Market reforms
DoT private sector participation unit

Summary

The PSP framework is still in development.

Canvas not supported.

Is it working?

Not yet established.

Actions

None

Are there plans?

It is a pillar of the freight logistics roadmap

Is it on the agenda?

The draft Rail Private Sector Participation (PSP) framework has been considered and approved by Cabinet in December 2023: https://www.gov.za/sites/default/files/gcis_documents/Fact%20Sheet.pdf

Goals

The Department of Transport is expected to establish a Private Sector Participation (PSP) unit to identify and prioritise projects and develop an implementation plan to facilitate PSP initiatives.

Summary

The PSP framework is still in development.

Canvas not supported.

Is it working?

Not yet established.

Actions

None

Are there plans?

It is a pillar of the freight logistics roadmap

Is it on the agenda?

The draft Rail Private Sector Participation (PSP) framework has been considered and approved by Cabinet in December 2023: https://www.gov.za/sites/default/files/gcis_documents/Fact%20Sheet.pdf

Goals

The Department of Transport is expected to establish a Private Sector Participation (PSP) unit to identify and prioritise projects and develop an implementation plan to facilitate PSP initiatives.

Summary

The PSP framework is still in development.

Canvas not supported.

Is it working?

Not yet established.

Actions

None

Are there plans?

It is a pillar of the freight logistics roadmap

Is it on the agenda?

The draft Rail Private Sector Participation (PSP) framework has been considered and approved by Cabinet in December 2023: https://www.gov.za/sites/default/files/gcis_documents/Fact%20Sheet.pdf

Goals

The Department of Transport is expected to establish a Private Sector Participation (PSP) unit to identify and prioritise projects and develop an implementation plan to facilitate PSP initiatives.

Summary

The PSP framework is still in development.

Canvas not supported.

Is it working?

Not yet established.

Actions

None

Are there plans?

It is a pillar of the freight logistics roadmap

Is it on the agenda?

The draft Rail Private Sector Participation (PSP) framework has been considered and approved by Cabinet in December 2023: https://www.gov.za/sites/default/files/gcis_documents/Fact%20Sheet.pdf

Goals

The Department of Transport is expected to establish a Private Sector Participation (PSP) unit to identify and prioritise projects and develop an implementation plan to facilitate PSP initiatives.

Summary

The PSP framework is still being developed. The department is in the final stages of concluding a memorandum of agreement with the Development Bank of Southern Africa (DBSA) and National Treasury, appointing DBSA as the hosting institution for the unit.

Canvas not supported.

Is it working?

Although not yet established under DBSA, an interim PSP Unit has launched RFIs to gather input from private sector stakeholders on potential rail and port projects and concession models.

Actions

The PSP Unit will be hosted by the DBSA under a MoA nearing completion. An interim PSP Unit has already been established within the Department of Transport.

Are there plans?

Pillar of the freight logistics roadmap

Is it on the agenda?

The Rail Private Sector Participation (PSP) framework has been considered and approved by Cabinet in December 2023: https://www.gov.za/sites/default/files/gcis_documents/Fact%20Sheet.pdf

Goals

The Department of Transport aims to establish a dedicated Private Sector Participation (PSP) unit to identify and prioritise projects and develop an implementation plan to facilitate PSP initiatives, particularly for Transnet and Prasa.

Summary

The PSP framework is still being developed. The department is in the final stages of concluding a memorandum of agreement with the Development Bank of Southern Africa (DBSA) and National Treasury, appointing DBSA as the hosting institution for the unit.

Canvas not supported.

Is it working?

Although not yet established under DBSA, an interim PSP Unit has launched RFIs to gather input from private sector stakeholders on potential rail and port projects and concession models.

Actions

The PSP Unit will be hosted by the DBSA under a MoA nearing completion. An interim PSP Unit has already been established within the Department of Transport.

Are there plans?

Pillar of the freight logistics roadmap

Is it on the agenda?

The Rail Private Sector Participation (PSP) framework has been considered and approved by Cabinet in December 2023: https://www.gov.za/sites/default/files/gcis_documents/Fact%20Sheet.pdf

Goals

The Department of Transport aims to establish a dedicated Private Sector Participation (PSP) unit to identify and prioritise projects and develop an implementation plan to facilitate PSP initiatives, particularly for Transnet and Prasa.

Summary

The PSP framework is still being developed. The department is in the final stages of concluding a memorandum of agreement with the Development Bank of Southern Africa (DBSA) and National Treasury, appointing DBSA as the hosting institution for the unit.

Canvas not supported.

Is it working?

Although not yet established under DBSA, an interim PSP Unit has launched RFIs to gather input from private sector stakeholders on potential rail and port projects and concession models.

Actions

The PSP Unit will be hosted by the DBSA under a MoA nearing completion. An interim PSP Unit has already been established within the Department of Transport.

Are there plans?

Pillar of the freight logistics roadmap

Is it on the agenda?

The Rail Private Sector Participation (PSP) framework has been considered and approved by Cabinet in December 2023: https://www.gov.za/sites/default/files/gcis_documents/Fact%20Sheet.pdf

Goals

The Department of Transport aims to establish a dedicated Private Sector Participation (PSP) unit to identify and prioritise projects and develop an implementation plan to facilitate PSP initiatives, particularly for Transnet and Prasa.

Summary

The Department of Transport has established a dedicated Private Sector Participation (PSP) Unit to strengthen state capacity to design, procure and manage private involvement in rail and port infrastructure. The unit coordinates PSP projects, supports Transnet and the Passenger Rail Agency of South Africa and helps attract investment.

Cabinet mandated the PSP Unit through the Rail Private Sector Participation Framework in December 2023. After finalising a memorandum of agreement with the Development Bank of Southern Africa and National Treasury, the permanent unit became operational at the Development Bank of Southern Africa by mid-2025, replacing the interim arrangement housed in the department.

In March 2025 the unit issued Requests for Information across five priority rail and port corridors. The process drew 162 formal responses, including 52 from international firms in 12 countries. Three corridors were prioritised: Northern Cape bulk minerals, Richards Bay bulk exports and the Gauteng–Durban intermodal corridor.

The Requests for Information shaped bid packages. The first Request for Proposal was expected before end-2025, with three more in the first half of 2026. Commercial close is likely to take about 2.5 years, with operational benefits from 2027–2028. As of January 2026, the additional RFP has not been issued.

Canvas not supported.

Is it working?

Partially effective. The unit has been successfully established at the DBSA and launched a well-received RFI process that attracted 162 responses, including significant international interest. However, the first Request for Proposal, originally expected before end-2025, has not yet been issued, indicating implementation delays. The real test of effectiveness lies ahead: whether the unit can successfully structure and execute PSP deals that attract investment and improve network performance. With commercial close timelines extending to 2.5 years, operational gains remain distant, anticipated only by 2027–2028.

Actions

Cabinet approved the Rail PSP Framework in December 2023. The Department of Transport finalised a memorandum of agreement with DBSA and National Treasury, establishing the permanent PSP Unit at DBSA by mid-2025. The unit launched RFIs in March 2025 for five priority rail and port corridors, receiving 162 responses.

Are there plans?

The unit plans to issue the first Request for Proposal for freight rail and port PSP opportunities, followed by three additional RFPs in the first half of 2026. These will translate RFI responses into formal bid packages for the three priority corridors: Northern Cape, Richards Bay and the Gauteng–Durban intermodal route.

Is it on the agenda?

Yes. The PSP Unit is a priority in Operation Vulindlela Phase 2, which targets expanding private sector participation in ports and rail beyond Durban. It features prominently in Cabinet statements, ministerial speeches and the Freight Logistics Roadmap. President Ramaphosa has publicly highlighted its establishment as key to transport reform.

Goals

The Department of Transport aims to establish a dedicated Private Sector Participation (PSP) unit to identify and prioritise projects and develop an implementation plan to facilitate PSP initiatives, particularly for Transnet and Prasa.

Summary

The Department of Transport has established a dedicated Private Sector Participation (PSP) Unit to strengthen state capacity to design, procure and manage private involvement in rail and port infrastructure. The unit coordinates PSP projects, supports Transnet and the Passenger Rail Agency of South Africa and helps attract investment.

Cabinet mandated the PSP Unit through the Rail Private Sector Participation Framework in December 2023. After finalising a memorandum of agreement with the Development Bank of Southern Africa and National Treasury, the permanent unit became operational at the Development Bank of Southern Africa by mid-2025, replacing the interim arrangement housed in the department.

In March 2025 the unit issued Requests for Information across five priority rail and port corridors. The process drew 162 formal responses, including 52 from international firms in 12 countries. Three corridors were prioritised: Northern Cape bulk minerals, Richards Bay bulk exports and the Gauteng–Durban intermodal corridor.

The Requests for Information shaped bid packages. The first Request for Proposal was expected before end-2025, with three more in the first half of 2026. Commercial close is likely to take about 2.5 years, with operational benefits from 2027–2028. As of January 2026, the additional RFP has not been issued.

There also seems to be a disconnect between the PSP unit and current PSP processes run by Transnet. The port concessions – ICTSI at Durban Pier 2, the Richards Bay liquid bulk terminals, the Grindrod container terminal – have proceeded through TNPA's own procurement channels, not through the PSP unit. Whether this reflects a sensible division of labour or fragmented institutional responsibility is unclear. Limited public information on staffing, budget or operational capacity makes it difficult to assess whether the unit can manage the pipeline it has been tasked with delivering.

Canvas not supported.

Is it working?

Partially effective. The unit has been successfully established at the DBSA and launched a well-received RFI process that attracted 162 responses, including significant international interest. However, the first Request for Proposal, originally expected before end-2025, has not yet been issued, indicating implementation delays. The real test of effectiveness lies ahead: whether the unit can successfully structure and execute PSP deals that attract investment and improve network performance. With commercial close timelines extending to 2.5 years, operational gains remain distant, anticipated only by 2027–2028.

Actions

Cabinet approved the Rail PSP Framework in December 2023. The Department of Transport finalised a memorandum of agreement with DBSA and National Treasury, establishing the permanent PSP Unit at DBSA by mid-2025. The unit launched RFIs in March 2025 for five priority rail and port corridors, receiving 162 responses.

Are there plans?

The unit plans to issue the first Request for Proposal for freight rail and port PSP opportunities, followed by three additional RFPs in the first half of 2026. These will translate RFI responses into formal bid packages for the three priority corridors: Northern Cape, Richards Bay and the Gauteng–Durban intermodal route.

Is it on the agenda?

Yes. The PSP Unit is a priority in Operation Vulindlela Phase 2, which targets expanding private sector participation in ports and rail beyond Durban. It features prominently in Cabinet statements, ministerial speeches and the Freight Logistics Roadmap. President Ramaphosa has publicly highlighted its establishment as key to transport reform.

Goals

The Department of Transport aims to establish a dedicated Private Sector Participation (PSP) unit to identify and prioritise projects and develop an implementation plan to facilitate PSP initiatives, particularly for Transnet and Prasa.

Summary

The Department of Transport has established a dedicated Private Sector Participation (PSP) Unit to strengthen state capacity to design, procure and manage private involvement in rail and port infrastructure. The unit coordinates PSP projects, supports Transnet and the Passenger Rail Agency of South Africa and helps attract investment.

Cabinet mandated the PSP Unit through the Rail Private Sector Participation Framework in December 2023. After finalising a memorandum of agreement with the Development Bank of Southern Africa and National Treasury, the permanent unit became operational at the Development Bank of Southern Africa by mid-2025, replacing the interim arrangement housed in the department.

In March 2025 the unit issued Requests for Information across five priority rail and port corridors. The process drew 162 formal responses, including 52 from international firms in 12 countries. Three corridors were prioritised: Northern Cape bulk minerals, Richards Bay bulk exports and the Gauteng–Durban intermodal corridor.

The Requests for Information shaped bid packages. The first Request for Proposal was expected before end-2025, with three more in the first half of 2026. Commercial close is likely to take about 2.5 years, with operational benefits from 2027–2028. As of January 2026, the additional RFP has not been issued.

There also seems to be a disconnect between the PSP unit and current PSP processes run by Transnet. The port concessions – ICTSI at Durban Pier 2, the Richards Bay liquid bulk terminals, the Grindrod container terminal – have proceeded through TNPA's own procurement channels, not through the PSP unit. Whether this reflects a sensible division of labour or fragmented institutional responsibility is unclear. Limited public information on staffing, budget or operational capacity makes it difficult to assess whether the unit can manage the pipeline it has been tasked with delivering.

Canvas not supported.

Is it working?

Partially effective. The unit has been successfully established at the DBSA and launched a well-received RFI process that attracted 162 responses, including significant international interest. However, the first Request for Proposal, originally expected before end-2025, has not yet been issued, indicating implementation delays. The real test of effectiveness lies ahead: whether the unit can successfully structure and execute PSP deals that attract investment and improve network performance. With commercial close timelines extending to 2.5 years, operational gains remain distant, anticipated only by 2027–2028.

Actions

Cabinet approved the Rail PSP Framework in December 2023. The Department of Transport finalised a memorandum of agreement with DBSA and National Treasury, establishing the permanent PSP Unit at DBSA by mid-2025. The unit launched RFIs in March 2025 for five priority rail and port corridors, receiving 162 responses.

Are there plans?

The unit plans to issue the first Request for Proposal for freight rail and port PSP opportunities, followed by three additional RFPs in the first half of 2026. These will translate RFI responses into formal bid packages for the three priority corridors: Northern Cape, Richards Bay and the Gauteng–Durban intermodal route.

Is it on the agenda?

Yes. The PSP Unit is a priority in Operation Vulindlela Phase 2, which targets expanding private sector participation in ports and rail beyond Durban. It features prominently in Cabinet statements, ministerial speeches and the Freight Logistics Roadmap. President Ramaphosa has publicly highlighted its establishment as key to transport reform.

Goals

The Department of Transport aims to establish a dedicated Private Sector Participation (PSP) unit to identify and prioritise projects and develop an implementation plan to facilitate PSP initiatives, particularly for Transnet and Prasa.

