The Gauteng Executive Council has recently approved the procurement of a new delivery partner for the Gautrain system. This means the Gautrain Management Agency (GMA) has been granted the approval to go to market and advertise the Request for Proposals (RFP) for a new delivery partner for the Gautrain system post 2026. The current Gautrain concession agreement comes to an end in March 2026.
“The GMA, welcomes the decision by the Executive Council and has already commenced with the plan to market the Gautrain Post 2026 project and the advertisement notice for the RFP is scheduled to go live on 5 November 2023. The new delivery partner will operate, maintain, modernise, innovate, and upgrade the current Gautrain system so that the GMA can continue to provide a safe and efficient public transport service,” said GMA CEO, William Dachs.
“Gautrain is the first and only rapid rail network, and the first Public-Private Partnership (PPP) of its scale, in South Africa. It is a strategic asset valued at R45 billion, and once the current concession expires at the end of its 19.5-year term in March 2026, the costs of establishing this long-term asset will have been paid off, allowing the Post 2026 Gautrain Project to reap the economic benefits,” William Dachs continued.
“Although it was planned and implemented as a transport project, the Gautrain is an economic development project focusing on reaching objectives of stimulating economic growth and job creation, promoting investment and new development. The Post 2026 Gautrain Project will further unlock economic potential and opportunities. It will also present an opportunity to build on a highly functional, world-class system and to rethink the Gautrain business model, ensuring that the system not only responds to the current challenges, but further cements operational and financial sustainability in the long term,” William Dachs explained.
“The Gautrain will become an even more integral part of people’s daily lives and a catalyst for economic development, growth, and economic recovery in the province. Kick-starting a procurement process for a new delivery partner will ensure a smooth and timeous transition from the existing delivery partner to the new contract, with no service disruption post March 2026,” William Dachs concluded.