1. PORTSIDEThe Official Newsletter of Transnet Port Terminals, a Division of Transnet SOC Limited
ISSUE 20, SPRING 2014
FEATURE
ARTICLES:
Targeted Volumes 2014/2015
- Page 3
Berth 108/109 outage. Phase 1 complete
- Page 5
THE APPTHAT'S
CUSTOMER FOCUSED
TPT's Customer Relationship
Management Journey - Page 7
2. With the company now well into the new financial
year, I and the Executive Committee attended
the press conference for the Transnet Annual
Financial Results for the previous financial year
at the end of June in Johannesburg. The good
news was well received by customers, labour,
investors and other stakeholders. Back home,
the exhilaration created by the Phusha campaign
to achieve year-end volume targets and the
excitement from the bonus pay-out seems long
gone.
The first quarter of the new fiscal year has been
particularly challenging. GDP growth contracted
by 0.6% in the first three months of 2014 and
the World Bank has consequently revised South
Africa’s growth forecast downwards to 2%
for 2014. In addition, we witnessed a lengthy
19 week mining strike which culminated in the
country receiving a downgrade of its credit
rating. NCT was also directly impacted by strike
action, which unfortunately had incidents of
violence and intimidation on non-strikers. On the
international front, Europe and China’s growth
rates have been revised downwards to 1.2% and
7% respectively.
The above economic conditions have had an
adverse impact on the volume performance of
our business. After the first quarter, the key
volume performances are:
• Container volumes - 7.7% below budget
• Auto volumes - 11.9% below budget
• Bulk volumes - 2.9% below budget
• Break bulk volumes - 1.5% above budget
The break bulk sector performed well with 3.53m
tons handled versus a target of 3.48m tons.
Overall, the lower volumes handled resulted in a
lower than expected EBITDA, which was R46m
below budget for the first quarter. Operating
expenses were curtailed, resulting in a favourable
variance of R76.2m.
TPT will strive to improve its performance over
the next two quarters with the help of new,
advanced equipment at the terminals. CTCT
01 From the CE's desk
02 Financial performance
03 Targeted volumes 2014/2015
04 DCT: Pier 2 - A winning plan, 5 Gangs and 5 Cranes
04 TPT now has an app to help your customers
05 Berth 108/109 outage Phase 1 complete. First vessel berthed
06 Saldanha MPT double volumes handled
07 TPT’s Customer Relationship Management (CRM) Journey
08 Richards Bay customers feel the benefit of the National Customer
Service Centre
09 New locally manufactured RMGs on course for handover
09 Shifting into gear
10 Evergreen Presidents meet TPT Chief Executive
10 Delegation to Bremen
10 TPT sponsors MSC Regatta
11 TPT exhibits at the Africa Ports and Harbours Conference
11 Transnet Port Terminals on social media
12 Information booths project launch Richards Bay Terminals
13 Netherlands trade mission
13 CPTTerminals receive PMR Africa Leaders and Achievers
Diamond Arrow Award
14 2014 Ground Breakers Awards
16 14th
KwaZulu-Natal Exporter Awards Launch in Durban
17 TPT Dominates Transnet Internal Audit (TIA) Integrated
Governance Awards
18 Safety Awards
19 Zero findings for Saldanha Bulk Terminal's first ISO 9001 Audit
20 Saldanha Environmental Stakeholder Forum
20 Another great idea: The Innovation Programme at TPT
21 TPT celebrates Mandela Day
22 TPT raises its voice on World Environment Day
23 Legal & Compliance
23 Developing and expanding our terminal footprint: Applications to
handle new commodities
24 Marine Insurance: only 4 000 years old
25 Know your consumer rights: The Consumer Protection Act and you
25 Cyber crime
26 National Prosecution Authority and the enforcement of eco laws
27 Contaminated land provisions
28 Dawn raids conducted by the Competition Commission
29 New appointments
30 Sustainability: energy news
3. will be commissioning two new STS twin lift
cranes in mid-September 2014. These new
machines, combined with additional hauler/
trailer combinations, will allow the terminal to
become even more efficient and volume driven.
NCT, as part of its Phase 2A expansion plans, had
two new STS twin lift cranes installed in early
July 2014. The terminal is currently completing
endurance testing on these cranes before they
can be fully commissioned.
DCT’s berth 108 was taken out of service for four
months from 17 February 2014 to 30 June 2014.
This allowed for maintenance of the quay wall
by TNPA (scour protection). This berth outage
gave TPT the opportunity to effect much needed
refurbishment of the four Liebherr STS cranes
and attend to critical safety paving repairs on the
area adjacent to the quayside. The berth can now
service vessels commensurate with the available
stacking area in the South Quay. Phase 2 of the
stack rehabilitation commenced on 9 June with
an expected completion date of 10 October
2014. During this phase, 1 500 out of 2 500
ground slots on the South Quay will be available
for operational deployment.
Employee wellbeing is one of the seven values
which TPT embraces as an organisation.
TPT values its staff and therefore invests
continuously in employee care initiatives which
create a more comfortable, employee-centred
work environment. In this vein, work is already
underway on the central staff facility at
Pier 1, with the outer structure expected to be
completed by November 2014. Handover of the
facility to the terminal is expected in April 2015.
These are TPT’s full set of values:
1. Employee wellbeing
2. Openness and honesty
3. Innovativeness
4. Customer focus
5. Accountability
6. Speed of delivery
7. Growth is everybody’s business
Continuously striving for excellence while
embracing and living our values will allow us to
take this organization from good to great.
In conclusion, the key challenge moving forward
will be the recovery from the sluggish quarter
one volume performance. While we may not have
much control over global and local economic
conditions, the Commercial Team and the TPT
Executive Team are engaging customers to
win additional volumes. We have had positive
engagements, and will continue to position TPT
favourably as the terminal operator of choice for
our customers.
We recognise that improving our operational
efficiencies and turning around vessels faster
will go a long way in making South African ports
more attractive to shipping lines. We would like
to urge you to resume the enthusiastic Phusha
efforts from last year. It was indeed inspiring
to see that we could all work so well together to
achieve a common goal.
South Africa needs faster export growth to
stimulate the economy, create employment and
reduce poverty. To this end, TPT has a vital role to
play. Each one of us is a part of this solution.
I thank you for your continued support and
commitment to making TPT the terminal
operator of choice.
Your colleague,
Karl Socikwa
From the CE’s desk
01
4. 02
Let’stakealookathowweare
doingfinanciallyfortheyear
todateendingJune2014
Profitability
Transnet Port Terminal’s(TPT)performanceinthe
firstquarterhas been adverselyaffectedbythe
negative GDP growth of0.6%.Revenueis5.1%
belowbudget as a resultofvolumesacrossall
sectors being below budget,withtheexceptionof
thebreak bulk sector. Thecontainersectorwas
negativelyimpacted bythestrike,thelossofMSC
Valenciavolumes at NCTaswellaslowdemandin
theFarEast.Bulk volumesare2.9%belowbudget
mainly due toan underperformanceinIronOre
andMagnetite volumes.IronOrewasimpacted
by aderailment at the SishenmineinMaycoupled
with equipment challengesatSaldanha.However
volumes are expected torecoverastheyear
proceeds.The handling ofMagnetitehasbeen
affected byrailmaintenanceandpoorwagon
supply due totrain turnaroundtimeissuesbeing
experienced at RCB.A24/7commandcentre
has been set up with effectfromJulytoimprove
thesituation.Autovolumesare11.9%below
budgetand 20%below previousyearvolumes.
This is essentiallydue toweakconsumerdemand,
NUMSAstrike action andtherecallofFordparts.
Whilebreak bulk volumesare1.5%abovebudget,
revenue is 2.7%below budgetessentiallydueto
an unfavourable price mixvariance.
TodateTPThas saved 34.5%ofdiscretionary
spend. This is in line withthemoratoriumissued
bytheTransnetGroupCE.TPTiscommitted
toworkingasateamtoimplementEBITDA
improvementinitiativestocatchupontheyear
todateEBITDAshortfall. Thenetimpactofthe
aboveisthatTPThaspostedanoperatingprofit,
beforeinterest,taxanddepreciation,whichis6.9%
behindbudgetand3.3%belowtheprioryear.
