Toll road boost for construction giants
Business Day - Sep 13th 2011, 09:03
While Group Five announced yesterday its consortium had been awarded preferred bidder status for the R10bn Winelands toll-road project in the Western Cape, the project hangs in the balance as the City of Cape Town has threatened legal action if the state goes ahead with its plans.
Shares of Group Five’s partner in the Protea Parkways Consortium, Basil Read, jumped nearly 9% to a high of R13,03 after the construction companies announced they had been awarded the contract. Basil Read closed 6,72% higher at R12,70. Group Five also bucked yesterday’s stock market rout to gain 10c (0,39%) to close at R25,60.
Group Five yesterday announced that the Protea Parkways Consortium — it also includes French civil engineering group Bouygues — would now, in consultation and negotiation with the South African National Roads Agency (Sanral), take the project through to its financial close.
Sanral CEO Nazir Alli said last month he was "disappointed" by the City of Cape Town after it threatened legal action against Sanral if it went ahead with the R10bn N1-N2 toll road.
The city said the agency’s processes for developing the project were flawed.
Construction is due to begin in February and will take about three years to complete.
Sanral, which has struggled this year to apply tolls to the Gauteng Freeway Improvement Project after a public outcry about the high costs involved, has not yet begun construction on the Winelands route.
Cape Town mayoral committee member Brett Herron said he had written to Transport Minister Sbu Ndebele to inform him about the city’s declaration of a dispute under the Intergovernmental Relations Act.
Deputy Transport Minister Jeremy Cronin last week proposed that the government scrap plans to construct toll roads across SA and instead redirect resources into improving public transport. This follows the outcry over the expenses connected to the tolling of urban roads in Gauteng.
Mr Cronin, who was addressing the Food and Allied Workers Union congress in his capacity as deputy general secretary of the South African Communist Party (SACP), said the public outcry was a lesson "to make things right".
The Winelands project encompasses 105km of the N1 highway between Cape Town and Worcester and a 70km stretch of the N2 between Bot River and Cape Town. In 2003, the project received environmental authorisation and it was gazetted as a toll road in 2008.
Blackstone in $19bn deal to buy US warehouse assets from Singapore’s GLP
04/06/2019 - 10:57
Blackstone Group is buying US industrial warehouse properties from Singapore-based logistics provider GLP for $18.7bn, in what the companies billed as the largest private real estate transaction globally.
Beating the #BlackFriday delivery blues
20/11/2018 - 10:16
The biggest challenge on Black Friday isn’t a system crash or a payment failure. It’s the delivery problems that come after the purchases have been made. This year, courier companies are working closely with e-tailers to ensure that delivery expectations are met – but consumers can also play their part in getting their parcels as quickly and efficiently as possible.
Growing import demand contributes to expanding logistics and warehousing sector
16/11/2018 - 11:05
The inflow of imports, most consumer goods, is contributing to increasing demand for storage, logistics and warehousing services in South Africa, and a clear correlation is visible in the trend of wholesale and retail trade sales in comparison to imports.
The future of logistics depends on four key elements: customer-centricity, sustainability, technology and people
01/10/2018 - 09:32
DHL, the world’s leading international express services provider, showcased the key trends that could impact the logistics industry in the next five to ten years, at an event held in Sandton, Johannesburg on Thursday 20 September.
Customer engagement through gamification
17/08/2018 - 13:55
Gamification provides insurers with an ideal platform to enhance customer engagement. With apps like MEGA MEDS, that turns medicine management into a fun experience, and the likes of the Discovery Insure Driving Challenge, that rewards customers who are good drivers, there is significant potential for insurers and others to take a different approach to dealing with stakeholders.