The Passenger Rail Agency of South Africa (PRASA) has deployed R21.1 billion in capital expenditure against an allocation of R11.6 billion in the 2024/25 financial year.
According to PRASA Group Chief Executive Officer (GCEO) Hishaam Emeran this spending reflects the urgent priority the agency has placed on fleet renewal, infrastructure recovery, and system modernisation.
Created direct jobs
“This was not just spending – it was strategic investment in South Africa’s economic future. Not only did our capital investment help accelerate our recovery and modernisation programme, but also created and sustained 12 988 direct jobs.
“More importantly, this investment induced 71 730 additional job opportunities across the economy, bringing the total job impact to 84 718 jobs created and job opportunities during the year, contributing towards economic stimulation,” Emeran said.
Addressing a media briefing on the 2024/25 Group Annual Report, the GCEO said the spending on PRASA’s full capital allocation demonstrates that the agency is breaking away from a history of underspending and slow project execution.
From 1 April 2025, PRASA diversified revenue streams and commercialisation drive, now positioned in the subsidiary, Intersite Asset Investments, which is central to delivering long-term financial sustainability through the property portfolio under the secondary mandate.
Achievements
In 2024/25, commercial income reached R708 million, surpassing the budget of R675 million by 5%.
Flagship Achievements include the Cape Town Station Mixed-Use Development, The Lab on Park Student Accommodation in Braamfontein, Goodwood Social Housing in Cape Town, and Diep River affordable housing.
“Our Transit Oriented Development approach to property developments with our partners will continue to be a significant driver of growth and future revenues. Twenty four out of 26 development leases finalised are in the pipeline, and worth approximately R7.8 billion.
“Intersite is advancing PRASA’s commitment to innovation and environmental sustainability through renewable energy integration. A flagship project, the 1 MW [megawatt-peak] PV [photovoltaic] rooftop plant at Durban Station, is now in construction,” the GCEO said.
77 million passengers moved
The Group Annual Report shows that the organisation has achieved an overall performance level of 93%, up from 87% from the previous year.
“To date, PRASA has successfully moved 77 million passengers across 35 of the 40 operational corridors, safely, with commuters now accessing services through 313 stations that have been recovered and rehabilitated to basic functionality.
“Our overall performance is aligned with our key strategic focus to deliver an excellent passenger service, grow gross commercial revenue, modernise operational assets, and expand the business by exploring other business opportunities,” he said.
PRASA’s future
PRASA is entering the next phase of its turnaround journey with a renewed focus on optimising services, to enhance the commuter experience.
“Over the coming years, the agency will prioritise expanding train services to improve access, continue upgrading track quality to enable faster journeys, and installing modern signalling systems to cut waiting times from an hour to as little as 10 minutes on high-demand corridors.
“The reopening of remaining metro stations, the introduction of modernised ticketing solutions, such as tap and-go payments, and the continued growth of the electric multiple unit (EMU) fleet, including the much-anticipated milestone delivery of Train 300, marking the halfway point of the 600-train target by 2035, will further expand our services, improve convenience, and strengthen PRASA’s commitment to safe, reliable, and accessible rail transport for all South Africans.
“This has been a defining year for PRASA. We did not just deliver on our promises, we exceeded them,” he said.