Infrastructure Investments
Ourcapitalspendincludesspendinginthefollowing
significantareas:
• ReplacementoftwocranesontheEastQuayat
DCT
• Expansionprojects-OpenStorageAreaC&D
West Development
• NgquraContainerTerminalPhase2A
• Mid-lifereplacementofmajorcomponentson
fourLiebherrShiptoShoreCranes
• CentralStaffFacilityatPier1
• NewTippleratSALIOT
Conclusion
AlthoughTPTperformedbelowbudgetforthe
firstquarter,we areexpectinganimprovement
duringtheyearasmanagementisintheprocess
ofidentifyingnewopportunitiesandinitiativesto
assistindeliveringperformance.To daterevenue
andcostsavinginitiativeshavebeenidentified.
Withtheeffortsofall employees,weareconfident
thatthesecanbeachieved.
OverthenextsevenyearsTPThasacapital
Investmentplanwithaspecificfocusoncapacity
expansiontomeettheunconstraineddemandin
termsoftheMarketDemandStrategy(MDS).The
MDSplacesemphasisonachievingimprovements
inoperatingefficiency,productivityandreliability.
Inordertodeliveronthisplan,itiscritical that
theTPTteamworkstogetherfortheplanning,
monitoring,executionanddeliveryofthevarious
capitalprojects.
Overall,TPThasperformedpoorlyinthefirst
quartermainlydueto thepoorGDPgrowth
impactingnegativelyondemand.Thelabourunrest,
containersectorandmetal industry,aswell asrail
capacityconstraints,furtherimpactednegatively
onperformance.Howeverthisisexpectedto
reverseastheyearunfoldswiththepositiveimpact
ofanincreaseindemandforcommoditiessuchas
IronOre,ManganeseandFerro Chrome.
Containers (million TEUs)
1,15 1,15
1,06 19,8
20,6 20,0
2,6
3,5 3,5 182,2
165,1
145,5
Bulk (mt) Break bulk (mt) Automotive (’000 units) Revenue (Rm)
Prior Year
Budget
Actual
TPTVolume and Revenue
ActualBudget
12
Highlights
KPI: Savings in discretionary
costs. Discretionary spend is
34.5% below budget mainly due
toTPT’s continued effort to
mitigate wasteful spend.
8
Lowlights
KPI: EBITDA Margin. The
EBITDA Margin is 0.5% below
budget essentially due to low
demand translating into lower
than budgeted revenue.
28 27
5. T 201
ARGETED VOLUMES4 / 2015
4.9M
CONTAINERS
82M
BULK
TONSTEU’s
15M
BBULK
TONS
ALET US TRE T EVERY VESSEL
AS A TRANSACTION
UNITS
662K
AUTO
CONTAINERS
PIER 2 1 826 365 37,36%
NCT 1 003 540 20,53%
CTCT 741 765 15,17%
PIER 1 666 928 13,64%
PECT 248 806 5,09%
POINT 180 700 3,70%
CTMPT 80 000 1,64%
MW 60 300 1,23%
EL 49 302 1,01%
RB 30 740 0,63%
TOTAL 4 888 446 100,00%
BULK
Saldanha 58 050 000 70,89%
RB DBT 17 142 100 20,93%
PE Mang 5 460 000 6,67%
Agriport 1 170 000 1,43%
EL MPT 70 000 0,09%
TOTAL 81 892 100 100,00%
BBULK
R/BAY 7 833 400 53,95%
SAL MPT 3 317 427 22,85%
CT WF 1 280 000 8,82%
M/ WHARF 891 081 6,14%
PE MPT 880 017 6,06%
DBNMPT 284 110 1,96%
EL MPT 33 250 0,23%
TOTAL 14 519 285 100,00%
AUTO
DBN CAR 480 857 72,61%
PE 120 758 18,23%
EL 59 750 9,02%
MW 309 0,05%
CT MPT 600 0,09%
TOTAL 662 274 100,00%
03
6. 04
DCT: PIER 2 - A WINNING PLAN
5 Gangs and 5 Cranes
When vessel MSCTexas was delayed at the Ngqura Container Terminal (NCT)
due to the illegal strike action held over a 14 week period, it was up to Durban
ContainerTerminals (DCT) Pier 2 teams from Operations and Technical, in
collaboration with planners Avril Murugan and Andrew Sibinda, as well as the
Continuous Improvement team, to ensure a seamless service for the customer.
Upon arrival at DCT: Pier 2 from NCT, vessel Texas encountered further challenges.
“When vesselTexas arrived in DCT, there were challenges with cranes 525 and 531.
Crane 525 was undergoing repairs for two weeks and Crane 531 was having its
wire ropes changed which took three days”, said Avril. Furthermore, the stack was
not closed when the vessel arrived meaning that containers were still making their
way to the terminal.
Avril, Andrew, the DCT: Pier 2 Operations team lead by Lulamile Mtetweni,
Technical Department, and the Continuous Improvement team had to focus on the
vessel currently at berth to ensure a quick turnaround. All available cranes were to
be used and gangs optimised to ensure the berthed vessel, Safmarine Seroja Lima,
was completed sooner than planned in order for vessel Texas to be serviced. “We
deployed five gangs and five cranes to work vessel Seroja Lima”, said Avril.
The berthing delay of vessel Texas was drastically reduced as the team met the
CTOC target and achieved a ship working hour of 52.6. Both customers MSC and
Safmarine expressed their gratitude for the efficient service that
considered their interests.
Asked what contributed to
the success of this quick
turnaround, Andrew says,
“Teamwork and collaboration
is what made it possible to
turn around Seroja Lima. It
was a concerted effort on the
part of Operations,Technical,
Planning and the Continuous
Improvement team”.
Opposite: Our CE, Karl Socikwa
(centre) congratulates the
Planning team represented by
Andrew Sibinda (left) and Avril
Murugan for their exceptional
work
TPTnow has an
app to help your
customers
Transnet Port Terminals (TPT)
has entered unchartered waters
with the launch of a new app
that helps international traders,
from a small furniture importer
to a wine exporter or a large
manganese supplier, to keep
track of their cargo in real-
time. The app grants the user
instant access to information
that includes live berth plans
and important terminal updates
across TPT’s network of 16
terminals countrywide. TPT is
one of a few port operators
globally to launch its own app,
an effort that’s taken five
months to develop.
The app, identified as Transnet TPT, is available in both the Google
Play store for Android devices and the App Store for devices
operating on iOS. “The app is another communication channel that
addresses an efficient service offering by TPT to the customer,” says
Nombuso Afolayan, General Manager for Commercial and Planning
at TPT. She added that the app will assist traders to enhance their
planning and to proactively make decisions with the real-time
information now at their disposal.
The app is developed in line with modern world developments
to better enable the TPT customer to track his or her cargo and
terminal operations and developments without physically being on
site. Afolayan said the information provided by the app will enable
shipping lines to make decisions to apply slow steaming in order to
save money on fuel. Connecting the world and devising a solution
that aids the supply chain was necessary as part of TPT’s aim to be an
accessible business that continues to grow.
The TPT app is available at the iTunes and Android stores.
7. 05
Berth 108 proudly handled its first vessel,
the 250 metre long Maersk Innoshima, on
1 July after a four month rehabilitation.
Phase 1 of the Berth 108 and 109 upgrade
comprised refurbishment of four Liebherr
cranes, repairing of stacks against wear and
tear, as well as restoring of roadways.This was
all successfully completed within the planned
timelines.
The scour protection component of the South
Quay outage was undertaken to secure the safety
and stability of the quay walls - approximately
6 000 cubic metres of scour rock have been
placed at the foot of the quay wall to ensure its
safety and stability.
Pavement rehabilitation comprised replacement
of concrete panels as well as cleaning of slot
drains.The 108/109 stacking yard is serviced
by a network of slot drains which ensure excess
rain water is drained away. As part of the outage
project, the drains have been cleaned and all the
debris disposed of in an environmentally friendly
way.
For the crane refurbishment, over 100 tons of
scaffolding were deployed on the structural
component of the project.
Other work has included the replacement of the
asphalt layer that forms part of the tarred road
surface behind the quay.
Thank you to our employees for their efforts
and our customers for their support during this
period!
Bottom right: Newly repaired stacking area.
Berth 108/109 outage
Phase 1 complete. First vessel berthed
8. 06
Saldanha MPT
double volumes
handled
The Multi-Purpose Terminal Saldanha achieved a record breaking performance when it handled
440 964t of cargo against a budget of 301 871t during April. The main contributors to this
achievement were:
The terminal smashed their record just two months later, in June, when they handled 481 576t of
cargo against a budget of 398 538t.
Additional commodities such as coal and imported steel, which were not budgeted for, also
contributed to the June performance.
A comparison of the volumes handled for the first quarter of last year versus the first quarter of this
year reveals that the terminal actually doubled its volumes! Terminal management acknowledge that
this kind of achievement is not easily attained.
