The Gautrain will continue running under a public-private partnership (PPP)
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The Gautrain will continue running under a public-private partnership (PPP) even after the Gauteng government officially takes ownership of the high-speed rail system later this month.
IOL previously reported that Gauteng Finance MEC Lebogang Maile announced that the Gautrain will officially be handed over to the Gauteng Provincial Government on 28 March 2026.
This comes as the provincial government has finalised all outstanding financial obligations tied to the public-private partnership agreement, effectively concluding the 19.5-year Bombela concession and securing the rail system as a fully paid provincial asset.
However, the Department of Roads and Transport and the Gautrain Management Agency said that the rail system will continue operating under a PPP, with a new 15-year concession already in advanced negotiation.
"As the current concession agreement approaches its conclusion, the process of appointing a new private partner to operate, maintain, refurbish, upgrade and modernise the Gautrain system for the next 15 years is at an advanced stage of negotiation".
The private partner, Bombela Concession Company (Pty) Ltd (BCC), currently manages the design, construction, operation, and maintenance of the Gautrain under the existing 19½-year concession.
"A preferred bidder has been identified for the new concession agreement. During the negotiation period, the GMA has triggered a contractual holdover arrangement as of 28 March 2026, which will allow the current operator, Bombela Operating Company (BOC), to continue operating the Gautrain system as per the existing Concession Agreement, which makes provision for a holdover period of six months, thereby ensuring uninterrupted service to passengers".
Gauteng MEC for Roads and Transport, Kedibone Diale-Tlabela, said the priority is to “safeguard service continuity.
"As we transition into the post-2026 phase, our priority is to safeguard service continuity, strengthen private-sector participation, and ensure that the Gautrain continues to contribute meaningfully to economic growth, job creation and improved mobility for all residents of Gauteng".
mthobisi.nozulela@iol.co.za
IOL Business
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