20 in 2022: Quay words and phrases

Last week’s CMTP Midterm Review threw out some quay words and phrases that I thought I would highlight in this blog to create a general picture of the content of the conference that saw active engagement from a number of stakeholders.

  1. 4iR: The Fourth Industrial Revolution and all that comes with it including automation and innovation has been on the agenda for a few years now. The government has a 4iR policy and there are pockets of innovation taking places within universities and amongst incubators. The issue needs to be addressed from a skills and employment perspective within the maritime space.
  2. Action: The call for action on several outstanding and unresolved issues was loud and clear. It is clear that the industry is cynical about the lack of action that has taken place particularly with regard to the ports’ infrastructure and efficiencies as well as the promulgation of legislation.  
  3. Cabotage: Cabotage or a coastal shipping regime is not a new topic and has been debated for many years. The consensus seems to be, however, that a liberal policy should be implemented that is not too restrictive.
  4. Cadetships: While some people are still calling for the active recruitment of new seafarers based on the much-publicised expected shortage of officers within the world fleet, it should be noted that cadet berths continue to be a problem. Some solutions were put on the table including the purchase of a new vessel for training as well as the need to form better relationships with shipping lines. Some good news from SAMSA, however, highlighted that talks in this regard are taking place with the view of placing more cadets at sea.
  5. Collaboration: Let’s be clear on this one. Talking about collaboration and breaking down the silos does not equate to actually collaborating. While this topic has crept into all recent maritime conversations – there is not much clarity on how this can be achieved or what collaboration will look like in the maritime industry.
  6. Decarbonisation: This global ambition is both an opportunity and a challenge for South Africa and, indeed, Africa as a whole. We need to stay abreast of technologies, interventions and research in this regard and we need to position our own industry to take advantage of changes and developments.  
  7. Defining the value chain: This was an interesting issue that cropped up during the three-day event last week. Quite simply – without being able to accurately define the maritime value chain, we are not able to leverage the opportunities. The National Department of Transport (NDoT) announced the theme for the year as Benefitting from the Maritime Transport Value Chain on the first evening of the conference.
  8. Funding and Finance: As a capital-intensive industry that is not well understood by many financing houses and banks, stakeholders believe that more needs to be done to make potential funders aware of the realities of the industry. The establishment of a Maritime Development Fund was also once again raised, but no real action plan was revealed.
  9. Green Hydrogen: This topic deserves more than a single bullet point – but suffice to say that this is fast becoming a buzz word in the maritime sector. It will be interesting to watch how countries and companies position themselves in this regard as the return on investment looks to be long term with substantial capital outlay.
  10. International Maritime Centre: The ultimate aim of the Comprehensive Maritime Transport Policy is to see South Africa emerge as an International Maritime Centre on the African continent. This implies a healthy and growing subset of maritime sectors that are transformed, efficient, cost-effective and customer-centric. Government is seen to be an enabler in this regard, while the private sector will need to engage as well as collaborate (yes that word again) to ensure this vision is achieved. “South African businesses must be at centre of maritime development to provide services to international industries,” said Dumisani Ntuli of the NDoT in his opening remarks.
  11. Legislation and Policies: The need to fast track several key pieces of legislation was highlighted, but many of these still seem to be some way off being promulgated into law. Stakeholders expressed frustration about recent developments relating to the policy to allow additional STS transfers in Algoa Bay as well as the numerous Acts that are sitting in the legislative pipeline. In addition, there was a call to sign certain important conventions including the Clydebank Declaration.
  12. Maritime Awareness: Maritime awareness has been on the agenda for a number of years and much has actually been achieved in this regard. The concern, however, is the creation of false hope amongst the youth who have been exposed to a seafaring career without much thought as to how we will manage their cadetships and sea time. Nevertheless, stakeholders maintain that maritime awareness needs to start at school level and developments in qualifying maritime teachers was shared.
  13. National Shipping Carrier: Speaking at the opening of the event last week, the Minister of Transport, Fikile Mbalula said that the establishment of a National Shipping Carrier was a priority. The aim is to be able to control ships and tonnage for the benefit of South African citizens and companies.
  14. Operation Phakisa: Yes, this is still on the agenda. Despite provoking some cynicism, Operation Phakisa still has a role to play in the development of the maritime agenda. For many, the need to align the newly created Ocean Economy Master Plan (which derives its course from Phakisa) with the CMTP document as well as the numerous government departments that are associated with it is paramount.
  15. Port City: The concept of integrating the port and city was mentioned as a way to move ports towards becoming more responsive to the needs of companies and stakeholders in its precinct as well as to create awareness of the greater logistics chain within adjacent cities.
  16. Port Efficiency: It is a pity that this topic remains a massive issue within the maritime industry in South Africa. Ports and the Ports Authority are seen as the gateway to the maritime sectors – and constituents of these sectors have long anguished over the lack of action taken within the ports to ensure productivity, efficiency, opportunities, and ease of doing business.
  17. Ships Register: Another topic that has been buzzing around conferences for close to two decades is that of bolstering the South African Ships Registry. There are some very practical steps that need to be taken in this regard – not least of which is the need to identify what shipowners are looking for in a Flag State. Shipowners have the luxury of choice in this regard and for a register to deliver the desired gains, we will need to create a framework that makes business sense for shipowners.
  18. Transformation: While there has been transformation in various sub sectors of the maritime industry, many believe that this is still not enough and that the BBBEE sector codes need to be implemented to achieve adequate transformation.
  19. Women and Youth: Part of the transformation agenda includes the inclusion of women and youth within the sector and actively making space for them within the existing structures.
  20. World Maritime Day: We have a massive opportunity to showcase our maritime sectors in October this year as we host the International Maritime Organisation’s World Maritime Day parallel event. We need to leverage this opportunity.