Analyst: Cecilia Schultz
Status: Halted
Last Updated:
Reform Area:
Reform:

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    Finalise the Network Statement

    No data available for the deliverable: Finalise the Network Statement

    No data available for the deliverable: Finalise the Network Statement

    No data available for the deliverable: Finalise the Network Statement

    No data available for the deliverable: Finalise the Network Statement

    No data available for the deliverable: Finalise the Network Statement

    Summary

    The final Network Statement setting out technical, operational and commercial rules for rail access, was published on 20 December 2024 following extensive consultation and the promulgation of the Economic Regulation of Transport Act (ERT Act). Revisions in February 2025 clarified capacity allocation and transformation principles, opening all slots with over 209Mt of capacity available to private operators. The access application process is under way, with extended deadlines to encourage participation. While this marks a major milestone, uptake by private operators and operational integration are still in early stages.

    Canvas not supported.

    Is it working?

    Too early to fully assess. While the framework is in place and applications are open, no significant third-party operations have commenced yet. The process is transparent and inclusive, but the impact on efficiency and freight volumes will depend on the quality and speed of private sector uptake.

    Actions

    Actions to date include: 1.tThe publication of the final and revised Network Statement 2.tLaunch of the formal application process for private sector access to rail slots 3.tEstablishment of the Transport Economic Regulator and interim regulatory capacity

    Are there plans?

    Yes. The Network Statement itself is the plan for access, with supporting frameworks from the ERT Act and the Rail Economic Regulator.

    Is it on the agenda?

    Yes. The Network Statement is referenced in cabinet-approved policies, SONA and departmental plans and is a pillar of the Freight Logistics Roadmap.

    Goals

    The goal is to create a transparent framework for third-party access to the national rail network to enable private train operating companies (TOCs) to use the network, dismantle Transnet's rail monopoly and create a competitive freight rail market by setting clear rules for private operators, unlocking private investment, improving efficiency and service quality, and responding to strong market demand for third-party access.

    Departments / Govt Institutions

    Department of Transport Transnet

    Summary

    South Africa’s first rail Network Statement and access tariffs were gazetted on 19 December 2024 by Transport Minister Barbara Creecy, formally launching open access to the national freight rail network. The statement sets the terms, conditions and pricing for all train operating companies (TOCs), including Transnet Freight Rail and private operators, under the Transnet Rail Infrastructure Manager (TRIM).

    rnThe 2024/25 framework was extended “until further notice” in March 2025 after the Interim Rail Economic Regulatory Capacity (IRERC) called for further analysis of stakeholder feedback on the 2025/26 draft. Work has begun on version 4, covering the 2026/27 timetable period.

    rnThe IRERC has finalised and submitted its recommendations for the 2025/26 Network Statement and Rail Access Tariff for a determination by the Minister of Transport. According to the Operation Vulindlela Q2 Progress Report, a revised Network Statement incorporating IRERC recommendations and an updated access tariff is scheduled to be issued in January 2026.

    Canvas not supported.

    Is it working?

    While it is too early to assess efficacy, open access for private operators became a reality in August 2025, when government announced the first 11 private train operating companies (TOCs) selected to negotiate network access on 41 key routes. These companies are now finalising access agreements with TRIM. Operations are expected to begin in the second half of 2026, with the potential to restore significant freight volume from road back to rail and unlock as much as R100bn in private investment over the next decade.

    Actions

    Actions to date include: Publication of the final and revised Network Statement; Launch of the formal application process for private sector access to rail slots; Establishment of the Transport Economic Regulator and interim regulatory capacity. With third party operators, initial negotiations are under way to set precedents for future private sector access. The success of the first batch of agreements - addressing issues like network condition, fee setting and rolling-stock arrangements - will shape further private participation in South African rail.

    Train Operating Companies: Through publication of the Network Statement in December 2024, TRIM made slots available across the freight rail network to private train operating companies (TOCs). Of 98 applications received, 11 new TOCs have been allocated slots on 41 routes covering six strategic corridors. TRIM estimates that the new TOCs will carry an additional 20 million tonnes of freight per annum from the 2026/27 financial year.

    Are there plans?

    Yes. The Network Statement itself is the plan for access, with supporting frameworks from the ERT Act and the Rail Economic Regulator.

    Is it on the agenda?

    Yes. The Network Statement is referenced in cabinet-approved policies, SONA and departmental plans and is a pillar of the Freight Logistics Roadmap.

    Goals

    The goal is to create a transparent framework for third-party access to the national rail network to enable private train operating companies (TOCs) to use the network, dismantle Transnet's rail monopoly and create a competitive freight rail market by setting clear rules for private operators, unlocking private investment, improving efficiency and service quality, and responding to strong market demand for third-party access.

    Departments / Govt Institutions

    Department of Transport Transnet

    Summary

    As of January 2026, Transnet has not issued a “version 4” of its Network Statement. Version 3.0, published in December 2024, remains in force, with its application extended beyond the original 31 March 2025 deadline until further notice.

    Reform overview: The Network Statement sets the rules for third-party train operators (TOCs) on Transnet’s rail network. It covers procedures, capacity allocation, charging principles, technical standards and interface requirements. The reform aims to end Transnet’s monopoly, attract private investment, improve efficiency and shift freight from road to rail.

    Recent developments: Version 3.0, approved by Transport Minister Barbara Creecy, introduced multi-tiered tariffs by commodity and corridor. It made over 209m tonnes of capacity available, attracting 98 applications and allocating slots to 11 new TOCs across 41 routes and six strategic corridors. Version 4.0 for 2025/26 has not yet been issued.

    TRIM’s February 2025 tariff proposals included increases up to 300%, sparking stakeholder concerns over affordability and viability. The Interim Rail Economic Regulatory Capacity (IRERC) conducted consultations and is still analysing feedback. Delays reflect disagreements over pricing methodology, Transnet’s financial sustainability and regulatory capacity constraints.

    IRERC has submitted its recommendations to the minister. A revised Network Statement is expected in early 2026. The newly appointed Transport Economic Regulator board will strengthen independent oversight in 2026/27. Until then, tariff uncertainty remains a key risk for private investment.

    Canvas not supported.

    Is it working?

    As of January 2026, the reform shows early promise but limited impact. Eleven private operators have been allocated 41 routes, yet no commercial operations have started. Strong market interest, with 98 applications, demonstrates private-sector appetite. However, tariff uncertainty, network capacity constraints (revised to 180m tonnes), funding shortfalls (R65bn needed, half available) and Transnet’s financial distress continue to deter investment. The reform has created the structural framework for privatisation, but operational delivery and economic benefits remain unrealised pending 2026/27 implementation.

    Actions

    Actions to date include: Publication of the final and revised Network Statement; Launch of the formal application process for private sector access to rail slots; Establishment of the Transport Economic Regulator and interim regulatory capacity. With third party operators, initial negotiations are under way to set precedents for future private sector access. The success of the first batch of agreements - addressing issues like network condition, fee setting and rolling-stock arrangements - will shape further private participation in South African rail.

    Train Operating Companies: Through publication of the Network Statement in December 2024, TRIM made slots available across the freight rail network to private train operating companies (TOCs). Of 98 applications received, 11 new TOCs have been allocated slots on 41 routes covering six strategic corridors. TRIM estimates that the new TOCs will carry an additional 20 million tonnes of freight per annum from the 2026/27 financial year.

    Are there plans?

    The finalised 2025/26 Network Statement (effectively version 4.0) will be published following ministerial approval, expected early 2026 once IRERC completes its review. Implementation would commence 1 April 2026 alongside TRIM's independence milestone and the Transport Economic Regulator's operationalisation. The revised Network Statement will maintain version 3.0's tiered tariff structure but incorporate stakeholder feedback addressing affordability concerns and private operator viability.

    Is it on the agenda?

    The Network Statement is a mandatory deliverable under the White Paper on National Rail Policy (March 2022), the Freight Logistics Roadmap (Cabinet approved December 2023) and Operation Vulindlela Phase II. Version 3.0 was published 20 December 2024 on schedule. Transport Minister Barbara Creecy has publicly championed it. The IRERC is actively managing the 2025/26 consultation process (information gathering completed February 2025).

    The only uncertainty: Timing of version 4.0 (2025/26) depends on resolving tariff methodology disagreements through the IRERC consultation process. However, delay reflects technical complexity and stakeholder engagement rigour, not lack of commitment. Publication is expected early 2026.

    Goals

    The Network Statement goal is distinct but complementary to TRIM's structural goal. While TRIM's goal is institutional separation, the Network Statement's goal is to operationalise that separation by creating the rulebook for open access. ​rnSpecifically, the Network Statement establishes transparent frameworks for third-party train operating companies (TOCs) to access Transnet's rail infrastructure on non-discriminatory terms. It sets out technical specifications, capacity allocation procedures, charging principles, tariff methodologies and interface requirements between infrastructure manager and operators. The goal is to translate TRIM's structural neutrality into practical market access, enabling private operators to compete fairly, improve service quality, reduce logistics costs and migrate freight from road to rail. Without the Network Statement, TRIM's institutional independence would be meaningless; with it, the monopoly truly breaks and competition becomes possible.

    Departments / Govt Institutions

    Department of Transport Transnet

    Summary

    As of March 2026, Transnet has not issued a “version 4” of its Network Statement, with the deadline being postponed to April. Version 3.0, published in December 2024, remains in force, with its application extended beyond the original 31 March 2025 deadline until further notice.

    Reform overview: The Network Statement sets the rules for third-party train operators (TOCs) on Transnet’s rail network. It covers procedures, capacity allocation, charging principles, technical standards and interface requirements. The reform aims to end Transnet’s monopoly, attract private investment, improve efficiency and shift freight from road to rail.

    Recent developments: Version 3.0, approved by Transport Minister Barbara Creecy, introduced multi-tiered tariffs by commodity and corridor. It made over 209m tonnes of capacity available, attracting 98 applications and allocating slots to 11 new TOCs across 41 routes and six strategic corridors. Version 4.0 for 2025/26 has not yet been issued.

    TRIM’s February 2025 tariff proposals included increases up to 300%, sparking stakeholder concerns over affordability and viability. The Interim Rail Economic Regulatory Capacity (IRERC) conducted consultations and is still analysing feedback. Delays reflect disagreements over pricing methodology, Transnet’s financial sustainability and regulatory capacity constraints.

    IRERC has submitted its recommendations to the minister. A revised Network Statement is expected in early 2026. The newly appointed Transport Economic Regulator board will strengthen independent oversight in 2026/27. Until then, tariff uncertainty remains a key risk for private investment.

    Canvas not supported.

    Is it working?

    The delay in the publication of Volume 4 of the Network Statement is causing uncertainty after the private sector sentiment was markedly positive last year. Eleven private operators have been allocated 41 routes, yet commercial operations are expected to commence in April 2027 started. Moreover, tariff uncertainty, network capacity constraints (revised to 180m tonnes), funding shortfalls (R65bn needed, half available) and Transnet’s financial distress continue to deter investment. The reform has created the structural framework for privatisation, but operational delivery and economic benefits remain unrealised pending 2026/27 implementation.

    Actions

    Minister Creecy approved the V3 of the Network Statement in December 2024rnDoT and IRERC consulted industry on statements, causing The IRERC finalised its recommendations for V4 in late 2025rnThe Transport Economic Regulator Board was appointed and becomes operational during 2026/27 (providing permanent oversight of the tariff framework)

    Are there plans?

    Transport Economic Regulator now in placernA key near-term development is that the Transport Economic Regulator (TER) is now being operationalised. This matters because the TER is expected to take over from the interim rail regulator in future tariff-setting and access decisions. In practice, that could be relevant for Volume 4, although publication will still depend on the usual consultation and determination process.

    National Rail Bill is a longer-term reformrnMinister Barbara Creecy has confirmed that a National Rail Bill is being prepared. The Bill is intended to give legislative effect to the National Rail Policy and provide a longer-term framework for rail reform, including third-party access. However, it is still at an early stage and is unlikely to affect the timing of Volume 4 in the short term.

    Broader reform picturernGovernment has highlighted recent progress in rail and port reform, including increased rail volumes, private-sector participation and progress on third-party access. At the same time, implementation remains gradual and longer-term system targets are still some way off.

    Is it on the agenda?

    The Network Statement is a mandatory deliverable under the White Paper on National Rail Policy (March 2022), the Freight Logistics Roadmap (Cabinet approved December 2023) and Operation Vulindlela Phase II. Version 3.0 was published 20 December 2024 on schedule. Transport Minister Barbara Creecy has publicly championed it. The IRERC is actively managing the 2025/26 consultation process (information gathering completed February 2025).

    The only uncertainty: Timing of version 4.0 (2025/26) depends on resolving tariff methodology disagreements through the IRERC consultation process. However, delay reflects technical complexity and stakeholder engagement rigour, not lack of commitment. Publication is expected early 2026.

    Goals

    The Network Statement goal is distinct but complementary to TRIM's structural goal. While TRIM's goal is institutional separation, the Network Statement's goal is to operationalise that separation by creating the rulebook for open access. ​rnSpecifically, the Network Statement establishes transparent frameworks for third-party train operating companies (TOCs) to access Transnet's rail infrastructure on non-discriminatory terms. It sets out technical specifications, capacity allocation procedures, charging principles, tariff methodologies and interface requirements between infrastructure manager and operators. The goal is to translate TRIM's structural neutrality into practical market access, enabling private operators to compete fairly, improve service quality, reduce logistics costs and migrate freight from road to rail. Without the Network Statement, TRIM's institutional independence would be meaningless; with it, the monopoly truly breaks and competition becomes possible.

    Departments / Govt Institutions

    Department of Transport Transnet

    Summary

    On 3 July 2026, Transnet's Rail Infrastructure Manager (TRIM) published a draft Volume 4 (V4) of the Network Statement and updated Rail Access Agreement (RAA), opening a month-long consultation ahead of an end-July gazetting. V4 addresses a core concern raised on earlier drafts: until now, only a licensed train operator could hold rail access. V4 changes that by letting a cargo owner secure the right to use rail capacity and then hire an operator, making room for investors and new entrants who want to participate without becoming train operators themselves.
    The updated RAA also gives lenders some comfort for the first time: they can enter into a direct agreement with the infrastructure manager, step in if a borrower defaults, and take capacity as security. A remaining concern, raised on previous drafts, remains unresolved: whoever uses the network still gets it "as is" – TRIM takes no responsibility for its condition. The access seeker carries the volume risk: it must provide a signed volume-confirmation letter, pay for capacity it does not use, and get no ramp-up period as a new entrant. TRIM can also change or waive the rules on notice alone, and those powers flow through into the RAA. Several issues are up in the air: the maintenance plan depends on finalisation of the National Rail Master Plan (NRMP), and penalty enforcement depends on a future Department of Transport (DoT) framework. V4 shows substantive progress on core bankability issues but cannot resolve them alone. Two linked reforms remain outstanding: operationalisation of the Transport Economic Regulator (TER), which should take over responsibility for the framework, and the unbundling of TRIM, which remains contested despite firm positions from Operation Vulindlela and National Treasury. These are the core dependencies for third-party rail access to function fully.

