Creecy Outlines Bold Transport Reforms to Restore Rail and Logistics Backbone

Minister of Transport Barbara Creecy has reaffirmed government’s commitment to restoring rail as the backbone of South Africa’s transport and logistics system, ensuring that strategic infrastructure — including rail lines and ports — remains firmly under public ownership while harnessing private sector participation to drive efficiency, growth, and modernization.

Speaking at the National Press Club Roundtable on Transport Economy in Johannesburg on Thursday, Minister Creecy said the reforms form part of government’s broader strategy to revitalise the transport sector and reduce systemic risks that undermine both domestic and international trade competitiveness.

“By ensuring the prompt execution of reforms in the logistics sector, we can reduce the risks present in both our global and domestic environments,” she said.

The event also marked the official launch of October Transport Month 2025, themed “Implementing an integrated, sustainable and safe transport system that promotes inclusive economic growth, job creation and social development.”

Rail Revitalisation and Private Sector Investment

Central to government’s reform agenda is the revival of the rail freight and passenger systems, guided by the White Paper on the National Rail Policy (2022) and the National Freight Logistics Roadmap (2023).

Minister Creecy emphasised that the state alone cannot meet the infrastructure demands necessary for a modern, efficient logistics network. As such, strategic private sector investment is being encouraged to expand capacity, upgrade infrastructure, and boost operational efficiency.

“The limited availability of state resources to fund infrastructure development makes private sector investment critical. To guide private sector investment in our five-priority rail and port corridors, we have just concluded a Request for Information process,” the Minister said.

She revealed that the Department of Transport has received 163 submissions from private sector stakeholders interested in investing in rail and port infrastructure.

“We are currently processing these submissions and intend to release the first Request for Proposals (RFP) by December this year. In line with the Private Sector Participation model envisioned in the Rail Policy, we announced the first 11 private rail operators in August,” Creecy said.

The Minister reiterated that while the private sector will play an increasingly active role, ownership of critical transport infrastructure will remain in public hands, ensuring that national interests are safeguarded.

Improving Freight Rail and Port Performance

The reforms are already showing results. Minister Creecy highlighted significant operational improvements at Transnet, particularly through the establishment of the Transnet War Room, which has been instrumental in addressing bottlenecks, restoring infrastructure, and improving port efficiency.

“Rail tonnage increased by 9 million tons to 161 million tons last year, and containers handled in our ports rose by 48,000 units — a 54% improvement over the previous year,” she said.

Since July 2025, South African ports have consistently met or exceeded their weekly Twenty-foot Equivalent Unit (TEU) targets, marking a dramatic turnaround in port performance.

“I am pleased to report that there are no longer queues at our port terminals,” Creecy added.

These developments signal renewed confidence in the logistics system, which underpins nearly 80% of South Africa’s trade and remains vital to economic competitiveness and regional integration.

Air Transport Growth and SAA Expansion

The aviation sector is also witnessing strong recovery and expansion. According to Airports Company South Africa (ACSA), 489,000 tons of air freight moved through the country’s airports last year, with 18.97 million passengers recorded — an encouraging trajectory toward achieving the 2029 national aviation targets.

To support this growth, ACSA has been allocated R21.7 billion for infrastructure upgrades over the medium term. This includes a new freight terminal at OR Tambo International Airport, as well as enhanced facilities to improve passenger safety and comfort.

Minister Creecy also welcomed findings from Oxford Economics Africa, which confirmed that South African Airways (SAA) contributed R9.1 billion to South Africa’s GDP in 2023/24 — a figure projected to more than triple to R32.6 billion by 2029/30.

“Over the same period, the airline's operations are expected to support 86,700 jobs, up from the current 25,000, demonstrating SAA’s growing role as a national employer and economic catalyst,” she said.

SAA has embarked on a bold route and fleet expansion strategy to enhance intra-African connectivity and strengthen South Africa’s global aviation footprint. New regional routes from Johannesburg and Cape Town aim to bolster tourism, trade, and business linkages across the continent.

PRASA’s Revival and Passenger Rail Progress

On the passenger rail front, the Passenger Rail Agency of South Africa (PRASA) continues to make significant strides in restoring commuter services across the country.

By May 2025, PRASA had successfully revived 35 out of 40 service lines, marking one of the most comprehensive recoveries since the COVID-19 pandemic and subsequent infrastructure vandalism.

The agency recorded an unaudited figure of 77 million passenger journeys for the last financial year, with projections of 116 million journeys for 2025/26, reflecting growing commuter confidence in rail transport.

These achievements underscore PRASA’s critical role in promoting affordable, safe, and reliable public transport for millions of South Africans, particularly working-class commuters who depend on rail as a primary mode of travel.

Toward a Safer, Integrated and Sustainable Transport Future

Minister Creecy reiterated that South Africa’s transport reforms are not only about improving infrastructure performance but also about creating a transport economy that is inclusive, sustainable, and innovation-driven.

The October Transport Month campaign will highlight progress across key areas such as road safety, digital logistics, rural mobility, and infrastructure investment, as government accelerates plans to make transport a central driver of economic growth and social transformation.

“We are determined to build an integrated transport system that connects our people, boosts productivity, and supports inclusive development. The transport economy is the engine of our nation’s growth,” Creecy concluded.