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U.S.-AFRICA AFRICAN GROWTH AND OPPORTUNITY ACT (AGOA) TRANSPORTATION AND TRADE
FORUM STATEMENT
With the successful conclusion of this historic AGOA Transportation and Trade Forum between the United States and the Nations of Sub-Saharan Africa, April 13 –16, 2008, in Cape Town, South Africa, a common vision for future transportation infrastructure development and integration on the continent was explored. The goal of this effort is to increase economic growth, regional integration, and improve trade, safety and security in the African States. The Forum paved the way forward for an expanded cooperative relationship between the United States and the Nations of Sub-Saharan Africa by noting the desirability of establishing a transportation component to the AGOA annual meeting.
Principles for Cooperation
The areas for potential cooperation outlined in this statement seek to facilitate AGOA trade, tourism and economic development on the continent of Africa; promote the development of integrated transportation infrastructure systems; and, build upon the ongoing work of sub-regional and non-government organizations. The following areas were highlighted:
1. Share information on best practices for the most effective utilization of existing resources. This should include concessioning of management of infrastructure as well as privatization.
2. Identify opportunities for innovative financing mechanisms. Share information on experiences with developing public-private partnerships, which in particular play a pivotal role in attracting and increasing domestic and foreign capital and other appropriate financing for vital transportation infrastructure on the continent.
3. Improve road traffic safety and security and reduce transportation-related fatalities and injuries through development and implementation of uniform standards, certification procedures and proven safety countermeasures. Share information on data collection, target setting, and effective safety campaigns.
4. More effective use of key regional transportation networks in the various regions of the continent, particularly those which serve as corridors for regional and global trade, and those national transportation projects which serve as components of those regional networks.
5. Determine gaps in African national, sub-regional and continental transportation information networks, and establish better linkages among those networks by improving transportation information exchange and dissemination among African countries, and between African nations and appropriate international organizations collecting and disseminating such data.
6. Integrate air, land, sea and inland waterways transportation policies and practices across modes and between countries in Africa, through improved planning in the development, maintenance and regulation of transportation infrastructure and the linking of regional and sub-regional transportation institutions and systems.
7. Improve Africa’s aviation infrastructure, especially airports, and regulations for safety and security to meet International Civil Aviation Organization (ICAO) standards and recommended practices, with the goal of fully integrating African aviation into the mainstream of international aviation systems.
8. Identify opportunities for development of economically viable public transit systems, especially in urban areas, that would facilitate everyday movement of people.
9. Promote efficient and equitable, market-responsive maritime services.
10. Deploy appropriate existing and emerging transportation technologies and share expertise, in order to improve the operation, efficiency and safety of those systems, taking into account the need to address environmental issues, including fuel efficiency, and reduce transportation congestion and costs.
11. Facilitate the development of institutions and practices, including deregulation, privatization, and accountability, that will support the efficient, equitable and cost-effective management of Africa’s transportation systems and institutions (both public and private).
So as to make progress in these areas, the following concepts were noted by participants:
· The private sector can and must play an increasing role in meeting Africa’s transport needs.
1. Use donor funds to leverage bigger private sector investments
· Improve transportation systems.
1. Infrastructure development to be realized with the help of the African Development Bank’s pledge of an increase in 20% funding.
2. Participation and support of the Infrastructure Consortium for Africa.
3. NEPAD Special Development Program – using African natural resources to anchor infrastructure development.
4. Establishment of 2nd Generation Road Fund Boards for the maintenance and construction of infrastructure.
5. As various countries in a region make the decision to invest in rail infrastructure, regional planning and coordination allow those individual investments to pool. Intermodal links provide a cost effective means to extending and linking existing and planned rail corridors.
6. African ports are disadvantaged by the global shift to containerization, because many African ports have relied on bulk and break bulk shipping for the movement of freight. Often, inefficiencies and local rules and practices lead to congestion, surcharges and other cost increases that result in reducing further the competitiveness of African exports and raise the cost of goods for consumers in African countries. These issues are compounded as freight moves across borders. In addition, the needed infrastructure and technological improvements can be cost prohibitive, difficult to implement and have social costs in the downsizing of redundant labor.
7. There is critical need to provide landlocked nations with access to seaports. Recognizing this, some regional and sub-regional organizations have undertaken special measures for these countries, and they are included as members in the decision making process.
· Improve transportation safety and security.