    Canvas not supported.

    Is it working?

    Substance has moved meaningfully but the document is still a consultation draft, not a settled, operator-accepted regime.
    V4 introduces direct access rights for cargo owners (not only train operating companies), lender step-in rights and security cession, and defers Railway Safety Regulator certification to conditions precedent stage. Gaps remain on the "as is" network condition, rolling stock pool risk and slot tenure. No formal operator or financier acceptance has been recorded yet.

    Actions

    TRIM has now published the draft version of V4 of the Network Statement, moving the deliverable from "in preparation" to "released for consultation".
    Earlier, the DoT and the Interim Rail Economic Regulatory Capacity (IRERC) consulted industry on statements, and the IRERC finalised its recommendations for V4 in late 2025. The TER Board was appointed and becomes operational during 2026/27 (providing permanent oversight of the tariff framework).

    Are there plans?

    Yes, gazetting in Q3 of 2026 is likely. On related, more substantive deliverables:rnThe TER continues its transition to permanent oversight of the tariff framework. Minister Barbara Creecy's National Rail Bill is targeted for tabling though remains at an early drafting stage.
    A key near-term development is that the TER is now being operationalised. This matters because the TER is expected to take over from the interim rail regulator in future tariff-setting and access decisions. In practice, that could be relevant for Volume 4, although publication will still depend on the usual consultation and determination process.
    The National Rail Bill is a longer-term reform. Minister Barbara Creecy has confirmed that the National Rail Bill is being prepared. The bill is intended to give legislative effect to the National Rail Policy and provide a longer-term framework for rail reform, including third-party access. However, it is still at an early stage and is unlikely to affect the timing of Volume 4 in the short term.

    Broader reform picturernGovernment has highlighted recent progress in rail and port reform, including increased rail volumes, private-sector participation and progress on third-party access. At the same time, implementation remains gradual and longer-term system targets are still some way off.

    Is it on the agenda?

    Yes, with consultations running through July, V4 is targeted for gazetting by end-July. This is a very short time frame to turn it around and we could expect gazetting more realistically by mid-August.

    The Network Statement is a mandatory deliverable under the White Paper on National Rail Policy (March 2022), the Freight Logistics Roadmap (Cabinet approved December 2023) and Operation Vulindlela Phase II. Version 3.0 was published on 20 December 2024.

    Goals

    The Network Statement goal is distinct but complementary to TRIM's structural goal. While TRIM's goal is institutional separation, the Network Statement's goal is to operationalise that separation by creating the rulebook for open access.​rnSpecifically, the Network Statement establishes transparent frameworks for third-party train operating companies (TOCs) to access Transnet's rail infrastructure on non-discriminatory terms. It sets out technical specifications, capacity allocation procedures, charging principles, tariff methodologies and interface requirements between infrastructure manager and operators. The goal is to translate TRIM's structural neutrality into practical market access, enabling private operators to compete fairly, improve service quality, reduce logistics costs and migrate freight from road to rail. Without the Network Statement, TRIM's institutional independence would be meaningless; with it, the monopoly truly breaks and competition becomes possible.

    Departments / Govt Institutions

    Department of Transport Transnet

    Analyst: Cecilia Schultz
    Status: In progress
    Last Updated:
    Next Update:
    Reform Area:
    Reform:

      If you would like to alert our analysts to an update you are aware of in this particular reform area, please complete the form below and submit it to us. Please ensure you include links to any press releases or other documents to confirm the reforms and provide detail to allow our analysts to assess the changes. Our team will review it.

      Port concessioning

      Summary

      Not yet in the plans

      Canvas not supported.

      Is it working?

      No action yet

      Actions

      Proposed partnership for other ports

      Are there plans?

      This forms part of the freight logistics roadmap.

      Is it on the agenda?

      Public-private partnerships (PPPs) in ports.

      Goals

      The Department of Transport and both TNPA & TPT are expected to establish partnerships with private terminal operators to unlock efficiencies in other poorly performing container terminals (ports), including Ngqura, Gqeberha (Port Elizabeth) and Cape Town.

      Summary

      Not yet in the plans

      Canvas not supported.

      Is it working?

      No action yet

      Actions

      Proposed partnership for other ports

      Are there plans?

      This forms part of the freight logistics roadmap.

      Is it on the agenda?

      Public-private partnerships (PPPs) in ports.

      Goals

      The Department of Transport and both TNPA & TPT are expected to establish partnerships with private terminal operators to unlock efficiencies in other poorly performing container terminals (ports), including Ngqura, Gqeberha (Port Elizabeth) and Cape Town.

      Summary

      Not yet in the plans

      Canvas not supported.

      Is it working?

      No action yet

      Actions

      Proposed partnership for other ports

      Are there plans?

      This forms part of the freight logistics roadmap.

      Is it on the agenda?

      Public-private partnerships (PPPs) in ports.

      Goals

      The Department of Transport and both TNPA & TPT are expected to establish partnerships with private terminal operators to unlock efficiencies in other poorly performing container terminals (ports), including Ngqura, Gqeberha (Port Elizabeth) and Cape Town.

      Summary

      Not yet in the plans

      Canvas not supported.

      Is it working?

      No action yet

      Actions

      Proposed partnership for other ports

      Are there plans?

      This forms part of the freight logistics roadmap.

      Is it on the agenda?

      Public-private partnerships (PPPs) in ports.

      Goals

      The Department of Transport and both TNPA & TPT are expected to establish partnerships with private terminal operators to unlock efficiencies in other poorly performing container terminals (ports), including Ngqura, Gqeberha (Port Elizabeth) and Cape Town.

      Summary

      After the RFP process, TNPA selected, in December 2024, the private partner (FFS Tank Terminals) to operate, maintain, refurbish, or construct and transfer a liquid bulk terminal at the Port of Cape Town for a 25-year concession period. This is the second major contract TNPA has put out to the market after the DCT Pier 2 concession. TNPA is expected to re-issue an RFP for the Port of Ngqura. There are still no news regarding the plans for the Gqeberha port.

      Canvas not supported.

      Is it working?

      First concession awarded but not yet in effect.

      Actions

      Private partner selected for Cape Town port. PPP agreement not yet signed and commercial work yet to begin.

      Are there plans?

      This forms part of the freight logistics roadmap.

      Is it on the agenda?

      Public-private partnerships (PPPs) in ports.

      Goals

      The Department of Transport and both TNPA & TPT are expected to establish partnerships with private terminal operators to unlock efficiencies in other poorly performing container terminals (ports), including Ngqura, Gqeberha (Port Elizabeth) and Cape Town.

      Summary

      In December 2024 TNPA selected a private partner, FFS Tank Terminals, to operate, maintain, refurbish or construct and transfer a liquid bulk terminal at the Port of Cape Town for a 25-year concession period. This is the second major contract TNPA has put out to the market after the DCT Pier 2 concession. TNPA is expected to re-issue a RFP for the Port of Ngqura. There is still no news regarding the plans for the Gqeberha port.

      Canvas not supported.

      Is it working?

      Early-stage implementation is showing market interest. The structured approach to port concessioning has attracted industry attention, with companies like Saudi Arabian ports operator Red Sea Gateway Terminal International reportedly considering partnerships for Maydon Wharf. However, substantive operational outcomes cannot yet be measured as most concession processes are still in procurement phases rather than operational implementation.

      Actions

      A private partner has been selected for Cape Town port. PPP agreement have not yet been signed and commercial work is yet to begin. Multiple RFPs have been issued across different ports since 2023.

      Are there plans?

      Multiple concessioning plans are being implemented. The Port of Cape Town liquid bulk terminal RFP requires successful bidders to acquire, operate, maintain and transfer facilities over a 25-year concession period. The facility covers approximately 18,722 square metres with three liquid bulk berths having theoretical capacity of 6.4 million kilolitres. Similar processes are underway for other port facilities across the system.

      Is it on the agenda?

      Yes, port concessioning is firmly established as a strategic priority. The initiatives align with TNPA's mandate to facilitate port services with emphasis on revenue diversification and private sector collaboration. The reforms are integrated into the broader logistics transformation agenda supported by government.

      Goals

      The Department of Transport, TNPA and TPT are expected to establish partnerships with private terminal operators to unlock efficiencies in other poorly performing container terminals (ports), including Ngqura, Gqeberha (Port Elizabeth) and Cape Town. These initiatives aim to attract private sector investment across South Africa's port system to improve operational efficiency, modernise infrastructure and enhance competitiveness

      Summary

      In December 2024, the Transnet National Ports Authority (TNPA) selected a private partner, FFS Tank Terminals, to operate, maintain, refurbish or construct and transfer a liquid bulk terminal at the Port of Cape Town for a 25-year concession period. This is the second major contract TNPA has put out to the market after the DCT Pier 2 concession. TNPA is expected to re-issue an RFP for the Port of Ngqura. There is still no news regarding the plans for the Gqeberha port.

      Canvas not supported.

      Is it working?

      Early-stage implementation is attracting market interest. The structured approach to port concessioning has seen companies like Saudi Arabian ports operator Red Sea Gateway Terminal International reportedly considering partnerships for Maydon Wharf. However, substantive operational outcomes cannot yet be measured as most concession processes are still in procurement phases rather than operational implementation.

      Actions

      A private partner has been selected for Cape Town port. A public-private partnership agreement has not yet been signed and commercial work is yet to begin. Multiple RFPs have been issued across different ports since 2023.

      Are there plans?

      Multiple concessioning plans are being implemented. The Port of Cape Town liquid bulk terminal RFP requires successful bidders to acquire, operate, maintain and transfer facilities over a 25-year concession period. The facility covers approximately 18,722 square metres with three liquid bulk berths, having theoretical capacity of 6.4 million kilolitres. Similar processes are under way for other port facilities across the system.

      Is it on the agenda?

      Port concessioning is firmly established as a strategic priority. The initiatives align with the TNPA's mandate to facilitate port services with emphasis on revenue diversification and private sector collaboration. The reforms are integrated into the broader logistics transformation agenda supported by government.

      Goals

      The Department of Transport, TNPA and TPT are expected to establish partnerships with private terminal operators to unlock efficiencies in other poorly performing container terminals (ports), including Ngqura, Gqeberha, and Cape Town. These initiatives aim to attract private sector investment across South Africa's port system to improve operational efficiency, modernise infrastructure and enhance competitiveness

      Summary

      South Africa’s port concession programme is advancing, with several projects reaching critical stages while others remain under procurement. The framework continues to attract private-sector interest and sets the foundation for longer-term private participation in key terminals.
      Richards Bay – South Dunes Precinct has five preferred bidders for the R17bn liquid-bulk and green-fuel development, announced in May 2025. Negotiations to finalise 25-year Terminal Operator Agreements are ongoing.
      Cape Town Port has concluded its liquid-bulk concession, with FFS Tank Terminals signing a 25-year agreement in October 2025. The R195.7m investment will double diesel storage and expand bitumen capacity by 47%.
      Port of Ngqura issued an RFP in June 2025 for a 25-year liquid-bulk concession to relocate Port Elizabeth operations and build tanks, loading gantries and pipelines, with capacity for future energy commodities including LNG. The RFP closed in December 2025 and we await preferred bidders.
      An RFQ for the Richard's Bay Dry Bulk corridor was released at end-February 2026, and an RFQ for the manganese export terminal at Ngqura was also scheduled for release in April 2026.
      Maydon Wharf (Durban precinct) issued a 25-year RFP in March 2025 for agricultural dry bulk and compatible cargo, with submissions closing in June 2025.
      Gqeberha remains outside the concession pipeline, with no RFPs announced.
      The Department of Transport PSP Unit received 162 responses to RFIs for three integrated rail-to-port corridors. RFPs were expected by August 2025 but have been delayed, with RFI results only announced in October 2025.

      Canvas not supported.

      Is it working?

      Early signs are encouraging but substantive impact remains unrealised. The concessions have attracted private interest, with multiple competitive bids submitted for Richards Bay and Ngqura terminals. Interest came from companies like the Saudi Arabian ports operator Red Sea Gateway Terminal International reportedly considering partnerships for Maydon Wharf. Most concessions remain in procurement or negotiation phases rather than operational implementation. Only Cape Town's liquid bulk terminal has reached financial close. The real test – whether private operation delivers measurable efficiency gains and cost reductions – lies ahead, likely materialising from 2027 onwards as contracts commence.

      Actions

      A private partner has been selected for Cape Town port. Multiple RFPs and RFQs have been issued across different ports since 2023.

      Are there plans?

      Multiple concessioning plans are being implemented.

      TNPA issued five separate RFPs (December 2023–June 2025) for Richards Bay, Cape Town, Ngqura and Maydon Wharf terminals and selected preferred bidders in May–October 2025. In October 2025, it signed a terminal operator agreement with FFS Tank Terminals for to operate and maintain a liquid bulk terminal in Cape Town. Similar processes are under way for other port facilities across the system.

      Is it on the agenda?

      Port concessioning is a strategic priority under Operation Vulindlela Phase II and the Freight Logistics Roadmap. It was also reference in the Sona of 2025 and in ministerial statements. It also aligns with the TNPA's mandate for private sector collaboration and revenue diversification. National Treasury conditions for Transnet guarantees include advancing port reforms.

      Goals

      To unlock private capital and operational expertise to modernise ageing port infrastructure, improve efficiency and reduce logistics costs. It aims to attract private terminal operators under 25-year concessions while retaining public infrastructure ownership. Additionally, the goal is to address South Africa's poor global port performance (Cape Town ranked 405th of 405 ports in 2024) and enhance export competitiveness and economic growth.

