Maritime Studies

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The extent South Africa has incorporated the WCO SAFE Framework of Standards into its legislation.
(2010) Naidoo, Melishnie.; Hitchens, Barry.
Waste and port reception facilities.
(2010) Difeto, Phyllis Motsatsi.; Hitchens, Barry.
Internationally, shipping, boating and ancillary services are seen as significant contributors to degradation of the marine environment, affecting water quality, habitats and coastal amenity. As a result, it is important to ensure good practice with regard to safety issues when discharging or handling such wastes while vessels are in the port's jurisdiction. The international standards for regulating the prevention of marine pollution through ship generated waste are clearly outlined primarily in the United Nations Convention on the Law of the Sea 1982 ("UNCLOS") and the International Convention for the Prevention of Pollution from Ships1973 as amended by the Protocol of 1978 ("MARPOL 73/78"). The proposed study will explore compliance to MARPOL 73/78 Convention's requirement for governments to ensure the provision of adequate port reception facilities capable of receiving ship board residues and mixtures, containing oil, noxious liquids or garbage, without causing undue delay. The paper further reviews the implementation of the Conventions in the European Union and South Africa as it aims to provide a profile of the availability of waste reception facilities to assess their effectiveness in addressing the problem of marine pollution through ship generated waste. It is concluded that a variety of South African legislation is also applicable to marine pollution, but inadequately enforced. Further, that there was a considerable range of legislation intended to protect the North Sea and European waters in general from marine pollution but marine pollution from vessels is still considered to be a significant problem. In conclusion, it is recommended that South Africa should urgently develop effective mechanisms to monitor the enforcement oflegislation adequately.
An assessment of port productivity at South African container port terminals.
(2015) Motau, Innocentia Itumeleng Greta.; Jones, Trevor Brian.
The increasing intermodal sophistication and globalisation of the international container shipping industry, as well as increased competition on container throughput between major ports, requires container terminals to continuously improve their efficiency in relation to productivity and performance. This dissertation seeks to examine and analyse productivity data over a period of time, in order to determine port productivity trends at three main container terminals in South Africa. Given the existing infrastructure and available resources at the container port terminals, the research further analyses the gaps between expected or targeted performance against actual productivity trends to date. It further tests current performance levels against international benchmarks and makes recommendation on productivity optimisation and best practice. This study is motivated by the rapid development and a dire need in container terminal port operations to provide efficient and effective services as well as high port productivity. In South Africa, port productivity is still seen as suboptimal in global terms and it is for this reason that South African container terminals continue to seek improvement in achieving quicker port turnaround times. The literature review highlights thoughts and opinions on previous research as far as the formula for efficient and effective port productivity is concerned. When measuring port productivity, a number of factors need strategic integrations and a balanced approach. These include ship turnaround times, port superstructure performance, stowage plans, labour dynamics, information flow between various stakeholders, yard management and cost of operations. This research identifies crane performance and ship work-rate performance as the major indicators of productivity at the respective terminals. In the South African port terminals context, these two indicators were lower than targeted for. This is due to a number of reasons including lack of the full utilization of the current crane regime, equipment downtime, poor coordination between the operator and shippers, inefficient landside operations as well as labour inefficiency. This study therefore recommends that the port terminal operator should put the current infrastructure into full utilization, adhere to maintenance schedules of all terminal equipment with improved training regimes within a more skilled labour force. There is a need to enhance landside capacity and layout. This research contends that this would contribute towards shorter port stays and improved vessel turnaround times.
Bareboat charter registration : the way for South Africa to regain a merchant fleet under its register.
(2015) Franck, Daniela Christin.; Dlamini, Langa Hewitt.
The economic benefit of a merchant fleet is well recognised in South Africa. As a means of articulating its aspirations, the government has drafted and implemented several policies designed to make the South African Ship Register more attractive. Evidence of these policies has been manifested in the rolling out of Operation Phakisa. Against this background, the dissertation will evaluate and analyse these policies. The thesis investigates possible reasons for the absence of a merchant fleet flying the South African flag and the impact which this has had on the country, and reflects on the effectiveness of the new policies. The aim of this work is to explore options that South Africa may employ through these policies, in its endeavour to re-establish itself as a respectable maritime nation. The central question the thesis asks is whether bareboat charter registration can be seen as a possible solution for increasing the merchant fleet under the South African Registration Act, 1998. Bareboat charter registration has been used by various developed and developing countries over the past centuries and offers substantial benefits in facilitating ship finances and encouraging joint ventures to promote commercial maritime expansions. This thesis seeks to establish whether BCR is a practice which should be promoted in South Africa in order to regain a merchant fleet.
Opportunities for private sector involvement in the container market industry in the Port of Durban.
(2015) Patel, Shivani Ramesh.; Jones, Trevor Brian.
