Government transport company collapsed despite R1 billion in taxpayer-funded bailouts
Great North Transport fell from 540 buses and 36 million passengers a year to just 23 operational buses by July 2025 despite R1 billion in taxpayer-funded bailouts.
Great North Transport is a state-owned bus company that operates primarily across Limpopo Province and parts of Mpumalanga.
It operates under the oversight of the Limpopo Economic Development Agency and serves as a subsidised public road transport provider.
It connects rural communities, townships, and major municipal centres like Polokwane, Makhado, Giyani, Tzaneen, and Mokopane.
Despite its importance in the region, the company has faced governance and operational issues in recent years.
Jacques Smalle, a member of the Limpopo Provincial Legislature, raised the alarm about the problems at the company.
“The company was allowed to collapse from 540 buses serving around 200 routes and carrying 36 million passengers a year to just 23 operational buses,” he said.
“This collapse happened despite nearly R1 billion in taxpayer-funded bailouts over the past decade.”
He said that new buses for Great North Transport are needed by thousands of commuters who rely on the company.
However, getting buses back on the road is not the only thing that is needed. He also called for fixing problems in governance, finances, and administration.
“Addressing the corruption and maladministration being investigated by the SIU is not negotiable,” Smalle said.
“Without both, another turnaround risks becoming another chapter in the same cycle of failure, collapse, and wastage.”
“Any attempt to turn the company around without first confronting the reasons for its collapse and taking remedial action is doomed to repeat the same failures.”
It is astounding how much money these companies burn through. R1-billion is an enormous amount.