CEO of Gautrain Responds to Critics: Addressing Congestion or Wasting Billions?

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JEREMY MAGGS: You’ve probably heard that the Gautrain is preparing for an extensive R120 billion expansion. However, some critics are highlighting concerns, calling it elitist, impractical, and disconnected from the country’s economic situation. Nonetheless, Gautrain’s leadership argues that they are simply evolving to meet the demands of a changing environment.

So, who is correct in this debate? Is this a wise investment in infrastructure or merely a shiny diversion? I’m now joined by Tshepo Kgobe, the CEO of the Gautrain Management Agency.

Tshepo, welcome. R120 billion is quite a significant amount. With national infrastructure and public services facing challenges, my first question is: how do you justify such substantial spending on a single project?

TSHEPO KGOBE: Jeremy, it’s crucial to have context. I’ve had the opportunity to serve as the interim CEO of the transport authority for the past nine months, which gave me insight into the transportation landscape across the province.

Recently, we conducted a test driving from Brakfontein interchange to Buccleuch. During peak times, traffic on that stretch of freeway averages about 27 kilometers per hour. We predicted this slowdown back in 2017, and we’ve already reached that point.

We’re also anticipating that traffic across all Gauteng freeways could soon slow to just 10 kilometers per hour.

At that juncture, we will have no choice but to act. If we don’t invest in infrastructure now to enhance our transit system across the province, we risk becoming a region that’s gridlocked.

Read: Gautrain expansion on the cards [Jul 2019]

I often refer to a specific slide when I brief people, which we’ve dubbed the heart attack slide due to its alarming red color. It illustrates congestion trends based on data from our simulation models, projecting that we’re only three years away from that dreaded 10 kilometers per hour scenario.

Listen/read: Gautrain plans expansion as congested roads forecast to worsen [Nov 2023]

In truth, we are already falling behind in our spending.

Let’s discuss ticket pricing and other matters separately, as our primary concern is not just about construction.

JEREMY MAGGS: You must acknowledge that expansions carry significant risk. Ridership numbers on the Gautrain remain below pre-Covid levels. Shouldn’t consolidation take precedence over expansion given our current economic landscape?

TSHEPO KGOBE: No, we are indeed consolidating.

For instance, as of tomorrow, if you park your car at a Gautrain station, your fee will drop to R1 instead of the previous R20-something. This change reflects our commitment to finding long-term solutions to reduce costs associated with parking and bus services.

We’re also enhancing discounts for students. Previously, we offered a 25% discount, but we’re increasing it to 50%. This includes a new scholarship product launching in three weeks that will allow school children to pay only 50% of the fare. We’re also introducing a family discount for those below a certain income level to ensure access to the same 50% discount.

JEREMY MAGGS: How do you respond to critics, like the Automobile Association’s CEO Bobby Ramagwede, who argues that these funds would be better invested in repairing the Prasa [Passenger Rail Agency of South Africa] network?

Read: AA slams plan for R120bn Gautrain expansion as wasteful

TSHEPO KGOBE: I’ve spent time with our detractors in our office to demonstrate the realities we face. I explained that the current public transport structure requires someone traveling to Sandton to first take a Prasa train to the city center before switching to another mode of transportation to reach Sandton.

What we aim to create are direct routes from Soweto to Sandton. Many commuters do not want to take a circuitous route that involves multiple transfers.

Read: Here’s the planned Gautrain route through Fourways, Sunninghill and Cosmo City

For those living in Mamelodi, using the current system involves taking a train to Pretoria Central, then another to reach destinations like Park Station, before proceeding to their final destination. This method is inconvenient; many prefer direct travel, and we aim to design systems that facilitate this.

JEREMY MAGGS: Regarding the monumental price tag of R120 billion, how do you plan to fund this initiative?

TSHEPO KGOBE: We’re considering various funding streams, with a significant portion coming from station commercial opportunities. Our financial studies indicate that we could raise about 66% of the funds externally, with the remaining 33% or so coming from government sources.

This approach allows us to maximize funding through commercialization efforts. Our initiatives include enhancing amenities and services in and around stations to create livelier environments.

We are also in negotiations with municipalities to establish special rates taxes in targeted areas to further support funding.

JEREMY MAGGS: Let me challenge you on that point. The idea of turning stations into lifestyle hubs feels more like marketing buzzword than a viable solution. How do you guarantee consistent foot traffic in these spaces?

TSHEPO KGOBE: That’s an interesting perspective you bring up. I’m not the one promoting marketing angles; you’re the one doing the promotion here.

I view transportation as a lifestyle essential. Right now, it’s treated like a utility that people care about only when it fails them. Our goal is to seamlessly integrate public transport into daily life.

For instance, when I ask mothers why they don’t use the Gautrain, they often say it’s because the school runs in the opposite direction. Why not have a school near the station so parents can drop their kids off before heading to work and return to pick them up afterward?

JEREMY MAGGS: You’ve shared plans to connect areas like Soweto and Mamelodi, but why wasn’t this the strategy from the beginning? Is this new approach merely a reaction to political pressure?

TSHEPO KGOBE: Absolutely not. Our current strategy was informed by our transportation modeling, which indicated that congestion begins at home, especially during morning peak hours.

We need to develop transit systems that facilitate pickups right where people live to effectively alleviate congestion across Gauteng.

JEREMY MAGGS: Thank you for your time. That was Tshepo Kgobe, CEO of the Gautrain Management Agency. I appreciate you joining us.

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