Transnet gives City Deep R800 million makeover | Infrastructure news

Transnet has completed an R800 million expansion of the City Deep Container Terminal in Johannesburg as it steps up its aggressive drive to move rail-friendly cargo from South Africa’s roads.

The investment has doubled capacity to 400 000 TEUs per annum, which confirms City Deep’s status as Africa’s biggest inland port.

The upgrade, which was intended to create a modern terminal included the:

• Replacement of all container-handling equipment with new equipment – rail mounted gantries, reach stackers and container handlers
• Installation of the Navis terminal operating system, with the same platform as marine ports
• Upgrading and replacement of existing terminal infrastructure
• Installation of a new gate and weighbridge system

The acting Group Chief Executive, Siyabonga Gama, led the celebration, which was attended by hundreds of employees from the terminal, customers and suppliers.

Speaking at the launch, Gama applauded Transnet Freight Rail’s Containers and Automotive Business for consistently wrestling market share from trucks. “Over the last couple of years, we have been growing this business at levels several times higher than economic growth rates.

“As a result of these improvements, we can now offer our customers a vastly improved service – thanks to our reliable and efficient new equipment. Because of the additional stacking capacity, we are able to tailor-make and customise storage solutions for our big volume customers – especially fast-moving consumer goods.”

The City Deep Container Terminal, which is operated by Transnet Freight Rail, handles about 60% of container volumes from the ports of Cape Town, Durban and Ngqura, in and out of Gauteng. The terminal also functions as an interchange for traffic destined for inland provinces and neighbouring countries.

At its peak, the terminal handles 300 trucks a day for imports and exports and loads and offloads up to 10 trains a day between Durban and Johannesburg. It operates 24 hours a day, seven days a week.

“Traffic management for trucks in and out of the terminal has improved significantly, reducing turnaround times for our customers. The terminal can now accommodate both 12 and 6-meter containers – this is a key requirement for our customers in our neighbouring countries. These need not be on road anymore,” said Mr Gama.

Transnet’s ambitious road-to-rail strategy is a key element of the Market Demand Strategy (MDS). So far, the company has spent an unmatched R108,9 billion in its rail, ports and pipelines infrastructure. This will improve to R125 billion by the end of the current financial year and can add a further R340 billion- R380 billion over the next 10 years. All further investments on infrastructure are subject to validated demand.

The additional investments will possibly take MDS spend to a record R500 billion. The City Deep upgrade was executed by Transnet’s specialist project management, engineering and infrastructure development unit – Transnet Capital Projects – within schedule and ahead of budget.

“Our commitment to moving cargo off our roads onto rail goes beyond Transnet. It is a key national imperative with immeasurable benefits for the environment and the economy, including cost, lower emissions and congestion on our roads and safety,” Mr Gama concluded.

The City Deep project is an integral part of the Presidential Infrastructure Co-ordinating Committee’s SIP 2, aimed at unlocking the country’s industrial development while boosting export capability.

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