The MPT team are to be commended for their focus and commitment and they have set an extremely
high standard for others to follow.
COMMODITY BUDGET (tons) ACTUAL (tons) Variance %
Hot rolled steel 50 833 70 736 39.15
Manganese ore 68 333 175 735 157.17
Steel pellets 37 500 54 569 45.52
COMMODITY BUDGET (tons) ACTUAL (tons) Variance %
Hot rolled steel 50 833 74 701 46.95
Steel pellets 37 500 53 874 43.66
Heavy sands 30 000 59 809 99.36
June
April
9. 07
The Commercial
function is bound
by TPT’s standard
operating procedures
to ensure it fulfils
its mandate to its
shareholders and
customers. TPT’s
customer policies
ensure alignment of TPT’s organisation-wide
customer engagements, via multi-faceted
platforms driven by the Commercial and
Planning Department.
In 2010 TPT initiated a technology-based
Contract and Customer Portal that offers
a centralised, user-specific repository of
customer data, contacts and information.
In 2013 TPT embarked on a journey with the
focus on TPT becoming a customer-centric
organisation. To ensure the Commercial
Department of TPT is forward thinking in terms
of stakeholder management, relevant TPT
stakeholders have real-time information on our
customers. The Commercial Team in conjunction
with the ICT team is currently researching an
updated electronic system to ensure continuous
improvement practices. The main driver is to
keep all relevant internal stakeholders up-
to-date with real-time customer information
thereby ensuring maximum benefit and service
delivery for TPT customers.
TPT’s CRM covers:
• Policies and processes that manage
commercial risks; categorise customers
by division, sector and terminal; and align
customer engagement with TPT’s people
aspects that specify protocols and structure
of engagement; manage customer issues and
pursue integrated marketing initiatives
• Services Contract Management and pricing
models
• Technology ie the Contract & Customer
Portal for customer data management
CRM unique offerings include:
- A Customer Services Centre to address
queries and assist with planning
- A National Planning Centre to improve vessel
turnaround time thereby exceeding our
customers requirements and expectations.
Key business improvements eg: reduced
berthing times; improved truck turnaround
times at most terminals; faster and
more efficient container handling and
crane operations (GCH); decreased stack
occupancy and congestion; and improved
Ship Working Hour (SWH) performance
- Corporate Affairs forming part of the
Commercial and Planning Department
thereby improving internal and external
stakeholder management
- An online customer portal that features:
customer details; contract and industry
information; past engagement activities
and outcomes; background research and
customer intelligence
- Customer Service Level Agreements
- Joint consultation via sector forums, eg
- Automotive: National Association of
Automobile Manufacturers of South
Africa (NAAMSA)
- Containers: Container Liner Operator
Forum (CLOF)
- Bulk: Bulk Liner Operator Forum (BLOF)
- Break bulk: SAASOA (SA Association of
Ship Operators and Agents)
- Business to Business events to share port
planning and interrogate industry issues
- An annual strategic meeting with TPT,
Transnet Freight Rail and Transnet National
Ports Authority to align long term strategy,
and plan for future growth
- Monthly strategic review meetings to
encourage customer relationship building
- Ad hoc courtesy visits to enhance customer
relationships
- Ad hoc plant / facility visits to ensure
understanding of customers’ business
- Standard operational engagements eg vessel
schedule meetings, SLA reviews and after
sales engagements
Value Add & Future CRM Development
TPT’s CRM strategy, aligned with that of the
Transnet Group, has improved relationships and
mutually benefited cooperation with customers.
CRM is one of the Transnet Culture Charter’s
seven desirable company behaviours.
CRM activities will be dictated by the seven
year Transnet Market Demand Strategy, through
which TPT will invest R33bn to boost port
operations. Plans include: revenue growth by
winning new business; pricing and operations
need to be competitive to attract new lines and
transhipment services.
TPT’s Customer Relationship
Management (CRM) JourneyBy: Nombuso Afolayan
10. Richards Bay customers feel the benefit of
the National Customer Service Centre
As part of TPT’s aim to become more customer oriented, the National
Customer Service Centre extended its services to the Richards Bay
terminal with a launch during April which was well received by the industry.
A dedicated team spent time in Richards Bay to understand the business
and align business processes to streamline and communicate better
with the customer. The centre deals with day-to-day customer enquiries,
provides quotations for new business and is committed to providing
customers with updates through proactive communication streams.
TPT clients can now make use of our Customer Service Centre by contacting us here:
Tel: 0860 333 203
Email: TPTRichardsBayCSC@transnet.net
Please refer all email basic queries to the Richards Bay Customer Service Centre.
08
Our Service Offering:
- Tariff Quotations and Enquiries
- Vessel Berthing Information
- Hourly Updates of the Vessels
Working
- Vessel Balances
- Discharge Completion Dates
- Terminal Status Updates
- Complaints/General Queries
- Email and SMS Customer
Communication
- Web Updates
11. 09
New locally
manufactured RMGs
on course for handover
In line withTransnet’s plan to improve rail operations in support of its
strategic initiative for the diversion of cargo from road transport to rail,
DCT: Pier 2 acquired two newTerex Rail Mounted Gantry Cranes (RMGs)
to further boost productivity.
The first RMG has been erected and is in the process of being
commissioned and is scheduled to be handed over to operations by the
end of September. During August, components of the second RMG were
delivered to the terminal, with the assembly and erection underway.The
second RMG is scheduled for handover at the end of November 2014.
The new RMGs employ the latest Siemens drive control and
programmable logic control (PLC) features.The RMGs were
manufactured in South Africa at theTerex Material Handling and Port
Solutions factory in Boksburg.This is a significant achievement as it is
the first time in the last 15 years that such equipment has been designed
and manufactured in SA.
As a result of this supplier development initiative, a number of SA
companies were involved as prime suppliers. Going forward these locally
developed suppliers will be the backbone of the component supply
chain for maintenance (after sales support) of these and future RMGs
manufactured in South Africa.
Durban ContainerTerminals continues to showcase and improve
customer satisfaction. Ongoing initiatives are aimed at reducing vessel
berth/ port stay and increasing productivity.
As part of DCT: Pier 2’s mission to take full advantage of the Ship-to-
Shore (STS) cranes capability, two shifts were recently planned to work
a six gang operation to take advantage of the good stowage opportunity
presented to the terminal by the MAERSK LINE (Vessel: RDO Concord
-Voy1407/1408) at the North Quay.
On these two shifts we handled 1 032 moves, achieved a GCH of 26
and 146 SWH in a 7.5 hour shift.The previous shift also achieved
record performances of 124 SWH and GCH of 28 – to the delight of the
customer. Since then we have continued to make history with our six gang
operation on one vessel. Towards end June, the two shifts that worked
on the Seroja LimaVoyage achieved 1 857 in 11.5 hours and an SWH of
168 – a record volume ever handled for one vessel atTPT. The overall
performance of the vessel was 108.8 SWH from start to finish – 5 786
total moves were done in 53.2 hours.
Durban ContainerTerminal is the first terminal to have introduced this
type of groundbreaking innovation. It’s rewarding when customers
appreciate the tangible difference the new tandem lift cranes are making
to ShipTurnaroundTime.
Shifting into gear
12. 10
DELEGATION TO BREMEN
Evergreen
Presidents meet
TPTChief
Executive
Shipping company, Evergreen, sent a
delegation to visit South Africa in early
July. Significantly, it was the first time the
Singapore and Taiwan management had
visited South Africa orTransnet with a view
to new business propositions.
Seen in the picture with TPT CE, Mr
Karl Socikwa is Mr Johnny Lee (left) the
incoming President of Evergreen Agency
(South Africa) (Pty) Ltd and Mr Jim Cho
(right) the outgoing President of Evergreen
Agency (South Africa) (Pty) Ltd.
TPT Chief Executive, Mr Karl Socikwa, formed
part of the team who were invited by the
Southern African German Chamber of Commerce
(SAGCC) to participate in a business delegation
to Bremen, Germany. The delegation was led
by the Deputy Mayor of eThekwini, Councillor
Nomvuzo Shabalala. The SAGCC invited key
stakeholders from the Port and Maritime
Industry in South Africa to participate with
the objective of identifying how operators and
service providers to the Ports of Bremen and
Bremerhaven can assist enterprises operating in
the Port and Maritime Industry in South Africa.
TPTsponsors MSC Regatta
The Bremen Ports are among the most
important harbours in Europe. Bremen and
Bremerhaven terminals deal with nearly every
type of shipment, including containers, cars,
bulk and break bulk goods, hazardous goods and
project cargo. The Bremen ports also offer many
value-added services in container logistics.