These quay words and phrases can only provide a short snapshot into what was discussed last week and we will be publishing a full report back on the event before the end of the month.  

Getting take-aways

Yesterday I picked up some maritime take-aways that did not involve fish and chips.

I accepted an invite to participate in a Maritime Security Roundtable hosted by the Institute for Security Studies Africa (ISS Africa) with a bit of trepidation based on my concern that I would not be able to add much value. Joining a group of varied maritime stakeholders, the discussion was interesting as well as diverse and highlighted several important issues that provided some important take-aways.

  • The marine and maritime space is far-reaching and complex in nature – making any discussion on governance and security equally diverse and complex.
  • Significant work is being done theoretically, academically and practically to improve South Africa’s and Africa’s ability to manage its own maritime domain – but much of this is not immediately visible or apparent.
  • This lack of visibility is, in part, due to the diverse range of stakeholders involved across government and industry – with the consequence of some duplication and gaps occurring.
  • While many consider Operation Phakisa a failed initiative, it did manage to provide deliverables in some areas. One such success is the creation of the Incident Management Organisation (IMOrg) within SAMSA.
  • An Ocean Economy Master Plan is scheduled to be completed by December this year – outlining aspects of the maritime economy that require attention and offer opportunity. Although the process is being driven by government, labour and industry, there is still a perception that it is being held behind closed doors by some.
  • There is a lack of willingness to coordinate data from the industry to help make over-arching decisions, with many government departments, NGOs and Universities all accumulating research without an understanding of what has already been undertaken in the space.
  • Coastal communities are often not part of the discussions for solutions and/or their specific challenges are not understood within the context of the historical and present dynamics.
  • Training within the maritime space needs to be offset against actual employment opportunities. Training for unemployment cannot be an option.
  • There appears to be a lack of review of policies to understand where interventions have worked and where they have not. In addition, policy briefs are often ignored or not produced.
  • The slow pace of policy as well as legal instrument development is a massive problem with important legislation often becoming stalled and remaining in the pipeline for many years.
  • It was suggested that a major maritime disaster or set-back may be needed to strengthen government’s resolve to tackle a number of issues that remain unresolved.
  • A dedicated maritime department within government was once again discussed as a solution to coordinating the maritime efforts of the country; and that the maritime agenda needs to be raised more often within government structures.
  • While regional and continental bodies exist, these cannot override national interests. The AU needs to strengthen its maritime desk.
  • In the absence of true collaboration and visibility; many private companies are simply just getting on with it while policy and government strategy lags behind.

At the end of the day, most agreed that adding another maritime intervention or initiative to the space would simply further the fragmentation of efforts. More collaboration and coordination are the ultimate solutions. Sadly, this is a common refrain and will take significant effort for stakeholders to pay more than lip service to the notion of breaking down silos.

Thank you to my hosts and fellow-panellists for a most interesting afternoon of discussions. It was also good to get out from behind the computer screen and zoom meetings to engage in person – albeit behind masks.

