KENYA PORTS AUTHORITY- OVER VIEW & PORT REFORMS PLANS OCTOBER 2007
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1 KENYA PORTS AUTHORITY- OVER VIEW & PORT REFORMS PLANS OCTOBER 2007
2 MANDATE PORT OF MOMBASA K P A The port of Mombasa is managed by Kenya Ports Authority. Vision To be rated amongst the top 20 ports in the world in terms of reputation and performance by the year Mission Facilitate seaborne trade in the most efficient manner by progressively benchmarking operational targets against internationally accepted standards. THE PORT OF MOMBASA Gateway to East & Central Africa V A L U E S I T S C U S T O M E R S
3 PORT OF MOMBASA Gateway to East & Central Africa Natural harbour for Deep sea-going ships Multi-purpose port Multi-modal links
4 ONE OF EAST & SOUTHERN AFRICA S LEADING PORTS Daresalaam Durban Mombasa Maputo
5 MOMBASA PORT RAIL NETWORK
6 MOMBASA PORT ROAD NETWORK
7 The Port of Mombasa comprises General Cargo berths: Dockyard and ship repair facilities Container Terminal Specialised berths Liquid oil terminals
8 PORT PERFORMANCE TOTAL THROUGHPUT In the past five years the volume of cargo traffic through the port has risen by over 40% '000' DWT
9 PREAMBLE CAPACITY UTILISATION (General) Currently high as shown below despite yard demolitions and related projects PERIOD TRAFFIC CAPACITY UTILISATION CURRENT (with developments) 14.42M 60 65% 2007 (Projected) 15.30M 68% Growth in throughput expected to grow at the rate of 6% ++ in tandem with growth in GNP
10 PREAMBLE TRAFFIC PROJECTIONS Trends indicate increase in traffic leading to stress on current capacity as shown below: MASTER PLAN PROJECTIONS MANAGEMENT PROJECTION ACTION REQUIRED Port to handle traffic of 32 million tonnes By: 2028 By: 2023 Urgent need to develop additional Capacity now. Mgt projection is based on the following consideration: 1. Expected traffic from Sudan, Ethiopia and Tiomin Exports. 2. Continued impressive economic performance of Hinterland Countries Recall that other ports accept 40% as the optimal capacity utilisation level
11 Port Operations Last 5 years imports averaged 9.95M Tonnes: 79% of Total Traffic of Cargo composition is shown below: TYPE Bulk Dry Conventional Containerised Liquid Bulk Cargo Cargo % 18.4% 9.1% 34.1% 5 Year Average 38.6% 16.5% 10.7% 34.3% Trend indicative of a mature sectoral distribution Mombasa still a Mixed Cargo Port
12 Port Operations BERTH OCCUPANCY IN PERCENTAGE Mombasa Container Terminal 2006 JAN MAR Remarks (Red Flag) at saturation levels SOT tending towards saturation KOT Red Flag Conventional Cargo Acceptable levels Need to generate handling capacity for containers, bulk oil and dry bulk Need to consider development of additional Berth at the Mbaraki Wharf Strategic Plan the following discusses programmes for progressively transforming the Port of Mombasa into a world class Port in line with the corporate VISION
13 MEASURES PUT IN PLACE TO IMPROVE PERFORMANCE
14 Equipment Modernisation 3NO. TUGBOATS Capacity; 55-6O Ton Boullard Pull 4 th Tug under rehabilitation
15 TWO PILOT BOATS-
16 MARINE CRAFT PATROL BOATS 2No: Patrol Boats delivered in 2003
17 SHIP TO SHORE GANTRY CRANES (STS) 4No: Delivered in 2005 PERFORMANCE SPEEDS Trolley 200m/min Hoist 70m/min Travelling: 46 min/min
18 RUBBER TYRED GANTRIES (RTGs) 12 NO. RTGs delivered in 2004/5 SPEEDS Trolley: 70M/m/min Travel: 135m/min Hoist: 25m/min (Load) 52m/min No: Load
19 RAIL MOUNTED GANTRY CRANES (RMGs) 2 No: Delivered in 2005 PERFOMANCE SPEEDS Trolley 7Om/min Hoist 25m/min Load 52m/min no load Travel 45m/min
20 TERMINAL TRACTORS 65No: delivered Between delivered in August 2007
21 REACHSTACKERS 11 No: Delivered between 2002 and 2004 Received 3 more in August 2007
22 PROPOSED REFORMS RATIONALE FOR REFORMS 1. Enhanced Efficiency 2. Improved Productivity 3. Private Sector Participation