      Summary

      South Africa's port concession programme is advancing, with several projects reaching critical stages while others remain under procurement.
      Richards Bay is seeing activity on multiple fronts. An RFQ for the dry bulk terminal was issued in February 2026. A Grindrod-led consortium was appointed in September 2025 to develop the first privately operated container terminal. The South Dunes Precinct has five preferred bidders for a R17bn liquid-bulk and green-fuel development, announced in May 2025, with negotiations ongoing to finalise 25-year terminal operator agreements.
      Cape Town concluded its liquid-bulk concession in October 2025, with FFS Tank Terminals signing a 25-year agreement. The R195.7m investment will double diesel storage and expand bitumen capacity by 47%. The container terminal, however, remains a crisis point – losses from underperformance now exceed R350m and legal action is under way. And in May 2026, the Transnet National Ports Authority (TNPA) launched a request for proposals (RFP) for a private operator to take over the petroleum liquid bulk terminal at the Port of Cape Town on a 25-year concession. The operator will finance, operate, maintain and refurbish the facility, which includes eight storage tanks with a combined capacity of 44,430m3 of marine fuel oil and gas oil (MGO), before handing it back to TNPA.
      In April 2026, the TNPA signed a 25-year terminal operator agreement with Ukwanda LNG – a joint venture between Tamasa Energy Group and the Strategic Fuel Fund – to develop an onshore liquefied natural gas regasification facility at the Port of Ngqura. The project carries a total investment value of R22bn. TNPA will construct a dedicated R2bn LNG berth simultaneously with the onshore facility; full operationalisation is targeted by 2035. The scope includes a temporary floating unit followed by permanent onshore infrastructure to supply gas to off-takers, industry, data centres and independent power producers, with projected capacity to support approximately 3,500MW of electricity production within the Coega Special Economic Zone. The project has been designated a national Strategic Integrated Project.
      Ngqura has two other concessions in progress. An RFP for a 25-year liquid-bulk concession – to relocate Port Elizabeth operations and build capacity for future energy commodities including LNG – closed in December 2025; preferred bidders are awaited. An RFQ for the manganese ore export terminal was expected in April 2026. We still expect it this year, with African Rainbow Minerals having indicated its intention to participate in a consortium.
      Gqeberha remains outside the concession pipeline, with no RFPs announced.

      Procurement governance remains a concern across the programme. Transnet is running PSP processes internally without independent oversight, and released transaction terms push disproportionate risk onto private partners. The pipeline is active; whether deal structures will attract capital at scale remains to be tested.

      Canvas not supported.

      Is it working?

      Early signs are encouraging but substantive impact remains unrealised. The concessions have attracted private interest, with multiple competitive bids submitted for Richards Bay and Ngqura terminals. Interest came from companies like the Saudi Arabian ports operator Red Sea Gateway Terminal International, which is reportedly considering partnerships for Maydon Wharf. Most concessions remain in procurement or negotiation phases rather than operational implementation. The real test – whether private operation delivers measurable efficiency gains and cost reductions – lies ahead, likely materialising from 2027 onwards as contracts commence.

      Actions

      A private partner has been selected for Cape Town port. Multiple RFPs and RFQs have been issued across different ports since 2023.
      In May 2026, the Transnet National Ports Authority (TNPA) launched a request for proposals (RFP) for a private operator to take over the petroleum liquid bulk terminal at the Port of Cape Town on a 25-year concession. The operator will finance, operate, maintain and refurbish the facility, which includes eight storage tanks with a combined capacity of 44,430m3 of marine fuel oil and gas oil (MGO), before handing it back to TNPA.
      In April 2026, the TNPA signed a 25-year terminal operator agreement with Ukwanda LNG – a joint venture between Tamasa Energy Group and the Strategic Fuel Fund – to develop an onshore liquefied natural gas regasification facility at the Port of Ngqura. The project carries a total investment value of R22bn. TNPA will construct a dedicated R2bn LNG berth simultaneously with the onshore facility; full operationalisation is targeted by 2035. The scope includes a temporary floating unit followed by permanent onshore infrastructure to supply gas to off-takers, industry, data centres and independent power producers, with projected capacity to support approximately 3,500MW of electricity production within the Coega Special Economic Zone. The project has been designated a national Strategic Integrated Project.

      Are there plans?

      Multiple concessioning plans are being implemented.

      TNPA issued five separate RFPs (December 2023–June 2025) for Richards Bay, Cape Town, Ngqura and Maydon Wharf terminals and selected preferred bidders in May–October 2025. In October 2025, it signed a terminal operator agreement with FFS Tank Terminals for to operate and maintain a liquid bulk terminal in Cape Town. Similar processes are under way for other port facilities across the system.

      Is it on the agenda?

      Port concessioning is a strategic priority under Operation Vulindlela Phase II and the Freight Logistics Roadmap. It was also reference in the Sona of 2025 and in ministerial statements. It also aligns with the TNPA's mandate for private sector collaboration and revenue diversification. National Treasury conditions for Transnet guarantees include advancing port reforms.

      Goals

      To unlock private capital and operational expertise to modernise ageing port infrastructure, improve efficiency and reduce logistics costs. It aims to attract private terminal operators under 25-year concessions while retaining public infrastructure ownership. Additionally, the goal is to address South Africa's poor global port performance (Cape Town ranked 405th of 405 ports in 2024) and enhance export competitiveness and economic growth.

      Summary

      South Africa's port concession programme is advancing, with several projects reaching critical stages while others remain under procurement.
      Richards Bay is seeing activity on multiple fronts. An RFQ for the dry bulk terminal was issued in February 2026. A Grindrod-led consortium was appointed in September 2025 to develop the first privately operated container terminal. The South Dunes Precinct has five preferred bidders for a R17bn liquid-bulk and green-fuel development, announced in May 2025, with negotiations ongoing to finalise 25-year terminal operator agreements.
      Cape Town concluded its liquid-bulk concession in October 2025, with FFS Tank Terminals signing a 25-year agreement. The R195.7m investment will double diesel storage and expand bitumen capacity by 47%. The container terminal, however, remains a crisis point – losses from underperformance now exceed R350m and legal action is under way. And in May 2026, the Transnet National Ports Authority (TNPA) launched a request for proposals (RFP) for a private operator to take over the petroleum liquid bulk terminal at the Port of Cape Town on a 25-year concession. The operator will finance, operate, maintain and refurbish the facility, which includes eight storage tanks with a combined capacity of 44,430m3 of marine fuel oil and gas oil (MGO), before handing it back to TNPA.
      In April 2026, the TNPA signed a 25-year terminal operator agreement with Ukwanda LNG – a joint venture between Tamasa Energy Group and the Strategic Fuel Fund – to develop an onshore liquefied natural gas regasification facility at the Port of Ngqura. The project carries a total investment value of R22bn. TNPA will construct a dedicated R2bn LNG berth simultaneously with the onshore facility; full operationalisation is targeted by 2035. The scope includes a temporary floating unit followed by permanent onshore infrastructure to supply gas to off-takers, industry, data centres and independent power producers, with projected capacity to support approximately 3,500MW of electricity production within the Coega Special Economic Zone. The project has been designated a national Strategic Integrated Project.
      Ngqura has two other concessions in progress. An RFP for a 25-year liquid-bulk concession – to relocate Port Elizabeth operations and build capacity for future energy commodities including LNG – closed in December 2025; preferred bidders are awaited. An RFQ for the manganese ore export terminal was expected in April 2026. We still expect it this year, with African Rainbow Minerals having indicated its intention to participate in a consortium.
      Gqeberha remains outside the concession pipeline, with no RFPs announced.

      Procurement governance remains a concern across the programme. Transnet is running PSP processes internally without independent oversight, and released transaction terms push disproportionate risk onto private partners. The pipeline is active; whether deal structures will attract capital at scale remains to be tested.

      Canvas not supported.

      Is it working?

      Early signs are encouraging but substantive impact remains unrealised. The concessions have attracted private interest, with multiple competitive bids submitted for Richards Bay and Ngqura terminals. Interest came from companies like the Saudi Arabian ports operator Red Sea Gateway Terminal International, which is reportedly considering partnerships for Maydon Wharf. Most concessions remain in procurement or negotiation phases rather than operational implementation. The real test – whether private operation delivers measurable efficiency gains and cost reductions – lies ahead, likely materialising from 2027 onwards as contracts commence.

      Actions

      A private partner has been selected for Cape Town port. Multiple RFPs and RFQs have been issued across different ports since 2023.
      In May 2026, the Transnet National Ports Authority (TNPA) launched a request for proposals (RFP) for a private operator to take over the petroleum liquid bulk terminal at the Port of Cape Town on a 25-year concession. The operator will finance, operate, maintain and refurbish the facility, which includes eight storage tanks with a combined capacity of 44,430m3 of marine fuel oil and gas oil (MGO), before handing it back to TNPA.
      In April 2026, the TNPA signed a 25-year terminal operator agreement with Ukwanda LNG – a joint venture between Tamasa Energy Group and the Strategic Fuel Fund – to develop an onshore liquefied natural gas regasification facility at the Port of Ngqura. The project carries a total investment value of R22bn. TNPA will construct a dedicated R2bn LNG berth simultaneously with the onshore facility; full operationalisation is targeted by 2035. The scope includes a temporary floating unit followed by permanent onshore infrastructure to supply gas to off-takers, industry, data centres and independent power producers, with projected capacity to support approximately 3,500MW of electricity production within the Coega Special Economic Zone. The project has been designated a national Strategic Integrated Project.

      Are there plans?

      Multiple concessioning plans are being implemented.

      TNPA issued five separate RFPs (December 2023–June 2025) for Richards Bay, Cape Town, Ngqura and Maydon Wharf terminals and selected preferred bidders in May–October 2025. In October 2025, it signed a terminal operator agreement with FFS Tank Terminals for to operate and maintain a liquid bulk terminal in Cape Town. Similar processes are under way for other port facilities across the system.

      Is it on the agenda?

      Port concessioning is a strategic priority under Operation Vulindlela Phase II and the Freight Logistics Roadmap. It was also reference in the Sona of 2025 and in ministerial statements. It also aligns with the TNPA's mandate for private sector collaboration and revenue diversification. National Treasury conditions for Transnet guarantees include advancing port reforms.

      Goals

      To unlock private capital and operational expertise to modernise ageing port infrastructure, improve efficiency and reduce logistics costs. It aims to attract private terminal operators under 25-year concessions while retaining public infrastructure ownership. Additionally, the goal is to address South Africa's poor global port performance (Cape Town ranked 405th of 405 ports in 2024) and enhance export competitiveness and economic growth.

      Analyst: Cecilia Schultz
      Status: In progress
      Last Updated:
      Next Update:
      Reform Area:
      Reform:

        If you would like to alert our analysts to an update you are aware of in this particular reform area, please complete the form below and submit it to us. Please ensure you include links to any press releases or other documents to confirm the reforms and provide detail to allow our analysts to assess the changes. Our team will review it.

        Port concessioning – Durban

        No data available for the deliverable: Port concessioning – Durban

        No data available for the deliverable: Port concessioning – Durban

        No data available for the deliverable: Port concessioning – Durban

        No data available for the deliverable: Port concessioning – Durban

        No data available for the deliverable: Port concessioning – Durban

        No data available for the deliverable: Port concessioning – Durban

        No data available for the deliverable: Port concessioning – Durban

        No data available for the deliverable: Port concessioning – Durban

        Summary

        As of 1 January 2026, Durban Container Terminal (DCT) Pier 2’s 25‑year joint‑venture concession with International Container Terminal Services Inc (ICTSI) is in force. After a multi‑year procurement and a legal challenge from APM Terminals, the KwaZulu‑Natal High Court upheld Transnet’s award in October 2025, clearing the way for the concession’s signature in December 2025. Under the agreement, Transnet retains majority equity while ICTSI manages daily operations through a special‑purpose vehicle.

        The concession represents South Africa’s first large‑scale port public–private partnership. ICTSI has committed R11.1bn (around US$640m) to expand capacity from 2m to 2.8m twenty‑foot equivalent units per year, increase gross crane moves from 18 to 28 per hour, and significantly improve ship turnaround times. Pier 2 handles roughly 40–46% of national container volumes, making its performance critical to Durban’s port competitiveness.

        The upgrade follows years of underperformance at DCT Pier 2, Transnet’s largest container terminal, which prompted the department and Transnet to seek private-sector participation.

        In May 2026, Transport minister Barbara Creecy confirmed Pier 2 financial close in her R102bn budget speech. The concession lifts planned capacity from 2.0 million to 2.8 million TEUs. Financial close is a hard milestone; the capacity expansion of 800,000-TEUs is pending. No throughput data under the new concessionaire is yet available.

        The TNPA also awarded two 25-year concessions at Durban's Maydon Wharf – to KHOLD for fresh produce and BAL SA for dry bulk – unlocking over ZAR1bn in private investment. A second plan to reclaim 22.4 hectares at Durban's Point for a new container terminal is out for public comment.

        Canvas not supported.

        Is it working?

        While it is too early to assess the impact of this reform on port operations and volumes, the reform is attracting strong private‑sector interest and demonstrating clear capacity to deliver deals. ICTSI’s R11bn commitment, the R17bn Richards Bay liquid‑bulk concession with five preferred bidders announced in May 2025, and active procurement at Ngqura and Cape Town show that the port public–private partnership framework is drawing capital and international operators. The real test will be whether efficiency targets – doubling ship working hours and raising crane moves from 18 to 28 per hour – are achieved over the next 12–24 months, and whether these gains translate into lower logistics costs and sustained investor confidence.

        What has emerged as a concern however is TNPA's continued majority control in PSPs and uncertainties around TNPA's separation/corporatisation that would allow it to structure PSPs differently.

        Actions

        Transnet ran a multi-stage tender process, awarding DCT Pier 2 to ICTSI with an R12bn investment commitment in a joint venture (Transnet 51%, ICTSI 49%, management control to ICTSI). The Competition Commission approved the deal in October 2024 (conditional on no retrenchments for three years), and the KwaZulu-Natal High Court upheld the award in October 2025 after APM Terminals' legal challenge. The concession agreement was signed in December 2025 and took effect 1 January 2026.

        In May 2026, Transport minister Barbara Creecy confirmed Pier 2 financial close in her R102bn budget speech. The concession lifts planned capacity from 2.0 million to 2.8 million TEUs. Financial close is a hard milestone; the capacity expansion of 800,000-TEUs is pending. No throughput data under the new concessionaire is yet available.

        The TNPA also awarded two 25-year concessions at Durban's Maydon Wharf – to KHOLD for fresh produce and BAL SA for dry bulk – unlocking over ZAR1bn in private investment. A second plan to reclaim 22.4 hectares at Durban's Point for a new container terminal is out for public comment.

        Are there plans?