TPT is the regional conduit in the export and
import of products to and from Germany and
this delegation provided the means to explore
ways to improve operations and increase trade
through our port terminals. As a member of
the business delegation, TPT demonstrated
practical support for the initiatives of the
SAGCC and used the opportunity to build
relations with existing and potential new clients
in order to increase volumes through South
African ports.
A delegation of business and government
representatives travelled to Bremen in Germany
led by the Deputy Mayor of eThekwini.
Transnet PortTerminals (TPT) has sponsored the annual MSC Regatta for the past 11 years, each
July.This is an initiative aimed at training children in yachting and sailing at the Izivunguvungu MSC
Foundation for Youth and it benefits youth from disadvantaged communities.The foundation also
offers general development and educational progress for youth.
Each year the return on investment has increased. MSC is one of our strategic customers and we are
proud to support them as part
of cementing our business
relationship. As a sponsor
we were afforded with the
branding opportunity at the
week-long event. In addition
TPTsponsored kit for the
children taking part in the
event.
13. 11
Transnet PortTerminals participated in Africa’s leading transport and infrastructure show,
the Africa Ports and Harbours Conference.
Zeph Ndlovu, GM: KZN Operations, speaking at the conference said, “South Africa is
well positioned to service the world’s key trade routes as global trade recovers andTPT
is preparing for this growth by investing in new capacity ahead of demand.” This is with
reference toTransnet’s Market Demand Strategy which will seeTPTinvesting billions over
seven years in capacity and equipment.
Ndlovu also noted that as a country we operate in a very competitive landscape for
key global ports and terminals and it is important for South Africa to improve its
competitiveness in order to enableTPT to attract and increase market and trade volumes.
South Africa services the Southern African, Asian, European and South American trade
routes and is ideally positioned to be a transhipment hub.
TPTexhibited its integrated service offerings and engaged with delegates at the exhibition
stand.TPTExecutives who attended the conference hosted various media engagement
sessions and interviews.
Above: Delegates engaging withTPT KAMs at theTPT exhibition stand.
TPT exhibits at the Africa Ports
and Harbours Conference
MEDIA
Join TPT
online
TRANSNETPORTTERMINALS ON
DO’S AND DON'TS ON SOCIAL MEDIA
Do’s
- At all times act as ambassadors of Transnet during
work hours or outside of those hours
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14. 12
Information booths project launch
Richards Bay Terminals
The information booths project, which is
being piloted at Richards Bay, was officially
launched in late July at theTerminal
Managers’ Roadshow.
There was excitement from the crowd as the GM
of KZN Operations, Zeph Ndlovu and the two
Richards BayTerminal Managers, Panaso Ndlela
and Mandla Mpungose, simultaneously lifted
theTPTbranded covers to reveal the red plasma
information screens, signalling the official launch
of the project.
The aim of the information booths is to provide
employees, who do not have access to website
and electronic communiqués, with a resource
whereby they can access information. The
information booth touch screens will close the
information gap by making Ops Briefs, vacancy
lists, electronic brochures and any other
electronic communication material available to all
employees. In addition they will provide access to
the intranet and the internet, within the guidelines
of theTPTinternet policy.
15. CPTTerminals receive
PMR Africa Leaders and Achievers
Diamond Arrow Award
TPT’s CapeTown Terminals received a Diamond
Arrow Award at a breakfast event held in Cape
Town in May subsequent to a survey conducted by
the City of CapeTown.
The purpose of the survey was to:
• Profile the City of CapeTown as a growth
point and potential investment area for
foreign and local developers and investors
• Measure companies, institutions, government
entities and individuals on their contribution
to the economic growth and development of
the region, levels of management expertise,
implementation of corporate governance and
levels of innovation
• Measure companies, institutions and
government entities’ competencies
• Measure brand awareness
The awards are an acknowledgement of the effort
and hard work of personnel who have contributed
to this success.
Congratulations to the CapeTown team for their
contribution towards achieving this award and
the role they played in the economic growth and
development of the City of CapeTown and the
Cape Peninsula.
13
The DutchTrade delegation visited South Africa
in July.Transnet PortTerminals together with
TNPA hosted the delegation and there was a
roundtable discussion between the Netherlands
Trade delegation,TIKZN,TPTandTNPA that
took place at theTrade and Investment KZN
offices. Discussions took place on a number
of infrastructure related developments in the
Durban harbour/region.
The roundtable discussions were then followed by
a short harbour boat tour.
Netherlands
trade mission
16. 14
2014 Ground
Breakers Awards
EFFECTIVE LEADERSHIP
Winner: Anthony Benjamin
1st Runner up: Nicholas Mostert
2nd Runner up: Francois Verwey
INNOVATION (INDIVIDUAL)
Winner: Shaun Julius
1st Runner up: DJ Meyer
2nd Runner up: Noah Murugan
INNOVATION (TEAM)
Winner: P Khaphasha & K Mbenye
1st Runner up: Durban RoRo Team
2nd Runner up: NCTWind Monitoring System
CUSTOMER EXCELLENCE (INDIVIDUAL)
Winner: Ahmed Khan
1st Runner up: Faith Chetty
2nd Runner up: Michael Manthey
CUSTOMER EXCELLENCE (TEAM)
Winner: CPT Planning & Logistics Team
1st Runner up: National Planning
2nd Runner up: Cape Town Terminal
SAFETY (INDIVIDUAL)
Winner: Sean Du Plessis
1st Runner up: Christina Reddy
2nd Runner up: Litha Dalindyebo
17. 15
Transnet PortTerminals Chief Executive, Karl Socikwa, held his third annual Ground
Breakers awards in Durban in late June. This year saw the addition of four more
categories:Terminal Manager of the Year, Terminal of the Year, Region of the Year and
the Employee Volunteer Programme.
This year attracted more participants than previous years - an indication of the appetite
of our peers for recognising the good in each other’s efforts.The winners and runners up
are as follows:
SAFETY (TEAM)
Winner: Cape Town Terminal
1st Runner up: Ngqura Container Terminal
2nd Runner up: Port Elizabeth Terminal
OPERATIONAL EFFICIENCY (INDIVIDUAL)
Winner: Lulama Mangena
1st Runner up: Pamela Yoyo
2nd Runner up: Siyamthanda Budaza
OPERATIONAL EFFICIENCY (TEAM)
Winner: TVCC Team (Richards Bay)
1st Runner up: SD/BBBEE/ED (HQ Procurement)
2nd Runner up: East London MPT
REGION OF THE YEAR
KwaZulu-Natal
TERMINAL MANAGER OF THE YEAR
Brenda Magqwaka and Luvuyo Hobo
TERMINAL OF THE YEAR
Saldanha MPT
EMPLOYEE VOLUNTEER PROGRAM
Winner: Louis Hutton
18. 16
14th
KwaZulu-Natal Exporter
Awards Launch in Durban
KwaZulu-Natal is a key contributor to South Africa’s
GDP owing to the industries represented in the
province, small and large exporters in the supply
chain, and two of the largest ports and terminals in
Africa – Durban and Richards Bay. Exports form the
bedrock of any successful economy as they allow
a country to form links with international markets
for the movement of goods and minerals across
continents. It is in recognition of this important role
that the Durban Chamber of Commerce and Industry
(DCCI) partners withTransnet PortTerminals (TPT)
annually to recognise businesses in exports at the
KwaZulu-Natal (KZN) Exporter Awards.
Now in its 14th year, the KwaZulu-Natal Exporter
Awards held in Durban in July is an ideal showcase
for emerging and established exporters of a wide
range of goods.With a GDP contribution of 16%,
KwaZulu-Natal is the second largest economic
regional contributor after Gauteng and a large part of
its economy is attributable to the Durban Container
Terminal, the largest in Southern Africa, and the
Richards BayTerminal.The two facilities are among
16 terminals run byTPT. “The aim of the awards is to
encourage new entrants and help existing exporters
grow their businesses and develop new markets.The
global economy is not yet stable and the contribution
exports make in this region towards growing jobs is
vital” said Andrew Layman, Chief Executive Officer
of DCCI. One of last year’s winners,TimTanner
of PTEngineering said: “This competition helped
our company get the recognition it deserves.We
got so many contacts from the Chamber for local
partnerships. It put us on the map.” PTEngineering
now successfully exports locally manufactured and
specialised equipment for off-shore oil and gas
industries, the sugar industry and general engineering
industries throughout Africa and around the world.
