Matthews' axing inspires confidence Prasa will continue to build on recent successes: Creecy

Transport minister Barbara Creecy says the Passenger Rail Agency of SA (Prasa) board’s decision to fire its CEO, Zolani Matthew, encourages hope the entity will keep building on its recent achievements.

Matthews was fired for the third time, just a few days after returning to his job following a labour court ruling in his favour.

On Thursday, the board of control (BOC) at Prasa announced it had terminated Matthews’ services and paid him out for the remainder of his contract.

The board’s decision provides certainty about the leadership at management level, which inspires confidence that Prasa will continue to build on its recent successes, Creecy said. 

The minister expressed confidence in group CEO Hishaam Emeran and commended him for the role he has played in turning around the passenger rail agency over the past 18 months.

“Prasa is one of the most critical state-owned entities, in this case, for the transportation of South Africans to and from work and school in a cost-effective manner. Trains play a crucial role in our economy and it is therefore important that both the public and staff know that the leadership of this SOE is stable and working hard to make sure that commuters can get to their destinations safely and on time.

“The Prasa GCEO, Hishaam Emeran, has made significant strides in getting the agency back on track, with more than 75% of rail corridors reopened after the devastating vandalism and theft of assets a few years ago. I am confident Mr Emeran will continue to improve the service Prasa offers to the public, thereby contributing to economic growth and ensuring that our government is delivering on its mandate,” said Creecy.

Creecy has urged Prasa's leadership to focus on ensuring the passenger rail system is restored to full capacity.

Board chair Nosizwe Nokwe-Macamo said Matthews’ termination was in line with his contract and in the interest of Prasa and rail passengers. The rail agency remained focused on reopening all rail corridors and refurbishing more stations.

Matthews was fired by Prasa in 2021 for holding dual citizenship, which the entity at the time said was a material breach that he did not disclose because the dual South African/UK citizenship prevented him from obtaining security clearance.

In April 2022, retired judge Robert Nugent ruled that Matthews should be reinstated with back pay. Nugent said the dual citizenship was not a problem and that Prasa should reinstate Matthews. But before Matthews could set foot in his Johannesburg office, Prasa fired him again — this time for “non-performance”, a decision the agency’s board said it had taken on November 29 2021, but had not told him about because it chose to axe him in terms of security clearance reasons.

Creecy said she is resolute that Prasa and all transport entities must ensure good governance and act in the best interests of South Africa.

She said she is in the process of reviewing the shareholder agreements of entities in the transport portfolio and engaging with the boards of relevant entities.

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