Newly appointed CEO of Namibia’s railway company, TransNamib, Desmond Ernst Van Jaarsveld, says he took up the challenge of heading the company because he recognised a unique opportunity to significantly impact TransNamib’s operations and overall performance.
Van Jaarsveld’s appointment comes at a time when TransNamib is in the process of finalising the Integrated Business Strategic Plan that requires N$2.6 billion to execute, mainly for the acquisition of additional rolling stock, maintenance and upgrading of workshops.
Equally important, TransNamib is embarking on an ambitious plan to nearly triple its cargo-carrying capacity to four million tonnes within the next five years, equating to approximately 1.5 million tonnes per year.
Van Jaarsveld says leading the company presented a chance for him to contribute to the growth and development of Namibia’s logistics sector and points out that he was particularly drawn to TransNamib’s strategic vision and its potential for transformation.
Furthermore, he says his goal is to build upon this vision by shaping and executing strategic initiatives that drive positive change and enhance operational efficiency.
Van Jaarsveld has a background in business and extensive experience in the Namibian sector, especially in logistics. It is this background that led him to see TransNamib as a natural fit for his expertise and interests.
Van Jaarsveld’s immediate priorities will focus on assessing and addressing operational challenges within TransNamib. “This will involve a thorough evaluation of our financial performance, operational efficiency, and strategic initiatives,” he says.
He points out that with the arrival of new locomotives expected by the end of 2025, the company must implement interim solutions to address its current locomotive capacity and infrastructure challenges.
Van Jaarsveld adds that he plans on engaging stakeholders, including all employees, board members, government officials, and key customers. These meetings will help him understand their perspectives and expectations, which he says is crucial for the company’s success.
Another priority, that he plans to address is safety, which he says is non-negotiable and Van Jaarsveld adds that he is placing a strong emphasis on safety standards and regulatory compliance in all of TransNamib’s operations.
Moreover, the new CEO stresses that the challenges facing TransNamib require a comprehensive, multi-stakeholder approach that addresses key strategies.
He is happy that the government supports the company as evidenced by recent budgetary allocations towards rail infrastructure investment. The government has committed to upgrading the rail infrastructure to align with national roads and ports.
The Ministry of Finance and Public Enterprises wrote off legacy tax liabilities owed by TransNamib, 2024/2025 budget documents revealed in February.
For the 2024/25 financial year, the government has allocated N$2.5 billion towards railway infrastructure.
Van Jaarsveld acknowledges that ageing equipment and inadequate rail infrastructure are significant challenges for the rail industry.
He believes that the loans worth N$2.6 billion secured through the Development Bank of South Africa (DBSA) and the Development Bank of Namibia (DBN) to replace ageing equipment places TransNamib in a solid position. The funding will provide substantial relief to TransNamib, enabling workshop upgrades and new locomotive procurement, he said.
However, Van Jaarsveld says the current locomotive availability of 23-26 locomotives, impacted by ageing rolling stock, falls short of the reliability needed to achieve this target. He says that to meet its objectives, TransNamib will require at least 34 reliable locomotives.
He is confident that the loss-making company can be turned around but he said significant changes won’t happen overnight. Past experience has shown that acquiring new locomotives alone can take up to two years, while procuring spares may require six to 12 months.
Moreover, he says financial constraints and cash flow challenges further compound its operational hurdles.
With the funding secured, the company is poised to begin executing the Integrated Business Strategic Plan and shaping a brighter future for rail in Namibia, he adds.
By: Chamwe Kaira
