Fin24

Prasa plans R15bn BEE scheme

2012-09-05 09:25

Johannesburg - The Passenger Rail Agency of SA (Prasa) is planning a R15bn black economic empowerment (BEE) programme as part of its plans to modernise Metrorail, Business Day reported on Wednesday.

Metrorail's fleet of commuter coaches would be modernised, in what will rank among the top five empowerment deals that have been concluded.

Prasa told the newspaper that a minimum of 30% equity for black investors would be required for a project company that would be established to manufacture the coaches in South Africa.

More details on how black investors would be selected would be released on September 25, and the selection process was expected to be completed by the end of January, Prasa manager Piet Sebola was quoted as saying.

Prasa CEO Lucky Montana said there was no turning back on the programme to buy modern train technology and manufacture commuter coaches locally .

"Any attempt to undo what we have started would cause a collapse of the commuter rail system," Montana said, commenting on attempts by "some rolling stock manufacturers and some people in the black business environment - not necessarily the BBC (Black Business Council)," to delay the implementation of the programme.

In June, the BBC attacked Prasa's approach to empowerment, calling it "dangerous".

BBC secretary general Sandile Zungu said it fed into stereotypes that "black economic empowerment is about handouts".


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Comments
  • matewis.jubilai - 2012-09-05 09:32

    Black Economic Empowerment? More like PCE, Politically Connected Empowerment ... want actual BEE with 15bn? - starts with proper education, which has yet to start after 18 years...

      buzz.bar.16 - 2012-09-05 10:04

      Great, R14.5 Billion into selected pockets while 500 mil will be used to stuff things up further with incomplete projects etc...

      alan.gernet - 2012-09-05 10:04

      Well - I hope they make the coaches fireproof, because burning coaches is a national pastime. But then I suppose that wouldnt be in the interests of BEE, because burned out caches have to be replaced...and replaced.... and replaced.

      alan.gernet - 2012-09-05 10:05

      AAHHHH - now I get it - the new trains will be Gravy Trains.

      fussed.anderson - 2012-09-05 11:22

      What you realy mean is "to take it back 100 years to nothing"

      jacques.otto.50 - 2012-09-05 12:12

      Another BEE deal not creating JOBS. Can anyone tell me out of all the BEE deals how many jobs has been created. What about creating manufacturing BEE deals where new factories are build. O yes no that wont work as that means building something from scratch and creating wealth rather than moving wealth around in the finance world. Cant believe the masses in this country are still supporting this nonsense

      Vince.York - 2012-09-05 19:13

      vaguely recall that warring Black Empowerment groups actually stopped all trains between KZN and Gauteng for an extended period within the past 2 years until arbitration came into effect allowing them both to steal the profits instead of 50/50% by DOUBLING the BID VALUES and giving each 100% with further promises to up that each year and so CREATE MONEY out of nothingness, or for want of a better term blacken their economies via a "Black Hole". Terrifying when you consider the looming levels of youth frustration

  • tebo.w.ganyani - 2012-09-05 09:33

    ohk so no imperialist hahahaha wow. I want to be a fat''bee'' two eat the honey out of so called taxpayers do the extent thy run dry to the sea hahahaha

      Arno Lotz - 2012-09-05 09:45

      thats nice!more porrige and jam pouring down.feed yourself fat with taxpayers money.

      maree.cassie - 2012-09-05 11:47

      this just proves @matewis point...

      themba.maseko.568 - 2012-10-02 08:49

      30% BEE, 70% to the previledged. The latter will get a bigger slice, whether they are from SA or from abroad, so why are we complaining?

  • jamesedmundbird - 2012-09-05 09:35

    great to hear people are investing in a new and improved public transport scheme, lets not focus and be negative about the fact that it is BEE driven.

      jacques.otto.50 - 2012-09-05 12:21

      Um sorry james as per Eskom with Hitachi and Gauteng freeway this business will be outsourced to Europe as per the coaches for the Gautrain. BEE deals dont involve creating JOBs or infrastructure it is wealth distribution boet meaning it creates nothing it only takes and takes \

  • johana.salivan - 2012-09-05 09:42

    "BBC secretary-general Sandile Zungu said it fed into stereotypes that "black economic empowerment is about handouts"." It is not stereotype, it is a fact

      wesley.bischoff - 2012-09-05 11:17

      Not about handouts, just about the already rich getting even richer...

