Minister: Prasa’s broken
SHOCK: NEW ADMINISTRATOR EXPOSES STATE OF COLLAPSE OF AGENCY
Cancellation of security contracts gives metal thieves free run of depots.
The Passenger Rail Agency of South Africa (Prasa) is a “broken entity”, Minister of Transport Fikile Mbalula said after ditching the war room established to pull the agency out of the abyss, and as a newly appointed administrator lays bare the extent of the rot.
“Prasa has suffered blows for many years of mismanagement and deteriorating cooperate governance. Today it is [a] broken organisation ... struggling to provide an efficient commuter and passenger rail service.”
Speaking in Johannesburg yesterday, the minister said numerous boards had failed to save Prasa.
He said instead of a board, he had appointed an administrator, Bongisizwe Mpondo, who will report to him every month.
Mpondo has established so far that Prasa has been ravaged by systemic erosion of value and is characterised by disorder, with “countless changes” at chief executive officer and board level since 2015, culminating in an interim board last year.
Mpondo said these changes were, by design, a key enabler for instability and that Prasa was a fertile ground for crooks.
“Questionable decisions have been taken by leadership, with disastrous consequences.
“One telling example is that towards the end of last year, the interim board cancelled the security contracts without a