TransNamib, the national surface carrier of Namibia, provides rail and road transport within and across the border of Namibia. TransNamib was established by the National Transportation Service Holding Company Act, 28 of 1998, and is the successor of the former TransNamib Ltd. All shares in TransNamib are owned by the Government of the Republic of Namibia, which also exercises non-regulatory control through the appointment of the company’s directors.
TransNamib Holdings Ltd. has faced a continuous decline of transport volumes over the past decade. Between 2012 and 2013 alone, transported volumes of mining commodities and bulk liquid lost 27% and 11% respectively. The major problems confronting the company are decreasing transport capacity and increasing operation and maintenance costs due to old, obsolete equipment and infrastructure, outflow of qualified personnel and a modest reputation. Cash flow problems and governance issues are consequences thereof. One of the main causes has been the absence of substantial investment into assets and people over many decades; another cause can be seen in the increasing road transport capacity and stronger price competition.
The objective of the project accordingly was to develop a new business model/restructuring plan with respect to organisation, people’s competencies, communication, quality, safety and other relevant factors for the successful operation of the railway. The plan was prepared accounting for both revenue and cost projections based on the demand provided on each business line, e.g., import, export, domestic, regional, and for the major commodities (liquid bulk, mining, agriculture, containers, transhipping, etc.)