The Gautrain will continue to operate under a public-private partnership (PPP) model after 2026 as the current operating agreement comes to an end.
The agreement between the Gauteng provincial government and Bombela Concession Company will expire on March 27, 2026. The provincial government is in advanced negotiations to appoint a new private partner who will operate, maintain, and upgrade the Gautrain system for the next 15 years.
The Gautrain was built and launched as a partnership between the government and the private sector under the Public Finance Management Act. Bombela was given a 19-and-a-half-year contract to design, build, finance, and operate the train system. Government said the PPP model has worked well and will continue to be used to ensure the train service keeps running smoothly.
By the time the current agreement ends, the costs of building the Gautrain will have been fully paid off. The rail system, which belongs to the state, is valued at about R45 billion. A preferred bidder for the new contract has been identified.
While negotiations continue, the Gautrain Management Agency has activated a temporary arrangement that will allow Bombela Operating Company to keep running the trains for up to six months after March 2026. This measure is meant to prevent any disruption to passengers.
Finance Minister Enoch Godongwana recently encouraged government departments to consider public-private partnerships when delivering major infrastructure projects.
One of Gautrain’s programmes, KlevaMova, offers a 50% discount to low-income earners, pensioners, school pupils, and people receiving disability grants from the South African Social Security Agency. Students under the age of 25 also receive a 50% discount through a special student fare introduced in 2022.
Gauteng MEC for Roads and Transport Kedibone Diale-Tlabela said the government wants to make sure the Gautrain continues to support economic growth and make it easier for people to travel around the province.
“Our priority is to ensure the Gautrain continues running without interruption and keeps contributing to job creation, economic growth and better transport for the people of Gauteng.”