AfricaPorts and Logistics

Top official at Transnet under investigation

The bad news keeps emanating from the headquarters of Transnet, South Africa’s under pressure state-run port operator.

An investigation is underway looking at corruption claims levelled at Pepi Silinga, the CEO of Transnet National Port Authority. Silinga has been accused of handing his former employer – COEGA Development Corporation – a lucrative contract to build fences around the ports of Durban, Richards Bay and Saldanha Bay. The costs for the fences leapt from an initial R80m ($4.23m) to R300m.

The dire situation at South Africa’s ports, which have some of the lowest productivity levels in the world, has seen the authorities seek external help.

Transnet is seeking terminal operators to come in for a period of three years to close what it describes as “port operational gaps” at its eight commercial seaports where terminal operator contracts have been suspended or terminated.

The ports include Durban, Cape Town, Richards Bay, Ngqura, Saldanha Bay, Port Elizabeth, East London and Mossel Bay.

Splash has reported repeatedly on the queues of ships that have built up at ports across South Africa, with the country’s terminals repeatedly polling among the lowest productivity-wise in surveys carried out by the World Bank.

Sam Chambers

Starting out with the Informa Group in 2000 in Hong Kong, Sam Chambers became editor of Maritime Asia magazine as well as East Asia Editor for the world’s oldest newspaper, Lloyd’s List. In 2005 he pursued a freelance career and wrote for a variety of titles including taking on the role of Asia Editor at Seatrade magazine and China correspondent for Supply Chain Asia. His work has also appeared in The Economist, The New York Times, The Sunday Times and The International Herald Tribune.
Back to top button