Highlighting the importance of participation, Chief
Executive ofTPT, Karl Socikwa said: “South Africa
is reliant on an export-led growth strategy and as
the country’s leading terminal operator responsible
for commercial import and export,TPTis proud
to be associated with such an initiative”. He added
that increased participation from businesses
across the KZN province will only strengthen their
global footprint in exports and make the province
competitive. “As institutions facilitating that trade,
we too have a role to play in unlocking potential”, said
Socikwa. Winners of the competition are offered
assistance and close support as prerequisites to
successful exports such as company registration,
customs procedures, export registration and process,
as well as access to incentives for which they qualify.
Trading protocols are explained, and consultants with
strategic experience in exports provide their services
regularly and at no cost.To expose South African
products and services to the global community,
provincial institutions lead outgoing trade missions
to potential export destinations, host an online trade
facilitation service, conduct workshops, and provide
market intelligence so that exporters can assess the
likelihood of success of their planned exports.
The competition is now officially opened and entry
forms are available from the DCCI offices and from
sakalap@durbanchamber.co.za
Fromlefttoright:AndrewLayman,CEOofDurbanChamberof
Commerce&Industry;JohannUngerer,BellEquipment(past
winner);LouisaGarland-Els,ImperialArmour(pastwinner);
KwanelaGumbi,DeputyPresidentofDurbanChamberof
Commerce&Industry;MsNtombikayiseSibhidla-Saphetha,MEC:
Arts,Culture,Sport&Recreation;KarlSocikwa,CEofTransnet
PortTerminals(mainsponsor);LindaniDlomo,SEDAProvincial
ManagerKZN(sponsor);ZamoGwala,CEOofTIKZN(sponsor);
EtienneVenter,RegionalSalesManager-KwaZulu-Natal&
EasternCapeatPFKElectronics(pastwinner); RichardCookson,
Garlicke&Bousfield(InternationalBusinessMentor);Slungile
Mokoena,SluvinDesigns(pastwinner);EricApelgren,Head:
InternationalandGovernanceRelations,eThekwiniMunicipality.
KZN’s major export products:
Aluminium, vehicles, iron, steel, ore, machinery,
paper, pulp, varying chemical products, mineral
fuels, oils, mechanical appliances and electrical
equipment.
The launch of the Durban Chamber of Commerce
andTransnet PortTerminals KZN Exporter
Awards is aimed at creating awareness that
will see increased participation from provincial
qualifiers. Categories of the competition this
year include:
• The Small Business Category
• The Medium Business Category
• The Large Business Category
• The New Exporter Category
• The Africa Category
• The Service Provider Category
• The Special BBBEE Category
19. 17
TPTDominates
Transnet Internal Audit (TIA) Integrated
Governance Awards
At theTransnet Internal Audit Integrated
Governance Awards ceremony held in May,TPT
scooped four awards in the following categories:
• Bestcomplianceininternalcontrolenvironment
• Leader in fraud risk management environment
• Most improved internal control environment
• Individual contribution which was awarded to
TPT’s CFO, Pru Archary
On an annual basis,Transnet recognises all of its
five divisions, individuals and teams that have
contributed to promoting these key elements.
Congratulations to theTPTChief Financial
Officer (CFO),TPTInternal Control, Forensic
and Compliance teams andTPTemployees who
have contributed to these achievements. Let us
continue on our journey of takingTPTfrom “Good
to Great”.
Seenattheawardceremony(lefttoright):
StuartDubber(TPTForensicManager),Ntombeziningi
Shezi(GM:Procurement),PruArchary(CFO),Katherine
Bhogal(DivisionalInternalControlManager),Xoliswa
Hlongwane(ERMManager)andMarkFearick(Divisional
ComplianceManager).
20. 18
Safety
AwardsTPT’s 19th annual safety competition took place during
July at the old Durban drive-in site.
This was a landmark event as for the first time all the
terminals converged on Durban to participate in one
single safety competition day instead of holding regional
competitions. The competition was judged per region and
the overall winner for each category was determined.
Terminal teams were represented in three categories (in
line with the national Transnet competition):
• SHE Rep
• First Aid
• Firefighting
The competition is used as a means to ensure general SHE
improvements with live scenarios as test cases. Further
added advantages are:
- To determine the level of preparedness and
competency of emergency response teams in general
- To recognise the deserving efforts of the relevant
Fire Teams, SHE Reps, First Aiders and ensure
suitable representation at the 19th Transnet Annual
Fire Safety Competition
- To test effective responses to emergencies
- Reinforce positive behaviour and recognition of good
emergency response skills and sharing of lessons
learned
- Elevate the general status of emergency response
teams, showcase their capabilities and encourage
volunteerism
The competition was a sterling success with all teams
participating and learning essential skills to take back to
their workplaces. Effective teamwork and willingness to
achieve more was a common thread throughout the event.
Congratulations to the winners and all participating
teams. We look forward to the winners representing TPT
in the national competition at Transnet later this year.
Competition results:
Province Name Mark
1st Place KwaZulu-Natal Sinegugu Shangase 96%
1st Place Western Cape Leeane Snell and Jude Radcliffe 88%
1st Place Eastern Cape Christopher Sonwabo 84%
Overall Winner: Sinegugu Shangase
SHE Rep Category
Province Winner
1st Place KwaZulu-Natal Richards Bay Terminal
1st Place Western Cape Cape Town Container Terminal
1st Place Eastern Cape Ngqura Container Terminal
Overall Winner: Ngqura Container Terminal
First Aid Category
Province Winner
1st Place KwaZulu-Natal Maydon Wharf Terminal
1st Place Western Cape Cape Town Container Terminal
1st Place Eastern Cape Ngqura Container Terminal
Overall Winner: Ngqura Container Terminal
Firefighting Category
21. 19
ISO 9001 is an Audit International
Management System Standard to
ensure Quality of Products, Services and
Customer Satisfaction. Unlike ISO 14001
and OHSAS 18001, ISO 9001 is a business
model and includes services from all
departments and enables the user to
manage the interactions to ensure a high
quality service or product.
At the end of July, a Stage 1 Audit for
ISO 9001 was conducted at the Saldanha
Terminal. A Stage 1 Audit is undertaken to
check if the organisation’s system will be
able to comply with the strict ISO 9001
clauses. As this was the Saldanha Bulk
Terminal’s first ISO 9001 audit, the
anticipated outcome was for the auditor
to indicate the gaps in the documentation
system, whereas Stage 2 looks at the
implementation of the documented
system. The outcome for Saldanha
Terminal was zero findings. Achieving
zero findings does not indicate that no
improvement opportunities exist, as there
are always opportunities to improve a
system. The finding indicates that our
system is mature enough to pass the ISO/
SABS requirement and is a system that
has the ability to supply high quality goods
and services to its customers.
This is the first audit to be conducted at
TPT’s Saldanha Terminal and whilst there
are many improvement opportunities
which have been identified, we are
extremely proud to have achieved a zero
findings rating.
Zero findings for
Saldanha Bulk
Terminal's first
ISO 9001 Audit
22. 20
Another great idea: The
Innovation Programme at TPT
It is with great excitement that we formally
announce the kickoff of theTPTInnovation
Programme.The benefits of this endeavor should
be significant to the business, but more so to
each and every one of you as it encourages allTPT
staff to turn your great ideas into reality whilst
working in teams with colleagues from different
disciplines and backgrounds.
HOWTO SUBMITYOUR GREATIDEA
Send an email to tptinnovation@transnet.net
that contains the following information:
1. The subject line should be titled IDEA
2. Your name
3. Your department and/or terminal
4. All your contact details
5. A brief explanation of your idea
If you do not have access to email, submit your
idea to your Supervisor and/or Line Manager.
Include all the information listed above.
ANOTHER WAYTO SUBMITYOUR GREATIDEA
1. Nominate yourself onto aTPTFrenzyTeam.
2. Submit a brief motivation to
your Supervisor explaining
why you think you should be
part of the FrenzyTeam. You
can also send an email to:
tptinnovation@transnet.net
3. The subject line should be
titled: NOMINATION
4. Include your name,
department and all your
contact details
YOU CAN NOMINATE YOURSELF INTO ATPT
FRENZYTEAM
People who nominate themselves to be a part of
a FrenzyTeam will participate in brainstorming
sessions, idea generation, first level self-
assessment of ideas and the preparation of a
high level innovation advancement business case
that will be taken to the Innovation Steering
Committee for consideration at the next level of
advancement. You may also get the opportunity
to become a FrenzyTeam leader who facilitates
the abovementioned process.