        The plans are being effected; following Pier 2 financial close, the capacity expansion of 800,000-TEUs is pending; and KHOLD has secured the two 5-year concessions at Durban's Maydon Wharf. A second plan to reclaim 22.4 hectares at Durban's Point for a new container terminal is out for public comment.

        Is it on the agenda?

        Yes, port concessioning is firmly established as a strategic priority. The reform forms part of Transnet's broader port strategy and is aligned with government infrastructure development objectives. It receives support from government and industry stakeholders who recognise the urgent need for port efficiency improvements and is integrated into the broader logistics transformation agenda.

        Goals

        The goal is to address Durban port's poor performance by establishing a partnership with a private terminal operator to upgrade DCT Pier 2, South Africa's biggest container terminal. The reform aims to attract private sector investment and operational expertise to improve efficiency, modernise infrastructure and enhance competitiveness at South Africa's busiest container facility.

        Departments / Govt Institutions

        Transnet

        Summary

        As of 1 January 2026, Durban Container Terminal (DCT) Pier 2’s 25‑year joint‑venture concession with International Container Terminal Services Inc (ICTSI) is in force. After a multi‑year procurement and a legal challenge from APM Terminals, the KwaZulu‑Natal High Court upheld Transnet’s award in October 2025, clearing the way for the concession’s signature in December 2025. Under the agreement, Transnet retains majority equity while ICTSI manages daily operations through a special‑purpose vehicle.

        The concession represents South Africa’s first large‑scale port public–private partnership. ICTSI has committed R11.1bn (around US$640m) to expand capacity from 2m to 2.8m twenty‑foot equivalent units per year, increase gross crane moves from 18 to 28 per hour, and significantly improve ship turnaround times. Pier 2 handles roughly 40–46% of national container volumes, making its performance critical to Durban’s port competitiveness.

        The upgrade follows years of underperformance at DCT Pier 2, Transnet’s largest container terminal, which prompted the department and Transnet to seek private-sector participation.

        In May 2026, Transport minister Barbara Creecy confirmed Pier 2 financial close in her R102bn budget speech. The concession lifts planned capacity from 2.0 million to 2.8 million TEUs. Financial close is a hard milestone; the capacity expansion of 800,000-TEUs is pending. No throughput data under the new concessionaire is yet available.

        The TNPA also awarded two 25-year concessions at Durban's Maydon Wharf – to KHOLD for fresh produce and BAL SA for dry bulk – unlocking over ZAR1bn in private investment. A second plan to reclaim 22.4 hectares at Durban's Point for a new container terminal is out for public comment.

        Canvas not supported.

        Is it working?

        While it is too early to assess the impact of this reform on port operations and volumes, the reform is attracting strong private‑sector interest and demonstrating clear capacity to deliver deals. ICTSI’s R11bn commitment, the R17bn Richards Bay liquid‑bulk concession with five preferred bidders announced in May 2025, and active procurement at Ngqura and Cape Town show that the port public–private partnership framework is drawing capital and international operators. The real test will be whether efficiency targets – doubling ship working hours and raising crane moves from 18 to 28 per hour – are achieved over the next 12–24 months, and whether these gains translate into lower logistics costs and sustained investor confidence.

        What has emerged as a concern however is TNPA's continued majority control in PSPs and uncertainties around TNPA's separation/corporatisation that would allow it to structure PSPs differently.

        Actions

        Transnet ran a multi-stage tender process, awarding DCT Pier 2 to ICTSI with an R12bn investment commitment in a joint venture (Transnet 51%, ICTSI 49%, management control to ICTSI). The Competition Commission approved the deal in October 2024 (conditional on no retrenchments for three years), and the KwaZulu-Natal High Court upheld the award in October 2025 after APM Terminals' legal challenge. The concession agreement was signed in December 2025 and took effect 1 January 2026.

        In May 2026, Transport minister Barbara Creecy confirmed Pier 2 financial close in her R102bn budget speech. The concession lifts planned capacity from 2.0 million to 2.8 million TEUs. Financial close is a hard milestone; the capacity expansion of 800,000-TEUs is pending. No throughput data under the new concessionaire is yet available.

        The TNPA also awarded two 25-year concessions at Durban's Maydon Wharf – to KHOLD for fresh produce and BAL SA for dry bulk – unlocking over ZAR1bn in private investment. A second plan to reclaim 22.4 hectares at Durban's Point for a new container terminal is out for public comment.

        Are there plans?

        The plans are being effected; following Pier 2 financial close, the capacity expansion of 800,000-TEUs is pending; and KHOLD has secured the two 5-year concessions at Durban's Maydon Wharf. A second plan to reclaim 22.4 hectares at Durban's Point for a new container terminal is out for public comment.

        Is it on the agenda?

        Yes, port concessioning is firmly established as a strategic priority. The reform forms part of Transnet's broader port strategy and is aligned with government infrastructure development objectives. It receives support from government and industry stakeholders who recognise the urgent need for port efficiency improvements and is integrated into the broader logistics transformation agenda.

        Goals

        The goal is to address Durban port's poor performance by establishing a partnership with a private terminal operator to upgrade DCT Pier 2, South Africa's biggest container terminal. The reform aims to attract private sector investment and operational expertise to improve efficiency, modernise infrastructure and enhance competitiveness at South Africa's busiest container facility.

        Departments / Govt Institutions

        Transnet

        Analyst: Cecilia Schultz
        Status: Completed
        Last Updated:
        Reform Area:
        Reform:

          If you would like to alert our analysts to an update you are aware of in this particular reform area, please complete the form below and submit it to us. Please ensure you include links to any press releases or other documents to confirm the reforms and provide detail to allow our analysts to assess the changes. Our team will review it.

          Rail access: TRIM tariffs

          No data available for the deliverable: Rail access: TRIM tariffs

          No data available for the deliverable: Rail access: TRIM tariffs

          No data available for the deliverable: Rail access: TRIM tariffs

          No data available for the deliverable: Rail access: TRIM tariffs

          No data available for the deliverable: Rail access: TRIM tariffs

          Summary

          Transnet has finalised its network access pricing methodology for 2024/25, introducing a two-part tariff structure based on train-kilometres and gross-tonne kilometres, with differentiated rates by commodity and corridor. The final Network Statement and approved tariffs were published in December 2024 after public consultation and ministerial approval. However, the proposed tariff increases for 2025/26 are significant and create tension between Transnet's need for cost recovery and private sector viability. While 98 applications for third-party access have been received, tariff unpredictability and high fees continue to deter operators, particularly smaller train operations. The methodology is still under consultation, with the interim Rail Economic Regulatory Capacity managing the process until the permanent Transport Economic Regulator is established.

          Canvas not supported.

          Is it working?

          Too early to fully assess. While 98 applications for third-party access have been received, unpredictability and high tariffs may deter actual market entry. While the World Bank loan aims to support further liberalisation, PSP remains limited with businesses reporting concerns over tariff levels and regulatory certainty.

          Actions

          Cabinet has approved frameworks for private sector participation and the Transport Economic Regulator and interim Rail Economic Regulatory Capacity have been established. Requests for information have been issued for private sector participation on key corridors. While 98 applications for third-party access have been received, actual market entry remains limited due to tariff concerns and regulatory uncertainty.

          Are there plans?

          Yes. The Final Network Statement has been published and the Economic Regulation of Transport Act provides a legislative framework for access pricing and regulation.

          Is it on the agenda?

          Access pricing is a central component of the National Rail Policy, the Freight Logistics Roadmap and recent legislation, including the Economic Regulation of Transport Act. It is regularly referenced in SONA, cabinet briefings and the broader government reform agenda.

          Goals

          The primary aims are to establish a transparent, fair and sustainable pricing regime for third-party access to the rail network to enable private sector participation, foster competition and improve efficiency and service quality.

          Summary

          Transnet has finalised its network access pricing methodology for 2024/25, introducing a two-part tariff structure based on train-kilometres and gross-tonne kilometres, with differentiated rates by commodity and corridor. The final Network Statement and approved tariffs were published in December 2024 after public consultation and ministerial approval. However, the proposed tariff increases for 2025/26 are significant and create tension between Transnet's need for cost recovery and private sector viability. While 98 applications for third-party access have been received, tariff unpredictability and high fees continue to deter operators, particularly smaller train operations. The methodology is still under consultation, with the interim Rail Economic Regulatory Capacity managing the process until the permanent Transport Economic Regulator is established.

          Canvas not supported.

          Is it working?

          Too early to fully assess. While 98 applications for third-party access have been received, unpredictability and high tariffs may deter actual market entry. While the World Bank loan aims to support further liberalisation, PSP remains limited with businesses reporting concerns over tariff levels and regulatory certainty.

          Actions

          Cabinet has approved frameworks for private sector participation and the Transport Economic Regulator and interim Rail Economic Regulatory Capacity have been established. Requests for information have been issued for private sector participation on key corridors. While 98 applications for third-party access have been received, actual market entry remains limited due to tariff concerns and regulatory uncertainty.

          Are there plans?

          Yes. The Final Network Statement has been published and the Economic Regulation of Transport Act provides a legislative framework for access pricing and regulation.

          Is it on the agenda?

          Access pricing is a central component of the National Rail Policy, the Freight Logistics Roadmap and recent legislation, including the Economic Regulation of Transport Act. It is regularly referenced in SONA, cabinet briefings and the broader government reform agenda.

          Goals

          The primary aims are to establish a transparent, fair and sustainable pricing regime for third-party access to the rail network to enable private sector participation, foster competition and improve efficiency and service quality.

          Summary

          Transnet has finalised its network access pricing methodology for 2024/25, introducing a two-part tariff structure based on train-kilometres and gross-tonne kilometres, with differentiated rates by commodity and corridor. The final Network Statement and approved tariffs were published in December 2024 after public consultation and ministerial approval. However, the proposed tariff increases for 2025/26 are significant and create tension between Transnet's need for cost recovery and private sector viability. While 98 applications for third-party access have been received, tariff unpredictability and high fees continue to deter operators, particularly smaller train operations. The methodology is still under consultation, with the interim Rail Economic Regulatory Capacity managing the process until the permanent Transport Economic Regulator is established.

          Canvas not supported.

          Is it working?

          Too early to fully assess. While 98 applications for third-party access have been received, unpredictability and high tariffs may deter actual market entry. While the World Bank loan aims to support further liberalisation, PSP remains limited with businesses reporting concerns over tariff levels and regulatory certainty.

          Actions

          Cabinet has approved frameworks for private sector participation and the Transport Economic Regulator and interim Rail Economic Regulatory Capacity have been established. Requests for information have been issued for private sector participation on key corridors. While 98 applications for third-party access have been received, actual market entry remains limited due to tariff concerns and regulatory uncertainty.

          Are there plans?

          Yes. The Final Network Statement has been published and the Economic Regulation of Transport Act provides a legislative framework for access pricing and regulation.

          Is it on the agenda?

          Access pricing is a central component of the National Rail Policy, the Freight Logistics Roadmap and recent legislation, including the Economic Regulation of Transport Act. It is regularly referenced in SONA, cabinet briefings and the broader government reform agenda.

          Goals

          The primary aims are to establish a transparent, fair and sustainable pricing regime for third-party access to the rail network to enable private sector participation, foster competition and improve efficiency and service quality.

          Summary

          Transnet has finalised its network access pricing methodology for 2024/25, introducing a two-part tariff structure based on train-kilometres and gross-tonne kilometres, with differentiated rates by commodity and corridor. The final Network Statement and approved tariffs were published in December 2024 after public consultation and ministerial approval.

          However, the 2025/26 tariffs have been significantly delayed, exposing fundamental tensions in the regulatory transition. The proposed 1 April 2025 implementation did not occur; instead, the minister of transport extended the 2024/25 tariffs "until further notice" in March 2025. TRIM's February 2025 tariff proposal revealed an unresolved affordability versus viability dilemma. Even the recommended "smoothing approach" (Option 2) – which would rebase trainKm tariffs from R30 to R60–R120 for most commodities and move mineral exports to full cost recovery – would still leave a R7.4bn funding gap, increasing Transnet's loan balance to R43bn.​

          The IRERC finalised and submitted its recommendations for the 2025/26 Network Statement and Rail Access Tariff to the Minister in October 2025, with a revised Network Statement now scheduled for January 2026 – nine months late. Eleven new train operating companies have been allocated slots on 41 routes, but tariff uncertainty continues to undermine business planning and financial viability assessments.​

          The core structural challenge remains unresolved: TRIM requires approximately R70 billion over five years to restore the network and facilitate third-party access, yet cannot generate sufficient revenue from access charges alone. Without an operational TER (scheduled for March 2026), tariff determinations continue through ministerial processes rather than independent economic regulation. The pricing methodology exists on paper but lacks regulatory legitimacy, financial sustainability and predictability. The government has not indicated whether it will bridge the funding gap through direct subsidies or equity injections.

          Canvas not supported.

          Is it working?

          Mixed results with significant implementation challenges. Eleven new train operating companies have been allocated slots on 41 routes covering six strategic corridors, demonstrating market interest. However, the 2025/26 tariff implementation has been delayed by nine months, with the minister extending 2024/25 tariffs "until further notice" in March 2025.

          Private operators face commercial uncertainty as tariff determinations continue through ministerial processes rather than independent economic regulation. The IRERC finalised and submitted its recommendations for the 2025/26 Network Statement and Rail Access Tariff to the minister in October 2025, with publication now scheduled for January 2026. However, the government has not indicated whether it will bridge the funding gap through direct subsidies or equity injections, leaving the core tension between Transnet's cost recovery needs and private sector affordability unresolved.

          Actions

          The IRERC finalised and submitted its recommendations for the 2025/26 Network Statement and Rail Access Tariff to the Minister of Transport in October 2025. A revised Network Statement is scheduled for publication in January 2026 – nine months late. The TER is scheduled for operationalisation in March 2026 following the appointment and gazetting of non-executive board members in October 2025.

          Are there plans?

          Revised tariffs scheduled January 2026, TER operationalisation March 2026. However, the R7.4bn funding gap remains unresolved without government subsidy commitment.​

          Is it on the agenda?

          Access pricing remains a central reform priority in Operation Vulindlela and government policy. However, implementation delays and unresolved funding gaps expose fiscal and commercial viability tensions.

          Goals

          The primary aims are to establish a transparent, fair and sustainable pricing regime for third-party access to the rail network to enable private sector participation, foster competition and improve efficiency and service quality.

