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Expansion of the Gautrain network must start soon if Johannesburg is to remain a competitive city, says Gautrain Management Agency Executive Director William Dachs.
Nicknamed ‘Gautrain 2’, the expansion project that would see an additional 149 km of rail line and 19 new stations added to the existing network, and would create up to 175,000 direct jobs in the construction phase and 68,000 new jobs in the operational phase. However, the project is likely to only start in 2024.
The first phase would see the network expand 32km, between Marlboro and Little Falls in Roodepoort, and would consist of three new stations.
Dachs said in a webinar hosted by CNBC Africa on Monday (September 21): “I don’t think anyone has ever been to a city with a poor public transport network that was a competitive city and I’m afraid, and I think everyone in the province fear that if we do not maintain our planning to expand the railroad and invest in rail, our cities will lose their competitive advantage.
“And that is fatal in this world as we have it now,” he said. “We have to get going now, because we have such a long wait before something really happens in these massive infrastructure projects.”
The expansion would see the following stations added to the existing network:
- A link between Marlboro and Soweto with an additional station in Sandton, as well as new stations in Randburg, Cosmo City, Little Falls, Roodepoort and Jabulani;
- A link between Jabulani and Mamelodi via Cosmo City, with new stations at Fourways, Sunninghill, Olievenhoutsbosch, Irene, Tshwane East, Hazeldean and Mamelodi;
- A link between Rhodesfield and Boksburg with new stations at East Rand Mall and Boksburg; and
- A link between Cosmo City and Lanseria Airport with new stations in Cradle and Lanseria.
Phase 1 of the extension has already been submitted to the National Treasury for approval in 2017. Dachs said the delay is due to the size and ambitions of the project.
“This is not the Treasury’s fault. This is a huge project, a very complex project. The Treasury has returned to stakeholders to question how the project can be more accessible to more people, without compromising financial sustainability. “
The other question has revolved around the financing of the project. Dachs said discussions with the Treasury have been positive and robust. He said the project is long-term.
He said the expansion would likely be financed by both the public and private sectors. “We would be looking for a combination of funding from the national government, funding from the provincial government, people who use the trains, contributions from private developers and those who invest in the train itself.”
“We looked at everything from general tax increases to fuel taxes, fuel taxes and congestion charges, which have yet to happen in South Africa, to the more traditional sources of funding,” said Dachs.
The Carbon Tax Act has recently come into force in South Africa, penalizing large emitters of greenhouse gases to minimize the climate risks posed by hydrocarbon fuels.
Companies are incentivized to adopt cleaner technologies for the next decade and beyond. Dachs said the expansion could generate funds from this initiative as it would discourage people from driving.
“We strongly believe that people who travel in cars do not pay their fair share in terms of the taxes they pay, and the failure of the electronic toll system has perpetuated that problem,” he said.
Car license fees have also been considered a source of funding for the project. “Gauteng cannot help but be competitive in terms of vehicle licenses compared to other provinces, but there is a strong case that can be made there,” Dachs said.
Additional financing would come from private sector investment within the new stations: retail trade associations.
Transportation economist Ofentse Hlulani said that the project’s progress could be hampered by discussions about land use incentives and the search for the right financing model.
“Actually, you have to have the buy-in of the public, and that will be crucial, because for a project of this scale, the last thing you want is to risk the infrastructure, the programs or even the political level,” Hlulani. said.
South Africa’s rail infrastructure has been devastated by acts of theft and vandalism, forcing the closure of many routes. As a result, the Department of Transport, together with the South African Passenger Rail Agency (Prasa), has launched an integrated safety plan.
The prevalence of crime in our rail environment has reached alarming levels. The theft and vandalism of critical infrastructure on our railways not only endanger the lives and livelihoods of those who depend on the trains, but also have serious consequences for the economy, ”said Transport Minister Fikile Mbalula.
“The crime that plagues our rail environment undermines our efforts to modernize our passenger rail system and provide service that is safe, reliable and affordable. When a cable is stolen and causes delays, the worker who subsequently loses his job as a result may be his father or brother, ”he said.
Read: South Africa Has No Viable Economic Recovery Plan – Analyst
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