Should an idea you have submitted be selected
for further evaluation and development, you as
the idea originator, will be a part of the team that
develops the business case, and should that pass
the gate review, you will be a part of the team that
implements the solution. Upon successful
implementation of your idea, you (and the
team that assisted you) will be nominated as a
contender in the Innovation category of the CE’s
Ground Breakers Awards and stand the chance of
winning the category.
As part of the conditions of the
Atmospheric Emission License issued by
the District Municipality, TPT Saldanha
together with TNPA as well as Interested
and Affected Parties (I&AP) held its
quarterly Environmental Stakeholder
Forum in July. This forum engages on a
quarterly basis with the main purpose
of simplifying the flow of information
between the public and the port. In
October 2011 the public stakeholders
and Transnet Port Terminals came to
an agreement to create a platform that
has representatives from different
communities, including home owners and
rate payers.
There had been numerous requests
from the public to visit the RO (Reverse
Osmosis) Plant operations. Terminal
Manager, Robert van Rooyen, and the
Environmental Quality Department agreed
to the request and at the close of the
meeting all the delegates travelled to the
RO plant and undertook a site tour during
which technical explanations were also
given.
The tour session was received positively
by the public stakeholders and it is
believed it served to minimise their
concerns and perceptions about the
port environment. Robert van Rooyen
communicated that the port is doing well
in terms of mitigating dust and he also
acknowledged that further measures were
required and that plans are progressing
with these.
Saldanha
Environmental
Stakeholder
Forum
23. 21
TPTcommemorated Mandela Day in many different
ways around the country.
KZN REGION INCLUDING HEAD OFFICE undertook
various activities such as painting of walls; general
housekeeping; providing lunches to kids and donating
goodie bags at the following organisations:
• Sizani HIV/ AIDS Projects (Wentworth)
• Isaiah 54 Children's Sanctuary (Bluff)
• Nkosi Sihawukele Disabled Care Centre in
Richards Bay
WESTERN CAPE REGION
Skaandal Kamp in CapeTown
CapeTownTerminals employees collaborated with
SAVE, a Non-Profit Organisation whose aim is to
improve the lives of the people, especially children in
and around CapeTown.
The 67 Minutes for Mandela initiative entailed
collecting clothing and blankets for those less
fortunate and delivering them to an impoverished
informal settlement in Skandaal Kamp. Over 400
members of the community each received a blanket
and clothing items to keep warm this cold winter in
CapeTown.
White City Daycare in Saldahna
In Saldanha employees visited theWhite City Daycare
where a great number ofTransnet PortTerminals
employees reside.They painted and refurbished two
of the classrooms in the school which were damaged
and also shared winter blankets and a meal with the
staff and children in the Daycare Centre.
Mandela DayTPT
CELEBRATES
24. 22
In early June, Durban RoRo raised its voice around environmental awareness with a
special visit from TPTGM: Safety, Security and Sustainability, Michelle Phillips.
Together with the KZN GM: Operations, Zeph Ndlovu, Michelle addressed the
Operations team at the car terminal, highlighting the importance of environmental
consciousness not only within the terminal but also as an individual in society.
Michelle quizzed the team on SHEQ-related trivia, handing out prizes to those
who answered correctly, but not before providing a sneak-peek at activities
planned for the rest of the year around the following environmental observations:
The environment depends on YOU for its protection! Keep your eyes peeled
for details on how you can become involved in these activities and how you can
RAISE YOUR VOICE!
TPT raises its
voice on World
Environment Day
Sept 1-7 - Arbor week
Sept 15-21 - National clean-up week
Sept 16 - International Day for Preservation of the Ozone Layer
Sept 19 - Recycling Day SA
Sept 20 - International Coastal Clean-up Day
Sept 21 - Zero Emissions Day
Oct 6-10 - Marine week
25. Legal &
Compliance
TPT Legal and Compliance strives to maintain a high standard of service whilst delivering legal
advice that moves the business forward. With every issue of the Portside Magazine we will bring you
highlights, trends and case law that impacts on the business, keeping you informed and empowered to
make the necessary business decisions.
RESHAM ATHMARAM:
EXECUTIVE MANAGER
23
Economic growth within any company is
pivotal and ensures that the business remains
competitive, innovative and provides optimum
service to its customers.
Transnet Port Terminals has an obligation to
promote customer relations and to market the
company to potential customers in terms of the
conditions of TPT’s Terminal Operator Licences.
In terms of the National Ports Act No. 12 of
2005, The National Ports Authority (TNPA) must
ensure that adequate, affordable and efficient
port services and facilities are provided and
that TPT in terms of licences is obliged to
provide reliable, secure and efficient services
and facilities to the port users. Hence TPT is
strongly encouraged to ensure that it adheres
to this mandate to provide efficient and
competitive services.
Any terminal within TPT that wishes to render
a value-added service by handling or providing
a service that was not provided prior to the
announcement of the Act on 26 November 2006,
expand or develop an area within a certain port
that is not within the terminal boundaries as
contained in the licences, or alter, expand or
develop an area within the terminal boundaries,
can submit their intention to do so to the TPT
Legal Department who will in turn assist the
terminal to put together an application for
submission to the TNPA for the amendment of
the licence to include the new commodity and/
or service.
Some of our recent successful applications
include the Manganese Skiptainer operations at
Port Elizabeth, East London and Saldanha Bay
terminals which are serving to progress the way
in which we service our customers and ensure
that TPT remains at the forefront of technology.
“Moving TPT forward through competitive,
efficient and reliable port services.”
Developing and expanding our
terminal footprint:
Applications to handle new
commodities
By: Nontokozo Lingishi, Legal Advisor National Ports Act
Legal &
Compliance
26. 24
Marine Insurance:
only 4 000 years old
By: Buyisile Hlatshwayo - Insurance and Claims Manager
When we look back in history we see the
need for guaranteeing against a loss goes
way back to Babylonian times, around
2 100BC, when the Code of Hammurabi was
the first basic insurance policy.
This policy was paid by the traders in the form
of a loan to guarantee the safe arrival of their
goods by caravan.
The perils our transportation industry face today
are the same as back then such as robbery, bad
weather and breakdowns. In the year 3 000BC,
Chinese merchants dispersed their shipments
among several vessels so as to minimise the
possibility of damage to their products. The
earliest account of insurance came in the form of
‘bottomry,’ a monetary payment that protected
traders from debt if merchandise was lost or
damaged.
As time went on, the need for insurance
increased. The Phoenicians and the Greeks
wanted the same type of insurance with their
seaborne commerce. In medieval times, the
guilds protected their members from losses
resulting from fire and shipwreck, paid ransom
to pirates, and provided respectable burials as
well as support in times of sickness and poverty.
The first actual insurance contract was signed in
Genoa in 1347. The policy, which was in Italian,
was called “the Santa Clara” and appears in
the form of a maritime loan to avoid the church
prohibition against usury. The policies were
signed by individuals, either alone or as a group.
They each wrote their name and the amount
of risk they were willing to assume under the
insurance proposal. That is where the term
underwriter came from.
The practice of insuring cargo while it was
being shipped was widespread throughout the
maritime nations of Europe. In 1688, the first
insurance company was formed, in London. It
all started at the Lloyd’s Coffee House; a place
where merchants, ship owners and underwriters
met to transact their business. Lloyd’s came up
with the idea of insuring cargoes by charging
a premium. Within six months, this business
proved so successful that offices were opened.
This was the start of the company we know
today as Lloyd's of London.
South Africa
Despite this long history of marine insurance,
there is no South African legislation dealing
specifically with the sector. What we have is
the Short-Term Insurance Act of 1998, which
includes ‘transportation’ policies and applies
to hull and cargo. The Act is mostly concerned
with formalities and contains very little general
principles. It does, however, have provisions
relating inter alia to the nature and effect
of misrepresentation and warranties. As for
questions not regulated in the Act, South African
marine insurance legislation is founded upon
and has as its fallback system Roman-Dutch
common law. Roman-Dutch marine insurance law
was in turn based upon the developed European
marine insurance law of the 17th and 18th
centuries. South African common law however
is the importation of later English law, primarily
through the direct application of English
Insurance law from 1879 to 1977.
As we know it today…
Maritime or marine insurance covers the loss
of or damage to a ship or boat, as well as the
loss or breakage of cargo over the waters, land
or air. Maritime insurance is essential for any
shipowner or cargo business. Each country has
their own laws dealing with insurance matters,
however by the very nature of international
marine transit there are common factors
governing marine insurance across the world
–“over the seabed and ocean floor”.
Admiralty Courts assume jurisdiction by virtue
of the presence of a vessel being in its territorial
jurisdiction irrespective of whether the vessel
is national or not and /or whether registered in
the specific country or not, and wherever the
residence or domicile of their owners may be.