Transnet, the state-owned freight transport company, is responsible for rail transport, pipelines, port and marine services as well as many terminal operations within the port. The container terminal handling industry in South Africa is run predominantly by Transnet Port Terminals from Durban, Port Elizabeth, Ngqura and Cape Town. There are currently no private operators that handle containers in the scale handled by Transnet. The main object of this dissertation is to show by means of various case studies from both developed and developing economies that the involvement of the private sector results in increases in efficiencies and productivity. This has the net result of increasing the cost competitiveness of exports and reducing the landed cost of imports. As no new container terminals are being built in the short to medium term, this paper considers the financial feasibility of two different scenarios; one where a private bulk handling terminal in the Port of Durban is converted to a multi-purpose terminal handling containers, and the other where the same terminal is fully converted to a container handling terminal. The results indicate that due to the significant capital investment in running a container terminal, and the operational and land size restrictions, the full conversion to a container terminal would not be feasible. The lower capital investment and the flexibility of handling both bulk and containers makes the business case for the multi-purpose terminal more feasible.
Energy demand and associated planning failure for handling wet bulk cargoes in South African ports.
(2015) Ndebele, Bhekisipho Sibusiso.; Jones, Trevor Brian.
Energy demand has intensified the debate on the capability (or lack of capability) of the South African port infrastructure to handle increasing wet bulk cargo. Coupled with this debate are numerous questions about whether the port system can address the planning failure for wet bulk cargoes associated with such demand and supply. Energy demand consists of demand for gas, crude oil and electricity and other forms of energy, while wet bulk cargo is liquid cargo that is throughput via the port system. This research examines the relationship between increased energy demand and the port infrastructure to process, store and distribute such energy. It will also analyse the impact of liquid energy as strategic stock and how this affects port planning. The relationship between energy demand and port infrastructure is studied because it sheds some light on the debate that has been a subject of discussion for years between port planners and maritime economists. The research looks at both short-term and long-term demand for energy in order to understand this relationship. In analysing energy demand it is critical that strategies for energy and resource security are examined to reveal how these have changed the traditional role of ports from being mere receivers of goods to being active participants in global logistics supply chains. The supply chains which need to be reformed and planned and which need to change in line with economic needs are also examined (van Niekerk 2002). Additionally, there is a need to look at crude oil versus refined product and how any change in quantities of either crude oil or refined product brought through the port system would possibly influence the region’s seaborne trade. This will also necessitate an investigation of how such changes in quantum will affect the demand for port infrastructure. This study in essence looks at liquid energy as strategic stock and tries to understand how it influences port development. It is also critical to present a narrative of both the changes in energy demand in South Africa and their effect on the planning, development and configuration of ports. Based on the relationship between energy demand and port development, the research attempts to analyse the debate around the economics of port expansion, with particular reference to the current discourse on the expansion of the port of Durban. The research will show both sides of the argument about the criticality of this move as implied by several authors, including Graham Muller Associates (2009), Mather and Reddy (2008), Bracking (2013) and Maharaj, (2013). Since the research is on port economics, it is therefore imperative to discuss the applicable port tariffs affecting the energy supply chain because they have a bearing on the subject. There are various reasons why energy demand, the planning failure concerning wet bulk cargoes and the linkage between the South African maritime and energy development need to be researched. First, the maritime sector, which is pivotal to development and has been deeply fragmented and under-resourced, is restricting its potential to play its part as the primary component of South Africa’s global competitiveness. Second, the industry has not been competitive and has been underperforming. This will also help develop and implement an integrated maritime industry that will enhance South Africa’s competitiveness in the global economy. In addition, the research will help in positioning the maritime industry as a key enabler to energy development, thus placing the maritime industry as the “10ᵀᴴ province” which hosts many industries such as energy development (SAMIC, 2012). This also helps to capture earlier debates on the importance of the maritime sector to energy development and economic growth. The focus of the study is an analysis of current energy demand and the available infrastructure in South African ports for liquid bulk. The ports covered in the study are Durban, Ngqura, Saldanha Bay, Mossel Bay and Richards Bay. This entails understanding the planning strategy in place to meet any changes in quantities of liquid bulk cargo handled by these ports. Emphasis is placed on the relationship between refining capacities (or lack of refining capacities) and sea-borne commerce, in particular the relationship between fuel demand and berthing space demand for wet bulk cargoes. The study also poses fundamental questions including the following: - Will limited capacity and concerns about sufficient capacity growth affect port infrastructure planning and availability, in particular infrastructure for wet bulk? - Is there a need to build