Parliament, Wednesday, 6 May 2026 – The Select Committee on Public Infrastructure and Minister in the Presidency considered and adopted its report on the Budget Vote and annual performance plan (APP) of the Department of Transport.
The report follows an engagement with the department on its strategic priorities, financial allocations and performance targets for the 2026/27 financial year and the medium term. The committee noted the department’s central role in providing policy direction, regulatory oversight and coordination across South Africa’s transport ecosystem.
The committee welcomed the department’s frank assessment of prevailing challenges within the sector, particularly those relating to dilapidated infrastructure and governance, accountability and operational inefficiencies. Members emphasised that strengthened oversight and improved institutional performance remain critical to achieving a safe, reliable and integrated transport system.
The committee noted that the department’s budget over the Medium-Term Expenditure Framework (MTEF) is projected at R313 billion, with the bulk of allocations directed towards transfers and subsidies to public entities and conditional grants. Key spending priorities include road infrastructure maintenance, passenger rail modernisation, public transport subsidies and logistics reform.
The committee highlighted rail transport as a strategic priority to support economic recovery, reduce road congestion and improve commuter mobility. Investments in signalling systems and network rehabilitation were welcomed. Road transport remains the largest area of expenditure, with programmes aimed at enhancing road safety, improving freight efficiency and supporting labour-intensive job creation initiatives targeted at women, youth and persons with disabilities.
Members also raised serious concern regarding the continued financial instability and governance risks at South African Airways. The committee noted concerns raised by the Auditor-General regarding the airline’s sustainability and the continued reliance on state support mechanisms. Members emphasised the importance of ensuring that public funds allocated to state-owned entities deliver measurable value, operational sustainability and improved governance outcomes. The committee further stressed that the broader transport sector cannot achieve long-term stability while key entities remain financially vulnerable and dependent on recurring interventions.
Members expressed their concern about the accessibility and affordability of public transport, particularly for low-income households and communities in rural areas. The department emphasised that subsidies provided through public transport grants are intended to reduce fare pressures, even though they do not cover the full cost of transport operations. The committee also underscored the importance of coordinated interventions across national, provincial and local government to improve service delivery.
In light of conflict between taxi operators and e-hailing operators in the Western Cape, KwaZulu-Natal and the Eastern Cape, the committee enquired about the implementation of regulations issued last year to regulate the industry. The department replied that provincial regulatory entities are in the process of converting operating licences for e-hailing operators and that the department will be implementing regulations aimed at improving passenger security in the e-hailing industry.
The committee adopted recommendations that are specific, measurable and outcome-based. These include:
• A detailed report on the return on investment from departmental bursary and graduate programmes, including completion rates and employment outcomes;
• Evidence of the growth and development of emerging contractors supported through public procurement; and
• A comprehensive register of concession agreements, including contract durations, local participation requirements and skills transfer provisions.
The committee will continue to monitor the implementation of the department’s plans and ensure that public resources are utilised effectively to deliver safe, efficient and accessible transport services for all South Africans.
ISSUED BY THE PARLIAMENTARY COMMUNICATION SERVICES ON BEHALF OF THE CHAIRPERSON OF THE SELECT COMMITTEE ON PUBLIC INFRASTRUCTURE AND MINISTER IN THE PRESIDENCY, MR RIKUS BADENHORST.
For media inquiries or interviews with the Chairperson, please contact the committee’s Media Officer:
Name: Yoliswa Landu (Ms)
Cell: 081 497 4694
E-mail:ylandu@parliament.gov.za
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