Investing in passenger rail system is vital

As part of the government's 'rail revolution', R51 billion has been committed to buy 600 new trains this year.

As part of the government's 'rail revolution', R51 billion has been committed to buy 600 new trains this year.

Published Jul 22, 2015

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Records indicate that R14 billion was invested in the South African rail industry in the period 1991 to 2009. The current challenges facing Metrorail is not new(s), it is an open secret and well-publicised. We are modernising this railway system as we speak, much like changing a car’s wheel while in motion.

Few people realise the significance of the arrival of the first blue locomotives in Cape Town harbour last year. This is the first new stock since 1986 when trains were imported to serve the Khayelitsha corridor. At 29 years old this is the latest technology.

The latest arrivals are largely due to the energetic and sustained lobbying by Prasa. The organisation spared no efforts to brutally bring home the importance of saving South Africa’s passenger rail industry.

Their assertion that rail was crumbling under South Africa’s feet as early as 1998 and the subsequent implementation of a very deliberate stabilisation and recovery plan saw more than 3 000 coaches overhauled, an intervention instrumental in the success of this region transporting 1.02 million soccer fans during the World Cup.

The current investment profile of the rail industry has increased significantly from the past.

It is estimated that the sum total of the past two decades’ investment will be spent annually for the next two decades to revitalise South Africa’s passenger rail system in half the time it took to deteriorate to current levels.

The capital required for Prasa’s “rail revolution” is guaranteed by the government. This investment is already evident in the construction activity across the region in preparation for the arrival of a modern new fleet. The first R51bn is already committed to procure 600 new train-sets of which the first are due to start their commissioning tests later this year.

Less apparent is the enormity of the task to get the associated support infrastructure ready for these new trains to operate, a concomitant and equally capital-intensive programme. These mega projects include the replacement of the signalling, and modernising/ improving the priority corridors on which the new train will be tested.

Prasa’s Capital Investment Programme, supplementary safety-related and operational improvements and upgrades are in various stages of implementation. More than 24 stations are set to be modernised in the Western Cape.

Sustaining the current operations/service levels is hugely dependent on the implementation of our infrastructure rehabilitation projects and effective maintenance of an extensive, obsolete asset base, until such time the impact of modernisation delivers the critical mass of infrastructure to raise service levels.

Not unlike major roadworks, construction activity will inevitably impact on current operations.

The issue of an annual inflation-linked increase is pure economics as a result of inevitable escalation in operating costs with little or no impact on service improvement. Fare increases are used to partially off-set the enormous cost of operating unreliable assets on aged infrastructure with obsolete technology. Fares barely cover half the actual cost of operations.

The strategy of withholding increases during the period 2003 to 2010, leaving the cost of operations to be fully carried by the fiscus simply deferred the burden on commuters.

When the 2010 increase came it had of necessity to be in the high double digits, leading to an outcry. Commuters at the time said in no uncertain terms that small, incremental increases were preferable.

Twelve months after assuming responsibility for this region and as a commuter, I fully understand the reasonable expectation of my fellow commuters for a decent and reliable service.

The senior management team reviews service performance every day and plans for the next peak service.

Our dedicated technical teams respond 24/7 to service disruptions to minimise delays and cancellations. It is management’s responsibility to ensure that we operate our train service to the highest operational safety standards.

Ongoing interim investment programmes are designed to address crucial infrastructure improvements like rail and rail-related replacement in strategic areas on the network. This will obviate the need for speed restrictions, improving punctuality.

The intensified rolling stock maintenance programme will improve reliability, and manage obsolete components and technology to further reduce the impact of in-service failures.

The operation of an antiquated rail service hinges primarily on the affordability of its main cost drivers – human capital, maintenance and energy.

Service provision in its current form is human resource hungry and reliant and bargained salary increases compete successfully with the prevailing inflation rate. Electricity is costly for well-known reasons.

In the absence of appropriate new technology, the replacement cost of obsolete components prone to frequent failure and with long lead times to replace is costly. These components are without fail not off the shelf items, must be sourced elsewhere or custom-made at high cost.

While the fare box contributes to the operational sustainability users seek, the capital injection will accelerate the infrastructural improvements required to bring the service back to previous levels.

Operational sustainability hinges on the effective maintenance of the existing ailing asset base until sufficient new trains and infrastructure are introduced.

Without annual fare adjustments, the train service would simply deteriorate faster. Insufficient operational funding will force some services to be rationalised.

This would have a double impact on rail commuters – not only will they be required to fork out more of their disposable income on more expensive transport, but, as taxpayers, foot the bill of higher transport subsidies of other public transport modes.

Once rationalised, service reinstatement is difficult and costly to achieve.

Commuters rightly deserve reassurance that their train service can be sustained and improved.

Commuters clamour for more security (increasing Prasa’s wage bill), more ticket verifiers (more wages) which in turn increases the pressure on an already stretched budget, cross-funded by a diminishing government subsidy.

As Prasa’s capital injection increases, the introduction of technology will reduce the need for an escalating operational subsidy.

In the interest of the city’s public transport future, commuters, public transport partners and communities must collaborate to endure short term pain for longer term gain. The alternative is unthinkable and a disservice to this province, this country and this continent.

* Walker is the Western Cape regional manager of Metrorail

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