{"id":506476,"date":"2023-09-02T07:31:08","date_gmt":"2023-09-02T05:31:08","guid":{"rendered":"https:\/\/mybroadband.co.za\/news\/?p=506476"},"modified":"2023-09-02T08:09:10","modified_gmt":"2023-09-02T06:09:10","slug":"transnet-disaster","status":"publish","type":"post","link":"https:\/\/mybroadband.co.za\/news\/government\/506476-transnet-disaster.html","title":{"rendered":"Transnet disaster"},"content":{"rendered":"

South Africa pledged to end the underperformance of its state-owned port and rail operator that\u2019s crimped mining companies\u2019 profits.<\/p>\n

Transnet SOC Ltd. on Friday reported a R5.7 billion rand loss for the year ending 31 March 2023, compared with a R5 billion profit in 2022.<\/p>\n

The volumes delivered by its freight rail business dropped 13.6% during the period.<\/p>\n

\u201cThe deterioration in its operational and financial performance will be stopped,\u201d public enterprises minister Pravin Gordhan said in a statement.<\/p>\n

\u201cNothing will be allowed to get in the way of the effective implementation of a radical plan.\u201d<\/p>\n

\"\"

Pravin Gordhan, Minister of Public Enterprises<\/p><\/div>\n

Volumes of iron ore and coal transported through Transnet\u2019s freight rail network for export have dropped because of issues including poor management, idle locomotives and cable theft.<\/p>\n

That\u2019s led to companies such as Glencore Plc, Sasol Ltd., Thungela Resources Ltd. and Exxaro Resources Ltd. having to transport their minerals by road.<\/p>\n

The Minerals Council, a lobby group representing most mining companies operating in the country,\u00a0estimates<\/a><\/strong> poorly run ports and freight-rail lines may have cost the country R150 billion in exports last year.<\/p>\n

In July, the government\u00a0announced<\/a><\/strong>\u00a0an overhaul of Transnet\u2019s board to effect a turnaround, it\u2019s also\u00a0working with business<\/a><\/strong>\u00a0to arrest the decline of its rail and port services.<\/p>\n

Last month, the company said it had hired security firms in an effort to reduce chronic theft and vandalism at its rail operations.<\/p>\n

Transnet\u2019s rail operations were also affected by a strike last year, floods and power supply disruptions caused by state-owned utility Eskom Holdings SOC Ltd. inability to meet demand, it said in its results.<\/p>\n

\"\"<\/p>\n

\n

Now read: South Africa blew R200 million on fuel refinery that was never built<\/a><\/h2>\n","protected":false},"excerpt":{"rendered":"

Transnet swung from a R5 billion profit in its 2022 financial year to a R5.7 billion loss in 2023.<\/p>\n","protected":false},"author":341034,"featured_media":407700,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_sma_x_autopost_status":"idle","_sma_x_autopost_error":"","_sma_x_post_id":"","_sma_x_attempts":0,"footnotes":""},"categories":[18668],"tags":[29058,86761,71884,81462,4198,67332,74998,75000,10248],"class_list":["post-506476","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-government","tag-department-of-public-enterprises-dpe","tag-freight-trains","tag-minerals-council-of-south-africa-mcsa","tag-ports","tag-pravin-gordhan","tag-rail","tag-railways","tag-trains","tag-transnet"],"_links":{"self":[{"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/posts\/506476"}],"collection":[{"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/users\/341034"}],"replies":[{"embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/comments?post=506476"}],"version-history":[{"count":0,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/posts\/506476\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/media\/407700"}],"wp:attachment":[{"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/media?parent=506476"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/categories?post=506476"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/tags?post=506476"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}