more refineries to address the problem of meeting fuel demand and what are the implications of such a move on the port infrastructure? - If there is a need to build more refineries, is there a need for more berths because berthing space is constrained? Together with looking at refining capacities and implications on port infrastructure, there is a need to look at alternatives for the storage of semi-/refined products. This introduces a discussion on locating landside links near port areas. A further question is whether port planners are considering all these requirements in the South African port planning strategy for the next 30 years. In particular, the study looks at whether growth in demand for refining capacities will change the port infrastructure and whether our ports are geared to handle such cargo that is, is the port configuration and demand strategy geared for such demand? The need to build new refining capacities is essential in South Africa but there is also a need for more berths for wet bulk cargoes. Fundamental questions here include, inter alia, how to maintain the balance between wet bulk infrastructure and other cargoes, since ports by their nature are supposed to service a variety of clients and whether an increase in energy demand will lead to an increased demand for larger carriers calling into our ports and whether our ports are inclined to handle such bigger vessels? In the event of increased demand for wet bulk cargo will such a surge in demand justify the required port infrastructure expenditure? All these questions indicate the need for an economic model to assist in exploring the increased liquid bulk demand/berth space relationship, as well as throwing light on who should control that space. Hence, studies such as this one are invaluable. South Africa’s liquid fuels are supplied by an association called SAPIA (South African Petroleum Industry Association) which comprises Sasol (owning two refineries in Sasolburg and Secunda), Engen (one refinery in Durban), BP and Shell (which co-own the SAPREF Refinery in Durban), Total (which co-owns the Sasolburg refinery with Sasol), Chevron (owning a refinery in Cape Town) and PetroSA, which owns a refinery in Mossel Bay. These refineries also carry stock that is used by Eskom. Literature consulted indicates that an increasing demand for energy, particularly oil and gas, necessitates that port infrastructure is planned accordingly. A basic research approach has been adopted to achieve this. The purpose of using a specific research methodology was to obtain information from a representative sample of individuals in the ports and energy sectors that would reflect the thinking on the different issues identified by the researcher. This approach employed an in-depth literature review process to gather theoretical data from energy demand policy/economics as well as port planning methodology and systems. The researcher initially used interviews (structured, semi-structured, telephonic and face-to-face) as a means of gathering data. These data were then verified against textual information. The research used two research methodologies, namely, quantitative and/or qualitative research. Quantitative research is based on meanings derived from the use of numbers and depicted by means of diagrams and statistical comparisons. Qualitative research is quite the opposite. It is based on meanings expressed through words. Such meanings may be categorised and analysed through the creation of a conceptual framework. The scope of qualitative research includes in-depth interviewing, which is usually conversational rather structured. Since the research is based on case studies, the use of the qualitative method is adopted. The researcher used both qualitative and quantitative data and questionnaires to extract the views of the respondents. These views are captured and analysed and recommendations are made concerning energy and port development.
Carbon emissions compliance and its impact on transport costs.
(2019) Gounder, Mary Mitchelle.; Jones, Trevor Brian.
The United Nations has increased its focus on environment issues that have been contributing to climate change. After the formation of the United Nations Framework Convention on Climate Change in 1994, the International Maritime Organisation (IMO) was tasked with emission reduction in ships. The Marine Environmental Protection Committee (MEPC), which is a committee within the IMO, commenced with its focus on Greenhouse Gas (GHG) Emissions at its 39th session. The MEPC commissioned studies on greenhouse gas emissions from ships. The MEPC also prepared the draft Annex VI which contained regulations for control of air pollution from ships. MARPOL Annex VI entered into force in 2005. The regulations provided specifications for the reduction of Sulphur emissions and Nitrogen emissions with deadlines for Emission Control Areas (ECAs) as well as globally. The ECA regulations for sulphur reduction have been in place since 1 January 2016.These regulations have put ship owners under immense pressure to comply. If there is non-compliance, the ship owners either receive a fine or their ships are detained. Considerable costs are involved in reducing sulphur emissions, as ship owners either build new ships or retrofit old ships with new exhaust cleaning systems or with modifications to their propulsion machinery. As this study will show the costs have not, so far, been passed on to the end user, as freight rates have not increased based on the compliance costs. The freight rates within the shipping industry are purely based on demand/supply factors. If costs are passed on to customers, then these additional costs are likely to impact on the spectrum of freight rates faced by transport users in both bulk and general cargo markets. This would be similar to the Carrier Security charge that shipping lines implemented after the International Ship and Port Facility Security (ISPS) Code came into force in 2004.
Bills of lading and the use of maritime letters of indemnity.
(2019) Henry, Tanya Lara.; Dlamini, Langa Hewitt.
Abstract available in the PDF.
Development of the South African coastal shipping policy: the prospect of maritime cabotage.
(2020) Dlamini, Langa Hewitt.; Jones, Trevor Brian.; Wallis, Malcolm John David.
