Involving private sector on Transnet rail not related to State capture failures: Creecy

JOHANNESBURG - Transport Minister Barbara Creecy has clarified that a decision to allow private companies to operate trains on Transnet’s rail network is not connected to the State-owned entity’s struggles due to State capture.

On Friday, Creecy announced that 11 private train-operating companies were granted permission to transport cargo using Transnet’s rail infrastructure.

Some critics argue that State capture has left Transnet ill-equipped to manage freight rail on its own, making private sector involvement necessary.

However, speaking at a media briefing, Creecy emphasised that allowing private firms access is intended only to complement and not replace the capabilities of the state.

“One of the reasons that Transnet is currently facing difficulties is because they are settled with that historical debt. However, it’s very important to understand that the reforms that we are introducing into the rail system are not because of the history of state capture. These rail reforms have been introduced into every major rail system in the world.”