City tables comprehensive business plan to take control of passenger rail from national government
CAPE TOWN – Cape Town could become South Africa’s first city to run its own passenger rail service, following the tabling of an ambitious business plan that outlines how the metro can revive the region’s struggling train network.
Mayor Geordin Hill-Lewis presented the detailed Rail Business Plan to councillors on Thursday 6 November, with the full City Council set to vote on the proposal on Thursday 4 December.
“With this business plan Cape Town is now front of the queue to be SA’s first city to take over local passenger rail, in line with the Constitution and National White Paper on Rail,” said Hill-Lewis.
The plan comes as Cape Town’s rail system continues to struggle under the management of the Passenger Rail Agency of South Africa (Prasa), with services severely curtailed compared to the 620,000 daily passenger trips recorded in 2012.
Private-sector partnership essential
The business plan examined nine different scenarios for taking the rail service over, settling on three viable options that would see the City partner with private companies to operate trains on either a contractual or concession basis.
Crucially, the plan rules out any scenario where the city would have to use ratepayers’ money to subsidise rail operations. Instead, successful devolution would require funding from national government along with the authority to set fares and access long-term grants.
“Capetonians urgently need an expanded, affordable, and reliable rail service that is integrated with other forms of transport via one ticketing system,” Hill-Lewis explained.
“Devolution is one of the critical first steps in this long-term vision to massively scaling up passenger numbers, new train sets, new routes, upgrade stations and develop surrounding precincts with affordable housing over the next two decades.”
National government support needed
The Mayco member for Urban Mobility, Rob Quintas, emphasised that national government would need to restore the rail network to 2012 levels before any handover can take place.
“But while national efforts to restore passenger-rail operations are ongoing this does not remove the need to advance devolution in line with national policy and the imperative for locally responsive service delivery,” said Quintas. “The City would then work to further expand the rail service, including a new Blue Downs rail link.”
Hill-Lewis called on transport minister Barbara Creecy to finalise the draft National Rail Bill and Masterplan before year-end, ensuring proper consultation with local government as the key implementing partner.
Long road ahead
The business plan represents the culmination of nearly two years of research, following a baseline analysis in October 2023 and institutional options report in October 2024.
The City will now seek council approval to begin formal negotiations with national government. If successful the devolution could transform public transport in Cape Town, offering residents a reliable alternative to the current fragmented system and potentially serving as a model for other South African cities facing similar transport challenges.
The proposal aligns with constitutional principles that recognise local government as best positioned to deliver integrated, affordable public transport through coordinated planning across different transport modes.
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