23 PROPOSED REFORMS PREFERRED OPTIONS 1.Privatisation of the Conventional Cargo operations 2. Concessioning of Dyd Services & ICDs 3. Corporatisation of MCT 4. Rehablitation and operation of Cruise Passenger Terminal Facility 5. Devt of FTZs on BOT 6. Corporatisation of the Bandari College Services Approved Actions by the Board were to be implemented. A review on Progress follows
24 THE MOMBASA CONTAINER TERMINAL STATUS OF MCT 1. Handles 34% traffic 2. Contributes 55% Revenue 3. Capacity problems: nearing saturation Design capacity: 250, Handled: 479, Projected: 530,000 Given the investment made At the MCT and its pivotal Role in the economy, Corporatisation is the Preferred option With current configuration, capacity limit is 540,000 TEUS SHORT-TERM MEASURE 1. Construction of Berth No. 19 Quay Length: 760m Storage: 140,000 TEUs MCT throughput to improve to 600,000 TEUS Urgent Need to construct Berth No. 19 and acquire the necessary equipment. Tendering for Construction after June 2007
25 THE MOMBASA CONTAINER TERMINAL: EXPANSION PROGRAMME PROPOSED NEW TERMINAL 1. Involves expansion of MCT to area west of KOT 2. Features: 100 Hectares of yard space from the reclamation. 3 berths of 900 meters. Draught of meters. 60,000 GT Panamax Vessels. New Access Road, (3 lane highway) at Port Reitz to join the old port Reitz airport road. New Railtainer Terminal to Kipevu Layout of Proposed Terminal follows
26 New Container Terminal PROPOSED NEW TERMINAL
27 Proposed New Container Terminal Plan
28 PROPOSED REFORM : SPECIAL OPERATIONS BERTHS CRUISE TERMINAL Conversion of Berth No. 1 with future extension to No2 Response to tender poor Lessons learnt from the Miami trip KPA to undertake project on RO- improvement works started Promotion of business thro the CIOA
29 CONTAINER FREIGHT STATIONS UNPRECEDENTED BERTH THROUGHPUT 15,000 TEUs Daily Licensed two CFSs to handle containers Operations started on 1 st October, 2007 Plans for transit countries to have own CFSs
30 MCT EXPANSION PROJECT: EXPANSION (ADDITIONAL WORKS) Plans to Dredge channel and berths to 15 metrs
31 DEVELOPMENT OF THE 2 ND COMMERCIAL PORT Authority looking into the possibility of developing a second commercial port Usage of small ports
32 CURRENT CHALLENGES
33 FACTORS AFFECTING CONTAINER TERMINAL PERFORMANCE Rapid increase of container traffic volumes Importers use the port as a storage area Average dwell time of 14 days Poor off take by rail. Rail now handling only 6% Lack of adequate capacity by road and poor road infrastructure. Long bureaucratic cargo clearance processes Equipment Breakdown and erratic power supply
34 FACTORS AFFECTING CONTAINER TERMINAL PERFORMANCE Inadequate equipment to handle the growing traffic Unusual long rains from Nov 2006 to February 2007 Changing routine patterns i.e shorter rotations. Mombasa is now a feeder port. Deployment of additional vessels by shipping lines New shipping Lines Deployment of unsuitable vessels
35 FACTORS AFFECTING CONTAINER TERMINAL PERFORMANCE Changing box ratio. More 40 foot containers Bunching of vessels & unscheduled arrivals Overbooking of cargo by shipping lines Late submission of clearance documents Lengthy custom warehouse and auctioning processes
36 MEDIUM/LONG TERM INITIATIVES Addition of two new Ship to Shore Gantry cranes at the container terminal in the year 2007/8 Additional six new Rubber Tyre gantry cranes at the container terminal in year 2007/8 Building another Berth 19 to boost the container terminal s operational capacity. To be complete in the year 2009/10 Construction of a 2nd container terminal Expected to be ready by 2013 and will handle 1.2 million TEUs annually.
37 MEDIUM/LONG TERM INITIATIVES We are embarking on dredging the harbour channel and widening the turning basin to accommodate larger vessels Additional terminal equipment on order including 2 STSs, 6 RTGs, 6 Terminal Tractors, Reachstakers and Trailers Implementation of waterfront system & VTMIS by Nov 2007 Utilization of small ports Development of a second commercial port
38 END THANK YOU
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