Are we acting in the best interest of the maritime industry?

Have you noticed how many people are simply just acting within the top echelons of the maritime-related governing bodies, organisations and SOEs in South Africa?  The recent announcement of a permanent CEO for the South African International Maritime Institute (SAIMI) means that there is one less acting CEO, but the lack of certainty of many positions remains unchanged.

A promise to appoint a permanent CEO to the South African Maritime Safety Authority (SAMSA) by June this year never materialised despite a second call for applications for the position. In the meantime, Sobantu Tilayi has been acting in this capacity since 2016. I cannot even imagine the stress associated with seeing your position advertised over and over again – applying for it and then just simply being expected to accept the status quo when no definitive move to make a decision seems forthcoming.

A similar situation exists within the Department of Transport (DoT) where Dumisani Ntuli has been holding the position of Acting Deputy Director General: Maritime Transport for a number of years. This position was also recently advertised by the Department, but no announcement has been made of a permanent appointment.

But perhaps more alarming is the way in which Transnet deals with their leadership issues – where allegations against permanent appointees result in suspension and the appointment of acting management. In a segment broadcast by Carte Blanche recently that aimed to highlight inefficiencies at container terminals, Captain Sarno of MSC Shipping noted that the lack of permanent appointees that could be held accountable was a problem.

One just has to cast an eye to the top tiers of management across both Transnet Port Terminals (TPT) as well as Transnet National Ports Authority (TNPA) to note that the leadership structure is hampered by the lack of permanently appointed and credible heads that can be held accountable.

Compare this, if you will, to the stable decade-long leadership of Bisey Gerson/Uirab who officially stood down as Chief Executive Officer of Namport a few months ago. And compare the strides made in this time to attract business to the port, develop the port and acquire infrastructure to the detriment of competitor ports in the region.

Actors in the maritime industry:

  • Sobantu Tilayi: Acting CEO, SAMSA
  • Dumisani Ntuli: Acting Deputy Director General: Maritime Affairs, Department of Transport
  • Mohammed Mohamedy: Acting CEO, Transnet
  • Richard Vallihu: Acting COO, Transnet
  • Mark Gregg-MacDonald, Acting CFO, Transnet
  • Sanet Vorster, Acting CHR, Transnet
  • Michelle Phillips, Acting CEO, Transnet Port Terminals
  • Nozipho Ndawe, Acting CEO, Transnet National Ports Authority

Could SAMSA get a permanent CEO by the end of this month?

Acting CEO of the South African Maritime Safety Authority, Sobantu Tilayi, recently jested that he could have pronounced himself as the permanent position holder when he stepped into the Minister of Transport’s shoes to deliver a speech at the eThekwini Maritime Summit during April.

But it’s no real laughing matter that the Authority has been without a permanent CEO for almost a year and I have been eagerly scouring each Cabinet meeting report as it is released to ascertain whether an appointment has been approved. Because, as Tilayi pointed out during one of his many conference appearances last month – his present contract expires at the end of the May so an announcement is surely imminent.

In a question posed by Choloane David Matsepe to the Minister of Transport in the National Assembly last week, the Minister was asked whether any CEO, CFO or COO positions were vacant in any of the Department’s entities – and what steps had been taken to fill these positions.

The response noted what the industry already knows – that interviews have been conducted for the position of SAMSA’s CEO and that one person is currently acting in this capacity. The Department’s response further notes that a recommendation is to be routed to the Minister for approval.

Perhaps this month’s Cabinet meeting briefing will include the name of a permanently appointed CEO for SAMSA.

New DoT Minister misses maritime 

It is disheartening to note that the first briefing given by the new Minister of Transport, Joe Maswanganyi, yesterday outlining the immediate tasks for his department made no mention of the maritime industry. 

This, despite the recent revealing of the DoT’s Comprehensive Maritime Transport Policy as well as the central role that the DoT’s agency, the South African Maritime Safety Authority (SAMSA), plays in the government-driven Operation Phakisa focused on growing the maritime sectors. 

This, despite the need for that agency to see the finalisation of an appointment of a permanent CEO and despite many other initiatives that are currently receiving and in need of attention. 

His briefing understandably looks primarily at road transport issues and we give cognizance to the importance of this sector in his stable. It also briefly mentions rail in relation to the agreement with China to build the Moloto Rail Development Corridor, but it fails to even give a nod to the maritime sector. 

