Tuesday, 08 Jun 2010
South Africa - 7,300km Rail Branch line Concessioning
Opportunity for private operators to register their non-binding interest in the operation of 7,300km route of branch lines in South Africa, about 4,000km, of which are currently operational. The lines represent about 35% of the 20,953km of the country's rail network and feed into the country's core railway network.
The lines represent about 35% of the 20,953km of the country's rail network and are characterised by diesel traction, multiple origin-destination pairs, wagonloads, and sidings, as well as low axle limits of between 11-t/axle and 18,5-t/axle. On the whole, the gauge on these lines is 1,065 mm, as is the case across the South African network, but with some narrow-gauge sections of 610 mm.
This concession model would eventually involve a competitive process through which private entities would be invited to bid for the right to operate a rail service on a specified branch line or cluster of branch lines. Some branch line opportunities will include options for adjacent property leases. Transnet will retain ownership of the branch lines assets and grant the concessionaire a right of use for a long-term period commensurate with each concessionaire's business model.
Concessionaires would be required to make the necessary capital investments, maintain the assets to agreed standards throughout the concession period and operate railway services, which could involve freight, or passenger services, or a combination of the two.
The announcement is the first stage of a three-stage concession process and a precursor to the long-awaited introduction of private sector participation in the railway business. It would be followed by a formal call for expressions of interest, and then a formal request for proposals, during the course of the second half of 2010.
Contact UKTI Johannesburg if you are interested in opportunities resulting from South African rail developments.
Opportunity Type: Major Projects
Response deadline: 30/06/2010
This opportunity is now closed.
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