Richards Bay Coal Terminal (RBCT) export volumes for 2022 fell to their lowest level in 30 years after grappling with the negative impact of the 12-day wage strike at Transnet, cable theft and wagon derailments.
Speaking to the media during a round table on Thursday, CEO Alan Waller said RBCT managed to export 50.35-million tonnes of coal in 2022, the lowest since 1993 when 50.96-million tonnes were exported.
Waller said RBCT expected to export 60-million tonnes of coal in 2023.
“If I look at the commitments from the parties, it is a possibility. It could be a stretch but we can achieve 60-million tonnes.”
RBCT — with a 91-million ton capacity — has been struggling and has regressed since 2017 when exports peaked at 75.6-million tonnes. In 2021 58.72-million tonnes of coal were exported from the terminal.
Waller said the Transnet wage strike and derailments took their toll on the terminal and 22 days of railing were lost.
“Unfortunately, it was a regression through the year, largely impacted in the last quarter by the strike and derailments. Those hurt us a lot as well as the continuation of the failure of some of the locomotives and the increased challenge posed to Transnet.”
Waller said the government had clamped down on the sale of scrap metal to address cable theft, and Transnet and coal producers were constantly looking for solutions.
“The challenge is not about throwing additional resources; we have to continuously adapt, and as we adapt so, unfortunately, the criminals adapt.”
Due to the logistical constraints at Transnet, the Minerals Council South Africa, which represents 80% of the country's mining companies, previously reported R35bn revenue for bulk commodities including coal, iron ore, chrome and manganese was lost in 2021 and R50bn revenue was lost in 2022.
Waller said the relationship with Transnet was good despite the headwinds.
“We have our challenges, like any business, and we butt heads regularly, but there is a willingness and acceptance that we have to turn things around”.
Business Times
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Richards Bay terminal coal exports at lowest since 1993
Image: Andre Meyer
Richards Bay Coal Terminal (RBCT) export volumes for 2022 fell to their lowest level in 30 years after grappling with the negative impact of the 12-day wage strike at Transnet, cable theft and wagon derailments.
Speaking to the media during a round table on Thursday, CEO Alan Waller said RBCT managed to export 50.35-million tonnes of coal in 2022, the lowest since 1993 when 50.96-million tonnes were exported.
Waller said RBCT expected to export 60-million tonnes of coal in 2023.
“If I look at the commitments from the parties, it is a possibility. It could be a stretch but we can achieve 60-million tonnes.”
RBCT — with a 91-million ton capacity — has been struggling and has regressed since 2017 when exports peaked at 75.6-million tonnes. In 2021 58.72-million tonnes of coal were exported from the terminal.
Waller said the Transnet wage strike and derailments took their toll on the terminal and 22 days of railing were lost.
“Unfortunately, it was a regression through the year, largely impacted in the last quarter by the strike and derailments. Those hurt us a lot as well as the continuation of the failure of some of the locomotives and the increased challenge posed to Transnet.”
Waller said the government had clamped down on the sale of scrap metal to address cable theft, and Transnet and coal producers were constantly looking for solutions.
“The challenge is not about throwing additional resources; we have to continuously adapt, and as we adapt so, unfortunately, the criminals adapt.”
Due to the logistical constraints at Transnet, the Minerals Council South Africa, which represents 80% of the country's mining companies, previously reported R35bn revenue for bulk commodities including coal, iron ore, chrome and manganese was lost in 2021 and R50bn revenue was lost in 2022.
Waller said the relationship with Transnet was good despite the headwinds.
“We have our challenges, like any business, and we butt heads regularly, but there is a willingness and acceptance that we have to turn things around”.
Business Times
Support independent journalism by subscribing to the Sunday Times. Just R20 for the first month.
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