And, as it refers to the proud history of struggle heros who dedicated their energy to fighting for better quality of life for their comrades and his commitment to patriotism as well as the National Development Plan, he may well have taken note that the maritime industry is the sector in his portfolio that offers a great opportunity for delivering on these promises. 

It would be disappointing if the current momentum gained in the industry in sensitising government to the potential impact of the maritime sector is lost. We are fortunate, however, in the fact that the Deputy Minister, Sindiswe Chikhunga, is already known to be a driver for maritime awareness within the Department and it is hoped that her voice will continue to be heard. 

An African passport by 2018?

One of the many challenges that the highly mobile people of the maritime industry face is that of accessibility to jurisdictions within Africa. This is particularly frustrating for Africans aiming to work on the African continent and may even hamper emergency response to potential maritime incidents.

Discussions at the recent World Economic Forum meetings in Kigali, Rwanda refocused attention on the idea of introducing an African passport by 2018 – a move that will surely be welcomed by proponents of the maritime industry who face delays when responding to clients’ emergency requirements in other African countries.

Leading a session, South Africa’s Minister in the Presidency: Planning, Monitoring and Evaluation and Chairperson of the National Planning Commission, Jeff Radebe, implored delegates to reflect on the continued need for visas in Africa and to meet the 2018 deadline of creating an African passport.

In February this year the African Development Bank released the Africa Visa Openness Report 2016, which highlights the fact that the continent remains largely closed off to African travellers. According to the report:

“On average Africans need visas to travel to 55 percent of other African countries, can get visas on arrival in only 25 percent of other countries and don’t need a visa to travel to just 20 percent of other countries on the continent.”

 

The clock is ticking on the African Union’s (AU) goal and vision for Africa as set out in Agenda 2063 which envisions the establishment of an African passport and an end to visa requirements for all Africa citizens in Africa by 2018. There are no clear indications from the AU as to the progress that has been made in this regard, but it is clear that it falls within the Union’s Flagship Projects in the First Ten Year Plan.

However, three years into the First Ten Year Plan, many of the goals remain largely aspirational and it is not clear where or what the stumbling blocks would be to the realisation of an African Passport. Common sense, however, suggests that without the reality of a peaceful and secure Africa as envisioned by Agenda 2063 – the likelihood of an agreement on free movement on the continent is more than 18 months away.

Chairperson of the AU, Dr Nkosazana Dlamini Zuma writes in her foreword to the report, however: “We believe that the free movement of people is possible, which is why Agenda 2063 calls for the abolition of all visa requirements within the period of the Ten Year Implementation Plan and the creation of an African passport.”

Perhaps regional visas are more realistic in the short term, but  any move to finalise agreements in this regard will certainly be welcomed by the African maritime community.

 

TETA is on the take!

The Transport Education and Training Authority (TETA) collects levies from its registered members annually and is tasked to redistribute the money to fund relevant training in the maritime sectors.

So, if you clicked on this blog thinking the title referred to a scandal at the Authority, I hope you will not be too disappointed to learn that the money they are taking from the industry appears to be doing a lot of good.

It’s being channelled into the upliftment of people who probably would not have the means to pursue formal training. It’s helped develop human capital in the maritime sectors. And it’s spurred on many individuals’ ability to progress along career paths.

This is a modern day Robin Hood story

I’ve had the opportunity to interview Malcolm Alexander at TETA twice now. Last week, in his office, I came close to resigning from the magazine and begging him to let me work there. The scope to make a difference is palpable and his energy is infectious. He really believes in the system and trying to make it work for companies as well as individuals.

He is the first to admit, however, that not everything is perfect. But at least they are delivering and people are benefitting. He highlights the significant contributions made by some of the companies in the industry and notes in particular the likes of Talhado Fishing, Sea Vuna and I&J as championship league players in the training game. Malcolm also points out that many registered levy players do not use the system to their advantage and encourages companies to speak to them about the opportunities that exist.

So yes, TETA is on the take, but they’re redistributing what they take into verified training initiatives that are upskilling our sector. If your company is not participating fully within the TETA levy and grant system, watch out for their series of workshops this month around the country to get more information.

So next time you pay across your levy begrudgingly – take a pause and consider the impact that training actually has on the lives of those who receive it. This is truly about building a better South Africa one skill at a time.

