|
ON 1 APRIL 1990, THE SOUTH AFRICAN TRANSPORT SERVICES (NATIONAL RAILWAYS) BECAME A PUBLIC COMPANY CALLED TRANSNET LIMITED, AS A CONSEQUENCE OF THE DEREGULATION OF THE TRANSPORT INDUSTRY. THE NATIONAL RAILWAYS ALSO SHED ITS RESPONSIBILITY FOR RAIL COMMUTER SERVICES TO THE NEWLY FORMED ENTITY.
The South African Rail Commuter Corporation Limited (the Corporation) was established at the same time to assume the responsibility for the rail commuter services throughout South Africa.
The Corporation inherited all assets (land and properties) in and around commuter stations and corridors for the purpose of commercialising these assets to financially contribute to a reduction in the subsidisation of the social commuter rail service. During 1992, a wholly-owned subsidiary company of the Corporation, Intersite Property Management Services (IPMS), was formed to perform this function for the Corporation.
The main objective and business of the Corporation is to ensure that, at the request of the National
|
Department of Transport or any local government body designated as a transport authority, rail commuter services are provided in the public interest. Services are currently provided by Metrorail Services, an independent division of Transnet, in terms of an operating contract.
In pursuance of its commercialisation object, the Government has opted for a Concessioning approach (being a privilege or right granted by government to an entity for the provision of public services in terms of service specifications, a performance regime and competitive bidding).
The aims and objectives of concessioning as a restructuring instrument are:
- To improve efficiency and quality of service
- To improve competitiveness
- To improve financial performance
- To target private sector capital
As an Agent of Government, the Corporation has to ensure the realisation of the objective of concessioning in South Africa.
|
AS AN AGENT OF GOVERNMENT, THE CORPORATION HAS TO ENSURE THE REALISATION
OF THE OBJECTIVE OF CONCESSIONING IN
SOUTH AFRICA.
|