Question NW1980 to the Minister of Transport

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17 July 2023 - NW1980

Profile picture: Tito, Ms LF

Tito, Ms LF to ask the Minister of Transport

In light of the social housing development project on land of the Passenger Rail Agency of South Africa, that is expected to benefit individuals who earn between R3 500 and R22 500 a month, which measures have been put in place to ensure that (a) only rightful beneficiaries will benefit and (b) no corruption will occur on the specified project?


(a) In terms of the Legal Succession Act No. 38 of 2008 establishing the Passenger Rail Agency of South Africa, section 23(2) states that, “the second object and the secondary business of the Corporation (“PRASA”) is to generate income from the exploitation of the assets acquired by it.

Subsection 3 states that, “In carrying out its objects and business, the Corporation shall have due regard to key government social, economic and transport policy objectives.

The Department of Transport and PRASA are not a custodian of housing delivery, however, in the context underpinned by the principles of cooperative government and intergovernmental relations, the entity has a duty to ensure that the goals and objectives of the Department of Human Settlement are supported and promoted. Therefore, PRASA made available land located near areas of economic activity for construction of decent and affordable housing opportunities with easy access to public transport services and social amenities.

Through an open tender land-release programme (National Station Precinct Development Programme), PRASA awarded development rights to a non-profit Social Housing Institution (“SHI”) to develop and manage the top structure rental stock in line with the Social Housing Regulatory Authority terms and conditions.

Therefore, the Social Housing units at Goodwood Station (in Cape Town) will be allocated by the Social Housing Institute directly to deserving beneficiaries. In order to qualify for this rental subsidy, rightful beneficiaries need to earn a gross monthly income between R1,850 and R22,000, and must:

  • Be South African citizen or have a permanent residency permit.
  • Be 18 years or older.
  • married or living with a partner.
  • May be single or divorced and have proven financial dependants permanently living together.

(b) The Department of Transport also supports an anonymous tip-off call centre established by the Human Settlement Department in collaboration Social Housing Regulatory Authority for anyone who wish to report any suspicion of fraud, corruption, bribery etc. The contact number is 0800 111 670 or [email protected].

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