Update

GEORGE NEWS - While the national government prepares to scale down and phase out key public transport funding over the next three years, the National Treasury reassured commuters that existing Go George and other integrated bus services will continue to operate without immediate disruption.

The proposed changes involve a gradual phasing out of the Public Transport Network Grant (PTNG) over the next three years.

According to the Treasury, the grant had not performed as expected over the years, and the Cabinet had supported its phased withdrawal while alternative mechanisms are explored to support integrated public transport.

“The plan is to reduce investment in new infrastructure and focus on operations. The funding by the PTNG will not be expanded beyond existing services, and the reductions relate mostly to the expansion of services through new routes on the public transport network. It is expected that plans and maintenance of current services should be possible to sustain,” the Treasury said.

Commuters not expected to be affected

According to the Treasury, current users of the system are not affected by the phasing out of the programme, as the direct operating costs associated with existing services are not funded by this grant, but by municipal revenues.

The cuts form part of a national restructuring that will see the PTNG decrease by about R1.83b nationally, a 24.3% reduction in the 2026/27 financial year, and further reductions are expected over the medium term.

Earlier, the Western Cape Mobility Department said Go George and MyCiTi rely heavily on PTNG funding for infrastructure and indirect costs, while the provincial and local government contribute towards operational shortfalls and additional infrastructure requirements.

Expansion plans could come under pressure

The acting municipal manager, Bevan Ellman, said the existing Go George routes and service frequency would be prioritised, but warned that future expansion could be delayed if additional funding support is not secured. 

He said non-critical services and contracts may need to be reduced or deferred to protect core operations.

The National Treasury referred George Herald to the Department of Transport for questions on long-term safeguards and intergovernmental engagement, adding that funding decisions form part of a broader intergovernmental fiscal framework involving all three spheres of government.

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