          Summary

          Transnet has finalised its network access pricing methodology for 2024/25, introducing a two-part tariff structure based on train-kilometres and gross-tonne kilometres, with differentiated rates by commodity and corridor. The final Network Statement and approved tariffs were published in December 2024 after public consultation and ministerial approval.

          However, the 2025/26 tariffs have been significantly delayed, exposing fundamental tensions in the regulatory transition. The proposed 1 April 2025 implementation did not occur; instead, the minister of transport extended the 2024/25 tariffs "until further notice" in March 2025. TRIM's February 2025 tariff proposal revealed an unresolved affordability versus viability dilemma. Even the recommended "smoothing approach" (Option 2) – which would rebase trainKm tariffs from R30 to R60–R120 for most commodities and move mineral exports to full cost recovery – would still leave a R7.4bn funding gap, increasing Transnet's loan balance to R43bn.​

          The IRERC finalised and submitted its recommendations for the 2025/26 Network Statement and Rail Access Tariff to the Minister in October 2025, with a revised Network Statement now scheduled for January 2026 – nine months late. Eleven new train operating companies have been allocated slots on 41 routes, but tariff uncertainty continues to undermine business planning and financial viability assessments.​

          The core structural challenge remains unresolved: TRIM requires approximately R70 billion over five years to restore the network and facilitate third-party access, yet cannot generate sufficient revenue from access charges alone. Without an operational TER (scheduled for March 2026), tariff determinations continue through ministerial processes rather than independent economic regulation. The pricing methodology exists on paper but lacks regulatory legitimacy, financial sustainability and predictability. The government has not indicated whether it will bridge the funding gap through direct subsidies or equity injections.

          Canvas not supported.

          Is it working?

          Mixed results with significant implementation challenges. Eleven new train operating companies have been allocated slots on 41 routes covering six strategic corridors, demonstrating market interest. However, the 2025/26 tariff implementation has been delayed by nine months, with the minister extending 2024/25 tariffs "until further notice" in March 2025.

          Private operators face commercial uncertainty as tariff determinations continue through ministerial processes rather than independent economic regulation. The IRERC finalised and submitted its recommendations for the 2025/26 Network Statement and Rail Access Tariff to the minister in October 2025, with publication now scheduled for January 2026. However, the government has not indicated whether it will bridge the funding gap through direct subsidies or equity injections, leaving the core tension between Transnet's cost recovery needs and private sector affordability unresolved.

          Actions

          The IRERC finalised and submitted its recommendations for the 2025/26 Network Statement and Rail Access Tariff to the Minister of Transport in October 2025. A revised Network Statement is scheduled for publication in January 2026 – nine months late. The TER is scheduled for operationalisation in March 2026 following the appointment and gazetting of non-executive board members in October 2025.

          Are there plans?

          Revised tariffs scheduled January 2026, TER operationalisation March 2026. However, the R7.4bn funding gap remains unresolved without government subsidy commitment.​

          Is it on the agenda?

          Access pricing remains a central reform priority in Operation Vulindlela and government policy. However, implementation delays and unresolved funding gaps expose fiscal and commercial viability tensions.

          Goals

          The primary aims are to establish a transparent, fair and sustainable pricing regime for third-party access to the rail network to enable private sector participation, foster competition and improve efficiency and service quality.

          Analyst: Cecilia Schultz
          Status: In progress
          Last Updated:
          Next Update:
          Reform Area:
          Reform:

            If you would like to alert our analysts to an update you are aware of in this particular reform area, please complete the form below and submit it to us. Please ensure you include links to any press releases or other documents to confirm the reforms and provide detail to allow our analysts to assess the changes. Our team will review it.

            Rail Network Statement

            Summary

            The draft Network Statement published by the interim IM and the Interim Rail Economic Regulatory Capacity (IRERC) of the Department of Transport was open for public comment until 20 May 2024.

            Canvas not supported.

            Is it working?

            Once finalised this will open the sector up to private sector participation. The true test will be in the terms and conditions and pricing, which will need to commercially viable.

            Actions

            A draft Network Statement was published in March 2024 and public comments were received in May 2024.

            Are there plans?

            This forms part of the freight logistics roadmap.

            Is it on the agenda?

            Freight rail reform

            Goals

            The Network Statement sets out rules, timelines, procedures, services, charging principles and terms and conditions governing the use of railway infrastructure by third-party operators - a crucial step to facilitate private sector concessioning that is needed to rejuvenate the transport and logistics sector.

            Summary

            The draft Network Statement published by the interim IM and the Interim Rail Economic Regulatory Capacity (IRERC) of the Department of Transport was open for public comment until 20 May 2024.

            Canvas not supported.

            Is it working?

            Once finalised this will open the sector up to private sector participation. The true test will be in the terms and conditions and pricing, which will need to commercially viable.

            Actions

            A draft Network Statement was published in March 2024 and public comments were received in May 2024.

            Are there plans?

            This forms part of the freight logistics roadmap.

            Is it on the agenda?

            Freight rail reform

            Goals

            The Network Statement sets out rules, timelines, procedures, services, charging principles and terms and conditions governing the use of railway infrastructure by third-party operators - a crucial step to facilitate private sector concessioning that is needed to rejuvenate the transport and logistics sector.

            Summary

            The draft Network Statement published by the interim IM and the Interim Rail Economic Regulatory Capacity (IRERC) of the Department of Transport was open for public comment until 20 August 2024.

            Canvas not supported.

            Is it working?

            Once finalised this will open the sector up to private sector participation. The true test will be in the terms and conditions and pricing, which will need to commercially viable.

            Actions

            A draft Network Statement was published in March 2024 and public comments were received in August 2024. The final Network Statement is expected to be gazetted in November 2024

            Are there plans?

            This forms part of the freight logistics roadmap.

            Is it on the agenda?

            Freight rail reform

            Goals

            The Network Statement sets out rules, timelines, procedures, services, charging principles and terms and conditions governing the use of railway infrastructure by third-party operators - a crucial step to facilitate private sector concessioning that is needed to rejuvenate the transport and logistics sector.

            Summary

            The draft Network Statement published by the interim IM and the Interim Rail Economic Regulatory Capacity (IRERC) of the Department of Transport was open for public comment until 20 August 2024.

            Canvas not supported.

            Is it working?

            Once finalised this will open the sector up to private sector participation. The true test will be in the terms and conditions and pricing, which will need to commercially viable.

            Actions

            A draft Network Statement was published in March 2024 and public comments were received in August 2024. The final Network Statement is expected to be gazetted in November 2024

            Are there plans?

            This forms part of the freight logistics roadmap.

            Is it on the agenda?

            Freight rail reform

            Goals

            The Network Statement sets out rules, timelines, procedures, services, charging principles and terms and conditions governing the use of railway infrastructure by third-party operators - a crucial step to facilitate private sector concessioning that is needed to rejuvenate the transport and logistics sector.

            Summary

            Transnet (TRIM) published the final Network Statement on 19 December 2024.

            Canvas not supported.

            Is it working?

            Not yet fully implemented.

            Actions

            Having opened rail slot applications (between December 2024 and February 2025), TRIM's next process is to select private train operating companies (TOCs) to access its rail network after evaluation. The final Network Statement was published in December 2024: https://www.transnet.net/DropOffLibrary/Transnet_Network_Statement_Volume_3_December%202024_Final%203.0.pdf

            Are there plans?

            This forms part of the freight logistics roadmap.

            Is it on the agenda?

            Freight rail reform

            Goals

            The Network Statement sets out rules, timelines, procedures, services, charging principles and terms and conditions governing the use of railway infrastructure by third-party operators - a crucial step to facilitate private sector concessioning that is needed to rejuvenate the transport and logistics sector.

            Summary

            Transnet (TRIM) published the final Network Statement on 19 December 2024.

            Canvas not supported.

            Is it working?

            Not yet fully implemented.

            Actions

            Having opened rail slot applications (between December 2024 and February 2025), TRIM's next process is to select private train operating companies (TOCs) to access its rail network after evaluation. The final Network Statement was published in December 2024: https://www.transnet.net/DropOffLibrary/Transnet_Network_Statement_Volume_3_December%202024_Final%203.0.pdf

            Are there plans?

            This forms part of the freight logistics roadmap.

            Is it on the agenda?

            Freight rail reform

            Goals

            The Network Statement sets out rules, timelines, procedures, services, charging principles and terms and conditions governing the use of railway infrastructure by third-party operators - a crucial step to facilitate private sector concessioning that is needed to rejuvenate the transport and logistics sector.

            Summary

            Transnet (TRIM) published the final Network Statement on 19 December 2024.

            Canvas not supported.

            Is it working?

            Not yet fully implemented.

            Actions

            Having opened rail slot applications (between December 2024 and February 2025), TRIM's next process is to select private train operating companies (TOCs) to access its rail network after evaluation. The final Network Statement was published in December 2024: https://www.transnet.net/DropOffLibrary/Transnet_Network_Statement_Volume_3_December%202024_Final%203.0.pdf

            Are there plans?

            This forms part of the freight logistics roadmap.

            Is it on the agenda?

            Freight rail reform

            Goals

            The Network Statement sets out rules, timelines, procedures, services, charging principles and terms and conditions governing the use of railway infrastructure by third-party operators - a crucial step to facilitate private sector concessioning that is needed to rejuvenate the transport and logistics sector.

            Summary

            Transnet (TRIM) published the final Network Statement on 19 December 2024.

            Canvas not supported.

            Is it working?

            Not yet fully implemented.

            Actions

            Having opened rail slot applications (between December 2024 and February 2025), TRIM's next process is to select private train operating companies (TOCs) to access its rail network after evaluation. The final Network Statement was published in December 2024: https://www.transnet.net/DropOffLibrary/Transnet_Network_Statement_Volume_3_December%202024_Final%203.0.pdf

            Are there plans?

            This forms part of the freight logistics roadmap.

            Is it on the agenda?

            Freight rail reform

            Goals

            The Network Statement sets out rules, timelines, procedures, services, charging principles and terms and conditions governing the use of railway infrastructure by third-party operators - a crucial step to facilitate private sector concessioning that is needed to rejuvenate the transport and logistics sector.

            Summary

            Transnet (TRIM) published the final Network Statement on 19 December 2024. HALTED: We stopped tracking this reform at end-June 2025 and have merged into a related reform, "Enable open access to the freight rail network".

            Canvas not supported.

            Is it working?

            Not yet fully implemented.

            Actions

            Having opened rail slot applications (between December 2024 and February 2025), TRIM's next process is to select private train operating companies (TOCs) to access its rail network after evaluation. The final Network Statement was published in December 2024.

            Are there plans?

            This forms part of the freight logistics roadmap.

            Is it on the agenda?

            Freight rail reform

            Goals

            The Network Statement sets out the rules, timelines, procedures, services, charging principles and terms and conditions governing the use of railway infrastructure by third-party operators.

            Summary

            Transnet (TRIM) published the final Network Statement on 19 December 2024. HALTED: We stopped tracking this reform at end-June 2025 and have merged into a related reform, "Enable open access to the freight rail network".

            Canvas not supported.

            Is it working?

            Not yet fully implemented.

            Actions

            Having opened rail slot applications (between December 2024 and February 2025), TRIM's next process is to select private train operating companies (TOCs) to access its rail network after evaluation. The final Network Statement was published in December 2024.

            Are there plans?

            This forms part of the freight logistics roadmap.

            Is it on the agenda?

            Freight rail reform

            Goals

            The Network Statement sets out the rules, timelines, procedures, services, charging principles and terms and conditions governing the use of railway infrastructure by third-party operators.

            Analyst: Cecilia Schultz
            Status: Halted
            Last Updated:
            Reform Area:
            Reform:

              If you would like to alert our analysts to an update you are aware of in this particular reform area, please complete the form below and submit it to us. Please ensure you include links to any press releases or other documents to confirm the reforms and provide detail to allow our analysts to assess the changes. Our team will review it.

              Road to rail strategy

              Summary

              The department is planning a roadmap to migrate cargo from road to rail in the near future

              Canvas not supported.

              Is it working?

              No action yet

              Actions

              The strategy is in development

              Are there plans?

              FRRMP in development

              Is it on the agenda?

              Freight road to freight rail

              Goals

              The Department of Transport hosted a Freight Road to Rail Migration Plan (FRRMP) colloquium in January 2024.The FRRMP is a strategy that will lay out a road map of how government’s plans to shift cargo back to rail in the near future: https://www.engineeringnews.co.za/article/dedicated-freight-lanes-and-restricted-truck-operating-hours-mooted-in-draft-plan-to-shift-cargo-back-to-rail-2024-01-25

              Summary

              The department is planning a roadmap to migrate cargo from road to rail in the near future

              Canvas not supported.

              Is it working?

              No action yet

              Actions

              The strategy is in development

              Are there plans?

              FRRMP in development

              Is it on the agenda?

              Freight road to freight rail

              Goals

              The Department of Transport hosted a Freight Road to Rail Migration Plan (FRRMP) colloquium in January 2024.The FRRMP is a strategy that will lay out a road map of how government’s plans to shift cargo back to rail in the near future: https://www.engineeringnews.co.za/article/dedicated-freight-lanes-and-restricted-truck-operating-hours-mooted-in-draft-plan-to-shift-cargo-back-to-rail-2024-01-25

              Summary

              The department is planning a roadmap to migrate cargo from road to rail in the near future

              Canvas not supported.

              Is it working?

              No action yet

              Actions

              The strategy is in development

              Are there plans?

              The FRRMP is in development but depends on all freight rail reforms.

              Is it on the agenda?

              Freight road to freight rail.

              Goals

              The Department of Transport hosted a Freight Road to Rail Migration Plan (FRRMP) colloquium in January 2024.The FRRMP is a strategy that will lay out a road map of how government’s plans to shift cargo back to rail in the near future: https://www.engineeringnews.co.za/article/dedicated-freight-lanes-and-restricted-truck-operating-hours-mooted-in-draft-plan-to-shift-cargo-back-to-rail-2024-01-25

              Summary

              The department is planning a roadmap to migrate cargo from road to rail in the near future

              Canvas not supported.

              Is it working?

              No action yet

              Actions

              The strategy is in development

              Are there plans?

              The FRRMP is in development but depends on all freight rail reforms.

              Is it on the agenda?

              Freight road to freight rail.

