Prasa Expects to Spend R50 Billion Over the Medium-term Expenditure Framework
The Passenger Rail Agency of South Africa is set to increase its capital spending over the MTEF, building on the rolling stock and infrastructure investments made in the previous year. PRASA will spend R50 billion over the MTEF period which on average will show an improvement of 22% per annum over its last year spend of 13.5 billion.
These were the remarks made by the PRASA Group CEO, Mr. Hishaam Emeran, speaking on Tuesday, 25 October 2023, at the Southern African Railways Association’s two-day Conference held at Gallagher Convention Centre. Mr. Emeran is also the Vice-President of the Southern African Railways Association.
This achievement reflects a remarkable feat, as the agency exceeded its allocated capital budget of R12.9 billion by spending R13.5 billion for the first time in over a decade.
“We have increased our capital spending due to the reopening of some of key corridors. Now we plan on spending R50 billion from this financial year and over the next three years to support the modernization of the passenger rail network and the implementation of our turnaround plans,” stated Hishaam Emeran, CEO of PRASA.
We are making significant strides in recovering the passenger rail network. To date, 26 corridors of the 40 corridors have been recovered, with over 19 million passengers using the services to date.
Just on the corridor recovery we have spent R3.6 billion to date in this financial year, with more than 6 000 jobs created. This investment will go a long way in contributing to the growth of the economy.
“We are not just rebuilding the passenger rail network, we are modernizing the entire network, and this is an ambitious and bold plan, and we intend to use the allocated budget to turn this vision into a reality,” said Emeran.
Projects under our ambitious capital programme for the next three years include:
- Rolling stock modernization programme
- Depot Modernization programme
- Walling
- Station Modernization programme
- Perway Infrastructure
- Electrical infrastructure
- Siganiling and telecommunications
- Digitization of our systems
Measures have been put in place to ensure that we increase our capital spend, including addressing challenges within Supply Change Management and capital projects capacity challenges.
Where we have recovered the passenger rail services, we have introduced the new Electric Motor Units (EMUs), otherwise known as Isitimela Sabantu. The trains that we are introducing, are high-tech, that come with CCTV cameras, automatic doors, air-conditioning, high-tech safety measures, designed with the safety of commuters in mind. These trains are manufactured here in South Africa, in Springs, Gauteng, by Gibela.
Our depot modernization programme will include the installation of intelligent fencing at the various rolling stock depots and staging yards, incorporating CCTV and integrated security systems to replace the existing fencing.
We are revitalizing our signaling system, bringing in modern telecommunications in line with the European Train Control System ushering a new era in signalling safety. Work has started in KwaZulu Natal and the Western Cape to resignal the passenger rail network to ensure the safe passage of the trains and increasing the frequency of our services.
These projects are all part of our ambitious capital programme where we intend to invest in the economy.
Speaking on passenger rail in the SADC as the Vice-President of SARA Rail, Emeran said, “As the current leaders of the SADC rail industry, we must be the generation that makes a difference in the rail environment and collaborate in revitalising rail in our cities and countries. High-speed rail in the SADC region must start with our generation of rail leaders, and the time is now.”