Rail bosses said on Tuesday, 22 September, the industry faced major challenges with regard to poor capital investment. This was coupled with ageing infrastructure and the under-utilisation of railways.
Speaking at the launch of the new rail policy, Minister of Transport Dipuo Peters said the aim was to invest in a smaller, high-performance network.
The large volume of goods transported on national roads cost the country millions of rands annually, she said.
About 89% of freight was transported by road and only 11% by rail.
"There are large volumes of rail- friendly goods transported by road, which has an adverse effect on road infrastructure," said Peters.
The minister called on the public to contribute to the formulation of the rail policy.
Last month, the cabinet approved the release of the green paper on the national rail policy for public consultation.
The government has said it is converting 20,000km of track to standard gauge from the narrower Cape gauge. This would bring the network in line with about 60% of other countries, boost capacity and reduce transportation costs.
It is in line with an African Union resolution that all railways must be on standard gauge.
Transnet acting CEO Siyabonga Gama said that though the company supported a move to standard gauge, the viability of such a move "needs further investigation".
Source: The Times
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