NRZ Allowing Private Companies To Use Its Railway Infrastructure To Address Capacity Challenges

The National Railways of Zimbabwe (NRZ) is planning to allow private companies to use its railway infrastructure to address its capacity challenges, NewZimbabwe reported citing General Manager Respina Zinyanduko.

The NRZ Board, chaired by Mike Madiro, has approved the recommendation to allow private players to run their trains on NRZ tracks. This open-access strategy will involve a tripartite arrangement where private companies provide locomotives and wagons to transport cargo for NRZ customers. In return, they will pay access and administration fees to the NRZ. Ziyanduko said:

This arrangement will result in NRZ providing timeous movement of traffic to and from the ports thus affecting quality service and efficiency to its customers who were resorting to road usage for a solution.

Three companies have shown interest in the open-access strategy proposed by the National Railways of Zimbabwe (NRZ). They are expected to start using the railway infrastructure from 1 January 2024. The General Manager stated that this initiative will help relieve the burden on roads by transporting more bulk cargo through rail. It will also generate income for the NRZ through access and administration fees. Zinyanduko added:

Furthermore, the private capacity players will also use NRZ drivers as well as get their locomotives and wagons serviced at the NRZ workshops thus creating employment for the country.

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This arrangement will allow NRZ to pursue its recapitalisation initiatives while at the same time providing the much-needed reliable service to its esteemed customers.

The National Railways of Zimbabwe (NRZ) has been facing numerous challenges, including corruption, which have hindered its ability to invest and operate effectively. The railway system, built in the early 1900s, has not been revamped and is deteriorating with cracked tracks and faulty foundations. Maintenance issues have led to frequent derailments. The NRZ’s workforce has significantly decreased, and vandalism has affected communication systems. The rail sector urgently needs modernisation as wagons, locomotives, tracks, and signalling systems are outdated.

Authorities claim that the NRZ is now on a recovery path, aiming to improve operations and achieve stability and growth through its strategic plan. Recent efforts include clearing outstanding debts and revitalising the company’s position as a leading logistics provider in Zimbabwe.

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