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Date : 21/08/2003
Source: Ministry of Public Enterprises
Title: Radebe: Kei Rail refurbishment project


REMARKS BY JEFF RADEBE, MP, MINISTER OF PUBLIC ENTERPRISES AND ACTING MINISTER OF TRANSPORT, ON KEI RAIL REFURBISHMENT PROJECT, Kei Bridge, Eastern Cape, 21 August 2003

Allow me at the outset to warmly congratulate all concerned for the progress that has already been made in the development of what is clearly a watershed project to rebuild a valuable rail asset and turn it into a major driver for development in this incredibly beautiful but under-resourced area of our country.

The detailed presentation made by MEC Neer at the beginning of today's proceedings outlines in extremely clear terms the economic and social development benefits of carefully considered highly efficient engineering infrastructure programmes that derive their impetus from a concern for the poor. It illustrates also the benefits of new ideas as we break out of old-fashioned logistics thinking that tied investment only to traditional routes. For these reasons, I trust that the presentation will receive wide-spread publicity in the news media, in the East Cape's foreign and local investment drives, and in the rural and urban communities of this region.

Without fear of exaggeration I can suggest that the Kei Rail project is a fine example of the practical end of the Eastern Cape's Growth and Development framework. It is aligned with the national development agenda adopted by Government and seeks to bring real and tangible benefits to communities and individuals as well as providing a long-term foundation to sustainable development generally. The Province's Growth and Development framework provides 6 strategic objectives designed to enhance the quality of life of our people. These are the systematic eradication of poverty through a holistic, integrated and multi-dimensional approach to pro-poor programming; agrarian transformation and strengthening of household food security; the consolidation, development and diversification of the manufacturing base and tourism potential of the province; the provision of infrastructure; human resource development; and public sector and institutional transformation.

The integration of the Kei Rail project with development initiatives is underscored through its direct links to the use of local, community based labour for the provision of critical maintenance and building aspects of the programme, through projects in the forestry, agriculture, wool and red meat, minerals exploitation, and tourism sectors, and the relationship it will have with the various road upgrade and links that have already been identified, and of course to the East London IDZ that includes important improvements to the East London harbour, and the SDI.

We must not shy away either from noting that these infrastructure projects and programmes, and the Kei Rail project is no exception, feed growth in technical and engineering expertise. We must ensure that we exploit the use of tertiary institutions in this region as well, making sure that we develop the skills and human resource base of residents of the East Cape as well. This is but one way that we can ensure that our villages come to provide many of the engineers of the future, and that we break away from a common perception that a rural background destines people to remain hewers of wood and drawers of water. There is no reason at all why we cannot achieve this objective.

One element that deserves special attention, and one that provides me with deep satisfaction, is the manner in which the Kei Rail project provides integral support to the success of the restructuring of the Safcol forests here. In fact, it provides ample proof of our Government's long-established belief that the restructuring of state-owned enterprises cannot take place in a vacuum. This is most particularly the case when we choose to dispose of the state's role completely as in the case of Safcol, and the manner in which the restructuring initiative and the rail refurbishment project coalesce is welcome.

Conceptually, what stands out about this project is the fact that although the line provides a link between its two ends, i.e. the Umtata hinterland and East London on the coast, it also provides access and opportunities to communities as far apart as Port St Johns, Stutterheim, Umtata itself, Ugie, Langeni, and other villages beyond the immediate iron highway of rail. This line will encourage economic activity and community involvement for farmers, marketers, traders and shop owners, transporters, and boost growth practically along each of its 281 winding kilometres. Thus, potential growth and development will emerge around the primary railway stations along the route, places other than East London or King Williamstown and Umtata that include Bisho, Mdantsane, Komga, Butterworth, Idutywa, and Viedgiesville. We foresee also significant growth in towns and villages that straddle the feeder roads such as Kentani, Willowvale, Mqanduli and Nquamakwe. Many of these rural villages are already the centre of important community-based public works programmes centred on educational, health or community garden projects. Once again, the circles of impact of formerly disparate development projects are overlapping more and more towards greater sustainability and success.

The challenge of reclaiming our people's well-being from the clutches of poverty in the East Cape, and especially the areas of the former Transkei and Ciskei is well known to us all. The age, gender and employment profiles of the areas that project runs through are distorted from the national averages and show starkly that although we cannot change the situation overnight, we must ensure that the projects we initiate in regions such as this must have the potential to provide major change over time. The benefits of infrastructure investment may often be piecemeal, but we must try our level best to make sure that the pieces are big pieces! And this project appears to do exactly that.

This region of the East Cape is already achieving great steps towards a better future by increasing investment in infrastructure. Much of this investment is through joint public and private partnerships, where private companies and overseas firms have contributed significant amounts to support our Government's call for partnerships in development. From our side, we will continue to promote the expansion of East London's multi-purpose terminal and the extensions to the car terminal that support the increased investment of the motor manufacturers of recent times. We need also to consider how best to incorporate the airports at Bisho and Umtata in the new impetus of infrastructure growth and development. This region is home to abundant sources of fauna and flora, and even of other perishable goods that could benefit by improved rapid delivery through commercial air transport to ensure swift transport to national and international destinations. Improvements to the rail link between East London and Gauteng remain critical and a top priority.

In real terms it was not long ago that Government's intervention ensured that so-called low density, non-viable line such as the Umtata-Amabhele section of the line, would not be closed. At the time, we called for an extensive process of consultation between Spoornet, Transnet, the Provincial Governments and local authorities, including traditional leaders and communities that reside in far-flung places, to reassess how we think about the viability of otherwise of a number of our lines, especially those that extend into rural areas and do not form part of the major freight or passenger routes in our country.

The serious nature of finding workable solutions to these and other issues accounts in large part for the time it has taken to reach this Stage 3 of the project that will see further design and engineering work being undertaken alongside some preliminary construction work. The manner in which the detail of the planning work, the project's evaluation against common criteria and various options analysed, can surely be recommended to other parts of the country.

The earliest parts of the railway between Umtata and East London date back some 87 years to 1916. Built at a time when the reserve system was taking shape under the pressure of the nearby Glen Grey Act of 1896 and later of the 1913 Land Act, it came to operate in the context of so-called Land Betterment Schemes and a host of programmes that in effect restricted and stifled indigenous agriculture and land use. In some parts of the local tradition, the railway line became a suction pipe, drawing away male migrant workers to the mines of the Witwatersrand, sucking food produced here to other markets, dragging natural products away from the region. The drying up of the productive capacity of the region can in some ways be linked historically to the role of rail in the skewed development of colonialism and apartheid. When, in apartheid's dying days, there seemed nothing else to draw from this region, decisions were taken to reduce the traffic, then close completely the passenger service in 1988 with reduced freight activity continuing.

The challenge facing the people of the East Cape and their Government is indeed a mighty one. It is to ensure that the development of the Kei Rail project resuscitates growth in the region, draws people back into productive activity in a way that promotes intra-regional traffic in goods and people, as well as serving to bring goods and products into the region as a whole for consumption here, rather than acting as a one-way conduit outwards.

Future generations will judge us by the actions we generate today. Let us make sure that our generation's contribution today will be greeted with salutation and the sounds of thriving community tomorrow.

I congratulate you all once again, and thank you for the pleasure of addressing these humble thoughts to you all.

Issued by Ministry of Public Enterprises
21 August 2003

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