Transport Minister Barbara Creecy has unveiled a R102 billion budget focused on overhauling South Africa’s infrastructure and revitalizing the country’s struggling freight logistics system. The department plans to move up to 24 million tonnes of freight annually starting next year, in an effort to boost exports, ease logistics bottlenecks, and stimulate economic growth.
In outlining her department’s priorities, Creecy emphasized that public transport remains essential to economic growth, social inclusion, and human development—particularly for low-income households. She described the current agenda as an “ambitious reform” centered on reestablishing rail as the backbone of an integrated transport system for both passengers and goods.
Key initiatives include reviewing public transport grants to streamline access for commuters, addressing South Africa’s high road fatality rate, and prioritizing the implementation of phase two of the Administrative Adjudication of Road Traffic Offences (AARTO) system. Creecy also confirmed plans to introduce an amendment enforcing zero alcohol tolerance for drivers, alongside ongoing law enforcement operations aimed at improving road safety.
In aviation, major infrastructure developments are underway—particularly at OR Tambo International Airport (referred to as “AXA” in the briefing)—to increase passenger throughput and expand air freight capacity.
A central component of the reform agenda is the establishment of a National Ports Authority as an independent entity, separate from Transnet. Creecy explained that the ports authority has long functioned as a “cash cow” for the Transnet group, effectively subsidizing rail operations at the expense of needed port investments. Working with National Treasury and Transnet, the department aims to finalize balance sheet adjustments this year, enabling both entities to operate on a sustainable financial basis and meaningfully contribute to an improved freight logistics system.
When asked about commuter rail services, Creecy clarified that her department is not involved in their operation, noting that such services fall under provincial competence.
Addressing the minibus taxi industry, Creecy acknowledged its critical role: 80% of South African commuters rely on taxis, and the sector represents the country’s largest black-owned industry, with an estimated net value equivalent to 14% of GDP. She confirmed regular engagements with the South African National Taxi Council (SANTACO), including annual meetings with the Police Minister to address taxi-related violence and promote industry self-regulation.
Creecy highlighted that approximately 85,000 more taxis operate on South African roads than demand requires. This oversaturation of routes, she noted, contributes to violence and undermines route profitability for operators. The department is urging the industry to adopt stronger self-regulatory measures. She also raised concerns about vigilante-style “patrollers” interfering with private lift clubs—a matter she has repeatedly discussed with SANTACO leadership. The council has publicly stated that such activities are not officially condoned, and Creecy affirmed she continues to raise individual incidents with SANTACO’s executive.
On e-hailing services, Creecy confirmed that regulations have already been passed and that seven e-hailing applications have been registered to date. The next phase involves registering tens of thousands of individual service providers—a substantial undertaking aimed at ensuring a level playing field where all land transport operators are properly licensed and regulated.
The Minister concluded that these coordinated efforts across rail, road, ports, aviation, taxis, and e-hailing form a comprehensive strategy to modernize South Africa’s transport sector and support inclusive economic development.