The Gautrain Management Agency (GMA) has confirmed that the Gautrain will continue operating under the Public-Private Partnership (PPP) model as it transitions into its post-2026 phase.
The agency said the current concession agreement, held by Bombela Concession Company (Pty) Ltd, will expire on 27 March 2026. Negotiations to appoint a new private partner, responsible for operating, maintaining, refurbishing, upgrading, and modernising the system for the next 15 years, are at an advanced stage.
The Gautrain Rapid Rail Link was originally developed as a PPP in terms of Treasury Regulation 16 of the Public Finance Management Act.
The Gauteng Provincial Government serves as the public partner and project promoter, while Bombela has held a 19½-year concession covering the design, construction, partial financing, operation, and maintenance of the rail system.
Regarded as one of South Africa’s largest and most successful PPP projects, the Gautrain will retain the PPP model beyond March 2026 to ensure operational stability and sustained private-sector participation.
By the end of the current concession period, all costs associated with establishing the project will have been fully repaid. The Gautrain, a state-owned asset valued at approximately R45 billion, is expected to deliver enhanced economic and operational benefits for Gauteng in its next phase.
Gauteng MEC for Roads and Transport, Kedibone Diale-Tlabela, said the transition will prioritise service continuity and long-term impact.
“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,” she said.
This comes after Gauteng MEC for Finance and Economic Development, Lebogang Maile, confirmed during a recent media briefing that the rapid rail system will be formally handed over to the provincial government as a fully paid-up asset.
“On 28 March this year, the Gautrain will officially be handed over to the Gauteng government as its asset, meaning we have finished paying for Gautrain,” Maile said.
He added that by the time the transfer is finalised, the asset’s estimated value will range between R45 billion and R50 billion.
“When we built Gautrain, we spent around R26 billion. Today, as we speak, and by the time we receive the asset, it is worth anything between R45 billion and R50 billion as an asset of the Gauteng government. That demonstrates the power of the PPP model,” he said.
Saturday Star