Author:nick-poree
Costs versus expenses December 30, 2024 In any discussion of vehicle operating costs we must make the distinction between “costs” (which are incurred as a continual process) and “expenditure” (payments and orders). Failure to recognise the difference is a major reason for the demise of new transport businesses, explains NICK PORÉE. A new or quality used vehicle may run for some time requiring only payments for fuel and some servicing. It may seem to make a handsome profit. There are, […]
Railway restructuring is critical January 14, 2025 While increased competition and private sector involvement could theoretically improve efficiency, NICK PORÉE writes that the restructuring of the railways must precede any significant change, while current strategic manoeuvring indicates an unwillingness to relax Transnet SOC monopoly control. Gavin Kelly, CEO of the Road Freight Association (RFA), raises some important points regarding the potential impact of opening up South Africa’s rail network to third-party operators. However, in order to create real “Open Access”, […]
Freight operations management demystified January 10, 2025 It is extremely challenging to manage freight transport. NICK PORÉE demystifies the process with some easy-to-follow pointers The transport of goods is the part of the production process that takes place in the public space instead of inside business premises. The management of freight transport is challenging due to regulations pertaining to the vehicles, drivers, and operations designed to protect the infrastructure and ensure road safety. The management process is complicated by the […]
The Cost to SA of the Logistics Bureaucracy Crisis January 14, 2025 As we look forward to 2025, it is relevant to identify the factors which impede the urgent action required to rectify our national logistics crisis. NICK PORÉE writes that this is essential, as the capacity for action of the current organisational structures is constrained by government debt. In common with many other countries, the impact of current government debt and failures by state-owned companies (SOCs) is having a […]
Kick start, push start, or non-start November 19, 2024 South Africa’s transport and logistics sector is at a critical juncture. The economy is increasingly reliant on a system that is struggling to function, with Transnet’s highly publicised “recovery plan” promising progress over several years. But will these efforts genuinely revive the country’s failing transport network, or are we merely prolonging the inevitable? In this no-holds-barred column, NICK PORÉE dives into the heart of the crisis, exposing the glaring issues and […]
Road freight breakthroughs needed to realise AfCFTA’s potential November 7, 2024 The African Continental Free Trade Area (AfCFTA) holds immense promise for unlocking interstate trade across Africa. However, according to NICK PORÉE, infrastructural and logistical challenges – including costly border delays and inefficient port operations – continue to hamper progress. The AfCFTA agreement, signed by 54 of the 55 African Union member countries, encompasses a market of 1.3 billion people with a combined GDP of US$3.4 trillion. The agreement aims […]
Does policy paralysis pay? September 30, 2024 The road freight industry has “growed like Topsy” and is now out of control. Nick PORÉE explains why. The National Transport Policy Study (NTPS) in 1985 finally broke the shackles on the road freight industry, which subsequently mushroomed into the most significant mode of land transport within about 10 years. At the time, the Department of Transport (DoT) had the intention of creating the Road Transport Quality System (RTQS), which would manage the […]
Is the Government of National Utility good GNUs for transport? September 2, 2024 As we now have a Government of National Unity (GNU), NICK PORÉE says it is relevant for the transport and logistics industry to reflect on what might have been – had this national unity included more than just government departments. Nationalisation has for many years been one of the major impediments to the economic performance of the country, with nationalised industries (the state-owned companies) having soaked up […]
Transport lacking motion: Creecy’s crisis point August 26, 2024 What should Barbara Creecy, the new Minister of Transport, be focusing on? NICK PORÉE explains… Transport is all about motion. Policies provide direction, but there is very little evidence of positive corrective policy action in any modes for the past 30-plus years since the deregulation of road freight in 1987, and ossified policies have resulted in the current national logistics crisis. In 2024, South Africa enters a new era of transport […]
An anniversary year… but should we be celebrating? June 27, 2024 There are some notable anniversaries in South Africa this year – but NICK PORÉE cautions that many are no cause for celebration. For South Africa, the year 2024 is, in many ways, an “anniversary year” of landmark events in many aspects of life, policy, and particularly transport. It is also an election year, which makes the anniversaries even more relevant as we contemplate the future. Winston Churchill once said: […]
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