The common primary aspects of marine
insurance across the world are: seaworthiness
of a vessel, limitation of shipowner’s liability,
personal injuries to passengers, cargo claims,
personal injuries to seamen and maintenance
and cure, maritime liens and mortgages, salvage
and treasure salvage, marine pollution, war risk,
terrorism and piracy.
27. 25
The Consumer Protection Act (CPA) is designed
to prevent suppliers from taking advantage
of consumers and infringing their rights. The
CPA applies to contracts signed or products
purchased before 1 April 2011. The CPA aims to
enforce the rights of consumers through a broad
range of stipulations. Below are some of them:
You as a consumer have the following rights:
1. Have the right to opt out of receiving
unsolicited direct marketing services.
This would be done by following the opt
out instructions provided with the original
communication
2. Suppliers are not allowed to auto-renew
fixed term contracts. Contracts will run on a
month-to-month basis after expiration and
can be cancelled by the customer with 20
business days’ notice
3. You won’t be liable for any repairs or
maintenance services done without your
prior approval
4. Customers have the right to cancel
purchases or contracts within five days
(cooling off period) if they are as a result of
direct marketing. This applies to any form
of direct marketing eg mail, TV, personal
approach, etc
5. Customers have the right to cancel advance
bookings, reservations or orders. However,
the supplier is entitled to impose a
reasonable charge for the cancellation
6. Customers have the right to return unsafe
or defective goods within six months of
purchase and request a repair, replacement
or refund. This does not cover goods which
have been abused or misused. Repaired
goods must be replaced or refunded if they
become defective or unsafe within 3 months
of repair
7. Companies are not allowed to charge
exorbitant charges of R 5 or R 10 to enter an
SMS or MMS completion, but must stick to
the usual network rates
Where to complain?
National Consumer Commission:
Tel: 0861 843 384
Fax: 012 394 2558
Email: contactus@the dti.gov.za
Or write to: DTI, National Consumer Commission,
Consumer Complaints, and Private Bag x 84,
Pretoria, 0001.
Know your consumer rights:
The Consumer Protection Act and you
By: Xolani Mthethwa - Legal Advisor: Litigation, Labour and Administrative Law
What does and doesn’t
constitute a cyber
crime? The Electronic
Communications and
Transactions Act 25 of
2002 deals comprehensively with cyber crime and
has created legal certainty as to what may or may
not constitute cyber crime. Section 85 of the Act
defines ‘cyber crime’ as the actions of a person who,
after taking note of any data, becomes aware of the
fact that he or she is not authorised to access that
data and still continues to access that data.
Section 86(1) provides that, subject to the
Interception and Monitoring Prohibition Act, 1992
(Act 127 of 1992), a person who intentionally
accesses or intercepts any data without authority
or permission to do so, is guilty of an offence.
In R v Douvenga (District Court of the Northern
Transvaal, Pretoria, case no 111/150/2003, 19
August 2003, unreported) the Court had to decide
whether an accused employee GM Douvenga of
Rentmeester Assurance Limited was guilty of a
contravention of section 86(1). It was alleged in this
case that the accused had intentionally and without
permission to do so, gained entry to data which
she knew was contained in confidential databases
and/or contravened the provision by sending this
data per email to her fiancé to ‘hou’ which means
to keep. She was found guilty and punished for her
crime.
Hacking is outlawed in our law which makes any
unlawful access and interception of data a criminal
offence and this includes interference with data.
Denial of Service (DOS) attacks are also popularly
known as Disk Operating System attacks that cause
a computer system to be inaccessible to legitimate
users. Any person who commits this act with intent
to interfere with access to an information system
so as to constitute a denial, including a partial
denial of services to legitimate users, is guilty of an
offence.
CYBERCRIME By: Nosisa Nzuza -
Legal Advisor: Litigation and Labour Law
28. 26
National Prosecution
Authority and the
enforcement of eco laws
By: Dududla Maoela - Legal Advisor: Capital Procurement
The past few years have seen the National
Prosecution Authority (NPA) placing
more emphasis on the prosecution of
environmental offences with a number of
significant and forceful judgments being
handed down by our courts.
In the matter of State v Frylinck (2011), the
facts were briefly as follows: Frylinck, an
environmental assessment practitioner (EAP)
employed by Mpofu Environmental Solutions CC,
was appointed by the Department of Public
Works to conduct a Basic Assessment Report
(BAR) for the proposed development of the Pan
African Parliament buildings.
The EIA Regulations require, inter alia, that
the practitioner must be independent (and
must declare such independence under oath)
and further provide that the furnishing of any
incorrect or misleading information in the
environmental impact assessment (EIA) process
is a criminal offence.
In the basic assessment report, Frylinck
indicated that there was no wetland present
within a 500m radius of the site and had
informed the relevant officer at the department
that a wetland delineation study was not
necessary. However, once construction had
begun, concerns were raised by national and
local government departments regarding
the existence of a wetland on the site. An
investigation was initiated and its presence in
the area was confirmed.
Frylinck was charged with fraud and a
contravention of regulation 81 of the 2006 EIA
Regulation under the National Environmental
Management Authority (NEMA). The court held
that Frylinck’s conduct proved wilful disregard
of the required standard of conduct by an EAP
in relation to the existence of a wetland on the
site, and that the practitioner was negligent. The
information contained in the BAR was incorrect
and the EAP had therefore provided incorrect
or misleading information to the competent
authority.
He was acquitted of the charge of fraud.
However, he was found guilty in respect of the
contravention of regulation 81 of NEMA and
sentenced to two years or a fine of R80 000 and
his firm was sentenced to a fine of R80 000 with
half of the fines being suspended for five years.
Frylinck’s conviction highlights the important
role that the EAP plays in the EIA process and
the need for a practitioner to ensure that he/
she presents accurate information in the EIA
process and to understand the extent of his or
her legal duties under NEMA and the regulations
promulgated thereunder.
Another landmark case of Blue Platinum
Ventures (2013) reflected the issue of our
courts imposing personal liability on directors
for environmental offences caused by their
companies. It was the first case in South Africa
where an executive of an offending company was
held criminally liable and sentenced without the
option of a fine under NEMA for environmental
offences relating to mining activities
undertaken.
This judgment will result in executives
paying more attention to the conduct of their
employees and the risk of damage to the
environment caused by their activities. It will
also see executives placing greater emphasis on
having environmental management systems in
place and ensuring they are strictly monitored
and enforced.
Further, these cases indicate that the courts are
prepared to pierce the corporate veil.
29. 27
On 11 April 2014, the Minister of Water and
Environmental Affairs determined 2 May 2014
as the date on which Part 8 of Chapter 4 of the
National Environmental Management: Waste Act
59 of 2008 (NEM:WA) would come into effect.
These provisions apply to the contamination of
land even if:
- it occurred before the statute's
commencement
- arises or is likely to arise at a different
time from the actual activity causing the
contamination
- or arises through an act or activity
that results in a change to pre-existing
contamination
“Contaminated” in relation to land is defined as:
“the presence in or under any land, site, buildings
or structures of a substance or micro-organism
above the concentration that is normally
present in or under that land, which substance or
micro-organism directly or indirectly affects or
may affect the quality of soil or the environment
adversely”.
Duty to notify1
An owner of land (TNPA) that is significantly
contaminated, or a person who undertakes an
activity that caused the land to be significantly
contaminated (TPT), is to notify the Minister
and MEC of that contamination as soon as that
person becomes aware of the contamination.
The obligation to provide notification of such
contaminations thus applies to TNPA as the
owner of such sites or TPT as the entity that
undertakes the activity that may cause/caused
the contamination.
Consequences of identification and notification
of investigation areas
The Minister or MEC may issue a written notice
to TNPA identifying land as an investigation area
if there are reasonable grounds to believe that
the land is or is likely to be contaminated.
The Minister or MEC may request TPT to
undertake the site assessment at their own
cost. The result of the site assessment must be
reported in a Site Assessment Report.
