SA’s state rail company Transnet on Friday invited bids from the private sector to operate sections of its freight network, seeking a cash injection to improve the service.
Transnet, whose rail infrastructure has been underperforming after years of underinvestment, widespread copper cable theft and vandalism, will be taking bids from April 1 to May 31, the company said.
Transnet’s total freight rail volumes declined by nearly 14% from 212.3-million tonnes in 2020 to 183.29-million tonnes last year, the worst performance in a decade, company records show.
President Cyril Ramaphosa has ruled out privatising Transnet but in February directed the state-owned company to allow private rail operators to operate on the country’s core network.
Reuters
Transnet opens up freight rail network to private operators
SA’s state rail company Transnet on Friday invited bids from the private sector to operate sections of its freight network, seeking a cash injection to improve the service.
Transnet, whose rail infrastructure has been underperforming after years of underinvestment, widespread copper cable theft and vandalism, will be taking bids from April 1 to May 31, the company said.
Transnet’s total freight rail volumes declined by nearly 14% from 212.3-million tonnes in 2020 to 183.29-million tonnes last year, the worst performance in a decade, company records show.
President Cyril Ramaphosa has ruled out privatising Transnet but in February directed the state-owned company to allow private rail operators to operate on the country’s core network.
Reuters
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