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For South African freight rail to be unlocked, and truly serve to grow the economy, Minister Barbara Creecy must stop protecting Transnet’s monopoly on rail network operations.

Transnet is financially defunct, relying on treasury guarantees to survive, and instead of freeing our freight rail from this mismanaged burden, she has decided to protect Transnet’s place in managing rail operations.

Creecy should have announced that Transnet will concession the operation of the rail network to private freight rail entities. This would allow private sector investment, efficient and competitive operations, new signaling systems and cutting out Transnet’s corruption and mismanagement.

We must imagine a freight rail environment in South Africa where private operators are able to manage and improve the rail network, and compete for business on the tracks. Instead Creecy is only willing to allow private entities to put their trains on Transnet’s tracks without any private role players in the management of the network.

The same Transnet failures of management, network maintenance and signaling are now guaranteed to perpetuate, through Creecy’s approach.

The DA does acknowledge that 11 new Train Operating Companies (TOCs) being awarded conditional slots across six major freight corridors is a step in the right direction, but it is not nearly enough.

South Africa’s rail reform journey must head toward undoing Transnet’s monopoly on rail operations

For years, the DA has called for this reform: to end Transnet’s network monopoly, bring in private investment, and allow competitive operators to improve efficiency and reduce costs in the logistics chain. Private train operations on Transnet’s tracks is the first step, but by no means nearly enough.

South Africans have heard many ambitious promises before, whether on rail recovery, PRASA’s “corridor re-openings,” or freight volumes - only to be let down by weak implementation, deteriorating infrastructure, and rampant cable theft.

The DA challenges Minister Creecy to speed up and implement what she has promised today

We do not see it as good enough the the Minister has indicated the additional volumes will only flow from the 2026/27 financial year. With exporters, farmers, and miners already bearing crippling logistics costs today, these timeframes are dangerously slow.

Because Creecy is not concessioning private sector operations of the rail network, upgrades to rail infrastructure, maintenance backlogs, and measures against theft and vandalism remain pipe dreams.

There can be some cautious optimism for the announcement by Minister Creecy, but the DA will now begin robust parliamentary oversight to ensure this process results in real trains on tracks, efficient and well managed tracks, and a rail network that is maintained and upgraded - not just paper promises.

The DA will continue to champion reforms enabling the turning around of our failing railways, ports, and digital infrastructure to restore South Africa’s position as a competitive, connected, and modern economy.

Issued by Dr Chris Hunsinger MP - DA Spokesperson on Transport