Transferring remediation sites
TNPA may not transfer contaminated land
without informing the person to whom that
land is to be transferred that the land is
contaminated and, in the case of a remediation
site, without notifying the Minister or the MEC
and complying with any conditions that are
specified by them.2
Non-compliance
It is an offence to fail to provide notification of
contamination.3
Furthermore, a person who is
convicted of this offence is liable to a fine not
exceeding R5 million or to imprisonment for
a period not exceeding five years, or to both a
fine and such imprisonment, in addition to any
other penalty or award that may be imposed or
made in terms of the National Environmental
Management Act, 107 of 1998 (“NEMA”).4
1
NEMWA section 36(5)
2
NEMWA section 40(1)
3
NEMWA section 67(1)(b)
4
NEMWA section 68(2)
Contaminated land
provisionsBy: Siwe Mpanza - GITCompliance
30. 28
The South
African
Competition
Commission
is empowered
(Sections 46
to 49A of the
South African
Competition
Act of 1998)
to conduct
surprise
search and
seizure visits
and to carry out so-called “dawn raids” on a firm’s
business premises in order to inspect documents
and interview staff where an infringement of
competition law is suspected. Documents and
electronic data can be seized and analysed
together with other information already gathered
to determine whether a contravention of the
Competition Act has taken place. In terms of the
Competition Act, the commission has the power
to search and seize documents where there are
reasonable grounds.
The Commission is empowered to enter any
such premises when a judge or a magistrate has
issued a warrant. Although a warrant is usually
an essential requirement to ensure that a dawn
raid is conducted in accordance with the law, the
Competition Commission does have the power in
exceptional circumstances to enter and search
premises without a warrant.
There is a need for local and international
companies operating in South Africa to implement
and maintain a competition law compliance
programme. An effective programme should
educate employees about the importance of
competition law compliance and the basic
principles embodied in the Competition Act. Staff
should also be prepared to handle interactions with
the competition authorities, including dawn raids.
In the event of a dawn raid, an organisation should
immediately contact its legal advisers who can
assist with ascertaining whether the search and
seizure is correctly authorised, and in ensuring that
it is conducted in such a way that its constitutional
rights are protected and there is minimum
disruption in the organisation.
In addition to implementing and maintaining
a competition law compliance programme, a
competition law audit of legal agreements, policies,
marketing materials and the firm’s practices may
also be necessary, particularly if the company
interacts with competitors in bodies such as
industry associations. Reporting procedures
should be established in order to detect possible
contraventions and bring them to the attention of
in-house legal counsel as soon as possible. This
not only mitigates competition law risk, but also
places the company in the best possible position to
consider applying for leniency, if the need arises.
In light of the increased enforcement focus of the
Commission, it is never too soon to begin.
Dawn raids conducted
by the Competition
Commission
By: Sindisiwe Mafu, Legal Advisor: Commercial Contracts
APPOINTMENT
OF GM: EIMS
Ms Deirdre Ackermann was recently
appointed as the General Manager:
Enterprise Information Management
Systems and Innovation Strategy.
Deirdre is an experienced business
information technology professional and
has extensive experience. She has a proven
track record in creating and delivering
complex ITstrategies, ITtransformation,
business intelligence and executing
major business change programs in both
large complex businesses and start-
ups. She has worked extensively in the
telecommunications, financial, retail,
medical health and supply chain logistics
sectors in South Africa, Africa, the Middle
East and the United States. Some of her
major responsibilities withinTPTwill be
to make EIMS a more strategic business
partner by creating value within the
business via various projects including:
- Customer Relationship Management
- Just inTime Business Intelligence
- RealTime Operational Intelligence
(Intelligent Plant)
- Fleet Management
- Embedding Innovation into TPTDNA
Deidre has a Doctorate in Science,
specialising in Management Information
Systems and has a Masters in Business
Administration.
31. 29
AVRIL JANSEN:
Employee Assistance
Programme Manager
Avril Jansen has been
appointed as the
Employee Assistance
Programme (EAP)
Manager for Cape Town
Terminals, effective June
2014.
Avril is a qualified nurse with 19 years of work
experience of which five years was in England as
a Senior Nurse. She holds a Diploma in Nursing;
BA in Health Sciences & Social Services; Honors
degree in Psychology and has completed an EAP
Short Course through the University of Pretoria.
Previously she worked with Metropolitan Health
Hospital Risk Management and was Client
Relationship Manager within the Metropolitan
Employee Wellness unit where she was
responsible for analysing and interpreting client
EAP utilisation.
SINDISIWE MAFU: Legal
Advisor
Sindisiwe Mafu has been
appointed Legal Advisor,
Commercial Contracts,
Legal & Compliance
Department. She is an
admitted Attorney,
Conveyancer and Notary
Public and is currently pursuing her Masters
in Commercial Law at UNISA. Prior to joining
TPT she was in practice where her areas of
specialisation were property and commercial
law.
Her professional experience includes amongst
other things, drafting, reviewing, interpreting,
commenting on and performing remedial
work in respect of commercial contracts/
transactions, competition law, advisory services
and legal due diligence. Part of her role includes
development of a framework to proactively
manage the implementation of commercial law
strategy, identify and mitigate commercial and
competition law risks and exposures.
LINDIWE MNCWABE:
Revenue & Pricing
Manager (HQ)
TPT welcomes back
Lindiwe Mncwabe who has
been appointed Revenue
& Pricing Manager.
Lindiwe is no stranger to
Transnet / TPT, having
previously held various positions within the
group - the Costing, Viability & Project Manager
at TPT HQ as well as Management Accountant
at Pier 1. She left Transnet to join Standard
Bank as Senior Manager, Cost and Management
Accountant. Before joining TPT Lindiwe held the
position of Manager Costing at Transnet
Freight Rail.
LUNGILE MNGOMEZULU:
Governance Specialist,
Procurement HQ
HQ welcomes Lungile
Mngomezulu as
Governance Specialist,
Procurement. Lungile is
an Admitted Attorney.
She holds a bachelor’s
degree in Law and a National Certificate in
Management. She previously practiced as an
Attorney for Masipa Incorpoated Attorneys.
Lungile also held various positions, amongst
others, the KZN Divisional Manager for Bidvest
Umoja Property Solutions as well as the
Acquisition Banker for ABSA Non-Branch Sales
and Telecommunications experience gained from
MTN, Vodacom and Virgin Mobile.
TERSHIA NAIDOO:
Analyst, Planning &
Monitoring
Tershia has been
appointed Analyst,
Planning & Monitoring.
She holds a Bachelor
of Business Science
(Finance) from the
University of KwaZulu-Natal. She started at TPT
in January 2013 as a graduate-in-training in the
Results Management Office (RMO).
Her responsibilities involve comprehensive
organisational planning, accurate tracking
and monitoring of business performance
and identification of risks to achieving TPT’s
strategic objectives
PHIWOKUHLE SAPULA:
Engineer-In- Training
Technical Department,
Richards Bay
ABIGAIL ZWANE:
Planning Officer,
Commercial & Planning
Department HQ
Transnet Port Terminals welcome the following new employees.
We hope you have a rewarding career with us.
NEW APPOINTMENTS
32. Sustainability: energy news
TPT National Energy Audit
The national terminals energy audit ie
lighting and hot water installation, has
been completed successfully.
The overall estimated savings for all
terminals is about 17,4 MWh per annum
which translates to R18 million annually.
This equates to about 8% saving in terms
of total electricity consumption and 50%
energy savings on lighting and the hot
water system. The anticipated capital
cost is about R116,8 million.
The calculated payback period on this
project is about six years with the Eskom
rebate estimated to be R10,6 million.
The implementation work will start in
September 2014 and be completed in the
2014/15 business financial year.
TPT National Energy Online
Metering Project
The national electricity online metering project
for all 13 terminals is almost complete – around
360 smart energy meters have been installed. A
dashboard display has been set up at TPT HQ.
These advanced energy management tools
will assist in effectively managing our
energy consumption. Our aim is to monitor
carbon dioxide emissions and report monthly
sustainability savings using accurate data to
enable us to make informed decisions and take
appropriate action where needed.
We supported the international Earth Hour
initiative on 29 March between 08h30 and
09h30 in the evening –TPTHQ offices in
the Durban Kingsmead Office showcased
our support when the main supply to the
office was switched off. We saved 387
kWh which equates to energising 30 low-
cost residential houses in one hour!
We are committed to save energy not only
during these initiatives but to continually
make it part of our business life.
MAKE IT YOUR GOAL TO SAVE ENERGY!
EARTH HOUR
I N I T I A T I V E S
Dress warmly
during winter to use
less heating fuel
ENERGY
SAVING TIPS
Always switch off light
fittings when an area is not
in use. Switch off lighting in
reefer yards during the day.
Use energy sparingly to help
prevent load shedding
Do not use a 3kW 3
phase to boil a 2 litre
pot! Energy used to boil
water on a stove is 20x
more than the energy
needed to heat water
in a 2 litre kettle! Use
energy wisely
Switch off
equipment
(eg straddle
carriers, reach
stackers,
forklifts etc)
when not in use