The Program represents the capital expenditure plan of Transnet aimed at restoring its capacity to meet the traffic demand of South Africa. The activities under the Program include amongst others rail network infrastructure renewal and rehabilitation, locomotives overhaul, wagon fleet renewal, etc.

The Program is expected to result in restoring the freight rail volumes in South Africa. The Program will play a catalytic role in stimulating economic activity, job creation, and productivity gains by reducing overall transportation costs for the country and enhancing its competitiveness in the global trade. The Program will aid modal shift from road to rail and contribute to reducing carbon emissions and other costs associated with road transport.

Transnet, a wholly state-owned entity of the Government of the Republic of South Africa, will be the Program Entity responsible for all aspects of implementation including planning, execution, and supervision of activities to be undertaken under the Program. The Program is planned to be implemented over a period of five years.

The Program has been categorized as Category B in accordance with the NDB Environmental and Social Framework (ESF). The main environmental and social impacts of the Program will be associated with construction activities on existing rail premises and the operation of freight rail system, including vegetation removal, water use, occupational safety.

E&S impacts will be mitigated by adherence to country system requirements, Transnet’s corporate system and Environmental and Social Impact Management Plan developed to ensure full compliance with NDB ESF.