Holness discusses strengths of port privatisation

WALVIS BAY, 25 JUL  – Jamaican Prime Minister Andrew Holness on Tuesday said his country has not looked back since signing an agreement with a private company to operate the government-owned Kingston Container Terminal.
During a visit to the Namibian Ports Authority (Namport) in Walvis Bay, Holness spoke of his country’s experience in getting involved with shipping companies with the requisite connections and expertise to reap maximum benefits from the facility.
In 2016, the Port Authority of Jamaica signed a 30-year concession agreement with Kingston Freeport Terminals Limited to operate the Kingston Container Terminal.
Holness said at first, Jamaicans were against the privatisation of the port.
He however added that the country has not looked back since the private entity started running the port.
“You know, they can’t take the port from Kingston and leave with it, the port is always there. But they can bring greater management and opportunities for the port which increases the value of the asset,” he said while explaining Jamaica’s logic behind leasing its port.
Holness said the process of handing the administration of the port over to private entities was well thought through and took up to two years to conclude.
“The private investor has the connection. They have the syndicates and the conglomerates in terms of shipping experience and business experience. Not that I am giving you advice – I am merely sharing the experience,” he said.
Speaking at the same occasion, Namport’s Chief Executive Officer Bisey /Uirab said they are currently weighing the pros and cons of privatising the port or at least, running it in collaboration with private institutions.
He however maintained that the port is 100 per State-owned and State-run.
“We are willing to learn from you to ensure that should we decide on that route, we don’t go through the same challenges and can rather prevent those challenges,” he said.
Approached for comment on Namport’s position on privatising the port, /Uirab said: “We are not talking about privatising the port. We are thinking of involving the private sector… people who are experts in managing container terminals to join us.”
Namport is currently upgrading its container terminal at Walvis Bay, to enhance the port’s capacity from the current 350 000 twenty-foot equivalent units (TEUs) to 750 000 TEUs per annum.
The N.dollars 4 billon project was 76 per cent complete in January this year.
(NAMPA)