The Comprehensive Maritime Transport Policy (CMTP) provides the official policy position on maritime issues in South Africa since 2017. It covers a variety of maritime matters relating to shipping conduct on the coast and offshore and extends to the utilisation of landside resources. However, this work evaluates policy provisions pertaining only to coastal shipping and in particular to cabotage. Cabotage refers to the rights a coastal state reserves for itself to trade vessels of its choice between ports along its coast. The CMTP states cabotage as the official coastal shipping policy in South Africa for the first time in over a century-and-a-half of coastal shipping. However, the CMTP does not state the manner in which cabotage will apply. In fact, some of its ambitions seem impractical. Through a thorough historical account, the thesis sheds light on why cabotage has never been adopted in South Africa. It also gives the rationale for abandoning in 2017 the laissez-faire position that had existed over many decades. Given that cabotage presents itself in different forms, the thesis provides an overview of the various cabotage forms by reference to a sample of comparable jurisdictions. It then asks the question: what is the prospect of South African cabotage in light of the continental and international cabotage practice scope? The question directs focus to three issues: the meaning of cabotage; the scope of its application; and the comparative measure for its application. The analysis gleans the likely direction for cabotage implementation from the CMTP and other instruments despite anomalies that exist between what the CMTP sets out to achieve and the proposed legal framework for its implementation. The conclusion is that, given the dearth of shipping capacity in South Africa, coastal trade dependence on feeder cargo and imbalanced cargo trades, the country’s only proper option, when cabotage is adopted, is liberal cabotage. It should be implemented without comparing South Africa to other jurisdictions but must be founded on its own merits and that such should show a ready source of cargo.
Reviewing precautionary thresholds at seaport precincts on account of intense coastal weather conditions in KwaZulu-Natal.
(2021) Ngubo, Ntokozo.; Jones, Trevor Brian.
The prevalence of port damages as a result of severe weather occurrences along the coastal areas of KwaZulu-Natal has highlighted possible future impacts that climate change is likely to induce on the port setup. This then raises concerns in terms of the readiness of ports to take precautionary measures that would protect lives as well as the infrastructure. This study seeks to influence a review in the manner in which meteorological forecast and warnings issued to marine services are communicated and utilised among harbour authorities. The study also seeks to explore the potential of improving the enforcement of the existing port regulation and guidelines in order to improve safety in the advent of climate change. In order to identify the climate variables contributing directly to any severe weather driven incidence a proper analysis of weather patterns dominant during occurrence is an initial step. The study determines the relevant climate variables responsible for the two incidents at the two commercial ports of focus accordingly. The study relies heavily on reported account of events from various platforms however this limitation is supplemented through sourcing opinions from a range of experts relevant to the study during interviews. One of the incidents happened on 19 August 2013 when the MV Smart, a fully-laden Capesized dry-bulk carrier, ran aground while on exit from Richards Bay harbour. Another incident occurred on 10 October 2017 when five vessels that were berthed in various areas of the Durban port broke their moorings and were blown across the harbour by the very strong winds during the great storm. As an incident reconstruction exercise the study superimposes the peak levels reached by the climate variables with the magnitude of damages at the time of peak. The marine weather forecast & warnings issued twice daily for marine services predicts the possible extreme levels of climate variables, hence the study verifies the effectiveness of this forecast in informing precautionary measures. Port operations have available an enabling regulation in the form of the National Ports Act (12/2005) as well as the IMO guidelines as material to ensure precautionary measures are taken in advance to severe weather occurrences at the port. The research contends that proper utilisation and elevated enforcement of this available regulatory material has become even more vital in the advent of climate change phenomenon. The study recommends that in order to inform proper decision making inside the harbour, real time observed weather conditions and climate variables including the wind forcing be regularly updated. There is also a need for the Transnet National Ports Authority (TNPA) to conduct climate change vulnerability studies specifically relating to the harbours, preferably reviewable after a 5 to 10 years period.
Tidal vessels constrained in movement in the port of Durban: associated cargo costs and potential remedies.
(2021) Rosario, Ian.; Jones, Trevor Brian.
Large container callers into the port of Durban are not able to explore their inherent captive capacities, resulting in restricted cargo flow through the country aligned to the permissible draft, thus having an adverse impact on seaborne commerce and the wider economy of the country. It is therefore crucial for the berth deepening project to take its intended shape as deeper berths will facilitate the modern generation of large container vessels to be exploited to its full loadable capacity at the summer marks. This will enhance a secure and improved complementarity within the South African ports system, in respect of their roles as both gateway and trans-shipment hub ports for containers. The direct and indirect losses to Transnet and the shipping lines due to the methodical and phased erosion of trans-shipment volumes have been elucidated. The main contributory factors to the loss in trans-shipment volumes have been attributed to capacity constraints stemming out of draft limitations at Durban, as well as the vital component of port operations, namely, efficiency. In the interim, in order to mitigate the constraints, as a short-term remedy for partial recovery with regards to optimisation in cargo liftings, it has been proposed that Durban adopts the concept of operating as a NAABSA port, whereby working container vessels that are “Not Always Afloat But Safely Aground” may sustain continuous working operations while alongside at the port’s container berths, in place of the current stop-start operations. Both the vessels and the port are shown to possess all the essential credentials to safely execute this widely practised manoeuvre. To this effect, the structural integrity of the container ships has been established beyond any reservation, for the fitness of the NAABSA operation while working cargo, as has the plane and homogeneous nature of the seabed in the port of Durban. Regional competitor ports in the southern African region, in their drive to attract additional container volumes through their terminals, are creating capacity ahead of demand, to a point where they may be perceived as a threat to the dominance of the port of Durban. The status quo of these regional foreign ports gives an insight to the infrastructural developments and equipment status. This could perhaps instil a sense of circumspection for Transnet to forge ahead in the right direction.