              Goals

              The Department of Transport hosted a Freight Road to Rail Migration Plan (FRRMP) colloquium in January 2024.The FRRMP is a strategy that will lay out a road map of how government’s plans to shift cargo back to rail in the near future: https://www.engineeringnews.co.za/article/dedicated-freight-lanes-and-restricted-truck-operating-hours-mooted-in-draft-plan-to-shift-cargo-back-to-rail-2024-01-25

              Summary

              The department is planning a roadmap to migrate cargo from road to rail in the near future, as part of its broader freight logistics roadmap

              Canvas not supported.

              Is it working?

              No action yet

              Actions

              The strategy is in development

              Are there plans?

              The FRRMP is in development but depends on all freight rail reforms.

              Is it on the agenda?

              Freight road to freight rail.

              Goals

              The Department of Transport hosted a Freight Road to Rail Migration Plan (FRRMP) colloquium in January 2024.The FRRMP is a strategy that will lay out a road map of how government’s plans to shift cargo back to rail in the near future: https://www.engineeringnews.co.za/article/dedicated-freight-lanes-and-restricted-truck-operating-hours-mooted-in-draft-plan-to-shift-cargo-back-to-rail-2024-01-25

              Summary

              The FRRMP is a strategy that will lay out a road map of how government plans to shift cargo back to rail in the near future. A strategy framework has been accepted but not yet made public. However, funding gaps remain stark: government spends R42.4bn on roads but only R7bn on rail each year, leaving Transnet’s stretched capital as a risk. Progress is visible in policy: the Economic Regulation of Transport Act was signed in June 2024, private sector frameworks have been approved and a new PSP unit is being set up. But the network still needs over R70bn in upgrades to lift rail volumes from the current 160 million tonnes to at least 250 million tonnes by 2030.

              Canvas not supported.

              Is it working?

              Momentum has shifted from ideas to action, but on-the-ground change remains slow. The plan’s phased rollout and uptake targets signal intent, yet real modal shift depends on operational improvements, regulatory certainty and fresh capital flows. The benefits are clear: lower costs, greener freight and a more balanced network. But implementation is hampered by old infrastructure, funding imbalances and weak coordination. For now, the plan’s impact is limited — businesses still bear high road costs and the rail network struggles with capacity and reliability. Whether the FRRMP delivers will depend on how fast policy gains translate into visible shifts in freight flows and reduced costs for the economy as a whole.

              Actions

              As of mid-2025, the FRRMP remains in development and early implementation phases.

              Are there plans?

              Yes, the FRRMP emerged as a subcomponent of the Freight Logistics Roadmap approved by cabinet in late 2023 and forms part of the broader transport sector reforms aimed at introducing private sector participation.

              Is it on the agenda?

              Forms part of the Department of Transport's broader plans for the transport sector. The department hosted a Freight Road to Rail Migration Plan (FRRMP) colloquium in January 2024.

              Goals

              The Freight Road to Rail Migration Plan (FRRMP) aims to shift South Africa’s freight transport from trucks to rail to cut logistics costs, ease pressure on roads and reduce emissions. Backed by the National Logistics Crisis Committee and the Freight Logistics Roadmap, the plan sets out dedicated freight lanes, truck restrictions, pricing reforms and major investment in dry ports and intermodal hubs.

              Summary

              The Freight Road to Rail Migration Plan (FRRMP) is a strategy that will lay out a road map of how government plans to shift cargo from road back to rail in the near future. The strategy was finalised by the DoT in 2024 and endorsed by Transnet, however it has yet to be made public. From strategic plans and performance reports, the FRRMP is supposed to be in implementationrnThe FRRMP is aligned to the Transnet Recovery Plan (TRP) and should be seen as the tactical implementation plan nested within the broader Freight Logistics Roadmap. It applies the roadmap’s reforms to one task: shifting cargo from road to rail. It identifies which freight should move, the investment required and the modal split targets.

              Canvas not supported.

              Is it working?

              While this plan is not yet published, some components are being implemented, such as Transnet preparing private sector partnerships in selected corridors as well as third party rail access agreements moving forward.

              Actions

              The FRRMP underwent extensive stakeholder consultation in January 2024 at a colloquium, where a draft plan was workshopped with government and private sector participants. The interdepartmental steering committee approved the draft FRRMP before this colloquium.​Following the colloquium, the department continued refining the plan. By March 2024, the document had been finalised and was undergoing vetting for legal certification.​

              Are there plans?

              Yes, the FRRMP emerged as a subcomponent of the Freight Logistics Roadmap (FLR) approved by cabinet in late 2023 and forms part of the broader transport sector reforms aimed at introducing private sector participation.

              However, it is not yet a published policy. Government references describe it as a strategy under development, though drafts have been shared with other spheres, such as Gauteng’s Integrated Transport Master Plan, for planning purposes.

              Is it on the agenda?

              Forms part of the Department of Transport's broader plans for the transport sector - featuring in both DOT's Strategic Plan for the fiscal years 2025-2030 as well as recent performance plans (2023/24 and 2024/25).

              Goals

              The FRRMP aims to shift South Africa’s freight transport from trucks to rail to cut logistics costs, ease pressure on roads and reduce emissions. Compared to the FLR, FRRMP has a narrower, more operational mandate focused specifically on:

              a. Achieving an equitable land surface transport modal splitrnb. Migrating rail-friendly cargo from road back to railrnc. Directing infrastructure investment to ensure rail capacity

              Summary

              The Freight Road to Rail Migration Plan (FRRMP) is a strategy that will lay out a road map of how government plans to shift cargo from road back to rail in the near future. The strategy was finalised by the DoT in 2024 and endorsed by Transnet, however it has yet to be made public. From strategic plans and performance reports, the FRRMP is supposed to be in implementationrnThe FRRMP is aligned to the Transnet Recovery Plan (TRP) and should be seen as the tactical implementation plan nested within the broader Freight Logistics Roadmap. It applies the roadmap’s reforms to one task: shifting cargo from road to rail. It identifies which freight should move, the investment required and the modal split targets.

              Canvas not supported.

              Is it working?

              While this plan is not yet published, some components are being implemented, such as Transnet preparing private sector partnerships in selected corridors as well as third party rail access agreements moving forward.

              Actions

              The FRRMP underwent extensive stakeholder consultation in January 2024 at a colloquium, where a draft plan was workshopped with government and private sector participants. The interdepartmental steering committee approved the draft FRRMP before this colloquium.​Following the colloquium, the department continued refining the plan. By March 2024, the document had been finalised and was undergoing vetting for legal certification.​

              Are there plans?

              Yes, the FRRMP emerged as a subcomponent of the Freight Logistics Roadmap (FLR) approved by cabinet in late 2023 and forms part of the broader transport sector reforms aimed at introducing private sector participation.

              rnHowever, it is not yet a published policy. Government references describe it as a strategy under development, though drafts have been shared with other spheres, such as Gauteng’s Integrated Transport Master Plan, for planning purposes.

              Is it on the agenda?

              Forms part of the Department of Transport's broader plans for the transport sector - featuring in both DOT's Strategic Plan for the fiscal years 2025-2030 as well as recent performance plans (2023/24 and 2024/25).

              Goals

              The FRRMP aims to shift South Africa’s freight transport from trucks to rail to cut logistics costs, ease pressure on roads and reduce emissions. Compared to the FLR, FRRMP has a narrower, more operational mandate focused specifically on:

              a. Achieving an equitable land surface transport modal splitrnb. Migrating rail-friendly cargo from road back to railrnc. Directing infrastructure investment to ensure rail capacity

              Summary

              The Freight Road to Rail Migration Plan (FRRMP) is a strategy that will lay out a road map of how government plans to shift cargo from road back to rail in the near future. The strategy was finalised by the DoT in 2024 and endorsed by Transnet, however it has yet to be made public. From strategic plans and performance reports, the FRRMP is supposed to be in implementationrnThe FRRMP is aligned to the Transnet Recovery Plan (TRP) and should be seen as the tactical implementation plan nested within the broader Freight Logistics Roadmap. It applies the roadmap’s reforms to one task: shifting cargo from road to rail. It identifies which freight should move, the investment required and the modal split targets.

              Canvas not supported.

              Is it working?

              While this plan is not yet published, some components are being implemented, such as Transnet preparing private sector partnerships in selected corridors as well as third party rail access agreements moving forward.

              Actions

              The FRRMP underwent extensive stakeholder consultation in January 2024 at a colloquium, where a draft plan was workshopped with government and private sector participants. The interdepartmental steering committee approved the draft FRRMP before this colloquium.​Following the colloquium, the department continued refining the plan. By March 2024, the document had been finalised and was undergoing vetting for legal certification.​

              Are there plans?

              Yes, the FRRMP emerged as a subcomponent of the Freight Logistics Roadmap (FLR) approved by cabinet in late 2023 and forms part of the broader transport sector reforms aimed at introducing private sector participation.

              However, it is not yet a published policy. Government references describe it as a strategy under development, though drafts have been shared with other spheres, such as Gauteng’s Integrated Transport Master Plan, for planning purposes.

              Is it on the agenda?

              Forms part of the Department of Transport's broader plans for the transport sector - featuring in both DOT's Strategic Plan for the fiscal years 2025-2030 as well as recent performance plans (2023/24 and 2024/25).

              Goals

              The FRRMP aims to shift South Africa’s freight transport from trucks to rail to cut logistics costs, ease pressure on roads and reduce emissions. Compared to the FLR, FRRMP has a narrower, more operational mandate focused specifically on:

              a. Achieving an equitable land surface transport modal splitrnb. Migrating rail-friendly cargo from road back to railrnc. Directing infrastructure investment to ensure rail capacity

              Summary

              The Freight Road to Rail Migration Plan (FRRMP) is a strategy that will lay out a road map of how government plans to shift cargo from road back to rail in the near future. The strategy was finalised by the DoT in 2024 and endorsed by Transnet, however it has yet to be made public. From strategic plans and performance reports, the FRRMP is supposed to be in implementation.
              The FRRMP is aligned to the Transnet Recovery Plan (TRP) and should be seen as the tactical implementation plan nested within the broader Freight Logistics Roadmap. It applies the roadmap’s reforms to one task: shifting cargo from road to rail. It identifies which freight should move, the investment required and the modal split targets.

              As of June 2026, there are no updates on this specific strategy; however, its overall objective is captured to an extent by the National Rail Master Plan (NRMP), which Cabinet approved for publication for public comment on 1 April 2026. The NRMP sets a long-term strategic framework for rail revitalisation, expansion and modernisation, and supports the creation of an affordable, competitive rail system that encourages private sector participation - overlapping substantially with the FRRMP's road-to-rail modal shift ambitions, even though the FRRMP itself remains unpublished.

              Canvas not supported.

              Is it working?

              While this plan is not yet published, some components are being implemented, such as Transnet preparing private sector partnerships in selected corridors as well as third party rail access agreements moving forward.

              Actions

              The FRRMP underwent extensive stakeholder consultation in January 2024 at a colloquium, where a draft plan was workshopped with government and private sector participants. The interdepartmental steering committee approved the draft FRRMP before this colloquium.​Following the colloquium, the department continued refining the plan. By March 2024, the document had been finalised and was undergoing vetting for legal certification.​

              Are there plans?

              Yes, the FRRMP emerged as a subcomponent of the Freight Logistics Roadmap (FLR) approved by cabinet in late 2023 and forms part of the broader transport sector reforms aimed at introducing private sector participation.

              However, it is not yet a published policy. Government references describe it as a strategy under development, though drafts have been shared with other spheres, such as Gauteng’s Integrated Transport Master Plan, for planning purposes.

              Is it on the agenda?

              Forms part of the Department of Transport's broader plans for the transport sector - featuring in both DOT's Strategic Plan for the fiscal years 2025-2030 as well as recent performance plans (2023/24 and 2024/25).

              Goals

              The FRRMP aims to shift South Africa’s freight transport from trucks to rail to cut logistics costs, ease pressure on roads and reduce emissions. Compared to the FLR, FRRMP has a narrower, more operational mandate focused specifically on:

              a. Achieving an equitable land surface transport modal splitrnb. Migrating rail-friendly cargo from road back to railrnc. Directing infrastructure investment to ensure rail capacity

              Analyst: Cecilia Schultz
              Status: In progress
              Last Updated:
              Next Update:
              Reform Area:
              Reform:

                If you would like to alert our analysts to an update you are aware of in this particular reform area, please complete the form below and submit it to us. Please ensure you include links to any press releases or other documents to confirm the reforms and provide detail to allow our analysts to assess the changes. Our team will review it.

                Third party rail access

                Summary

                Third-party access to Transnet's rail network is yet to be opened. For instance, the TRF and Traxtion Sheltam (private train operator) jointly agreed to terminate the slots awarded (Cape Corridor between Kroonstad and East London) in 2023.

                Canvas not supported.

                Is it working?

                Third party rail access not yet opened.

                Actions

                In pocess.

                Are there plans?

                It is a pillar of the freight logistics roadmap and is aligned with the White Paper on National Rail Policy.

                Is it on the agenda?

                Public-private partnerships (PPPs) in rail are an integral component of rejuvenating the countyry's dysfunctional rail system.

                Goals

                The Department of Transport and Transnet's operating division, Transnet Freight Rail (TRF), are expected to issue for the second time a request for proposals for private train operators to its rail freight network after the rail Network Statement is finalised. TRF's first attempt at allowing third-party access to its rail freight assets failed in 2023 after the complexity of the contract negotiations and design of the required service. The final Network Statement is expected to be released in the second half of 2024.

                Summary

                Third-party access to Transnet's rail network is yet to be opened. For instance, the TRF and Traxtion Sheltam (private train operator) jointly agreed to terminate the slots awarded (Cape Corridor between Kroonstad and East London) in 2023.

                Canvas not supported.

                Is it working?

                Third party rail access not yet opened.

                Actions

                In pocess.

                Are there plans?

                It is a pillar of the freight logistics roadmap and is aligned with the White Paper on National Rail Policy.

                Is it on the agenda?

                Public-private partnerships (PPPs) in rail are an integral component of rejuvenating the countyry's dysfunctional rail system.

                Goals

                The Department of Transport and Transnet's operating division, Transnet Freight Rail (TRF), are expected to issue for the second time a request for proposals for private train operators to its rail freight network after the rail Network Statement is finalised. TRF's first attempt at allowing third-party access to its rail freight assets failed in 2023 after the complexity of the contract negotiations and design of the required service. The final Network Statement is expected to be released in the second half of 2024.

