huge concern is government’s lack of due and proper consultation with the trucking industry in these matters. Having seen “people power” in action. The government should take note. “Without trucks, South Africa stops,” she said.

•         Garth Bolton, joint CEO of Cargo Carriers, raised the trucking industry’s deep concern, and ire, that it (the trucking industry) was simply seen as a soft target for raising taxes. “This was not acceptable,” he said.

•         Justice Mahlala, polical analyst, predicted a Zuma second term if he does not create yet another scandal. Mahlala also said corruption, greed and elitism will see the demise of the ANC by 2024 and warned that the recent e-toll court decision could produce undesirable consequences, one of which is an indecisive government that will affect business efficiency re budgeting and forecasting.

•         MEC for Transport, Community Safety and Liaison in KwaZulu-Natal, Thembinkosi Willies Mchunu, says (truck) overloading remains a huge problem with as much as 25% of trucks in SA being caught overloaded. Damage to roads estimated to be R750 million.

•         Mike Schussler, noted economist, says that truckers and cities can save between 15 and 30% of fuel costs by implementing “green wave technology”, but it needs government to embrace this technology and implement it. “This would result in massive fuel savings,” he said.

•         Sean Nel, executive of the Industry Task Team on Climate Change, said that the introduction of carbon tax will have a negative impact on industry and economic growth just as the shortage of electricity has and does negatively impact the country at the moment. Mawethu Vilana, Deputy Director General of the Department of Transport (Dot) acknowledged this saying that motorists were a quick and easy target, which in terms of the government’s socio-political objectives will remain in force as it is a reliable and sustainable means of taxation.

•         Marise Moore speaking on behalf of the National Treasury said that, as of 2010, the national road maintenance backlog was R149 billion. It is now 2012.

•         Peter Mountford, programme director at the RFA conference, in providing feedback from the meeting of the RFA and DoT a year ago, said that the Deputy Minister of the DOT, Jeremy Cronin, promised to shut down the Cross Border Agency if it remained inefficient. After a 600% increase in fees the agency remains inefficient despite all the black BMWs lined up in front of the agency. It’s now a year later. Will Cronin shut down the agency?

•         Mike Schussler, noted economist, in commenting on alternate funding for road development and maintenance said that, over a two year period, saving the difference between the bloated public sector salaries and the private sectors salaries, there would be enough money to pay for seven GFIP projects and one power station project.

•         Molatwane Likhethe, executive manager at Transnet Freight Rail (TFR), in explaining Transnet’s “Back to Rail” strategy affirmed that their strategy is to be driven by market demand with a focus on bulk products. Hubs would be created along major transport corridors in various locations across South Africa and there would be opportunities for collaboration with private road transporters.

Seventeen trucks, towing various trailer designs and cargo loads, took part in the 2012 “down run” truck test with a few interesting results – to be published in the June/July 2012 issue of TWA.
RFA 2012, overall, was a very successful conference.

 

     

Left: Nazir Alli, who quit as CEO of SANRAL, attended the RFA 2012 Conference and participated in a panel discussion on alternate funding models to toll roads.
Right: The TATA Novus