Cabotage as a means of developing the South African merchant fleet.
(2021) Motloutsi, Tshepo Mebe Euphenia.; Dlamini, Langa Hewitt.
The aim of the study is to examine the potential use of cabotage in growing the South African ship register and in creating conditions for the development of the South African merchant fleet. The study explores the adoption of a cabotage regime that would encourage the growth of the South African ship registry and assesses the mitigation of maritime related legislation to accommodate the implementation of cabotage for fleet growth purposes. Cabotage is the coastal trading of a vessel from one port to another within a single country's territorial boundaries. It is a term that is used to enforce restrictions on a country's coastal trade, and it can be strict or liberal. A strict cabotage regime is one in which maritime operations along a country's coast are restricted to indigenous ships, while a liberal cabotage regime is one in which foreign-owned ships are not discriminated against and their involvement in the country's coastal trade industry is unrestricted. The thesis follows an interpretivist paradigm, in which the researcher explores alternative means of developing the merchant fleet. This research is a desktop study that uses secondary data and employs a descriptive qualitative design. Both data collection and analysis were conducted using qualitative content analysis. The research poses three main questions. The first research question looks at the current status of the South African ship registry, which the study reveals is based on a registry carrying only five merchant ships despite government interventions to make the South African ship registry attractive to foreign shipowners. The second research question looks at whether cabotage can encourage the growth and development of the South African ship register. To this, the study found that the strict cabotage regime is suitable when seeking to encourage the growth of the South African merchant fleet. The third research question closely relates to the second research question. It deals with measures that government can adopt to implement and regulate cabotage in order to encourage growth of the ship registry in South Africa. The study found that adequate funding is fundamental to the initialisation of cabotage in South Africa as it would allow locals to finance ships and substitute foreign flags trading on the coast. Lastly, an examination of the adoption and implementation of cabotage in India and China was conducted to determine how South Africa can implement and regulate cabotage in comparison to its trade partners. Strict cabotage as adopted in China was indicated as the appropriate course for South Africa. Although the aim was to establish which of the two cabotage regimes would support the development of a merchant fleet, there were vital lessons to be learned from both China and India cabotage regimes. It is therefore recommended for South Africa to take cognisance of the current status of the ship registry in view of the requirements of a strict cabotage regime on building, ownership, flagging, crewing and manning of the cabotage ships in South Africa.
Assessing the media perspective on container terminal turnaround time: lessons for the Port of Durban.
(2021) Makhathini, Nomathemba Lucia.; Gumede, Sanele Aubrey.
The primary goal of this research was to assess the media perspective on container terminal turnaround time of the Port of Durban. Furthermore, it sought to assess how the Port of Durban conforms with media perspectives on similar economically-related ports and leading global ports in terms of productivity. The study adopted a qualitative research paradigm employing secondary source data. The information data for the research was drawn from 76 online news articles. The study sought to describe the concept of container terminal turnaround time within the selected seaports. The articles used in the study ranged from 2009 to 2019 making a total of 76 articles. The study enabled the researcher to track how the media portrayed the turnaround performance of these seaports over the years. The study also looked at measures put in place in these container terminals to reduce turnaround time and to promote productivity over the years. The study adopted a thematic analysis (TA) approach to determine the key indicators, factors or features that described the concepts of container terminal turnaround time (productivity) as described by the print media. Findings from the study revealed that container terminals are becoming increasingly inclined towards the use of smart solutions that could help to optimise turnaround time, propagate performance and decrease shipping costs – all without requiring substantial infrastructure and equipment expenditures. It was further determined that container terminal turnaround time Performance cannot be judged just on the basis of a single value or measure. The study concluded that Before South Africa's largest freight gateway is completely operational at an international turnaround time standard, there is still a long way to go.
Techniques implemented to meet the demands of custom modernisation and trade facilitation in South Africa.
(2021) Luthuli, Nomvelo Philile.; Dlamini, Langa Hewitt.