  • jennifer.d.martin.750 - 2012-09-05 09:44

    Black black black It's Racism it's not ok and it's going to cripple the black population as they reap what they sow. Few will benefit and the many will pay Nothing new going on here then.

  • danny.levin.351 - 2012-09-05 09:50

    Just watch how their relatives will scramble to register companies.the new BEE companies will sprout like mushrooms in a forest after a heavy rain. Any guesses about who will get the contracts?

      juan.prinsloo.750 - 2012-09-05 10:16

      Well some Zuma family members will get a few. What's the bet Zuma's nephew of the bankrupt Aora mine might get a slice of the action?

      sheik.mohammad.378 - 2012-10-01 19:17

      Danny it's really hard to guess. Wink, wink say no more.

  • victor.windsor - 2012-09-05 09:56

    More corruption and backhanders and jobs for pals coming here and then the price of the tickets or for transportation will be too expensive !!!!! Watch this space !!!!!

  • quartus.vanzyl - 2012-09-05 09:57

    Watch this space. Not so far in the distant future the corruption and theft will crawl out to the surface. Government just like big schemes like this. The bigger and more fragmented the better. So much easier to steal. This racial biased BEE scheme should be stopped, even in court if necessary.

      alan.gernet - 2012-09-05 10:12

      stopped in it's tracks?

  • Mike - 2012-09-05 10:02

    There seems to be no difficulty in organizing these massive BEE deals. Yet we cannot educate the youth, provide health care and law and order. Amazing!

      fussed.anderson - 2012-09-05 11:26

      And no money for roads and pay for the things that realy matter

  • JHLR73 - 2012-09-05 10:06

    Corruption corruption corruption!!!!!!

  • kevin.jacobs.1044 - 2012-09-05 10:08

    Ramaphosa, Zuma, Sexwale and more are sure to benefit from such a deal. It seems they are the only fitting BEE candidates

      wesley.bischoff - 2012-09-05 11:21

      Exactly, which is why we see Sexwale walking around in R5000 pair of shoes, Armani suits etc...

  • hc12345 - 2012-09-05 10:13

    Please make sure Ceryl and Tokyo are not in the queue!!!!!

  • fanie.dutoit2 - 2012-09-05 10:14

    Recipe for desaster. Rich becomes richer (fraudulantly) Eventually the tax payer will pay

  • lodewyk.fred - 2012-09-05 10:46

    You cant help but laugh at these clowns.

  • msard - 2012-09-05 11:15

    R15 Billion ????? Where does that money come from? Our Roads are apparently beyond it's lifespan and there is allegedly no MONEY to repair them?? What a CIRCUS !!!!!

  • wesley.bischoff - 2012-09-05 11:15

    So yet again, it will only be the wealthy blacks that get richer?

  • isaacmodise.masiu - 2012-09-05 11:27

    Lets not be bitter by the prophets of doom as they are already in possession of the wealth of this country which they accumulated for centuries, they are critics of everything that is Black related well done PRASA m looking forward to this great news.

      cosmic.tone.3 - 2012-09-05 12:57

      ^^ Words fail me...

      dawie002 - 2012-09-05 17:04

      I bet you vote cANCer! Idiot

  • cyberjerk.ingram - 2012-09-05 12:26

    BEE = legalized theft = African cleptocracy.

  • dawie002 - 2012-09-05 17:03

    Read: legitimate corruption sought by parsa

  • aaron.radebe.1 - 2012-09-05 17:04

    Why do we need all these race based policies still? Whites are only a small (less than 10%) fraction of the population. Surely, if black people were to have any pride at all, they would acknowledge that as a 90% majority group with complete political power, it is embarrassing to require continued discrimination in order to succeed in the job market.

  • Vince.York - 2012-09-05 19:07

    Lord help us! After reading THIS article, http://www.fin24.com/Economy/R675-lost-to-graft-since-1994-expert-20120905 I can only imagine we'll end up with a rail scattered at different angles every 300m through the dry dusty veldt being stolen in peaces for more theft ratings by the poorest of the deployed cadres and the youth

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