Business earlier reported that RBCT, the single largest export coal terminal in the world with a design capacity of 91m tons per annum, has been paralysed since last week Friday after two electrical cables supplying power from the uMhlathuze local municipality failed.

Allen Waller, spokesperson for RBCT confirmed yesterday morning that the first cable is expected to be restored by 6pm on Friday. After a 24-hour start-up, the terminal should be operation again by Saturday night.

He said it would take more than a month to clear the shipping back-log.

Economist Mike Sch?ssler calculated that the country may lose R200m in coal exports for every day the terminal is paralysed. He said it may turn December’s trade surplus into a deficit in January.

Waller told Business Transnet had loaded as many trains as possible to feed the terminal as soon as it became operational.

Mike Asefovitz, Transnet senior communications manager, earlier said Transnet operated 28 trains per day to and from RBCT. He would not disclose the current loss of revenue for Transnet.

Waller said there were five ships alongside ready to load which was quite normal, but a further 23 sitting at anchorage, which was highly unusual.

A Richards Bay shipping agent said shippers, in this case the shareholders of RBCT, my contractually incur penalties for delaying the ships. The shareholders listed on the RBCT website are Anglo Operations, BHP Billiton Energy Coal, Kangra Coal, Sasol Mining, Total Coal, Xtrata, South Dunes Coal Terminal, Exxaro Coal, Optimum Coal Holdings and Koornfontein Mines.

Penalties may vary around $20 000 per ship per day, the agent said. That means penalties for today alone will amount to $540 000 (R6bn).

The penalties might not be enough to cover shipowners’ losses for subsequent trips that are put in jeopardy due to the delay in Richards Bay, the agent said.

The only way to avoid penalties is if the cause of the delay is ascribed to force majeure, the proverbial act of God. Then the ship owners will bear the full cost.

“Whichever way, even if you can ascribe blame, there will be long legal battles and ultimately everybody loses” the shipping agent said.

He believes in the short term buyers will also have leverage to drive the price of coal down on the perceived higher risk of exports through RBCT.

With the stakes being so high it is imperative to find the reason for the power failure, a matter that is currently under investigation.

The faulty, oil filled cables at the crux of the blackout run next to each other in trenches in beach sand. Apparently

maintenance entails checking the oil pressure in both cables up to twice a week and keeping the servitude clear to prevent heavy loads resting on or crossing the sand in which the cables are buried.

Questions are currently being asked about the maintenance regime, while there are also allegations that a heavy vehicle in the servitude might have damaged the cables.

The uMhlathuze municipality had not responded to questions at the time of publishing.