South Africa has been an actively participating member of the World Trade Organization (WTO) since 1 January 1995 as well as that of the General Agreement on Tariffs and Trade (GATT) since 13 June 1948, and an official member of the World Customs Organization (WCO) since 24 March 1964. By signing these conventions, South Africa indicated its intention to take the necessary steps to abide by the terms of the conventions. In the same sense, South Africa committed to refrain from acts that would defeat the objectives and purpose of the conventions, given that these conventions have a binding effect on signatories. The South African Revenue Services, Customs and Excise department is administered and regulated in terms of the Customs and Excise Act 91 of 1964. The extensive evolution of technology over the past 50 years rendered the statute obsolete and inept, thus beckoning the basis of its amendment in forming new legislation. The revised legislation would align with international best practice; as customs authorities globally had since modernised systems, including legislation, in line with the advancing technology. The anticipated new Customs Control Act 31 of 2014 adheres to the demands of the conventions also being propelled by the advancing technology, which ensures additional benefits to support the South African National Development Plan (NDP) in the promotion of exports, business competitiveness and the stimulation of domestic activity. However, this legislation alongside the Customs Duty Act 30 of 2014 and the Customs and Excise Amendment Act 32 of 2014, issued in the Government Gazette in July 2014, will be enforced on a date to be decided on by the President. This dissertation aimed to recognise comparative attributes of countries that have implemented best customs practices and their possible relationships with practices explored in South Africa. The focus of this research is given to the customs administration situation of the Republic, within the greater context of transport management. Techniques linked to South Africa customs legislation, together with those implemented by the country considered as having the „best practices‟ as defined by international organisations are explored.
Trade security in supply chain: the roles of Customs and Port Authorities towards security and trade facilitation in South African ports.
(2021) Busse, Mthobisi Sydney.; Goodger, Mark.
Since 9/11 and the fundamental growth of terrorism, the reauting security threats at the seaports, with potential loss of human lives and theft of goods means Supply Chains, must be addressed to secure and predictable, particularly given the growth in the volume of global transport. Increasing pressure has been invoked on the governments of many countries by the World Customs Organisations (WCO) and other global organisations, to actively strategise and ensure the safety and security of the ports through new strategies directed at effective Supply Chain management initiatives. These new Supply chain standards are focused on achieving effective seaport security measures. Christopher and Peck (2013) mentioned in their thesis that, one of the ways of managing the challenge of security threats at seaports is to galvanise and manage Supply Chain risk through the creation of a more appropriate approach. The universal trading system is susceptible to terrorist exploitations and attacks that have the propensity to endanger the total global economy and the social security of nations. Further, while this is being said, reports have shown that there is still a lack of empirical justification with respect to how security measures and Supply Chain management are related (Cavinato, 2010). This study thus focuses on Security in the Ports and examines the impacts from within the Customs Administration. It is hoped to culminate in adherence by the respective South African authorities in capturing and introducing compliance to security to the benefit of global traders for goods shipped to and from the Republic of South Africa. Through a desktop review of the literature, the study found that much is still expected from the ambit of the South African government and other government agencies to address the security challenges of seaports through appropriate and strategic interventions. The study concludes that there is an urgent need for more effective and robust monitoring functions by the South African Ministry of Transport, a genuine legislative review of seaport laws and regulations, as well as the need to address the challenges of security-related corruption in the operations of seaport activities. It is clear that Safety and Security in RSA Ports must be on par with global standards, for us, as a nation, to retain an economic advantage and continued participation in global trade.
Key performance indicators for container ports: a case of weighted efficiency gains from operations (WEGO) in South Africa.
(2022) Dlamuka, Mwezi Terrence.; Jones, Trevor Brian.
South Africa is a developing country, within which the volume of exports and imports plays a significant role in the local economy, and therefore ports are critical gateways to support international trade, which ensures uninterrupted movement of goods in the global supply chain. Transnet National Ports Authority (TNPA) in South Africa acts as the ports’ landlord. The institution is responsible for the funding and administration of local ports. Various authorities including businesses raise concerns about inefficiencies in South African ports. The dominant factors are poor performance and high tariffs. These factors have been explored by previous studies and benchmark studies that were conducted by Ports Regulator of South Africa (PRSA). Durban container port is characterised with poor performance particular for container handling and high tariffs for specific port users. The Ports Regulator of South Africa responded to this concern of high tariffs and poor performance by establishing a new element into tariff Methodology called Weighted Efficiency Gains from Operations (WEGO). This is a tool aimed to improve port operational performance, applying to all South African ports. This study aims to assess and explore Key Performance Indicators (KPIs) selected to determine WEGO. TNPA intends to link performance gains for operations to the tariff methodology (Required Revenue). TNPA published port operational performance for 2017/2018 and 2018/2019 financial periods. The ports’ operational performance data assisted PRSA to select performance indicators to be considered for efficiency gains and the Ports Regulator published the first WEGO performance results in 2018/2019 financial period. The study applied both quantitative and qualitative research methods to analyse WEGO performance results. This study relies on secondary data published by PRSA. The author only focused to containers and Durban as the main container port of the country. This data shows performance scores for each KPI selected and the aim is to observe changes to performance and seek understanding behind improved or declined operational performance. However, there will be no specific statistical or mathematical models utilised. In conclusion, this research also offered recommendations on what TNPA and TPT can do to improve their performance and efficiency in order to be on par with their global counterparts.
