Transnet’s strategic planning occurs at various levels. While each level addresses capacity planning differently, efforts are fundamentally aligned and geared towards the same objectives.
The Company’s Long-term Planning Framework is a critical link between national and provincial masterplans and policy, and Transnet’s MDS.
The frameworks informing Transnet’s strategic planning and goal-setting are outlined in Figure 8. At each level, the Company ensures appropriate resourcing that is both aligned with targets, and able to adapt to changing market conditions and other external impacts.
To meet long-term demand, Transnet must invest for long-term growth prospects, but be mindful of short- to medium-term volatility in the domestic and international markets. This approach is reflected in the reduction of the Capital Investment Plan from R277,8 billion to R229,2 billion over the next seven years, in response to the lower-than-planned freight demand. Seven-year targets for the MDS strategic imperatives are shown below:
(Capital expenditure per Operating Division)
Market segment competitiveness
(Rail Addressable Market Share growth: RAMS % NTK)
Freight Rail volumes