                Summary

                The Department of Transport and Transnet's operating division, Transnet Freight Rail (TRF), are expected to issue for the second time a request for proposals for private train operators to access its rail freight network after the rail Network Statement is finalised. TRF's first attempt at allowing third-party access to its rail freight assets failed in 2023 after the complexity of the contract negotiations and design of the required service. The final Network Statement is expected to be released in the second half of 2024.

                Canvas not supported.

                Is it working?

                Third party rail access not yet opened.

                Actions

                In process (awaiting Network Statement to be launched). However, third-party access to Transnet's rail network is yet to be opened. For instance, the TRF and Traxtion Sheltam (private train operator) jointly agreed to terminate the slots awarded (Cape Corridor between Kroonstad and East London) in 2023.

                Are there plans?

                It is a pillar of the freight logistics roadmap and is aligned with the White Paper on National Rail Policy.

                Is it on the agenda?

                Public-private partnerships (PPPs) in rail are an integral component of rejuvenating the country's dysfunctional rail system.

                Goals

                To open access to Transnet's rail network to third parties.

                Summary

                The Department of Transport and Transnet's operating division, Transnet Freight Rail (TRF), are expected to issue for the second time a request for proposals for private train operators to access its rail freight network after the rail Network Statement is finalised. TRF's first attempt at allowing third-party access to its rail freight assets failed in 2023 after the complexity of the contract negotiations and design of the required service. The final Network Statement is expected to be released in the second half of 2024.

                Canvas not supported.

                Is it working?

                Third party rail access not yet opened.

                Actions

                In process (awaiting Network Statement to be launched). However, third-party access to Transnet's rail network is yet to be opened. For instance, the TRF and Traxtion Sheltam (private train operator) jointly agreed to terminate the slots awarded (Cape Corridor between Kroonstad and East London) in 2023.

                Are there plans?

                It is a pillar of the freight logistics roadmap and is aligned with the White Paper on National Rail Policy.

                Is it on the agenda?

                Public-private partnerships (PPPs) in rail are an integral component of rejuvenating the country's dysfunctional rail system.

                Goals

                To open access to Transnet's rail network to third parties.

                Summary

                TRIM opened rail slot applications under its Network Statement (for potential train operating companies and companes thaht seek access) from December 2024 to February 2025. TRF's first attempt at allowing third-party access to its rail freight assets failed in 2023 after the complexity of the contract negotiations and design of the required service.

                Canvas not supported.

                Is it working?

                The winners of the slot allocations have not yet been announced.

                Actions

                Rail slot applications opened, with evaluation expected to conclude by mid-2025 with contracts likely finalised later in the year.

                Are there plans?

                It is a pillar of the freight logistics roadmap and is aligned with the White Paper on National Rail Policy.

                Is it on the agenda?

                Public-private partnerships in rail are an integral component of rejuvenating the country's dysfunctional rail system.

                Goals

                To open access to Transnet's rail network to third parties.

                Summary

                TRIM opened rail slot applications for potential train operating companies and companies seeking access to the rail network between December 2024 and February 2025. TRF's first attempt at allowing third-party access to its rail freight assets failed in 2023 after contract negotiations proved too complex.

                Canvas not supported.

                Is it working?

                The winners of the slot allocations have not yet been announced.

                Actions

                Rail slot applications opened with evaluation expected to conclude by mid-2025 with contracts likely to be finalised later in the year.

                Are there plans?

                It is a pillar of the freight logistics roadmap and is aligned with the White Paper on National Rail Policy. Securing public-private partnerships are an integral component of rejuvenating the country's dysfunctional rail system.

                Is it on the agenda?

                The reform is embedded in Operation Vulindlela Phase II, with the Department of Transport driving implementation.

                Goals

                Third-party rail access aims to introduce competition into the previously monopolised freight rail market, enabling private operators to compete with state-owned services and provide enhanced customer offerings.

                Summary

                TRIM opened rail slot applications for potential train operating companies and companies seeking access to the rail network between December 2024 and February 2025. TRF's first attempt at allowing third-party access to its rail freight assets failed in 2023 after contract negotiations proved too complex.

                Canvas not supported.

                Is it working?

                The winners of the slot allocations have not yet been announced.

                Actions

                Rail slot applications opened with evaluation expected to conclude by mid-2025 with contracts likely to be finalised later in the year.

                Are there plans?

                It is a pillar of the freight logistics roadmap and is aligned with the White Paper on National Rail Policy. Securing public-private partnerships are an integral component of rejuvenating the country's dysfunctional rail system.

                Is it on the agenda?

                The reform is embedded in Operation Vulindlela Phase II, with the Department of Transport driving implementation.

                Goals

                Third-party rail access aims to introduce competition into the previously monopolised freight rail market, enabling private operators to compete with state-owned services and provide enhanced customer offerings.

                Summary

                TRIM opened rail slot applications for potential train operating companies and companies seeking access to the rail network between December 2024 and February 2025. TRF's first attempt at allowing third-party access to its rail freight assets failed in 2023 after contract negotiations proved too complex.

                Canvas not supported.

                Is it working?

                The winners of the slot allocations have not yet been announced.

                Actions

                Rail slot applications opened with evaluation expected to conclude by mid-2025 with contracts likely to be finalised later in the year.

                Are there plans?

                It is a pillar of the freight logistics roadmap and is aligned with the White Paper on National Rail Policy. Securing public-private partnerships are an integral component of rejuvenating the country's dysfunctional rail system.

                Is it on the agenda?

                The reform is embedded in Operation Vulindlela Phase II, with the Department of Transport driving implementation.

                Goals

                Third-party rail access aims to introduce competition into the previously monopolised freight rail market, enabling private operators to compete with state-owned services and provide enhanced customer offerings.

                Summary

                The first round of slot applications opened in December 2024 and closed in February 2025. In August 2025, Minister Creecy announced that 11 train operating companies (TOCs) met the requirements and will proceed to negotiations and contracting. On 13 May 2026, the 11 companies were named: ARC South Africa (ARC), The Railway Corporation, MSC, TLD Marine, MENAR, Sharp Logistics, Barberry, Grindrod, Minrail, IRACEMA, Motheo Logistics, and Interlinks.

                With Transnet Freight Rail (TFR), this will bring the number of active operators on the national network to 12 across five corridors. Transnet Rail Infrastructure Manager (TRIM) projects an additional 24 million tonnes (Mt) of capacity, scaling to 52Mt over five years. Some operators aim to start running trains before the end of 2026, while most will likely begin operations in 2027.

                On the next round of 3PRA, Trim opened applications in late August 2025 for parties wishing to submit ad-hoc applications for additional or new route allocations within the current 2025/26 timetable period, based on Volume 3 of the Network Statement. This ad-hoc process provides rail network access outside the annual slot allocation cycle, specifically designed to accommodate once-off, urgent and unforeseen operational requirements. It was also around this time that Volume 4 of the Network Statement was expected to be published in "due course", with the March/April 2026 target missed and no new announcements as of May 2026.

                Canvas not supported.

                Is it working?

                The initial allocations aim to add 20 million tonnes per annum from 2026/27. While it is too early to say whether they will succeed, there is some cause for scepticism on the volumes. First, the available train slots resemble a patchwork rather than a plan, covering different types of freight (coal, manganese, containers, fuel and general goods) across several routes. Turning this into a workable, profitable business will be difficult, especially for new operators. Second, wagon availability is not a given. Private operators can run trains only if they have access to wagons. Most of the new companies do not own their own wagons, so they will need to lease them from TFR Operating Company (TFROC). As things stand, the lease terms are by most accounts unworkable.

                Non-selected applicants for the 2025 round may reapply when new slots become available in the 2026/27 timetable. Successful firms must secure railway safety permits, have operational rolling stock and offloading capacity at ports. Slot durations will range from one to 10 years. Ownership of tracks remains with the state -- Transnet will act as both competitor and contract issuer.

                Actions

                The government established TRIM as an interim infrastructure manager within Transnet to oversee network access and slot allocation. The Economic Regulation of Transport Act was promulgated to provide the legal framework for third-party access, and the Transport Economic Regulator was created to determine price controls and regulate compliance. In December 2024, a Network Statement (volume 3) and 2024/25 tariff determination were published but contested. An updated network statement and tariff determination remain pending.

                Slot allocation and operator selection: TRIM selected 11 operators from 25 applicants after safety, technical and financial assessments. The selected companies received conditional award letters requiring Railway Safety Regulator (RSR) permits, rolling stock readiness and port capacity confirmation before operations could commence. In May 2026, TRIM signed rail access agreements (RAAs) with all 11 operators, moving them from conditional award to contracted access. RSR permits, rolling stock readiness and port capacity confirmation are still pre-operational requirements for most operators, with commencement dates ranging from end-2026 to 2027.

                Are there plans?

                Near-term: Volume 4 of the Network Statement for the 2026/27 timetable will be published, with applications expected to open subsequently. Contract negotiations between selected operators and TRIM will last three to six months, with the first private locomotives expected to haul freight by the second half of 2026.

                Medium-term targets: Most operators are targeting full commercial operations in 2027–2028. The initial allocations aim to add 20 million tonnes of annual capacity (approximately 11% of current volumes) from the 2026/27 financial year. Government expects to unlock up to R100bn in private investment in wagons, locomotives and sidings over the next decade.

                Government is finalising the National Rail Master Plan, a 30-year comprehensive framework to guide rail sector transformation that will complement the SADC Regional Rail Master Plan.

                Is it on the agenda?

                The reform is embedded in Operation Vulindlela Phase II, with the Department of Transport driving implementation. It is also embedded in National Rail Policy of 2022, the Freight Logistics Roadmap and Transnet's own turnaround plans.

                Goals

                Third-party rail access aims to introduce competition into the previously monopolised freight rail market, enabling private operators to compete with state-owned services and provide enhanced customer offerings.

                Summary

                The first round of slot applications opened in December 2024 and closed in February 2025. In August 2025, Minister Creecy announced that 11 train operating companies (TOCs) met the requirements and will proceed to negotiations and contracting. On 13 May 2026, the 11 companies were named: ARC South Africa (ARC), The Railway Corporation, MSC, TLD Marine, MENAR, Sharp Logistics, Barberry, Grindrod, Minrail, IRACEMA, Motheo Logistics, and Interlinks.

                With Transnet Freight Rail (TFR), this will bring the number of active operators on the national network to 12 across five corridors. Transnet Rail Infrastructure Manager (TRIM) projects an additional 24 million tonnes (Mt) of capacity, scaling to 52Mt over five years. Some operators aim to start running trains before the end of 2026, while most will likely begin operations in 2027.

                On the next round of 3PRA, Trim opened applications in late August 2025 for parties wishing to submit ad-hoc applications for additional or new route allocations within the current 2025/26 timetable period, based on Volume 3 of the Network Statement. This ad-hoc process provides rail network access outside the annual slot allocation cycle, specifically designed to accommodate once-off, urgent and unforeseen operational requirements. It was also around this time that Volume 4 of the Network Statement was expected to be published in "due course", with the March/April 2026 target missed and no new announcements as of May 2026.

                Canvas not supported.

                Is it working?

                The initial allocations aim to add 20 million tonnes per annum from 2026/27. While it is too early to say whether they will succeed, there is some cause for scepticism on the volumes. First, the available train slots resemble a patchwork rather than a plan, covering different types of freight (coal, manganese, containers, fuel and general goods) across several routes. Turning this into a workable, profitable business will be difficult, especially for new operators. Second, wagon availability is not a given. Private operators can run trains only if they have access to wagons. Most of the new companies do not own their own wagons, so they will need to lease them from TFR Operating Company (TFROC). As things stand, the lease terms are by most accounts unworkable.

                Non-selected applicants for the 2025 round may reapply when new slots become available in the 2026/27 timetable. Successful firms must secure railway safety permits, have operational rolling stock and offloading capacity at ports. Slot durations will range from one to 10 years. Ownership of tracks remains with the state -- Transnet will act as both competitor and contract issuer.

                Actions

                The government established TRIM as an interim infrastructure manager within Transnet to oversee network access and slot allocation. The Economic Regulation of Transport Act was promulgated to provide the legal framework for third-party access, and the Transport Economic Regulator was created to determine price controls and regulate compliance. In December 2024, a Network Statement (volume 3) and 2024/25 tariff determination were published but contested. An updated network statement and tariff determination remain pending.

                Slot allocation and operator selection: TRIM selected 11 operators from 25 applicants after safety, technical and financial assessments. The selected companies received conditional award letters requiring Railway Safety Regulator (RSR) permits, rolling stock readiness and port capacity confirmation before operations could commence. In May 2026, TRIM signed rail access agreements (RAAs) with all 11 operators, moving them from conditional award to contracted access. RSR permits, rolling stock readiness and port capacity confirmation are still pre-operational requirements for most operators, with commencement dates ranging from end-2026 to 2027.

                Are there plans?

                Near-term: Volume 4 of the Network Statement for the 2026/27 timetable will be published, with applications expected to open subsequently. Contract negotiations between selected operators and TRIM will last three to six months, with the first private locomotives expected to haul freight by the second half of 2026.

                Medium-term targets: Most operators are targeting full commercial operations in 2027–2028. The initial allocations aim to add 20 million tonnes of annual capacity (approximately 11% of current volumes) from the 2026/27 financial year. Government expects to unlock up to R100bn in private investment in wagons, locomotives and sidings over the next decade.

                Government is finalising the National Rail Master Plan, a 30-year comprehensive framework to guide rail sector transformation that will complement the SADC Regional Rail Master Plan.

                Is it on the agenda?

                The reform is embedded in Operation Vulindlela Phase II, with the Department of Transport driving implementation. It is also embedded in National Rail Policy of 2022, the Freight Logistics Roadmap and Transnet's own turnaround plans.

                Goals

                Third-party rail access aims to introduce competition into the previously monopolised freight rail market, enabling private operators to compete with state-owned services and provide enhanced customer offerings.

                Analyst: Cecilia Schultz
                Status: In progress
                Last Updated:
                Next Update:
                Reform Area:
                Reform:

                  If you would like to alert our analysts to an update you are aware of in this particular reform area, please complete the form below and submit it to us. Please ensure you include links to any press releases or other documents to confirm the reforms and provide detail to allow our analysts to assess the changes. Our team will review it.