The potential impact of maritime autonomous surface ships on seafarer employment.
(2021) Nkuna, Euclid.; Meyiwa, Ayanda.; Dlamini, Langa Hewitt.
In search of ways to run their ships more efficiently and safer, Shipowners are looking at limiting human involvement by employing maritime autonomous surface ships (MASS). The MASS levels of autonomy, which will result in varying degrees of human involvement reduction, are still being defined by various bodies. To assist all parties involved in this journey of MASS development and introduction, some classification societies are creating regulatory and guiding documents or instruments. Meanwhile, policymakers globally have their eye on the Blue Economy as a source of solutions to many problems, chief amongst which is employment. Also known as the Oceans Economy, Blue Economy will result in higher demand for transport of goods and persons to, from, and through the sea. Seafarer job increases are therefore among policymakers’ targets. This dissertation seeks to investigate the potential impact that the successful introduction of MASS will have on seafarer employment. It does this by analysing five classification instruments to see if there is convergence in their approaches toward MASS introduction. The five instruments are dissected for in-depth exploration before being transformed into a standardized format for comparison against each other. This standardized format maps the involvement of humans, a ship’s systems, or a combination of both for some six selected functions – themes – that define a vessel’s autonomy. The format also maps the physical locations of human beings for each degree of autonomy per document covered analyzed. The findings predict strong convergence in the MASS adoption approaches, which certifies that the world is aligned in its thinking. From this convergence, it is inferred that collaborative approaches, whether direct or indirect, will result which in turn will improve the chances of successful MASS introduction. The reduction in seafarer employment, which will result based on the convergence established will however be non-linear: It will start at a slower pace as with lower autonomy saturation in the market. As time advances, more MASS and ships with higher autonomy degrees will be built increasing autonomy saturation in the market. At some point, lower seafarer employment will emerge, exacerbated by the decline of today’s conventional ships which will be demolished as they reach the ends of their useful lives. Each demolition will result in job losses. When the market is saturated with autonomy – meaning that almost all ships are fully autonomous – mariner employment will be minimal and Remote Control Centre (RCC) based. As much as 95% of the peak of mariner employment (yet to be reached) will be lost when this MASS full saturation is reached. The timeline will depend strongly on the speed of technological advances. Policymakers are advised to take caution with the employment prospects of mariners. Shipowners and builders are advised to collaborate on a global scale to speed up and synchronize MASS development. Training and educational institutions are advised to gear up for teaching skills required for MASS. Maritime legislators are advised to keep a close eye on legislation development aimed at accommodating MASS. Finally, Further research on timelines for MASS implementation is recommended. This will clarify the rate at which employment will evolve in the sector.
Exploring the implementation of the new customs act on the road congestion from the port of Durban.
(2021) Khuzwayo, Maxwell Nhlanhla.; Meyiwa, Ayanda.; Gumede, Sanele Aubrey.
Customs clearance of goods and subsequent conveyances for import, export or transit is a key compliance that aligns various governmental bodies and industry stakeholders involved in international cross-border trade. In the Republic of South Africa, this function falls under the control of the South African Revenue Services (SARS). Up to this point, the clearing of goods in the ports by the Customs department of the South African Revenue Services (SARS) in South Africa has been conducted in line with the regulations of the Customs and Excise Act of 1964. A major restructuring of this legislation has been done on this Act which will ultimately be known as the Excise Act and two new Acts have been promulgated. These are the Customs Control Act 31 of 2014 and the Customs Duty Act 30 of 2014. The Acts are largely aimed at addressing the needs of trade facilitation. In 2014 the Customs Control Act 31 and the Customs Duty Act 30 were signed into law. The relevant rules on these Acts were circulated for public comment and are available on the website of SARS. It follows then, that all the clearing of goods imported, will be conducted in compliance with the new Customs Control Act. The compliances under this Act are representative of measures which are different and in contrast to those of the Customs and Excise Act 91 of 1964. The aim of this paper is to explore the implementation of the Customs Control Act 31 of 2014 and to ascertain its potential impact on the congestion of the roads by trucks carrying containers from the Durban Container Terminal and the flow of containerised traffic to various destinations in the hinterland. This Act is designed to comply with the provisions of the World Customs Organisation (WCO) and the Revised Kyoto Convention (RKC)which sets out guidelines regarding effective customs administration in the modern times of international trade. These include simplified formalities and procedures of border control, standardised documents, risk management, risk analysis and management interventions and audit-based controls. The objective of this convention is aligned to the SAFE framework of standards designed to promote and facilitate legitimate trade and provide security of the international supply chain across all modes of transport. The researcher adopted a qualitative research approach to answer the research questions. Document analysis was deemed appropriate due to the nature of the study. The two pieces of legislation were compared based on their provisions regarding customs clearance of containerised cargo in the country. The results from the study show that most significant change between the two Acts is the changes in the place for performing customs clearing formalities. The study also found that additional containers will be transported on the already congested roads in the Port of Durban precincts as a result of the termination of the cargo manifest at the seaport. The role of the country’s inland ports in easing congestion in the port will also be diminished as they are not designated as places of entry in the country for customs clearance purposes under the Customs Clearance Act 31 of 2014.