The forthcoming issue of Maritime Review will include a look at Education and Training in the Maritime Sector.

Coastline confusion

Can anyone tell me exactly how long South Africa’s coastline is? I am talking about our coastline – excluding any islands that we may have jurisdiction over.

Situated at the southern tip of Africa and surrounded by sea on “three sides,” we like to assume that we have access to a generous coastline, but the actual length does not seem to be cast in stone.

I’ve had the opportunity to dwell on this elusive fact over the last few months while writing and editing a number of pieces for a variety of sources. I was even tempted to take out a length of string and attempt to do something I last did in High School during map work in Geography, but decided rather to spend my evening drinking wine with friends (achieving life/work balance).

But yesterday I received a press release that stretched our coastline to its limits. Apparently South Africa now has “almost 4,000 kilometres” of coastline to be proud of.  And it does not seem that the PR company was adding any offshore coast from island territories to this accumulation.

I am used to receiving press releases that peg the coast at anywhere between 2,500 km and 3,000 km long, so this additional 1,000 kilometres is really a windfall for the country.

Perhaps this is part of Operation Phakisa’s strategy to expand the maritime industry (the press release did allude to this Government-led project), but I am not sure that our neighbours would be too happy with us claiming a portion of their coastline in order to increase our maritime prospects.

So – can anyone tell me the real, undisputed length of our coastline?

 

Access denied: flirting with the maritime economy?

There’s a general movement that is gaining traction in the maritime sectors that aims to boost the industry’s contribution to job creation and the GDP. The Blue Economy is on everyone’s lips and national, regional, continental and even international strategies are being developed to see our oceans contribute meaningfully to our human desire to produce and prosper.

With so much attention it should, therefore, not be surprising to see a whole new set of eyes flirting with the possibility of developing a long term relationship with the ocean sector. It’s time to give them a dance ticket and allow them onto the dance floor.

At the South African Maritime Industry Conference (SAMIC) organised some three years ago by the South African Maritime Safety Authority (SAMSA), there were people from every sector and plenty who saw themselves as merely standing on the side line hoping for an opportunity to show their moves.

Paul Maclons, Managing Director of Smit Amandla Marine, was unequivocal in his statement during one of the panel discussions at the conference: that the solution for a full and inclusive dance floor was not in promoting the practice of cutting in on existing dancers – but rather on extending the party and mixing it up from the DJ’s box. Well, okay Paul did not mention anything about dancing or DJ’s, but his message was clear – we need to expand the industry to accommodate newcomers.

The truth is though that the industry is expanding and there are more opportunities, but equally the economic reality of a capital-intensive international industry is seeing more consolidation and joint ventures as existing companies seek relationships with other established partners that can offer them the opportunity to extend their own dance cards.

Does that mean that there is no opportunity for newcomers? Are they destined always to be wallflowers?

The quick answer to that has to be NO! There are some newcomers to the industry aiming to show off their signature moves on the dance floor. Our job is not to stop mid beat and point or jeer. Our job is to make sure that there is space for them even if their rhythm is a little different to ours. Our job is to learn a little from the new beat.

This year’s SAMSA Maritime Industry Awards aims to recognise the new dancers on our floor. If you’ve recently launched or know of a company that has launched into our space – please take the time to nominate. It takes courage to start something in any industry and especially into one so entrusted to the “old guard”.

http://www.maritimeawards.co.za  

 

What is a Maritime Maestro?

Maritime Maestros have salt in their veins. They are committed to the industry in a way that goes beyond the scope of a 9 to 5 job description. They give passionately and devote their energies to develop the future of the industry as a whole. They lead the industry and often pioneer new paths – they are Maritime Maestros.

Two years ago we recognised Okke Grapow as a Maritime Maestro at the 2012/13 SAMSA Maritime Industry Awards. He was living out his maritime family heritage that had been passed down to him from his father and subsequently onto his own children. His dedication to offer himself beyond the confines of a 9 to 5 servant to the industry certainly benefitted the development of the South African maritime industry – and today he continues to inspire others.

This year we are once again appealing to the industry to get out of their comfort zones and to start to recognise the impact that their peers, colleagues and even competitors are making in the industry. Nominations are open for the 2014/15 SAMSA Maritime Industry Awards. Read more about the various categories and start nominating today!

http://www.maritimeawards.co.za