1. Enhance existing traffic safety data collection and evaluation systems or development of new systems so that countries have access on a continuous basis to reliable and accurate car crash data. The United States will consider ways in which it can provide guidance to its partners in Sub-Saharan Africa on establishing their data systems.
2. Increase active participation in regional and global efforts to improve road traffic safety. Specifically, the United Nations’ efforts, as steered by the World Health Organization and the Global Road Safety Collaboration, provide a viable mechanism for a common approach toward implementing the recommendations of the World Report on Road Traffic Injury Prevention.
3. Safety is the critical foundation for Africa’s air transport system. The U.S. Department of Transportation and the Federal Aviation Administration will continue to support partners in the region to help them achieve safety oversight that meets international standards, including through the Safe Skies for Africa Program.
4. Keeping airports, air carriers, baggage and passengers safe from potential actions of terrorism is essential for Africa to realize the benefits of growth in the global aviation system. The Transportation Security Administration (TSA) intends to continue to provide inspectors, international trainers, and security specialist in-country through the Safe Skies for Africa Program.
5. A culture of safety is vital to the safe, secure and efficient operation of a railroad. Establishing, supporting, and empowering a mechanism for safety oversight is necessary steps regardless of the business structure of the rail operator. Accidents are very expensive and create an unreliable rail system. FRA has extended an invitation to participate in a safety forum which will address creating a new environment of safety culture.
6. With the implementation of the ISPS Code to improve the security of marine shipments, ports have complied in various degrees. Among some countries, best practices have been established – for example controls on authorized access in Mozambique, Senegal and South Africa – that may be replicated in other nations who have implementation issues. An ongoing consideration is the importance of continuing long-term capacity building to assure security improvements can be sustained even when security levels are increased.
7. Establishment of the Pan African Infrastructure Fund. This is funded through African government pension funds and used for infrastructure development.
· Promote technology and technology exchanges.
1. Aviation’s impact on the environment is an issue problem that must be addressed globally. Industry is doing its part by developing greener technologies. The FAA looks forward to sharing best environmental practices with Africa’s Civil Aviation Authorities and regional aviation organizations to ensure aviation.
2. The potential role of technology in improving rail infrastructure utilization must be explored. There is a need to look at functionality and the parameters of the system.
3. Authorities and regional aviation organizations need to ensure aviation growth in the region occurs in an environmentally sound manner.
5. The International Civil Aviation Organization (ICAO) has developed standards for the implementation of performance-based navigation (PBN) technologies. African countries should work with each other and with international partners to implement these new technologies in the region. The FAA is prepared to share its expertise in this area through ICAO’s regional implementation seminars and other venues.
· Establish mechanism for building capacity in the transport sector.
1. Explore the utilization of the inexpensive, energy-efficient and environmentally friendly inland water transport.
2. Utilize/harness the full potential of the Nile, Zambezi, and Congo rivers.
3. COMESA/SADC established a joint ministerial task force on Regional initiatives.
4. SADC requested training from USAID to develop a corridor-based information platform to house information and evaluate performance.
5. African Development Bank set up the Legal Support Facility as a means for African States to access resources in negotiating their natural resources.
· The importance of Good Governance, and the need for oversight, accountability and transparency.
1. Strong commitment and consistent governance is a fundamental condition for success. The need for better management was often pointed to as one of the reasons railroads are not thriving. There is a need to go beyond studies and move to implement policies.
1. Participation in the International Investment Conference on Infrastructure and Natural Resources Development in Africa (November 2009). Establishment of regulatory vehicles to enhance local contractors’ access to loans to purchase construction equipment.
2. There are options for private involvement in rail infrastructure, from the contracting out of operations and maintenance to outright private ownership of rail assets. Railroads in the AGOA countries must first be attractive to private investment.
1. Pursue development of uniform standards and procedures in road development and vehicle safety.
2. Promote vehicle standards harmonization by encouraging countries of Sub- Saharan Africa to participate in the efforts of the World Forum for the Harmonization of Vehicle Regulations under the auspices of the United Nations.
3. Establish harmonized regional road standards.
4. Harmonize standards to allow physical connectivity of trains and create a larger market for the development and trade of equipment.
5. Build human capacity for sustainable economic development. Skills gaps hold back economic and social development. Training, education and social protections are essential components of the long term investment needed in human resources to promote economic progress.
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