The impact of insufficient port investment on congestion in the Port of Durban.
(2022) Mhlongo, Siphesihle Bongeka.; Meyiwa, Ayanda.
Port research is continuously evolving. One of the most relevant topics related to the performance of ports is port congestion. With Durban being the trade hub for ports in Southern Africa, the congestion experienced at the Durban Port poses a serious challenge to the effective integration of international trade with sub-Saharan economies. One of the problems evident from underinvestment made to the port, is congestion. Problems that stem from congestion consist of prolonged berth occupancy and utilization, as well as long ship turnaround time and anchorage waiting time. This study attempts to analyze port congestion in relation to investment activities. The Market Demand Strategy (MDS) will aid in identifying the investments made to the port of Durban. The MDS shows the amount of investment required in South African Ports, and it was expected to aid in expanding rail, ports, and pipeline infrastructure ahead of demand. This study further shows that, of all the amounts earmarked for investment in ports, a considerably lower actual CAPEX was invested, which causes the problem of port congestion to remain largely unresolved. Using data obtained from the Ports Regulator of South Africa and Transnet, the study employed content analysis and documentary analysis. A qualitative research approach, underpinned by two research tools, being document and content analysis to collect the secondary data, the study analysed investment expenditure from 2012/2013-2019/2020 in relation to port congestion. Literature has also revealed that there is a decrease in the actual investment made into the ports in South Africa which is cause for concern for port users. The study offers insight into port congestion, its causes, its impact and what can be done to combat it. The study makes recommendations on the rollout of investment for the betterment of the Port of Durban, whether it should be expanded, whether better systems should be put in place or can even establish whether current investment allocation is optimal.
The impact of digitalisation of clearing and forwarding processes on the workforce.
(2023) Jin, Emmanuel Nyouweke.; Gumede, Sanele.; Meyiwa, Ayanda.
Globalisation has brought about many changes. There has been substantial innovation in the value creation approach to the supply chain and the application of digital enabling technologies. This has been necessary to meet the ever-increasing demand for goods in the global markets. At the centre of this approach are the activities of customs clearing and forwarding. Trade liberalisation and the standardisation of global customs procedures mean that customs clearing and forwarding agents must deal with greater volumes of goods within a short timeframe. This has necessitated the digitalisation of these processes to perform these tasks quicker and with more accuracy and, often requiring little or no human intervention in some instances. Literature in developed economies indicates a negative impact of this on the workforce in terms of job losses. However, the situation may be felt more in a country like South Africa which is already facing the triple threat of inequality, record-high unemployment, and poverty. This study investigates the impacts of the digitalisation of customs clearing and forwarding processes on workforce and productivity. The research adopted a qualitative approach, using snowball non-probability and purposive sampling techniques. Interviews were conducted with ten selected individuals who each had over 20 years of industry experience in clearing and forwarding. Their experience provided insight which spanned the timeframe under consideration. Data collected through interviews and secondary sources were analysed using open, axial, and selective coding techniques. The analysis was divided into three main themes, namely i) customs clearing and forwarding processes pre-digitalisation (2000-2005); ii) Early digitalisation (2005- 2010); and iii) digitalisation 2010 to present, and its impact on workforce and productivity. Findings showed a negative impact on the workforce in the pre-digitalisation period, with race and gender bias. In the early digitalisation phase, findings showed a negative impact on the workforce, with older workforces reluctant to adapt and going on early retirement or being retrenched. The low productivity in the early inception phase is primarily due to adaptation challenges. In the final phase, digitalisation has positively impacted the workforce and productivity. Companies have embraced technology and can clear more goods within a shorter time, giving them exposure to more international markets, and better growth. They have employed more staff who are young and more technologically inclined. The research informs training policies for those affected by digitalisation, helps training providers align with industry changes, and enables companies to hire adaptable employees for growth and global expansion. A recommendation would be to still tap into the experience of less technically skilled personnel and pair them with young digitally minded youth to bridge the divide in skills transfer.

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