Transnet and the Agence française de développement (AFD) signed a R5.8 billion credit facility to support a shift to a lower-carbon rail.
Through this funding, Transnet will rehabilitate 550km of key rail corridors, diversify into green hydrogen and transition minerals, and prepare for the procurement of 30 Megawatts (MW) of renewable energy.
Michelle Phillips, Transnet Group Chief Executive, said “Transnet remains committed to modernising its rail and port infrastructure and operations to improve service quality, reliability and competitiveness, while advancing sustainable growth as part of its Reinvent for Growth strategy. This funding will assist in achieving these objectives by enhancing energy efficiency and accelerate reforms.”
Both organisations have worked together since 2009.
Marie-hélène Loison, AFD’s Regional Director for Southern Africa, said “the investments in freight rail recovery, port modernization and transition minerals export corridors are a demonstration that South Africa’s economic competitiveness and decarbonization goals are inseparable.”
Picture: Supplied