Parliament, Monday, 23 March 2026 – The Standing Committee on Public Accounts (SCOPA) will this week receive briefings from Transnet SOC Ltd, and the Passenger Rail Agency of South Africa (PRASA) on their 2024/25 audit outcomes and financial performance as well as matters previously raised by the committee.
On Tuesday, 24 March 2026, SCOPA will receive a briefing from Transnet. The entity has maintained an unqualified audit opinion for the fourth consecutive year; however, the Auditor General of South Africa (AGSA) has noted material adjustments made during the audit process, raising a concern on the prevalence of non-compliance in expenditure management and procurement.
The AGSA also raised concerns over the fact that Transnet only met five out of 18 key performance indicators, revealing the challenges posed by equipment shortages, maintenance backlogs and rising operational costs.
In the 2024/25 financial year, Transnet had a revenue growth of R82.7 billion. This growth, however, comes alongside a net loss of R1.9 billion, despite improvements in cost management and operational efficiency. This represents a 74% reduction in losses from the previous year, showing progress amidst persistent challenges.
Government has given Transnet additional guarantees totalling R145.8 billion to help the entity manage maturing loans and support critical capital investments, raising the total guarantee facility to R196.3 billion. However, the entity continues to struggle with high debt levels and breaches of loan agreements.
On Wednesday, 25 March 2026 SCOPA will receive a briefing from PRASA. The Agency has improved from disclaimers to unqualified audit opinions mainly due to a multi-year audit action plan aimed at correcting previous deficiencies. In the 2024/25 financial year, PRASA successfully reconstructed its contract register, ensuring transparency and accountability.
SCOPA will be monitoring PRASA closely as the entity continues its infrastructure rebuilding program, particularly its signalling systems and information technology system that is meant to improve financial management and cybersecurity.
ISSUED BY THE PARLIAMENTARY COMMUNICATION SERVICES ON BEHALF OF THE CHAIRPERSON OF THE STANDING COMMITTEE ON PUBLIC ACCOUNTS, MR SONGEZO ZIBI.
For media enquiries, please contact the committee’s Media Officer:
Name: Ms Faith Ndenze
Parliamentary Communication Services
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Email: fndenze@parliament.gov.za
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